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Executive Summary

The practice of celebrities being used for rendering services other than performing their actual job as either an actor or an athlete, such as endorsements has proliferated over time. Despite the cost and the risks involved with this technique of advertising, it is been used quite extensively in the present era. The instrument of celebrity endorsement has nowadays become a pervasive element in advertising and communication management. India as a country is known for loving its stars. The Indians idolize their Bollywood actors. The advertisers see this as an opportunity to grab and work on so as to expand their operations and promote their product. This dissertation focuses on examining the perception of the Consumers about the celebrity endorsement process and the subsequent impact on their purchase decisions. This project begins with a literature review which provides an insight into the research done by the previous authors and the articles which helped to do this research. Also, few theories that will help to understand the topic.. Consumers response towards the product attributes has been studied and their attitude of the consumer towards celebrity endorsement. The findings derived from analyzing the collected data unearthed some very interesting facts which have been summarized in the conclusion.

Introduction

Everyday consumers are exposed to thousands of voices and images in magazines, newspapers, and on billboards, websites, radio and television. Every brand attempts to steal at least a fraction of a persons time to inform him or her of the amazing and different attributes of the product at hand. The challenge of the marketer is to find a hook that will hold the subjects attention. In helping to achieve this, use of celebrity endorsers is a widely used marketing strategy.

In this modern age, people tend to ignore all commercials and advertisements while flipping through the magazines and newspapers or viewing TV. But even then, the glamour of a celebrity seldom goes unnoticed. Thus, celebrity endorsement in advertisement and its impact on the overall brand is of great significance. In this process, the companies hire celebrities from a particular field to feature in its advertisement campaigns. The promotional features and images of the product are matched with the celebrity image, which tends to persuade a consumer to fix up his choice from a variety of brands. Although this sounds pretty simple, but the design of such campaigns and the subsequent success in achieving the desired result calls for an in-depth understanding of the product, the brand objective, choice of a celebrity, associating the celebrity with the brand, and a framework for measuring the effectiveness. Aristotle said, Beauty is a greater recommendation than any letter of introduction. This could aptly summarize why innumerable products are endorsed by celebrities, with or without a significant need or benefit from the same.

Similarly every product has an image. The consumer tries to consume a brand which has the maximum fit with his/her own personality/image. The celebrity endorser fits in between these two interactions, where he tries to bring the image of the product closer to the expectation of the consumer, by transferring some of the cultural meanings residing in his image to the product.
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Companies invest large sums of money to align their brands and themselves with endorsers. Such endorsers are seen as dynamic with both attractive and likeable qualities and companies plan that these qualities are transferred to products via marcom activities. Furthermore, because of their fame, celebrities serve not only to create and maintain attention but also to achieve high recall rates for marcom messages in todays highly cluttered environments.

Similarly every product has an image. The consumer tries to consume a brand which has the maximum fit with his/her own personality/image. The celebrity endorser fits in between these two interactions, where he tries to bring the image of the product closer to the expectation of the consumer, by transferring some of the cultural meanings residing in his image to the product.

Indian advertising started with the hawkers who used to call out their wares right from the days when cities and markets first began. With this evolved a strategy that tried to benefit from the emotional attachment of the admirers or the fans of the celebrities; in the form of celebrity endorsement.

The report have been focused on the influence of Celebrity endorsement on buying behavior of the consumer: As the celebrities traverse from a mere commercial presence to public welfare message endorsements, a whole new dimension is added to this process and helps us in achieving a holistic view of the impact which celebrities generate in every sphere and segment through their well-versed endorsements. Celebrities have also been in demand having succeeded in being effective by rising above the clutter & grabbing the attention and focus of the consumer. They also succeed in creating an aspiration in the minds of the consumer to acquire what their favorite celebrity endorses.

Purpose of the study


The purpose of this study is to find out what actually drives the customers to purchase the product. Do they actually get attracted to products which are endorsed by the celebrities? Or they prefer the brand because of its quality. Also, this research deals with Cadbury Dairy Milks brand image. Are the customers actually attracted to the quality of the chocolate or is it the celebrity endorsement done by Amitabh Bachchan for Cadburys Dairy Milk chocolate. This study will also help to understand the importance of celebrity endorsement on brands. This study will help us to know whether the consumers actually get influenced while making a purchase of a product just because of it is endorsed by the celebrity. This will also help the buying response to an endorsed product.

Cadburys Dairy Milk

Cadbury is a British confectionery company owned by Mondelz International Inc. and is the industry's second-largest globally after Mars, Incorporated. With its headquarters in Uxbridge, London, England, the company operates in more than 50 countries worldwide.

Cadbury India began its operations in India in 1948 by importing chocolates. It now has manufacturing facilities in Thane, Induri (Pune) and Malanpur

(Gwalior), Bangalore and Baddi (Himachal Pradesh) and sales offices in New Delhi, Mumbai, Kolkata and Chennai. The corporate head office is in Mumbai. Since 1965 Cadbury has also pioneered the development of cocoa cultivation in India. For over two decades, Cadbury has worked with the Kerala Agricultural University to undertake cocoa research. Cadbury was incorporated in India on 19 July 1948. Currently, Cadbury India operates in four categories: chocolate confectionery, milk food drinks, beverage and candy category. Its products include Cadbury Dairy Milk, Bournville, 5-Star, Perk,

Gems, Eclairs, Bournvita, Celebrations, Bilkul Bournville, Cadbury Dairy Milk Shots, Cadbury Dairy Milk Silk, Halls, Tang and Oreo. It is the market leader in the chocolate confectionery business with a market share of over 70%.

Research Objectives

The topic of celebrity endorsements and its elements is heavily documented in academic literature, but what makes this research interesting is that it enables us to understand the celebrity endorsement and their impact on the consumers buying behavior. The objectives of this study are as follows: To review the concept of brand endorsement and celebrity endorsement. To assess the advantage of brand endorsement and celebrity endorsement. To study the benefits made by celebrity endorsement to Cadburys Dairy milk.

Key questions

The key questions which are the reasons behind this project are as follows: What are the factors that influence consumer to recall a brand with celebrity endorsement? What are the benefits gained by Cadbury through celebrity endorsement?

Hypothesis

A hypothesis (plural hypotheses) is a proposed explanation for a phenomenon. For a hypothesis to be a scientific hypothesis, the scientific method requires that one can test it. Scientists generally base scientific hypotheses on previous observations that cannot satisfactorily be explained with the available scientific theories. Even though the words "hypothesis" and "theory" are often used synonymously, a scientific hypothesis is not the same as a scientific theory. A scientific hypothesis is a proposed explanation of a phenomenon which still has to be rigorously tested. In contrast, a scientific theory has undergone extensive testing and is generally accepted to be the accurate explanation behind an observation. A working hypothesis is a provisionally accepted hypothesis proposed for further research.

The research hypothesis for this study is HO: There is no significant impact of celebrity endorsement on the brand. H1: There is a significant impact of celebrity endorsement on the brand.

