FINAL PROJECT REPORT FOR THE FULFILLMENT OF MBA PROGRAM ON THE TOPIC

INFLUENCE OF CELEBRITY ENDORSEMENT ON CONSUMER BUYING BEHAVIOUR AND BRAND BUILDING FOR FMCG PRODUCTS

SUBMITTED TO: CONTROLLER OF EXAMINATION MAHARSHI DAYANAND UNIVERSITY ROHTAK

SUBMITTED BY: SHIVETA ZADOO INST .ROLL NO. 06-MBA-37 REG. NO. 06-LAMS-22

PROJECT SUPERVISOR: MRS. MEETU G MATTA ( SENIOR LECTURER IN DEPARTMENT OF MBA)

LINGAYAS INSTITUTE OF MANAGEMENT & TECH. SESSION 2006-08

DECLARATION

I Shiveta Zadoo Univ .Reg. No.06-LAMS-22 of MBA (HR&Marketing) From Lingayas Institute of Management & Technology hereby declare that the project entitled Influence of Celebrity Endorsement On Consumer Buying Behavior And Brand Building For FMCG Products. is an original work and the same has not been submitted to any other institute for the award of any other degree. The feasible suggestions have been duly incorporated in consultation with the supervisor.

Signature of Supervisor

Signature of Student

Forwarded By

ACKNOWLEDGEMENT

I wish to express my deep sense of gratitude to my guide Mrs Preeti Verma in Lingayas Institute of Management and Technology, Faridabad who in her benevolent guidance has enabled me to accomplish my project . I am grateful to her for giving proper guidelines and enlightened me to put my value addition towards my responsibility. She has been a great source of inspiration all the way. Without her keen interest, incessant, encouragement and valuable suggestions this report couldnt have attained its present shape with zeal and enthusiasm. My sincere thanks to all other faculty members and all the persons who are associated with this project for their assistance .Several persons have made their valuable contribution to this work.

SHIVETA ZADOO

GUIDE CERTIFICATE

I take great pleasure in certifying that project entitled Influence Of Celebrity Endorsement On Consumer Buying Behavior And Brand Building On FMCG Products has been completed by Shiveta Zadoo on partial fulfillment for degree of MBA, under my supervision and guidance. The work speaks about the sincere effort of candidate and think it is quite satisfactory, and should be accepted for evaluation (This has not been submitted for award of any degree or other similar title or prizes.)

Director / Principle of Institute

Project Guide (Mrs Preeti verma)

PREFACE

Practical training is an important part of management courses. Theoretical studies in classroom are not sufficient to understand the functioning of complex and large size organizations, managerial climate and the real problems coming in the way of management of Man, Material, Machines and Money . The field of consumer behavior is the study of individuals, groups or organizations and the processes they use to select, secure, use and dispose of product, services, experiences, or ideas to satisfy needs and impacts that these processes have on the consumer and society. And understanding the consumer behavior is the prime and toughest task in front of every marketer. There are a lot of factors, which influence consumer buyer behavior. This study aimed at to understand the influence of celebrity endorsee on consumer buying behavior and brand building. The effectiveness of using a celebrity to endorse a firm's product can generally be improved by matching the image of the celebrity with the personality of the product and the actual or desired serf concept of the target market. Celebrity sources may enhance attitude change for a variety of reasons. They may attract more attention to the advertisement than would non-celebrities or in many cases, they may be viewed as more credible than non-celebrities. Third, consumers may identify with or desire to emulate the celebrity. Finally, consumer may associate known characteristics of the celebrity with attributes of the product that coincide with their own needs or desire. What therefore seems relevant by the study that yes definitely celebrity endorsee influence consumer buying behavior and brand building but while using celebrity endorsee, marketer has to take care of all the aspect that whether the brought personality and image of celebrity matches or not, whether celebrity endorsee has deep penetration among the masses or not, whether he is considered as credible source or not etc.

TABLE OF CONTENTS

1.Introduction 5.Objectives of The Study 6.Literature Review 7.Research Methodology 8.Data Analysis and Interpretation 9.Findings of The Study 10.Recommendation 11.Conclusion 12.Annexure

CHAPTER - I INTRODUCTION

INTRODUCTION
Understanding the consumer behavior is the prime and toughest task in front of every marketer. There are a lot of factors, which influence consumer buyer behavior. This study is aimed at to understand the Influence Of Celebrity Endorsee On Consumer Buying Behavior And Brand Building On FMCG Products. Marketers pay millions of Dollars to celebrity endorsee hoping that the stars will bring their magic to brand they endorse and make them more appealing and successful. But all celebrity glitter is not gold. What therefore seems relevant by the study that yes definitely celebrity endorsement does influence consumer buying behavior and is required in advertisement to build brands but while using celebrities, marketers has to take care of all the aspect that whether the brought personality and image of celebrity matches or not, whether celebrity endorsee has deep penetration among the masses or not, whether he is considered as credible source or not etc.

SIGNIFICANCE OF THE STUDY

This study helps in understanding whether or not advertising with celebrities really enhances the brand image and even influences the consumers to buy the product. it even helps to know that how does a celebrity proves to be effective in increasing sales. Because on promotions and advertising every company is spending a huge amount. Celebrity may enhance attitude change for a variety of reasons attract more attention and find it more credible than non-celebrities . Consumers may identify with or desire to emulate the celebrity associate known characteristics of the celebrity with attributes of the product that coincide with their own needs or desire. Towel-clad models can sell just about any thing soaps, shampoos, body lotions, safety razors,

men's toiletries, ceramic titles, bathroom fittings, and any consumer durable even cars. And if the model happens to be a television icon who enjoys a huge fan following among masses, the product will sell like hot cakes.

