Examination of the Distribution Channel of Indomie Instant Noodles in Oyo State

Abstract

The distribution of indomie instant noodles is very germane as it is a consumable product that serves as a major food for most children, adults and students. Thus, this study examined the existing distribution channel employed in the distribution of indomie instant noodles from its point of production to the nooks and crannies of Oyo state with a view to appraise it. Specifically it; identified the existing distribution channel of Indomie instant noodles and determine the rate at which Indomie instant noodles is distributed in Oyo state. Indomie instant noodles is produced in Sango-ota Ogun state. However, this study is interested in how it is being distributed from Ota in Ogun state to the nooks and crannies of Oyo state. Thus the study areas were strictly Oyo state and Dufil group in Sango ota, Simple random technique was used for the study. Findings showed that the most prominent channel adopted in the distributing indomie instant noodles is; producer- distributor – wholesaler – retailer – consumer (65%) and it takes two days to receive order that are placed (57.3%). Further analysis established that, the distribution channel adopted in distributing indomie instant noodles accounted for its appreciable level of accessibility and availability amongst other brands of noodles which has made it to become the most popular brand of noodles in Nigeria. From the findings of the study, it is recommended that the packaged food manufacturing companies such as Dufil group (the manufacturer of indomie instant noodles) though adopted third party logistics in the distribution of their product, they should have their own haulage vehicles for distributing their products in case the terms of agreement between the company and the contract carrier(third party logistics) fails, this is necessary to avert any problem such as delay in the delivery of products to the consumers or halt in the distribution activities that may arise if there is any breech of agreement between the company and the contract carriers.