Research Methodology

Primary Data:
Primary research consists of a collection of original primary data. It is often undertaken after the researcher has gained some insight into the issue by reviewing secondary research or by analyzing previously collected primary data. It can be accomplished through various methods, including questionnaires and telephone interviews in market research, or experiments and direct observations in the physical sciences, amongst others.

The term primary research is widely used in academic research, market research and competitive intelligence. For this project, Questionnaires were used as primary data as they helped to find out the customers view towards celebrity endorsement. The questionnaire was made respondent friendly so that the respondents of any age can fill it without any problem. Also, the questionnaire consisted of such questions which actually helped to get insight of the respondents view toward celebrity endorsement. As well as, the impact of various advertisements on the respondents mind was also considered which help to find out their recall capabilities. The use of Likert Scale helped the respondents to be more specific towards certain questions. This helped to find out the respondents feedback and what actually stays in their mind about the celebrity endorsed products.

Secondary Data:

Prerequisite to the collection of primary data is a careful scrutiny of the existing secondary data. Data that is collected from existing journals, reports and statistics from private and public institutions. For this specific study the collection of secondary data was done primarily from marketing journals already available on this topic. Secondary data helps the author to comprehend the perception of Indian consumers on celebrity endorsement better. One should proceed to primary data only when one has exhausted the secondary data source. Thus the study carried out has analyzed the primary data with the rationale and validation of the present secondary data. However, one needs to be careful while using secondary data as maybe the collected data may be biased as the collector of that original data might have highlighted only a partial picture or another aspect may be that data may be quite old and also the data quality could be unknown.

Sample Unit: 100

The process of sampling constitutes one of the principal areas of confusion, a problem not helped by the insufficient manner in which it is covered in the literature. There are no clear cut rules for sample size in qualitative inquiry therefore its determinant depends on what you want to know, the purpose of the inquiry, what will have credibility, whats at stake, what will be useful, and what can be done with the available time and resources. Thus, choosing a study sample is an important step in any research project since it is rarely efficient, practical, or ethical to study whole populations. For this study, the sample size was chosen of 100 respondents. This helped to know about the genuine feedback of the respondents.

Scaling technique:
For the research, Likert Scale was chosen. And the ratings were as follows: 1 Strongly Disagree 2 Disagree 3 Neutral 4 Agree 5 Strongly Agree.

Use of Statistical tool


The statistical tools which were used in order to do this research work were as follows:

Likert Scale

A Likert scale is a psychometric scale commonly involved in research that employs questionnaires. It is the most widely used approach to scaling responses in survey research, such that the term is often used interchangeably with rating scale, or more
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accurately the Likert-type scale, even though the two are not synonymous. The scale is named after its inventor, psychologist Rensis Likert. Likert distinguished between a scale proper, which emerges from collective responses to a set of items (usually eight or more), and the format in which responses are scored along a range. Technically speaking, a Likert scale refers only to the former. The difference between these two concepts has to do with the distinction Likert made between the underlying phenomenon being investigated and the means of capturing variation that points to the underlying phenomenon. When responding to a Likert questionnaire item, respondents specify their level of agreement or disagreement on a symmetric agreedisagree scale for a series of statements. Thus, the range captures the intensity of their feelings for a given item. A scale can be created as the simple sum questionnaire responses over the full range of the scale. In so doing, Likert scaling assumes that distances on each item are equal.

Importantly, "All items are assumed to be replications of each other or in other words items are considered to be parallel instruments"

The data was tabulated from the questionnaire. Then, those tabulated data were interpreted in the form of charts and bar grams.

A chart is a graphical representation of data, in which "the data is represented by symbols, such as bars in a bar chart, lines in a line chart, or slices in a pie chart". A chart can represent tabular numeric data, functions or some kinds of qualitative structures.

The term "chart" as a graphical representation of data has multiple meanings:

A data chart is a type of diagram or graph, that organizes and represents a set of numerical or qualitative data.

Maps that are adorned with extra information for some specific purpose are often known as charts, such as a nautical chart or aeronautical chart.

Other domain specific constructs are sometimes called charts, such as the chord chart in music notation or a record chart for album popularity.

Charts are often used to ease understanding of large quantities of data and the relationships between parts of the data. Charts can usually be read more quickly than the raw data that they are produced from. They are used in a wide variety of fields, and can be created by hand (often on graph paper) or by computer using a charting application. Certain types of charts are more useful for presenting a given data set than others. For example, data that presents percentages in different groups (such as "satisfied, not satisfied, unsure") are often displayed in a pie chart, but may be more easily understood when presented in a horizontal bar chart. On the other hand, data that represents numbers that change over a period of time (such as "annual revenue from 1990 to 2000") might be best shown as a line chart.

A bar chart is a chart with rectangular bars with lengths proportional to the values that they represent. The bars can be plotted vertically or horizontally.

A pie chart shows percentage values as a slice of a pie.

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Chi Square test.

A chi-squared test, also referred to as chi-square test or

test, is any statistical

hypothesis test in which the sampling distribution of the test statistic is a chi-squared distribution when the null hypothesis is true, or any in which this is asymptotically true, meaning that the sampling distribution (if the null hypothesis is true) can be made to approximate a chi-squared distribution as closely as desired by making the sample size large enough.

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Limitations of the project

No research is complete without admitting the limitations that was faced while conducting a study which will contribute to present learning. This study too like the others have certain constrains which has been discussed below. The first constraint is that the chosen sample size is small and hence not sufficient enough to make concrete recommendation. The limited sample makes it difficult to generalize the data and view it as the undisputed thought process prevalent amongst Indian consumers. It could be lacking and also might prove to be different. Another facet to this is that all the participants were mostly students and few from any other field of life which thereby restricting the inflow of diverse opinions on the issue at hand. Also, the research dealt only with the urban people. Time was another big concern in this research. In the short duration of only three months it was not possible to cover the varied sections of the society because of which this research has been restricted only to the students and the upper-class segment of the society. As a consequence the data submitted is less in comparison to what this research has highlighted. The research also focuses mainly on the age group between 21 30 years, which limits the inflow of the different viewpoint that could have been considered for final evaluations. Due to such reasons an overall view in regard to different age groups couldnt be concluded. Probably, if an older generation or the kids were taken into consideration then a completely diverse perspective could have been assumed. Moreover, it cannot be assured that the respondents put across their feelings in the truest of the manner as their impression or beliefs regarding a particular product or over a particular issue is influenced by various aspects such as family, religion, fellow mates, colleagues, surroundings, friends circle etc. Also, there are times when the respondents filled the Questionnaire according to the needs of the researchers, not taking the it on a serious note. This hinders the progress of the research to be conducted in an absolute authentic manner.

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Also as a novice researcher I was limited in my skills and experience in conducting the research and have arrived to the proposed results.

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Chapter I

Literature Review
1.1 Celebrity
A person who has excelled in his / her field of action or activity. In our day to day activity, we perform many acts, may at home, at work place, on field in sports, in social life. But these acts may be daily routine or just "acts" per say giving no extra-ordinary results, not noticed by anybody surrounding, and not taken into notice by Media.