CHAPTER II OBJECTIVE OF THE STUDY

OBJECTIVES OF THE STUDY

Primary Objective To identify the influence of celebrity endorsee on consumer buying behavior and brand building for FMCG products. Secondary objectives 1.To identify other factors which influence consumer-buying behavior in FMCG Segment? 2.To identify how are celebrity endorsee advertisements perceived by the consumers. 3 To identify that who make the best celebrity endorsee.

CHAPTER III LITERATURE REVIEW

LITERATURE REVIEW
Endorsement: By definition it means endorsing some trait or character of the brand. Celebrities can catalyze brand acceptance and provide the enormous momentum that brands require.They must endorse something. And that something must be intrinsic to the brand. Marketers in India face quite a challenge. There are only two clear areas for celebrity brand endorsement - cricket and Bollywood. Some fundamental ground rules: Articulate with clarity on the brand promise (What am I?) and the brand personality (Who am I?). Create consensus among the brand team on what the communication objectives for the campaign are. Focus single-mindedly on the characteristics the chosen celebrity should possess, in order to provide synergy with the brand to be advertised. Overtly establish what the celebrity is going to communicate CELEBRITY ENDORSEMENT Celebrity :Celebrities are people who enjoy public recognition and mostly they are the experts of their respective fields having wider influence in public life and societal domain. Attributes like attractiveness, extraordinary life style or special skills, larger than life image and demigod status can be associated with them. It is safe to deduce that within a corresponding social group celebrities generally differ from the social norm and enjoy high degree of public awareness. Shah Rukh Khan, Sachin Tendulkar, Amitabh Bachchan, Aamir khan, etc these names have become symbols of the role of endorsers in advertising. Firms spend millions of dollars to sign up celebrities to endorse their products. Endorsement contracts are now so lucrative that many professionals in sports and entertainment direct their careers to this end. In some sports, such as track and field events, winning at the Olympics has pretty much become a means to subsequent endorsement contracts. Firms spend all this money on endorsements because finding the right celebrity endorser for

their products can pay tremendous dividends the advertiser. Other types of endorsers can be equally effective but cost much less. Though marketers should remember that celebrities are mere living beings like us and if they can highlight the benefits or advantages of a brand they can also have some uncanny negative impact. Theory and practice suggests that the use of stars and their unleashing power in advertising generate a lot of publicity and attention from the public but the underline questions are, do these stars really help a brand by increasing its sales? On the other hand, can they really have an Impact on the person's consumption pattern, thereby changing his brand preference? How an advertisement featuring a celebrity can influence consumers buying decision and can create an association between a brand and a common man. To answer these questions, the article will examine the relationship between celebrity endorsements and brands, and the impact of celebrity endorsement on consumer's buying behaviour as well as how consumer makes brand preferences. We will apply a wide range of accepted principles of how consumers brand attitudes and preferences can be influenced, how buyer's behavior can be influenced, how buyer's behavior can be molded. We will use the principles of credibility of source and attractiveness, the matchup hypothesis, the consumer decision-making model and the communication model to understand this phenomenon BENEFITS AND DRAWBACKS OF USING CELEBRITIES There is no doubt that celebrity advertising has its benefits -- the four Qs: Quick saliency: It gets cut through because of the star and his attention getting value.Dabur ajmola did it with aving Amitab Bacchan in it . . Quick connect There needs to be no insight but the communication connects because the star connects. Sachin, Shah Rukh and their ilk's ensure an easy connect for Pepsi with the youth. Quick shorthand for brand values: The right star can actually telegraph a brand message fast without elaborate story telling. Sachin Tendulkar seem to have done that successfully for Boost

in the early '90s.and sunfeast biscuits in 2007 And helped to differentiate it in the malted beverages market. Quick means of brand differentiation: In a category where no brand is using a celebrity, the first that picks one up could use it to differentiate itself in the market. Boost did it in the malted beverage category. And Preity Zinta does all the above four for Perk -- connecting with the youth and reinforcing the brand's youthful, spontaneous, energetic values. There are however the classic fears of celebrity usage: The celebrity vampires the product: Unless the celebrity's values, the category benefit and the brand values are closely linked, there are chances that the celebrity is remembered more than the brand he or she is advertising for. And in a celebrity clutter, the chances that the brand and category can be remembered become even more difficult for the average consumer. Pepsi and Lux tend to use multiple celebrities in an attempt to overcome this. The celebrity trap: Once into a celebrity, it is hard to get out of it. If the brand has done even moderately well after the break of a celebrity campaign, it becomes difficult to separate the role of message and the role of the celebrity in selling the brand. About Brand A brand is more than just a product it is a contract between customer and the crater. It embodies a meaning, gives direction and defines unique identity in time and space. The term brand is broadly applied to all identifying marks such as trade names, trade monks, trade symbols, picture, design of package, distinctive coloring or lettering with or without some attractive slogans A brand can convey up levels of meaning: Attributes: A brand first brings to mind certain attributes. Thus, Mercedes suggest expensive, well-built, well-engineered, durable, high prestige, high resale value, fast and so on. The

company may use one or more of these attributes to advertise the car. For years Mercedes advertised, Engineered like no other car in the world. This tagline served as the positioning platform for projecting the car's other attributes. Benefits: A brand is more than asset of attributes. Customers are not buying attributes they are buying benefits. Attributes need to the translated into functional and/. Or emotional benefits. The attribute durable could translate into the functional benefit. I won't benefits. The attribute durable could translate into the functional benefit. The attribute expensive might translate into the emotional benefit. The car helps me feel important and admired. The attribute well built might translate into the functional and emotional benefit. I am safe in case of an accident. Values: The brand also says something about the producer's value. Thus, Mercedes stands for high performance, safety, prestige, and so on. The brand marketer must figure out the specific groups of car buyers who are seeking these values. Culture: the brand may represent a certain culture. The Mercedes represents German culture; organized efficient, high quality. Personality: The brand can also project a certain personality. Mercedes may suggest a nononsense boss (person), a regaining lion (animal), or an austere palace (object). Some times it might take on the personality of an actual ell-known person or spokesperson. User: The brand suggests the kind of consumer who buys or uses the product. We would be surprised to see a 20 year-old secretary dragging a Mercedes. We would expect, instead to see a 55- year old top executive behind the wheel. The users will be those who respect the products' values, culture, and personality. Importance of Branding The marketer can build up a bright image of his organization around the brand. It enables national advertisement of a specific product and it is pre-sold through advertising. The customer in the retail shop can easily recognize branded product. It offers protection to the

