ABSTRACT

Cameroon being a developing country with most of its citizens unemployed, the brewery industry is expected to play an important role in providing employment opportunities so as to improve the living standard of citizens. Although the sales performance of most brewery companies in Cameroon have been impressive since their existence, the problems associated with effective distribution of products produced and customers’ dissatisfaction with their distribution channels still remains a major threat to the performance of the brewery industry in Cameroon.

This is because most often, the products  do not reach consumers at the right time, in right quantity, place and price. This study was therefore conducted with the main aim of investigating the effect of distribution channels on the sales performance of SABC. Most specifically, the study aims at verifying whether the distribution channel used by SABC affects their sales performance. The study being quantitative and qualitative in nature makes use of both primary and secondary data. A sample of 120 customers and 20 staff of SABC were chosen by employing the convenient sampling technique.

To collect primary data, structured questionnaires were administered to customers and staff of SABC Ombe distribution centre aimed at obtaining their opinions on the type of distribution channel SABC uses, the promptness of their deliveries and how consumers react to delays in deliveries. Secondary data was collected from annual reports for a period of five (5) years. For data analysis, the researcher used the SPSS software where both descriptive and inferential statistical methods were employed. Descriptive statistics included frequency tables and percentages which were used to assess the effect of distribution channel on sales performance.

The result of these findings shows that the distribution channel used by SABC has a negative effect on their sales performance as it reduces the sales of their customers due to regular delays in deliveries and product shortages. The result also shows that the annual sales of SABC Ombe distribution centre over the past five years have witnessed a minimal growth rate from 2010 – 2013 then dropped in 2014. Based on these findings, it was recommended that SABC Ombe distribution centre should revise its distribution channel and adhered to the use of effective distribution channel practices that will enable the company achieve a better sales performance.