But if a person acts or performs something which gives spectacular results is noticed by masses. That person has "done something" special that we and masses can not do. He is regarded as a special person with some "extra" given by that "Almighty" above. We start feeling that he/she is great. We start celebrating his/her all acts which produce success. If the success rate for that person is very high to "deliver" same results, he becomes a "CELEBRITY". It may be in field of sports, cinema, theatre, social life, politics, and science anything but something with some special results.

Celebrities are people who enjoy specific public recognition by a large number of certain groups of people. They have some characteristic attributes like attractiveness, extraordinary lifestyle or special skills that are not commonly observed. Thus, it can be said that within a society, celebrities generally differ from the common people and enjoy a high degree of public awareness.

1.2 Celebrity Endorsement

A celebrity endorser is an individual who is known by the public for his or her achievements in areas other than that of the product class endorsed. Eg: - In the

Coco-Cola advertisement; actor Amir Khan is the celebrity endorser for the product or brand called Coke, and this process is referred to as Celebrity Endorsement.
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According to Friedman & Friedman a celebrity endorser is an individual who is known for his or her achievements in areas other than the product class endorsed. Corporate credibility along with endorser credibility plays a significant role in the attitude of the consumer towards the brand and the advertisement respectively. On the other hand, the over popularity of the celebrity sometimes overshadows the brand. Endorsement is a channel of brand communication in which a celebrity acts as the brands spokesperson and certifies the brands claim and position by extending his/her personality, popularity, stature in the society or expertise in the field to the brand. The general belief among advertisers is that brand communication messages delivered by celebrities and famous personalities generate a higher appeal, attention and recall than those executed by non-celebrities.

1.3 Need of Celebrity Endorsement

The charisma of the celebrities almost always entices people and their words are worshipped by a lot of people. Their influence also goes on the political front, where they are invited for political endorsement. The business firms, thus, resort to celebrity endorsement to perk up brand recall and product sales. This has now become a trend and is being perceived as a strategic means of brand building exercise. For example, when actor Shah Rukh Khan endorses Santro-Zip drive; the consumers are made to think that he is giving his opinion to go for this car. Two reasons why advertisers need celebrity endorsement are to increase the credibility & attractiveness of their advertisement.

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1.4 Celebrity Endorsements as a Strategy

Signing up stars for endorsements is a time-tested strategy and has been effectively used by someof the top brands in the world including Nike and Pepsi. In India too, HLL has used Hindi filmstars to endorse their beauty soap Lux since the fifties. Vimal, Thums Up, Gwalior and Dinesh are some of the other brands that used starappeal in the early days of mass advertising. And who can forget Kapil Palmolive Dev?

Marketeres believe that celebrity endorsements have several benefits, key among them being building credibility, fostering trust and drawing attention or any or all of which can translate into higher brand sales. So how does one decide whether to put a celebrity in an ad? Ideally, this should be dictated by the communication idea. MG Parmeswaran, Executive Director of FCB Ulka says, As advertising professionals, we recommend celebrity endorsements when the case is justified.

There are many cases where you need to use the celebrity to break out of a category clutter. At times celebrity endorsement is used to build credibility to the brand offer. Most experts concur that, when used judiciously, celebrity endorsements can be an effective strategy. According to Mohammed Khan, Chairman of Enterprise Nexus, Using a celebrity by itself is not a bad idea provided it is done intelligently. And there are many examples of good and bad use of celebrities. Take Amitabh Bachchan, who has been used by some companies like Parker Pens and ICICI Home Loans remarkably well while some others have been unable to exploit his Big B status too well. Shah Rukh Khans endorsement of Hyundai i10 too seems to have worked well.

Parmeswaran adds, We used cricketers like Rahul Dravid for Castrol in an attempt to break out of the clutter, as well as have an image rub off of dependability on to the brand.

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Yet, there are some who dont have much conviction in star endorsements. Adrian Mendonza, Executive VP and Creative Director of Rediffusion DY&R does not recommend celebrity endorsements because he thinks that to be really successful, a brand needs to have a strong identity of its own. It should ideally not piggyback on the identity of a celebrity and hope to achieve success. Mendonza adds, I somehow get this feeling that not much effort is put in to think through an ad with a celebrity. Most times it seems like it is just the celebrity saying I use this product, so why dont you kind of thing and the ad agency thinks it has done its job.

1.5 Uses of Celebrity Endorsement

The uses of celebrity endorsement are as follows:

Establishes Credibility Approval of a brand by a star fosters a sense of trust for that brand among

the target audience- this is especially true in case of new products. The role of a celebrity endorser in an advertising campaign is, without doubt, linked to the reputation of the celebrity. If the reputation is damaged, more often than not for reasons other than professional ,then the quality of his reputation dos suffer:particulary if it is to do with his (or her) public behavior. Example: Dyna ad by Katrina Kaif.

Attracts Attention Celebrities ensure attention of the target group by breaking the clutter of

advertisements and making the ad and the brand more noticeable. Example: Shahrukh khan in pespi, Hrithik Roshan in Sony Erricson.

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Associative Benefit A celebritys preference for a brand gives out a persuasive message

because the celebrity is benefiting from the brand, the consumer will also benefit. Example: Amitabh Bachchan in Dabur Chwyanprash.

Psychographic Connect Stars are loved and adored by their fans and advertisers use stars to

capitalize on these feelings to sway the fans towards their brand. Example: Dhoni in 7Up.

Demographic Connect Different stars appeal differently to various demographic segments (age,

gender, class, geography etc.). Example: Amitabh Bachchan with child in Dadur Honey, Sunny Deol in Lux cozi ad.

Mass Appeal Some stars have a universal appeal and therefore prove to be a good bet to

generate interest among the masses. Example: Sharukh khan And Amitabh Bachchan in Polio Promotion.

Mitigating a tarnished image Cadbury India wanted to restore the consumers confidence in its

chocolate brands following the pitch following the high-pitch worms controversy; so the company appointed Amitabh Bachchan for the job.

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Rejuvenating a stagnant brand

With the objective of infusing fresh life into the stagnant Chyawnprash category and staving off the competition from various brand , Dabur India roped in Bachchan for an estimated project of 8 crore.

1.6 Risks associated with celebrity endorsement


The various risks associated with celebrity endorsements are as follows

Negative publicity - If the celebrity is strongly associated with the brand then the occurrence of the negative publicity can spill over the brand.. E.g., Salman Khan lost his endorsement deal with Thumbs-Up after his infamous incidents like buck-killing and rash-driving.

Overshadowing - When celebrity endorser is used, the risk of consumers focusing on the celebrity and not on the brand exists.

Overexposure- This risk arises when the celebrity chooses to endorse several different products simultaneously which might leave the consumers confused. E.g., Sachin Tendulkar endorses several brands such as MRF, TVS Victor, Pepsi, Fiat, Boost, etc.

Overuse - Sometimes the company can use many different celebrities to appeal to different market segment. But multiplicity of endorser might blur the image.

Extinction - The favorable response obtained by a particular brand may weaken over time if the brand gets significant exposure without the association of the celebrity. If the celebrity contract is for a considerable period of time, then it can lead to draining out capital without proper return.