consumer as it identifies the firm behind the product. Banding enables the firm assured control over the market. Repeat sales are stimulated and product substitution is not possible. It creates an exclusive market for the product. If a firm has one or morel lines of branded goods, it can add a new item to its list easily and the new item can enjoy all the advantages of brand immediately. Reasons for Branding In the days gone by, when the demand was greater than the supply, branding was not necessary. Earlier, people wanted a product, and because not enough of it was available, they bought it. Now, when the supply is more than the demand, companies not only need to create customers, but also keep the; and to keep customers, one needs to create customer loyalty. To create customer loyalty, one needs to project a personality of a brand to which the customer will be loyal. This personality is what is called a brand. There is a mistaken notion that branding has something to do with a trade mark or a trade name. It is not really necessary. Branding is the most powerful instrument of sales promotion due to the following reasons. About Advertising Advertising is promotion of goods or services by an identified sponsor. It is generally accepted that successive messages exercise cumulative effects, and that constant repetition ultimately makes an impression on the prospective customers conscious or subconscious mind. It may be designed to add to the number of people consuming a specific product; to induce present users of it to increase their consumption; to lengthen the buying season; or to stimulate sales in large units company or the product. Few examples will bring home the meaning i.e. Amul - utterly butterly delicious; Coke thanda matlab coca-cola; Pepsi Yeh dil mange more; Kurkure- Masti bole to kurkure and Daewoo ka India. These examples convey one message that when people watch advertisement a connect is being created and result is that people go for experience of buying. People feel by using the brand

they will portray certain traits or characteristics that otherwise they do not have. This generates a certain level of emotional affiliation and a sense of fulfillment. It is this emotional relationship with brands that make them so powerful. Advertisements enforces what exactly the brand stands for and what to expect by its consumption and above all what factors, features and attributes makes it better from competition. Advertisements along with other marketing efforts generate expectations and feelings in a customer and force them to think when they see or hear the brand name. This Thinking process and emotional bonding gets more mature and relevant when a celebrity endorses the brand. The subjective intangible feelings of a customer become objective and tangible in the form of celebrity and the level of expectations will rise. The customer will start to perceive himself in the reference frame of the celebrity after the brand or the advertised product has been purchased or consumed by him. The Uses Of Advertising Advertising is used to inform, persuade, and remind. Advertisements are used by individuals and organizations to inform a target market about a good, service, or idea, to persuade the target market to purchase the good or service or to adopt the idea, and to remind the target market that products are available to satisfy their needs and wants. Advertising can also stimulate demand by communicating to consumers information about additional uses for a product Marketers sometimes use advertising to make consumers aware that an established brand is still around and that it has certain uses, characteristics, and benefits; this is known as reminder advertising Informing consumers about a products uses features, and benefits and urging them to contact local dealers or sales representatives use advertising to support sales personnel. Examples of supporting media include trade magazine advertisements, direct mail, brochures, videos, and catalogues DEVELOPING THE ADVERTISING PROGRAM

The process of developing an advertising program, or campaign, involves several steps. Although the number and sequence of steps are not the same for every program, the major ones, shown in Figure 19.4, are (1) identifying the target market, (2) establishing the advertising objectives, (3) determining the advertising budge, (4) launching the advertising program, and (7) measuring advertising effectiveness CREATING THE ADVERTISING MESSAGE Once the budget and objectives of an advertising program have been established, the advertiser must create the message it will communicate to the target market. The message depends on the advertising platform, which consists of the basic issues or selling features to be stressed in the advertising program; the platform usually highlights important characteristics that competitive products do not have. The characteristics of the target market sex, age, education, race, income, occupation, and other attributes influence both the content and form of the message. To ensure that the message is received and understood, an advertiser must use worlds, symbols, and illustrations that are meaningful, familiar, and attractive to those persons who make up the target market. An advertisement can be either rational, emotional or a combination of the two. 1Price or value appeal: Promising the buyer that the product is worth more than money can buy. It could be reducing prices, keeping the prices same but offering more. 2Celebrity appeal: Using celebrities to endorse a product. Celebrities influence consumers. The advertisement catches attention when a celebrity is used. E.g. Shah Rukh Khan endorsing the Santro car. 2Testimonials: Actual users of the product share their experience in the form of a testimony. The users are not necessarily celebrities. For e.g. dentists for dental creams. Doctors for pain balms. Beauty therapists for cosmetics. Sensory appeal: Advertisements that have an effect on the five senses of touch, taste, vision, smell and hearing. For e.g. a stunning close up photograph of ice-cream, or a / beautiful product

photograph of a motorbike. Experts are individuals or organization that the target population perceives as having substantial knowledge in a particular area. Typically experts are chosen because of the knowledge they have accumulated through experience, training or study. Various organizations such as the American Medical Association, the American Dental Association, Good Housekeeping and the US Department of Agriculture will certify the quality of products, sometimes through awarding seals of approval. A seal of approval is a logo of the certifying organization that appears on the products package or ad and states that the certifying organization vouches for the merits of the product. Endorsee Advertising Shah Rukh Khan, Sachin Tendulkar, Madonna, Bill Cosby Michael Jordan,these names have become symbols of the role of endorsers in advertising. Firms spend millions of dollars to sign up celebrities to endorse their products

