The Impact of Referral Marketing Strategy on Micro, Small and Medium Scale Motor Vehicle Mechanics

Abstract

The study was carried out to determine the impact of referral marketing strategy on the micro small scale motor vehicle mechanic. Specifically, this study seeks to identify the factors that influence the usability of referral marketing strategy and its effect on referral marketing. Two research questions were raised and two null hypotheses tested at (P< .05) level of significance. The descriptive survey was used and the population for the study was made up of the motor vehicle mechanic customers, motor vehicle mechanic part dealers and motor vehicle mechanic. 18 items questionnaire was used for data collection. The instrument was subjected to content and face validation. The data collected were analyzed using Mean, Analysis of Variance (ANOVA) and Scheffe's test. Based on the findings of the study such as loyalty, diffusional, it was recommended that government should formulate policies and programmes to encourage micro small and medium scale entrepreneurs to sail smooth in their private investment. Such encouragement should include among others interest-free loan.