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Financial Risk - The decision for hiring an expensive endorser may not be always feasible if there is a poor brand fit. Therefore, for celebrity endorsements to work effectively there are some

fundamental ground rules: o Clear brand promise and brand personality. o The communication objectives for the campaign should be frozen. o Focus must be on the synergy between the brand and the celebrity image.

1.7 Why celebrity endorsement fails?


There may be cases where brands are not able to take-off even after the backing of celebrities. And this leads to speculations in the Ad World on the soundness of celebrity endorsement as an effective communication strategy.

Negative impacts of Celebrity on the brand

A popular drawback of celebrity endorsement is the 'Vampire Effect' or the celebrity overshadowing the brand16. Some viewers forget the brand that a celebrity is approving. Others are so spellbound by the personality of the celebrity that they completely fail to notice the brand being advertised. Two new drawbacks can be seen these days what marketers call Celebrity Trap and Celebrity Credibility. Celebrity trap is when the celebrity becomes an addiction for the marketing team and the task to find substitutes becomes more and more difficult, leading to surfeit of celebrities. Celebrity credibility refers to skepticism by the consumers regarding the celebrities, especially when there is anything negative regarding the celebrity associated with the brand in the news, then brand is bound to be affected.

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Positive Impact of Celebrity on the Brand

Plethora of research has tried to explore the effects that a celebrity exhibits. Celebrity endorsements: Creates and helps in retaining attention of the targeted audience. Achieves high brand recall in an environment with multitude of products. Transfers of qualities associated with the celebrity to the product. Perceived as entertaining. Portrays trustworthiness due to lack of apparent interest

1.8 Celebrity branding and its effect on consumers

It is a known fact that the best endorsements achieve an effective balance between the product (brand) and the celebrity. Giving a brand a 'face' is more than just a marketing strategy to increase sales or gain market share, it is a decision that can change the future of the brand forever. Choice of the celebrity, hence, is of utmost importance and is usually done based on many different parameters - appeal, looks, popularity or even just a fantasy figure to endorse a brand. In today's highly competitive markets, big brands are at logger-heads when it comes to products, each having a similar product to that of a rival. Where does one brand gain that competitive advantage - advertising, service, or promise of trust. Advertising seems to be the best platform where brands prefer to compete on - right from hiring the best advertising agencies to getting the biggest celebrities. What would be the formula to success then? Well, a good creative agency, a large enough promotional budget and a huge star to endorse your brand would definitely ensure in the minds of a brand management team a feeling of security, success and a triumph over the competitors brand.

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The general belief among advertisers is that brand communication messages delivered by celebrities and famous personalities generate a higher appeal, attention and recall than those executed by non-celebrities. The quick message-reach and impact are all too essential in today's The importance of a celebrity-brand match and the various roles played by them as brand associates show the momentum this strategy has gained in the last decade or so. India is a country where people are star-struck by film stars, cricketers, politicians, and even criminals. Why? Populations of 1 billion and ticking, everyday people need something or someone to look up to. A sense of security, admiration, comfort, familiarity, and above all, someone they aspire to be at some hidden level in their lives. A clever marketer leverages this very celebrity appeal and successfully carries out his job by giving the brands what they want - profit, market share and even recall. But how much star power is too much? "Does Amitabh really use Tide," asked a 6 year old to her mother. Her mother laughs and says, "No way, just a gimmick." What does that do to the brand? Now, despite the potential benefits derived from celebrity endorsements, they increase a marketer's risk and should be treated with full attention and aptitude. A brand should be cautious when employing celebrities to ensure promise believability and delivery of the intended effect. As the celebrities traverse from a mere commercial presence to public welfare message endorsements, a whole new dimension is added to this process and helps us in achieving a holistic view of the impact which celebrities generate in every sphere and segment through their well-versed endorsements. The most important thing to remember is that putting a celebrity in an ad is not an idea in itself. Unfortunately, this is how most celebrities are being used in Indian advertising, where they just become a prop. Ideally, there should be an idea that makes the celebrity relevant to the product and the consumer. A celebrity's presence in the ad should be contextual. Celebrity endorsement cannot guarantee fool-proof success. The celebrity endorsement strategy must be integrated with target market characteristics, and the other elements of the marketing mix such as product design, branding, packaging, and pricing. The message execution that will be mouthed by the celebrity must likewise be made clear and single-minded. This can be done by aligning the spirit of the brand to

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the product, or by using a celebrity because it ensures that people will notice you, and hopefully remember what the brand is saying. It is also important to view the consumer in their social and cultural setting to further see how celebrity endorsements increase sales and impact brands over time. Celebrities usually form a very good example of a reference group appeal. This is particularly beneficial to a marketer and a brand who can cash in on the success of the star and, hence, push his brand. People who idolize their celebrities, hence, have a biased affinity to the brand their favorites endorse. As time passes on, they believe that they by adopting the brand that their celebrity endorses are becoming more like them. Celebrities can be used in four ways namely: testimonial, endorsement, actor and spokesperson. Right now the current hot favorite in India is roping in celebrities for social causes like AIDS, polio etc. This has shown to be having a positive effect on the people. In India, Bollywood and sport personalities rule the mind-space and airwaves.

1.9 Is celebrity advertising effective?


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. Nerolac has ensured high saliency for its brand with the inclusion of Amitabh Bachchan in its advertising.

Quick connect: There needs to be no insight but the communication connects because the star connects. Sachin Tendulkar & Shah Rukh Khan ensure an easy connect for Pepsi with the youth.

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Quick shorthand for brand values: The right star can actually telegraph a brand message fast without elaborate story telling. Kapil Dev and Sachin Tendulkar seem to have done that successfully for Boost in the early '90s. 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.

In general celebrity endorsements are impelled by virtue of the following motives: Instant Brand Awareness and Recall. Celebrity values define, and refresh the brand image. Celebrities add new dimensions to the brand image. Instant credibility or aspiration PR coverage. Lack of ideas.

An appropriately used celebrity can prove to be a massively powerful tool that magnifies the effects of a campaign. But the aura of cautiousness should always be there. The fact to be emphasized is that celebrities alone do not guarantee success, as consumers nowadays understand advertising. They know what advertising is and how it works. People realize that celebrities are being paid a lot of money for endorsements and this knowledge makes them to think twice about celebrity endorsements.