Do Celebrities Create Brands? 1Advertising - the celeb or the brand. People remember celebs rather than brands. 2Cross endorsing in different category: Amitabh /Shahrukh / Hrithik - Seen everywhere in different categories. 3In global sense the same celeb is not endorsing every category. The problem with our Indian ad industry is that of research. Our ad industry makes celebs more powerful than the brand: the celeb covers 75% of the space and 25% is left for copy, logo etc FAILURE / SUCCESS FACTORS

Five causes of letdown: Improper positioning : Inspite of a lot of promotion and advertisements Pepsi Gold didnt captured the market and shahrukh khan and sachin tendulkar even . didnt prove much helpful. Brand-celebrity disconnect : If the celebrity used represents values that conflict with the brand values and positioning, the advertising will create a conflict in the minds of the target audience who may reject the proposition. Clutter Flutter: In recent times, there has been such a deluge of celebrity endorsements that it has led to the very clutter that it aimed to break .This over-exposure can be bad for the brand For instance, Amitabh Bachchan endorses or has endorsed Mirinda, Dabur, Cadbury and a few social messages too. Dissatisfaction with product quality/performance :One cannot sell an ordinary product just by making a celebrity endorse it. Products performance is even very important.. Confusion/ Skepticisms :The use of celebrities can be confusing. Some viewers forget brand that a celebrity is approving. Others are so spellbound by the personality of the celebrity that they completely fail to notice the product/brand being advertised. The brand is overshadowed in the overwhelming presence of the star. SUCCESS: To gain attention Dabur India.: With the objective of infusing fresh life into the stagnant chyawanprash category and staving off competition from various brands, Dabur India roped in Bachchan for an estimated Rs 8 crore. To Recover Consumer Confidence : When Cadbury India wanted to restore the consumer's confidence in its chocolate brands following the high-pitch worms controversy, the company appointed Amitabh Bachchan for the job. To attain increased sales : The success that the Aamir Khan Thanda matlab commercial brought Coca-Cola is universally acknowledged.

RECENT TRENDS: 1The role of celebrity endorsers in Indian advertising is changing 2The celebrity associated with a brand no longer exhorts the consumers to buy it just because he or she uses it. 3The consumers today have loads of attitude and doesn't like to be dictated in their choice 4Today consumers look at celebrities not as role models, but as mere entertainers. Therefore the commercials that use them should be entertaining too 5The familiar face of the celebrity only helps in creating awareness. Star power alone is not sufficient to sell product or make an ad popular.

COCA-COLA

In a running train, the waiter After the train passes through a He looks around for the culprit walks in with a bottle of coke dark tunnel, he sees that the when he hears a burp. on a tray. bottle is empty.

Soon, everybody on the train Suddenly, the waiter burps too Voiceover: Dikhte hain hum starts burping as the waiter as everyone starts smiling. looks on. alag-alag par andar se hain hum same same...

CONSUMER BEHAVIOR DIMENSIONS Reference group principles are useful in analyzing the usage of celebrities in advertisements Pepsi's association with cricket celebrities, for example, may result in these celebrities

becoming role models for a number of youngsters involved or associated with cricket in terms of their accomplishments, attitudes or even lifestyles There are certain basic considerations, which matter when brands select celebrities. Target segments the type of celebrity chosen and the nature of the brand personality are some of the important considerations which need to be given a lot of importance. The brand (in a specific category) should use the celebrity in such a way that it would be difficult for a competitive brand to follow the strategy (however popular it may be worldwide). Pepsi's brand personality (the kind of human characteristics that could be associated with the brand) is vibrant, fun-loving, young lively and adventurous. The target segment is of course, the younger generation. Cricket is a sport, which is widely followed by the target segment, and there is always a charisma associated with the celebrities who are reigning and topical Pepsi entered in the 90s and roped in Sachin Tendulkar who was not only a good performer, but also a celebrity who typified the aspirations of youngsters involved with cricket. The young age of the celebrity also synergies with the personality of the brand. This was the starting point of the celebrity plane for Pepsi (Adventure and fun was reinforced with the filmcelebrity TV commercial). The brand brought in a string of cricket celebrities during the last two years during which one sport experienced a very active phase. The brand (in a specific category) should use the celebrity in such a way that it would be difficult for a competitive brand to follow the strategy (however popular it may be worldwide). Coke latched on to cricket after Pepsi had created a very strong association with cricket and the celebrities on the field. Currently, Coke is attempting the film celebrity route (which has also been pre-empted by Pepsi). It may be recalled that Thums Up was therapist brand to use cricket celebrities (in cinema halls about two decades ago). If the brand had strengthened its association with the sport, it is possible that Pepsi may not have chosen the cricket association. The above given model explains the important role that a brand plays in three different stages of consumer's purchase decision making. A consumer start collecting data or information about his favourite brand than he keeps his favourite as one of the alternatives and he evaluate his selected brand against all available options and on finding it suitable or best among all options based upon a qualitative and quantitative evaluation he will ultimately purchase the selected or

favourite brand.

CONCEPTUALISATION What therefore seems relevant by the study that yes definitely celebrity endorsee influence consumer buying behavior and brand building but while using celebrity endorsee, marketer has to take care of all the aspect that whether the brought personality and image of celebrity matches or not, whether celebrity endorsee has deep penetration among the masses or not, whether he is considered as credible source or not etc.This study aimed at understanding the impact of celebrity endorsee on brand building and consumer buying behavior Now even small and medium sized companies are roping in big names to sell their brand. For instance, one of the highest paid celebrity models, Sachin Tendulkar features in SUNFEAST BISCUIT advertisement. That's not all, Rani Mukherji, who features in high profile MUNCH POP CHOPS and juhi chawla for KURKURE and shahrukh khan for PEPSI etc Aamir Khan and COKE is the ultimate example of the same. As long as the brand depended on his star value and wove interesting stories around him, it just didn't cut ice with the consumer until 'Thanda Matlab Coca-Cola' happened. Could it have worked as well without a celebrity? One will never know as the brand has entered the celebrity trap.

