FACTORS INFLUENCING THE DISTRIBUTION CHANNEL PERFOMANCE OF KENYA WINE AGENCIES LIMITED (KWAL) PRODUCTS WITHIN THE SUPERMARKETS IN KENYA

The wine industry in the world market has been experiencing a period of a substantial
growth and change. Marketing channels of wines are develop and operate in complex
environment that is continually changing as they are influenced by macro environmental
forces or variables such as consumer buying behavior, economic, political and legal
factors, technological changes, international macro influences and channel member
preferences.
These changes have posed a competitive threat to KWAL in Kenya and contributed to
loss in its market share to competitors. This study therefore aimed at surveying factors
influencing the distribution channel performance of KWAL with a view to building the
distributor/customer relationship and attaining the competitive advantage. The study was
guided by two objectives those are; to assess the distribution channel performance in the
wine industry and to determine the factors influencing the distribution channels
performance in the wine industry, among the supermarket outlets in Kenya
It was designed to capture data on the performance of KWAL distribution channels. The
survey research was found appropriate as it required the collection of quantifiable
information from the sample. Since it was a survey research, both the structured and self
administered questionnaires were used to collect the data. The responses from the
questionnaires were checked for the completeness and the Statistical Package for social
sciences was used to analyze the results of the questionnaire.
The study also concludes that factors significantly affecting KWAL distribution channels
are economic, poor public awareness and competition. Others were like Managerial
challenges, legal, technological and social–cultural issues. From the findings and
recommendations, the study recommends that factors that greatly affect performance of
distribution channels of KWAL products in supermarket outlet were economic factors
and poor public awareness. The study also recommends that KWAL Company should
segment its market to easily influence the performance of its distribution channel in
supermarkets in Kenya. The study also recommends allocation of more resources and
improving public awareness.

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