The few concepts related to this project are as follows:

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1.10 The Source Credibility Model


The effectiveness of a communication is commonly assumed to depend to a considerable extent upon who delivers it.(Hovland et al., 1953). The expression source credibility is used commonly to entail the communicators positive attributes that affect the recipients acceptance of a message.. Furthermore, the source needs to be trustworthy, in the nous of believability, honesty and ethics.(Belch & Belch, 2001). Information from a credible source such as a celebrity has the power to influence the opinions, belief, attitude and behavior through a process called internalization based on the assumption that the information from the source is accurate..(Belch & Belch, 2001). Internalization occurs when source influence is accepted by the receiver in terms of their personal attitude and value structures.(Erdogan, 1999) Source credibility refers to the perception of the sources expertise, objectivity and trustworthiness (Ratneshwar and Chaiken, 1991). Over the past 30 years the research conducted by psychologists demonstrates that a source which is distinguished as highly credible is likely to be more persuasive than a low credibility sender (Aaker et al. 1992,Erdogan 19999, Atkin & Block. 1983). The same is reflected in the source credibility model, which contends that the effectiveness of a message displayed depends on perceived level of trustworthiness and expertise in an endorser (Dholakia and Sternthal 1977; Erdogan 1999; Ohanian 1991; Solomon et al. 1999). Hovland et al., (1953) partitioned source credibility into expertise and trustworthiness. Where expertise is the extent to which a communicator is perceived to be a source of valid assertions and consists of knowledge, special experience and skills.(Shank, 2004).Expertise of the source should relate to the product that he/she is endorsing. (Till & Busler,1998). Speck, Schumann and Thompson (1998) found that as compared to non-experts, expert celebrities produced higher recall of product information, but the difference was not statistically significant.(Erdogan, 1999) Trustworthiness is the degree of confidence in the communicators intent to communicate the assertions he considers most valid and consists of honesty, integrity and believability. Hovland et al., (1953). The advertisers by selecting endorsers who are widely regarded as honest, believable and dependable, can capitalise on the value of trustworthiness (Erdogan, 1999). Ohanian, (1990) states that the message will be more effective and the receiver more integrated, when the celebrity is perceived to be more trustworthy.
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As source credibility research looks upon the celebrity endorsement process as unidimensional, it fails to provide a well-grounded explanations of important factors. Even though source credibility is an vital factor in the celebrity selection process, as credibility has been proved to have direct and significant effect on attitude and behavioural intentions, it should not be the only criteria that should be taken into consideration while selecting celebrity endorsers (Erdogan, 1999).

1.11 The Source Attractiveness Model

Beauty is a greater recommendation than any other introduction. This quote by Aristotle is suitable in this context of source attractiveness for appreciating the efficacy of pleasant appearance since most societies place a high premium on physical attractiveness. (Ohanian, 1991).Patzer (1985) affirms that physical attractiveness is an informational cue which involves effects that are inescapable, persuasive and subtle. (Erdogan, 1999) Although expertise and trustworthiness have time and again been considered as important elements, attractiveness based on source valence model was identified as another dimension of source credibility. (McGuire, 1968). Advertisers have made choices of selecting celebrities on their foundation of their attractiveness to gain from dual effects of physical appeal and celebrity status. (Singer, 1983) Source Attractiveness is mostly associated with physical attributes, such as familiarity, similarity and likeability, all of which are important in the individuals initial judgment of another person. (Ohanian, 1990). Similarity refers to the resemblance between the receiver and the source of the message whereas familiarity refers to the acquaintance of the source through exposure. While talking about similarity, it is mentioned that consumers are more likely to be influenced by a message coming from someone they feel a sense of similarity with. (Belch & Belch, 2001). The position advocated by the source is better understood and received when the endorser and the recipient are seen to have similar needs, lifestyles, goals and interests. (Kelman, 1961). Likeability on the other hand is the fondness for the source which may be as a result of behaviour, physical appearance or other personal trait and also these
26

celebrities need to be at least well known and admired in the public eye.(Belch & Belch, 2001). Attractiveness includes any number of attributes such as intellectual skill, personality properties, lifestyle or athletic prowess that consumers might perceive in a celebrity endorser, and thus does not simple refer to physical attractiveness.(Erdogan, 1999). Source Attractiveness leads to persuasion through a process of identification. Kelman (1961) .Identification is the process which has been used to explain how attractiveness influenced consumers. This is another of Kelmans social influence processes which occurs when because of the desire to identify with such endorsers, receivers accept the attractive sources information. (Ambrose, 1992; Friedman & Friedman, 1979). Research reveals that consumers have a tendency to form positive stereotypes about attractive individuals and also that as compared to their unattractive counterparts, physically attractive communicators celebrities are more successful at changing beliefs (Baker and Churchill, 1977) and generating purchase intentions (Friedman et al. 1976; Kahle and Homer, 1985). A study conducted by Kahle and Homer (1985) divulged that consumers were more geared up to buy an Edge razor after seeing an attractive celebrity in a magazine advertisement than an unattractive celebrity. They also elucidated that speed of communication occurs more promptly when pictures appear in advertisements than when arguments appear. However it was suggested by Caballero et al., (1998) and Ohanian (1991) that though attractiveness might result in positive feelings towards advertising and products, but it is not necessary that this feeling should necessarily translate into actual behaviour, cognitive attitudes and purchase intention. 24 It is indicated by both Till and Busler (1998) and Ohanian (1991) that more than physical attractiveness, the expertise of the endorser is more important in affecting attitude towards the endorsed brand.

27

1.12 Match-up Hypothesis

Spokesperson-brand congruence match-up entails that the highly relevant characteristics of the spokesperson are consistent with the highly relevant attributes of the brand.(Misra and Beatty, 1990). According to Kamins (1990) there is a necessity for the existence of a meaningful relationship between the celebrity, the audience and the product. According to Evans (1988) in the absence of a distinct and specific relationship between the product and the celebrities, celebrities suck the life blood of the product dry, thus, emphasizing the danger of the vampire effect. According to Kahle and Homer (1985), the Match-up Hypothesis of endorser selection fits well with Social Adaptation theory which implies that the adaptive significance of the information will determine the impact. Research indicates that advertising a product via a celebrity leads to a greater celebrity and advertiser believability relative to advertisements portraying a less fitting product spokesperson image. (Kamins and Gupta, 1994; Kotler1997) Till and Busler, (1998) explained that even though Micheal Jordon is a an attractive endorser, his effectiveness as a celebrity endorser is likely to be greater when endorsing products related to his athletic deftness such as Gatorade or Nike, rather than products that are unrelated to his athletic performance such as WorldCom Communications. According to Katyal (2007), there are certain parameters that postulate compatibility between brand image and the celebrity, which are as follows:

Celebrity popularity. Celebrity physical attractiveness. Celebrity credibility. Celebrity prior endorsements. Whether celebrity is a brand user. Celebrity profession

28

Celebritys fit with the brand image. CelebrityTarget audience match Celebrity associated values. Costs of acquiring the celebrity. CelebrityProduct match. Celebrity controversy risk.

The extensive and persistent use of celebrities in advertising suggests that they are worth the costs associated with hiring them (Agrawal & Kamakura, 1995). A celebritys stamp of approval can create an emotional bond between the endorser and the consumer, if the fit is right (Bradley, 1996). A successful and popular endorser has the capability to increase consumers purchase intentions and preference towards brands either directly or indirectly. (Lui et.al 2007). One can always match a celebrity with the wanted image of the brand but it will not be successful if the target audience does not perceive the fit.(Temperley and Tangen, 2006). Newsome et al. (2000) take the view that there should be no conflict between any prior promotion campaign endorsed by a celebrity and the prefferd image.