CHAPTER - IV RESEARCH METHODOLOGY

RESEARCH METHODOLOGY
Research : The term research refers to systematic method consisting of enunciating the problem, formulating a hypothesis, collecting the facts or data, analyzing the facts and reaching certain conclusions either in the form of solutions towards the concerned problem in certain generalizations for some theoretical formulation. It includes various steps that are generally adopted by a researcher in studying problem along with the logic behind them. The first step in my research was to identify a set of branches from where I can get the best possible customers and data. Research design : The formidable problem that follows the task of defining the research problem is the preparation of design of the research project, popularly known as the research design. Decisions regarding what, where, when, how much, by what means concerns an inquiry or a research study constitute a research design".A research design is the arrangement of condition for collection and analysis of data in a manner that aims to combine relevance to the research purpose with economy in procedure Aspects Of Research Design : 1. It is a plan that specifies the sources and the types of information relevant to the research problem. 2. It is a strategy specifying which approach will be used for gathering and analyzing the data.

3. It includes the time and the cost budgets since most studies are done under these two constraints. The research will be exploratory in nature. Exploratory research studies are also termed as formulative research studies. The main purpose of such studies is that of formulating a problem for more precise investigation or to developing the working hypothesis from an operational point of view. The research design was characterized by flexibility in order to be sensitive to the unexpected and to discover insight not previously recognized. Secondary and Primary data will be collected and than analyzed. Secondary data will be collected from Newspapers, magazines, internet, academic books etc., To understand consumer behavior and role of celebrity endorsee primary data will be collected from interviews of People from Advertising Agencies and directly through the customers. Method of Conduct Personal interviews of people from advertising agencies and customers will be conducted. And questionaires will also be filled. Research Instrument The research instrument used for primary data collection will be questionnaire. The questionnaire will be structured and most of the questions will be closed ended. The entire questionnaire will be divided into three parts. a.Ownership based b.Buying behavior based c.Role of celebrity endorsee based. Sampling/ Size Total sample size will be 50 and the sampling used will be judgment.

LIMITATIONS

1. The researcher will use judgment sampling. 2. Some of the responses might be biased. 3. It was not possible to talk to celebrities who were actually endorsing brands. 4. Most of the survey will be carried out in and around Faridabad only. 5. Careless response from respondents 6. Many times delay in response was also seen.

CHAPTER - V
DATA ANALYSIS AND INTERPRETATION

DATA ANALYSIS AND INTERPRETATION

Q3. Do you have a television? i. Yes ii. No

0100090000037800000002001c00000000000400000003010800050000000b02000000000500 00000c027003a406040000002e0118001c000000fb021000070000000000bc020000000001020 22253797374656d0003a40600006a047da7c05b110004ee8339d008fb020c020000040000002d 01000004000000020101001c000000fb02ceff0000000000009001000000000440001254696d65 73204e657720526f6d616e0000000000000000000000000000000000040000002d01010005000 0000902000000020d000000320a2d0000000100040000000000a4066e0320001600040000002d 010000030000000000 Findings: 96% respondents owned television while 4% did not have a television. So most of the people said that they have a television at home and they love watching it .

Q4. If yes, how much time you devote on watching television? a) Less than one hour b) 1-2 Hours c) 2-3 Hours d) More than 3 Hours

60% 50% 40% 30% 20% 10% 0% Less than 1 Hour 1-2 Hours 17% 8%

60%

15%

2-3 Hours

More than 3 Hours

Findings: 60% respondents watched television for more than 2-3 hours, while 17% watched television for less than 1 hour, 15% watched television for more than 3 hours while 8% watched television for 1-2 hours. The study shows that mostly people love watching television for more than 2 hours daily since they have time and enjoy and entertain themselves. Thus it becomes easy for celebrities to attract people for any brand and influence them .

Q5 Kindly mention some of your favorite celebrities? Findings: most popular celebrity as per respondents was Amitabh Bachchan, followed by Shah Rukh Khan, Aishwarya Rai, Rani Mukherji and Mahinder Singh Dhoni. Thus it shows that people like to watch their known celebrities on TV endorsing different brand and it also adds credibility , assurance , trust for that brand and even they connect with the product and brand easily .

Q6. Do you like to imitate your celebrity? i. Yes ii. No 12%

88% YES NO

Findings: 66% respondents try and imitate the celebrities while 34% did not imitate the celebrity. This shows most of the people think like their celebrities say and do on TV and even they love imitating them also with this they feel more connected with celebrity and it also helps in improving sales and make marketing easy.

Q7. You look towards your celebrity as? a) An opinion leader b) A Role Model c) An Influencer d) All the above

30% 25% 20% 15% 10% 5% 0%

30% 25% 22% 23%

An Opinion Leader An Influencer

A Role Model All th above

Findings: 30% respondents find the celebrity as a opinion leader, 25% respondents find celebrity as role model while for 22% celebrity is an influencer. For the rest 23% the celebrity is an opinion leader, an influencer and a role model. This shows that consumers feel that mostly a celebrity is a opinion leader since people believe them and follow as they say , but few people think celebrity is a role model and do justice with the product and brand with his personality. Some think celebrity is major influencer for buying the product because they can motivate people easily with their behavior. And lastly few people think celebrity is encompassing all of the above said traits because he has got mixture of everything in him and uses as per the need and shows it very well.

Q8. Do you think celebrity endorsement is an effective tool to make the people get aware of the product or service? i. Yes ii. No

12%

88% YES NO

Findings: As per 88% respondents celebrity endorsement is an effective tool to make people aware of the product and services. While 12% disagree to this. Well with this part majority of people said that celebrity endorsement is an very effective tool for making people aware of any kind of product that is launched or already existing in the market. Since being known and famous it is easy for celebrity to do a mass appeal and even it is majority of times successful.

Q9. Kindly recall the celebrities associated with the following brands? a) Kareena Kapoor i. Pepsi iii. Dettol b) Aamir Khan i. Pepsi iii. Coke c) Hrithik Roshan i. pepsi iii. maaza d) Smriti Irani i. Bata iii. Lakhani e) Amitabh Bachan i. Reid & Taylor iii. Pulse Polio ii Lux iv. Both Pepsi & Lux ii. Dairy Milk iv. Limca ii. coke iv. All the above ii. Tuff iv. None ii. Dairy Milk iv. All the above

f) Juhi Chawla

i. Lays Chips iii. Uncle Chips

ii. Lehar kurkure iv. All the above ii. Britania Marie Gold Biscuits

g) Sachin Tendulkar

i. Sunfeast Biscuits

iii. Britania Good iv. Hide and Seek Day i) Rani Mukherjee i. Munch Pop ii. Pepsi iv. Boost Energy Drink ii. Surf Excel iv. Fanta

Chops iii. Coke j. Priyanka Chopra i. Lux Gold Soap iii. Nirma

Customer Recall the Celebrities Associated with the Brands

N o 1% 5

Ys e 8% 5

Findings: The overall brand recall amongst the respondents was 85%. Well with the analysis of different questions I found that there was a very good brand recall among consumers for different brands and only few percent people couldnt differentiate between similar looking brands. And mostly people could relate to brands as per there need.

Q.10 Can you recall the following punch lines & kindly indicates the brands with which they are associated?

a) Taaza holein is slogan of i. Brooke Bond . iii. Baag Bakri Chai b) Char Hafton Mein i. Godrej Fairglow

ii Tata Tea iv. Mohni Chai ii. Fair & Lovely

Gorapan iii. Lux Aqua iv. Medimix ii. Horlicks iv. Boost ii. Wheel Washing Bar

sparkel c) Tan ki shakti mann ki i. Bournvita shakti iii. Nestle Milo d) Pehale IstmLal Kare i. Nirma Bar Phir Vishwas Karai

iii. Ghari Detergent iv. 555 Soap Cake ii.

e) Andar Sey Banaye Extra i. Zandu Pancharist Strong

Sona

Chandi

Chayawanprash iii. Zandu ka Kesari iv. Dabur Chayawanprash Jeevan ii. Ponds 7 Day Age Miracle iii. Garnier Wrinkle iv. Lotus Anti Wrinkle Llift Lift ii. Arial iv. 555 detergent powder

f) which brand figts seven i. Olay signs of ageing

g) Daag Aache Hai

i. Surf Excel iii. Tide

Customer Recall the Punch Line Associated with the Brands

NO 40% YES 60%

NO YES

Findings: the average punch line recall amongst respondents was 60% while 40% respondents could not recall the punch line. With the punch lines of different brands that were already famous and known were easily recalled but with others there was a bit confusion , usually ladies were more aware of punch lines compared to that of men, but overall they recall celebrity more than punch line of the brand.

Q11. Can you recollect the following jingles & kindly indicates the brands with which they are associated? a)Bacchohon Yeh Hai Hamare Daaton Ki Banavat, Raju Tumhare Daat to Motiyon Jaise Chamak Rahey Hain. i. Dabur ka Lal Dant Manjan ii. Colgate iii. Cibaca iv. Babool

b)Mail Mein Chupe Keetaanuonko Dho Daalta Hai. i. Savlon ii. Dettol iii. Lifebuoy iv. All c)Hm! Goliyon Ka Bhi Koi Asar Nahin i. Kayam Churan ii. Zandu Ka Nityam iii. Good Morning iv. All d)kare kare in baalon ka kuc karein..... i. Parachute Oil Therapy ii. Daur Vatika iii. Bajaj Almond Oil iv. Hair and Care Oil e)tanda thanda cool cool............ i. Shanti Awala ii.Dabur Vatika iii. Navratna Tel

iv. Livon Silky Potion

f)Kuch Meetha Ho Jai; Pappu Pass Ho Gaya. i. Cadbury ii. Amul iii. Five-Star iv. All g)Do Boond Jindgi Ki i. Pulse Polio ii. Rasna iii. Roohafza iv. All

Customer Recall the Jingles Associated with the Brands

NO 35% YES 65%

NO YES

Findings: The overall jingles and brand recall amongst the respondents was 65% while 35% could not reacall the jingles and associated brand. Mostly people could recall jingles to a certain extent and brand recall was even good but there were some people who were really very poor regarding brand knowledge and other things. Like famous brands of chocolates, hair oil, cold drinks, creams, perfumes brands were clear and less famous brands were not known .

Q12. Do you agree that celebrity in advertisement foster better positioning of product or service? i. Agreed ii. Disagreed

10%

90% Agreed Disagreed

Findings: 90% respondents agree that celebrity in advertisement foster better positioning of product and services. While 10% did not agree to this. With this part mostly people say and believe that celebrities are increasing sale of products and even foster better positioning of all products in the right manner and way of telling people about product benefits and uses and only very less number of people say it is not true .

Q13. Do you feel celebrity endorsement is a costly affair? i. Yes ii. No

6%

94% YES NO

Findings: 94% respondents feel that celebrity endorsement is a costly affair while 6% respondents disagree to it. Well with this question people believe that celebrity with a brand leads to increase in cost of the company and other expenses with the product launch and endorsement. Because celebrities ask for a lot of money and other benefits and even they work for themselves also since with endorsement they earn popularity as well.

Q.14 If yes, then should advertised by putting less known models?

i. Yes ii. No

11%

89% YES NO

Findings: 89% said that advertisements should not be done using less known models even though celebrity endorsement costly affair. People also said that companies should not sign less famous models for their brand because less known models even charge a huge amount for endorsement and even success factor cant be judged and long term survival of product cant be predicted.