During their careers, successful individuals are elevated to the celebrity status, and therefore regardless of their actual physical appearance their achieved recognition and popularity makes these celebrities look attractive to consumers. These celebrities accomplishments and fame transform in to credibility and power in the eye of the public.(Choi, 2007). Solomon et al. (1999) refers to the credibility gap, where the lack of credibility is aggravated by incidences where celebrities endorse products that they do not really use, or in some cases do not believe in.

For this research, few research works were referred. These are as follows:

29

1.13 Celebrity Endorsement


By N.Muthu Kumar. (Asst. Prof/Mba Dept. Kalasalinagm University, Tamilnadu)

Research to date examining the nature of celebrity endorsement has been limited and at times contradictory .The results of this study of consumers view and perception about the topic indicated that the consumer has an over all positive attitude towards celebrity endorsement. Such endorsement were perceived to be attention gaining, likeable and impactful . this study aims to analyze the celebrity endorser influence on attitude towards advertisement and brand. the study confirmed that consumer expect congruence between the perceived image of the celebrity endorser and the type of products which they endorse. celebrity must possess the expertise in product categories consistent with their public profile and their perceived life styles. the success of the life style depends on this congruence.

1.14 Celebrity Endorsement: Its Impact on Brand


By Dr. Anitha R. Natekar Assistant Professor, Department of Management Studies Karnataka State Womens University

A sign of a celebrity is that his name is often worth more than his services. Daniel J. Boorstin.

With no doubts, our society is very much influenced with celebrities. And the advantage of this is taken upon by the advertising companies because for them it becomes really very easy to market and increase the sale of their product. This is
30

because most of the Indian consumers are desperate followers of one or other celebrities. And this is why Endorsements featuring celebrities has become the latest trend of today. Though appreciating a celebrity is good but this does not at all mean to follow them like dumb.

There is a huge Impact of Celebrity Endorsements among the consumers though TV commercials in India as Indians like the celebrities a lot and consider most of the celebrities their role models. There for more and more companies prefer the celebrities of different fields in India like the cricketers, Bollywood celebrities and other sports personalities.

Celebrity endorsement is quite famous and effective in India. Most of the products of many companies are being endorsed by the Bollywood actors and Indian cricketers for better sales targets. Television is something which is watched all over Indian by the people of all class whether the people belong to lower class or middle class or upper class, all of them watch television to entertain themselves. The main objective of the project is to analyze the impact of Celebrity Endorsement on two brands respectively of select celebrities.

1.15

Analysis of celebrity endorsement as an effective

destination marketing tool


By Robert van der Veen Bournemouth University United Kingdom Fachhochschule Heilbronn Germany

Commercial companies use celebrities with target customer segments to increase the appeal of their offerings. The instrument of celebrity endorsement has nowadays become a pervasive element in advertising and communication management. Whilst many strategic as well as tactical aspects of celebrity endorsement effectiveness have
31

come under scrutiny from a manufacturing product marketing perspective, the concept of celebrity endorsement for hedonic consumption, in particular destinations is an often overlooked and under-researched strategy. This study will therefore posit a discussion of celebrity destination endorsement by providing an exploratory review of the concept that is based on an analysis of existing academic and conceptual literature on destination marketing and on celebrity endorsement in marketing management. Furthermore, marketing experts are consulted in order to contribute to the literature with new and deeper information. Here the main focus is on the perception of the interviewees relating to aspects of celebrity destination endorsement within a framework of celebrity endorsement in general. Therefore, by using a theoretical inquiry, it is not the researchers intention to establish facts but rather identify the experts interpretations and perceptions in order to understand and determine the effectiveness of celebrity endorsement as a destination marketing instrument. As such, this study contributes to an understanding of the application of a marketing device for a hedonic product in general, and it also increases understanding of celebrity endorsement as a destination marketing tool.

1.16
by

Impact of Celebrity Endorsed Advertisements on

Consumers
DR. BIMAL ANJUM SUKHWINDER KAUR DHANDA SUMEET NAGRA

Celebrity refers to an individual who is known to the public, such as actors, sport figures, entertainers and others of the like for his or her achievement in areas other than that of the product class endorsed (Friedman and Friedman1979). The general belief among advertisers is that advertising messages delivered by celebrities provide a higher degree of appeal, attention and possibly message recall than those delivered by non-celebrities. Marketers also claim that celebrities affect the credibility of the
32

claims made, increase the memorability of the message, and may provide a positive effect that could be generalized to the brand Copper (1984).So considering these points this paper is an attempt to know the impact of celebrity endorsed advertisements on consumers and on sales. This study is also an attempt to know the reasons of using the celebrities in advertisements. This study is based on primary as well as on secondary data. The sources of secondary data have the annual reports of selected brands. And the primary data has collected with the help of five point Likert scale. The sample size of the respondents has taken 60 .the overall findings of the study reveal that celebrity endorsers has used by the companies for brand equity. It has also showed that consumer think that celebrity endorsed advertisement are reliable and they have the knowledge. They are able to recall and retention of the product. Consumers feel associated and it has also helped in influencing the demand of the products.

1.17 Celebrity endorsement and brand personality


by Subhadip Roy ICFAI Business School YLR.MOORTHI Professor-11MB BANGALORE

Celebrity endorsement is a highly researched field in marketing. Having its roots in psychology and the source credibility of communication (Hovland and Weiss, 1952; McCroskey and Young, 1981) it has come up a long way since the early research was done in the seventies (Friedman, et aI., 1976; Kamen et aI., 1975). Researchers have delved into various issues of celebrity endorsements such as source credibility of the celebrity, celebrity-brand congruence and meaning transfer model (McCracken, 1989). Research in Br,and Personality is relatively new. The works of Aaker and Fournier (1995), Aaker (1997) and Ourgee (1998) initiated the interest which ultimately resulted in the construction of a Brand Personality Scale by Aaker (1997). However, researchers have not looked into the issue of Celebrity Personality affecting
33

the Brand Personality even in congruence studies. In this paper we try to address the issue of celebrity personality affecting brand personality. Based on an empirical study, we try to find out whether the same personality dimensions exist for the celebrity and the brand endorsed respectively. Following which we have tried to see whether celebrity personality has an effect of brand personality. The study is supposed to generate research interest because of its novelty of idea.

1.18 Impact of Celebrity Endorsements on Brand Image


By Debiprasad Mukherjee Business Process Management Consultant in IT Telecom domain.

Celebrity endorsement has been established as one of the most popular tools of advertising in recent time. It has become a trend and perceived as a winning formula for product marketing and brand building. It is easy to choose a celebrity but it is tough to establish a strong association between the product and the endorser. While the magnitude of the impact of celebrity endorsement remains under the purview of gray spectacles, this paper is an effort to analyze the impact of celebrity endorsements on brands. Objective of this article is to examine the relationship between celebrity endorsements and brands, and the impact of celebrity endorsement on consumer's buying behavior as well as how consumer makes brand preferences. This paper proposes a 20 point model which can be used as blue-print criteria and can be used by brand managers for selecting celebrities and capitalizing the celebrity resource through 360 degree brand communication which, according to this paper, is the foundation of the impact of celebrity endorsement.