Q.15 Do you feel that celebrity endorsement in television adds makes you recall the product better? i. Yes ii. No

10%

90% YES NO

Findings: 90% respondents feel that celebrity endorsements in television advertisements makes recall of product better while 10% disagree to this. Well people say that any kind of celebrity associated with the brand makes the brand recall easy and proves favorable for the brand

CHAPTER VI SUMMARY OF
FINDINGS OF STUDY

SUMMARY OF FINDINGS OF STUDY

From the whole study I could very clearly guess that celebrity endorsement has a very positive influence on te mind of consumers and it is even very much helpful in building bran name and this only later on gets converted Into Brand Loyalty. It is stars tat give brand an identity wit their style , looks , personality and attitude and this only helps people connect with the brand for the long run. With analysis of data 95% people say they want to be like their celebrity , even they imitate them and can recall any brand if it is endorsed by a famous celebrity. Consumers even are aware of the fact that endorsement requires a lot of money and effort but it is must for every product that has to sustain in the competition. Apart from using celebrities which are a must people even like and remember a brand by its unique jingle , slogan , or symbol. This helps them in brand recall. They say it helps in proper positioning of brand .even most of te people said that celebrity means an assurance that product or the service is good and not fake. Lastly celebrities have a strong influence on consumer buying behavior and thus makes a lot difference in sale of product. So branding using a celebrity for any product is very important

CHAPTER VII
RECOMMENDATION

RECOMMENDATION
1. A celebrity used across product categories is likely to be less effective than a celebrity who starts with a few categories. Consumers tend to lose interest in the celebrity because of over-exposure. Besides that celebrity could dilute the credibility associated with his own image by the dilution of image created by diverse products. 2. Celebrity image should fit in with the brand image or personality (as started earlier). A brand of jeans used a Western film celebrity (who is better known among middle-aged adults) while attempting to target youngsters. 3. The target segment should be able to identify with the celebrity. Sometimes the celebrity used may be too sophisticated for the target segment and the very concept of reference groups may not be reflected if this happens. Bombay Dyeing used a celebrity (for men's suitings) who may have been above the identification plane of the target segment. 4. There may be an alternative of creating a "Common-man appeal" for products like detergents and celebrities may have to be used carefully weighing a number of factors. Surfs Lalitaji typifying a middle class housewife may have been more effective than a glamorous celebrity for a product like detergent which is for the mass market. 5. A "common-man appeal" brings in spontaneous identification with the commercial. The consumer feels a person like him or her is benefit the and hence identify with the brand. Ariel used this appeal with its candid camera technique. (a consumer in a super-market rejecting a free packet of another detergent in preference to Ariel). 6. When there are already a number of celebrities in the category, a new brand attempting the celebrity route may not be the best alternative. With a proliferation of celebrities in the cola

category, one cannot imagine Sport cola (from Cadbury Schweppes) taking the celebrity route. 7. When a new concept product is introduced like an electric shaver, new to the Indian context, selling the product benefits is more important and hence the celebrity route if attempted has to be implemented on a low-key in a manner which would highlight the benefits of the product. 8. The image given by a celebrity to a brand should be sustained with appropriate appeals over a period of time. Rajdoot was associated with a rugged and tough film celebrity to appeal to the rural market almost a decade back when Hero Honda was gaining ground. The appeal was able to sustain Rajdoot, but the image of the bike would have been strengthened it the initial appeal had been reinforced in the past few years. 9. Reference group appeals could provide a creative dimension to brands if marketers are drawn by the rationale of using celebrities rather than by the emotion and excitement of celebrity usage

CHAPTER - VIII CONCLUSION

CONCLUSION
1. Understanding buying behavior of customer is the toughest task for a marker, we can identify the factors, which influence purchase decisions, but it is next to impossible to know which factor influence when. We have countless permutation and combination for it, each individual have different behavior and different influencing factors. 2. Marketers spend millions of dollars on advertising and especially on celebrities. Hoping that the stars will bring their magic to the products and services they endorse and make them more appealing a successful. But, all that celebrity glitter is not gold, but it can be. It appropriately used celebrity advertising has pay off and definite influenced the purchase decision. Celebrity endorsement does a premium in term of impact and memorability. There is also a position influence on persuasion, though less strong. 3. It is not enough that the celebrity is the advertising be remembered, more important, the brand must be. In using celebrities as endorsed, advertisers need to understand not only how to chose celebrities but also how to use them in advertising. The strategy and creative execution should reinforce strongly and consistently the celebrity brand association. And the celebrity should not only evoke positive retains, but helps focus attention on the brand in the advertising. Thus the product will be made more desirable because of its association with the star. 4. A brief assessment of the current market situation indicates, that celebrity endorsement

advertising strategy can under the right circumstances indeed justify the high costs associated with this form of advertising. The use of celebrity for endorsements create a very favorable impact on the consumer and it creates a connect which forces a consumer to purchase a product. However, as several failures show, it is essential for advertisers to be aware of the complex processes underlying celebrity endorsement. 5. It has been proved from the discussion that celebrity endorsements are a powerful and useful tool that magnifies the effect of a campaign but the word of caution to be followed seriously; celebrities alone do not guarantee success nor does a great advertising campaign or the best possible product. 6. It is the combination of several factors and elements that work together for the success of a brand and its acceptance in the minds of consumers as well as for its market offering. works and this knowledge of consumer makes the task of celebrity endorsement all the more difficult and challenging for the advertising companies and the sponsors. Indian companies both advertising and product offering companies have top make an effort to overcome this ever-mounting challenge. 7. Modern day consumers are well educated and smart, they know celebrities are being paid for these endorsements and this knowledge makes consumers rather more cynical about the product and celebrity endorsements.

CHAPTER - IX ANNEXURE

BIBLIOGRAPHY
Books 1. Kotler P., (2001), Marketing Management, Millennium Edition, Prentice Hall of India, New Delhi 2. Brand Management by YLR Moorthi 3. Building Brand Directly by Stewant Pearson 4. Building Strong Brands by David A. Aaker. 5. Consumer Behavior by Robert East 6. Consumer Behavior, 6th Edition, by Hawkins, Best ad Coney.. 7. Advertising Excellence by Bovee, Thill Dovel and Wood 8. Consumer Behavior, 6th Edition, by Hawkins, Best ad Coney. 9. Marketing Management, 2nd Edition by V.S. Ramaswami and S. Nama Kumari
10. Aaker, David A. (1996), Building Strong Brands. New York, NY: The Free Press. 11. Daneshvary, Rennae and R. Keith Schwer (2000), "The Association Endorsement and 12. Consumers' Intention to Purchase," Journal of Consumer Marketing, 17 (3), 203213. 13. Friedman, Hershey H. and Linda Friedman (1979), "Endorser Effectiveness by Product Type," Journal of Advertising Research, 19 (5), 63-71. 14. McCracken, Grant (1989), "Who Is the Celebrity Endorser? Cultural Foundations of the Endorsement Process," Journal of Consumer Research, 16 (3), 310-321.

Magazines 1. Filmfare 2. Stardust 3. Womens era

QUESTIONNAIRE
Q1. Your name please? _________________________________________________________ Q2. Your designation please? _________________________________________________________ Q3. Do you have a television? i. Yes ii. No Q4. If yes, how much time you devote on watching television? a) Less than one hour b) 1-2 Hours c) 2-3 Hours d) More than 3 Hours Q5. Kindly mention some of your favourite celebrities?

Q6. Do you like to imitate your celebrity? i. Yes ii. No

Q7. You look towards your celebrity as? a) An opinion leader b) A Role Model c) An Influencer d) All the above

Q8. Do you think celebrity endorsement is an effective tool to make the people get aware of the product or service?

i. Yes ii. No

Q9. Kindly recall the celebrities associated with the following brands? a) Kareena Kapoor i. Pepsi iii. Dettol b) Aamir Khan i. Pepsi iii. Coke c) Hrithik Roshan i. pepsi iii. maaza d) Smriti Irani i. Bata iii. Lakhani e) Amitabh Bachan i. Reid & Taylor iii. Pulse Polio f) Juhi Chawla i. Lays Chips iii. Uncle Chips g) Sachin Tendulkar i. Sunfeast Biscuits ii Lux iv. Both Pepsi & Lux ii. Dairy Milk iv. Limca ii. coke iv. All the above ii. Tuff iv. None ii. Dairy Milk iv. All the above ii. Lehar kurkure iv. All the above ii. Britania Marie Gold

iii. Britania Good Day i) Rani Mukherjee i. Munch Pop Chops iii. Coke j. Priyanka Chopra i. Lux Gold Soap iii. Nirma

iv. Hide and Seek ii. Pepsi iv. Boost Energy Drink ii. Surf Excel iv. Fanta

Q.10 Can you recall the following punch lines & kindly indicates the brands with which they are associated? a) Taaza holein is slogan of i. Brooke Bond iii. Baag Bakri Chai b) Char Hafton Mein i. Godrej Fairglow ii Tata Tea iv. Mohni Chai ii. Fair & Lovely

Gorapan iii. Lux Aqua iv. Medimix ii. Horlicks iv. Boost ii. Wheel Washing Bar iv. 555 Soap ii. Sona

sparkel c) Tan ki shakti mann ki i. Bournvita shakti iii. Nestle Milo d) Pehale IstmLal Kare i. Nirma Bar Phir Vishwas Karai iii. Ghari Detergent Chandi

e) Andar Sey Banaye Extra i. Zandu Pancharist Strong

Chayawanprash iii. Zandu ka Kesari iv. Dabur Chayawanprash Jeevan ii. Ponds 7 Day Age Miracle iii. Garnier Wrinkle iv. Lotus Anti Wrinkle Lift

f) which brand figts seven i. Olay signs of ageing

g) Daag Aache Hai

i. Surf Excel iii. Tide

ii. Arial iv. 555 detergent powder

Q11. can you recollect the following jingles & kindly indicates the brands with which they are associated? Bacchohon Yeh Hai Hamaare Daaton Ki Banavat, Raju Tumhare Daat to Motiyon Jaise Chamak Rahey Hain. i. Dabur ka Lal Dant Manjan ii. Colgate iii. Cibaca iv. Babool

c)Mail Mein Chupe Keetaanuonko Dho Daalta Hai. i. Savlon ii. Dettol iii. Lifebuoy iv. All d)Hm! Goliyon Ka Bhi Koi Asar Nahin i. Kayam Churan ii. Zandu Ka Nityam iii. Good Morning iv. All e)kare kare in baalon ka kuc karein..... i. Parachute Oil Therapy ii. Daur Vatika iii. Bajaj Almond Oil

iv. Hair and Care Oil f)tanda thanda cool cool............ i. Shanti Awala ii.Dabur Vatika iii. Navratna Tel iv. Livon Silky Potion

g)Kuch Meetha Ho Jai; Pappu Pass Ho Gaya. i. Cadbury ii. Amul iii. Five-Star iv. All h)Do Boond Jindgi Ki i. Pulse Polio ii. Rasna iii. Roohafza iv. All

Q12. Do you agree that celebrity in advertisement foster better positioning of product or service? i. Agreed ii. Disagreed

Q13. Do you feel celebrity endorsement is a costly affair? i. Yes

ii. No

Q.14 If yes, then should advertised by putting less known models? i. Yes ii. No

Q.15 Do you feel that celebrity endorsement in television adds makes you recall the product better? i. Yes ii. No