Celebrity endorsement is always a two-edged sword and it has a number of positives if properly matched it can do wonders for the company, and if not it may produce a bad image of the company and its brand.

34

Also, the purpose of her research was to study the impact of the celebrity endorsement on effective brand management and evaluate associated factors that contribute to the success or failure of the endorsement.

The work was done mainly as an exploratory research to find out the correlation between celebrity endorsement and brand image based on structured questionnaire and analysis was done on the outcome/response with the help of higher order

statistical tools.

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Chapter II

Analysis of Data and Interpretation

2.1 Gender

GENDER

NO. OF RESPONDENTS

PERCENT

MALE

51

51%

FEMALE

49

49%

TOTAL

100

100%

36

Gender

FEMALE 49%

MALE 51%

Interpretation
For this research gender played an important role because as we know that women gets more tempted towards chocolate than men. But, in the pie chart below if we see there is a thin line difference between men and women. Out of 100 percent respondents 49 percent were women thought, the men dominated by 51 percent.

2.2 Age of the Respondents

AGE

NO. OF RESPONDENTS

PERCENTAGE

13-20

9%

20-30

78

78%
37

30-40

10

10%

40-50

3%

TOTAL

100

100%

Age of the Respondents


40-50

30-40 Age 20-30 13-20 0% 10% 20% 30% 40% 50% No. of Prercentage 60% 70% 80%

Interpretation

The age of the respondents were necessary in order to continue with this research. So, 78 percent of consumers were of the age between 20-30 years. This actually
38

dominated the sample. While 9 percent of respondents were of the age between 13-20 percent, 10 percent of respondent were between 30-40 years and 3 percent were of 4050 years. So, we can see that 20-30 years of consumers gets more affected.

2.3 The Sub-brands of Cadbury Dairy Milk tried by the respondents.

SUB BRANDS OF CADBURY CADBURY DAIRYMILK CADBURY DAIRYMILK CRACKEL CADBURY DAIRYMILK ROASTED ALMOND

NO. OF RESPONDENTS 18 11

PERCENTAGE

18% 11%

14

14%

CADBURY DAIRYMILK FRUIT & NUT

21

21%

CADBURY DAIRLYMILK SHOTS CADBURY DAIRYMILK SILK CADBURY DAIRYMILK WOWIE TOTAL

18

18%

13

13%

5%

100

100%

39

Sub Brands of Cadbury

21% 18% 18%

14% 13% 11%

5%

Cadbury Dairy Milk

Cadbury Dairy Milk Crackel

Cadbury Dairy Milk Roasted Almond

Cadbury Dairy Milk Fruit & Nut

Cadbury Dairy Milk Shots

Cadbury Dairy Milk Silk

Cadbury Dairy Milk Wowie

Interpretation
When the respondents were asked that which Cadbury chocolate that they have tasted it was seen that 21 percent of respondents preferred Cadbury Dairy Milk Fruit and Nut. While, 18 percent of respondents accepted that they have tasted Dairy Milk and Dairy Milk Shots. While 14 percent, 13 percent and 11 percent of respondents agreed
40

that they have tasted Dairy Milk Roasted Almond, Dairy Milk Silk and Dairy Milk Crackle respectively. It should be noted that only 5 percent of respondents have tasted Cadbury Dairy Milk Wowie.

2.4 Consumption of Cadbury chocolates by the respondents before or after endorsement.

SINCE WHEN ARE YOU EATING CADBURY CHOCOLATES

NO OF RESPONDENTS

PERCENTAGE

BEFORE AMITABH BACHCHAN AFTER AMITABH BACHCHAN TOTAL

88

88%

12

12%

100

100%

41

After

12%

Before

88%

Interpretation

When the question was raised whether the respondents used to have Dairy Milk chocolate before Amitabh Bachchan endorsed it or not. 88 percent of respondents said that they used to have before it was endorsed by Amitabh Bachchan. While, 12 percent agreed that they got influenced to buy Dairy Milk because it was endorsed by Amitabh Bachchan.

42

2.5 Consumption of other branded chocolates.

HAVE YOU BEEN EATING OTHER BRANDS

NO. OF RESPONDENTS

PERCENTAGE

YES

77

77%

NO

23

23%

TOTAL

100

100%

43

Consumption of other branded chocolates

No 23%

Yes 77%

Interpretation

It was noticed that the respondents also have been eating other brand chocolates apart from Cadbury. About 77 percent of respondents said they also prefer eating other branded chocolates. While, 23 percent of respondents agreed that they prefer Cadbury Dairy Milk.

44

2.6 Brand Ambassador the reason to switch to Cadbury Chocolates.

BRAND AMBASSADOR REASON TO SWITCH TO CADBURY

NO. OF RESPONDENTS

PERCENTAGE

YES NO

29 71

29% 71%

TOTAL

100

100%

Switch to Cadbury

Yes 29%

No 71%

45

Interpretation

It was necessary in this research to know whether the respondents actually switched to Cadburys Dairy Milk just because it was endorsed by Amitabh Bachchan? 29 percent of respondents said it was celebrity endorsement which lead them to buy Cadbury chocolates while, 71 percent didnt agreed to it.

2.7 Recall of the Cadbury Dairy Milk Advertisements

ADVERTISMENTS

NO. OF RESPONDENTS

PERCENTAGE

MEETHA HAI KHAANA

19

19%

SHUBH AARAMBH KHANE WALON KO REAL TASTE PAPPU PASS HO GAYA NIL TOTAL

25 19 15 13 9 100

25% 19% 15% 13% 9% 100%

46

Recall of the Cadbury adveritsments.


Nil

Pappu pass ho gaya Cadbury Advertisments

Real taste

Khane walon ko

Shubh aarambh

Meetha hai khana 0% 5% 10% 15% 20% 25%

No. of Percentage

Interpretation

The recall of Cadburys Dairymilk advertisements mong the respondents were as follows; The Shubh Aarambh campaign left more impact on the consumers than any of the other campaigns. 25 percent of respondents agreed that Shubh Aarambh campaign advertisement moa more recallable. While, Pappu pass ho gaya Advertisement had impact on the consumers but only 13 percent of respondents could recall it. While Meetha hai khan and Khane walon ko advertisements did left its imprint on the consumers and 15 percent of respondents were able to recall the advertisement. 15 percent of respondent could recall Real taste Campaign. But 9 percent of respondents couldnt recall any of the advertisements.

47

2.8 Reduction in consumption of Cadbury Dairy Milk if the brand ambassador is not there.

REDUCTION IN CONSUMPTION OF DAIRY MILK ID BARND AMABSSADOR IS NOT THERE

NO. OF RESPONDENTS

PERCENTAGE

YES NO TOTAL

25 75 100

25% 75% 100%

48

Reduction in the consumption of Cadbury Dairy Milk chocolates if brand ambassador is not there.

No

Yes

0% Series1

10%

20% Yes 25%

30%

40%

50%

60%

70% No 75%

80%

Interpretation

About 75 percent of respondents said that they wont stop buying Cadbury Dairy Milk if Amitabh Bachchan is not the brand ambassador. While 25 percent of respondents agreed that if Amitabh Bachchan is not the brand ambassador of Cadbury Dairy Milk they wont buy it.

2.9 Products endorsed of good quality

49

CATEGORY

NO. OF RESPONDENTS

PERCENTAGE

YES

21

21%

NO

51

51%

NOT SURE

28

28%

TOTAL

100

100%

Quality

Yes 21% Not sure 28%

No 51%

50

Interpretation When the question was raised that Do you believe products specifically advertised by the celebrities are of good quality?. 51 percent of respondents agreed that the products were not of good quality while 21 percent agree that they were of good quality. 28 percent of respondents were not sure wether it was true that the products endorsed were actually of good quality.

2.10 Persuading factor to purchase of Cadbury Dairy Milk.

PERSUDAING FACTOR

NO. OF RESPONDENTS 15 63 16 6 100

PERCENTAGE

CELEBRITY QUALITY BRAND NAME PRICE TOTAL

15% 63% 16% 6% 100%

51

Persuading Factor
Celebrity Quality Brand Name Price

6% 15% 16%

63%

Interpretation

The most persuading factor to purchase Cadbury Dairy Milk was its quality. 63 percent of respondents agreed that for them quality mattered the most. While,16 percent of respondents said that brand name played an important role. 15 percent said that Celebrity persuaded them to buy the product and 6 percent of respondents felt that price persuaded them to buy Cadbury dairy Milk.

52

2.11 Presence of celebrity in an advertisement encourages to purchase.

PRESENCE OF CELEBRITY IN AN ADVERTISMENT ENCOURAGES TO PURCHASE PRODUCT OR SERVICE

NO. OF RESPONDENTS

PERCENTAGE

YES

26

26%

NO

50

50%

NOT SURE

24

24%

TOTAL

100

100%

53

Presence of Celebrities

Not sure

No

Yes

0% Series1

10% Yes 26%

20%

30% No 50%

40%

50% Not sure 24%

Interpretation
As we know that a product is endorsed by celebrity so that their fans help the product to increase its market share. Where 26 percent of respondent believed that the presence of the celebrity in the advertisement encourages them to purchase the product or service. While, 50 percent of respondents didnt agree with it. Whereas, 24 percent of respondents were not sure whether it actually affected the advertisement of the product or the service.

54

2.12 Companies choose celebrities

REASONS TO WHY COMPANIES CHOOSE CELEBRITIES EASY RECOGNITION OF THE PRODUCT CANT GENERATE NEW IDEAS

NO. OF RESPONDENTS

PERCENTAGE

35

35%

21

21%

TO BE ABLE TO INCREASE SALES AND PROFITS

31

31%

TO COMPETE STRONGLY

13

13%

100% TOTAL 100

55

Companies choose celebrities


To compete strongly

Reasons

To be able to increase sales and profits

Can't generate new ideas

Easy recognition of the product 0% 5% 10% 15% 20% 25% 30% 35% Response of Consumers

Interpretation

Usually a product is known for its benefits and the unique features it provides to its consumers. But despite of having all the features companies go for celebrity endorsement. When it was asked to the respondents what actually drives the companies to go for celebrity endorsement 35 percent of respondents agreed that the companies want easy recognition of the product. As, celebrities are famous for their charm and personalty this will help the consumers to go for the easy recognition of the product. While, 21 percent of respondents agreed to that the companies could not generate new ideas for advertising their products. 31 percent agree that the companies want to increase their sales and generate profit. On the other hand, 13 percent of respondents agreed that the companies want to keep tough competition among them, so they choose celebrity endorsement.

56

2.13 Celebrities use endorsed products.

DO CELEBRITIES USE THEIR ENDORSED PRODUCTS

NO. OF RESPONDENTS

PERCENTAGE

YES

20

20%

NO

44

44%

NOT SURE

36

36%

TOTAL

100

100%

Do Celebrity use their endorsed products?

Yes 20% Not sure 36%

No 44%

57

Interpretation
As we know the celebrities leave great impact on the consumers minds so it was necessary in this research to know whether the consumers believed in that the celebrities use their endorsed product?. 20 percent of respondents agree to it, while 36 percent of the respondents were not sure whether the celebrities use the products which they endorse. 44 percent of respondents simply disagreed to the usage of endorsed products by the celebrities.

2.14 Celebrity endorsement help in Brand Promotion

DOES CELEBRITY ENDORSEMENT HELP IN BRAND PROMOTION

NO. OF RESPONDENTS

PERCENTAGE

YES

59

59%

NO

27

27%

NOT SURE

14

14%

TOTAL

100

100%

58

Celebrity endorsement help in brand promotion

Not Sure 14%

No 27%

Yes 59%

Interpretation

Celebrity endorsement dose help in Brand promotion. Research revealed that 59 percent of respondents actually agreed with this fact that celebrity endorsement helps in building brand promotion. 27 percent of respondents didnt agreed to it. While, 14 percent of respondents were not sure about it.

59

2.15 Advertisement that persuades the consumers to buy endorsed products.

TYPE OF ADVERTISMENT PERSUADES

NO. OF RESPONDENTS

PERCENTAGE

TELEVISION

66

66%

RADIO

11

11%

NEWSPAPER

13

13%

MAGAZINE

5%

INTERNET

5%

TOTAL

100

100%

60

Which type of advertisment persuades?


70% 60% 50% Respondents 40% 30% 20% 10% 0% Series1

television 66%

radio 11%

newspaper 13%

magazine 5%

inrernet 5%

Interpretation

Usually advertisements leave a great impact on the consumers mind. Also, while making a purchasing decision on the celebrity endorsed product the consumers have some form of advertisement in their mind. 66 percent of consumers agreed that the television persuaded them to buy endorsed products while 11 percent of respondents said it was radio and 13% of respondents said it was newspaper advertisements which played important role in persuading them to buy products. While, 5 percent of respondents agreed that the magazines and internet persuaded them to buy the endorsed products.

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2.16 Respondents value the most when purchasing the product?

In order to continue with the analysis, for this question the Chi-square test is selected. There are five variables: Price of the product Celebrity endorsement Quality of the product Value for money

Frequencies

Price of the product

Observed N 1 2 3 4 5 Total 7 28 39 16 10 100

Expected N 20.0 20.0 20.0 20.0 20.0

Residual -13.0 8.0 19.0 -4.0 10.0

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Price of the product Chi Square df Asymp. Sig 35.500a 4 .000

Interpretation The Chi-square calculated value X2 (35.50) is greater than Table value (9.488) at df 4 at 0.05 level. Hence, reject the null hypothesis. `

Celebrity endorsement
Observed N 1 2 3 4 5 Total 11 17 38 21 13 100 Expected N 20.0 20.0 20.0 20.0 20.0 Residual -9.0 -3.0 18.0 1.0 -7.0

Celebrity Endorsement Chi Square df Asymp. Sig 23.200a 4 .000

63

Interpretation The Chi-square calculated value X2 (23.20) is greater than Table value (9.48) at df 4 at level. Hence, reject the null hypothesis.

Quality of the product

Observed N 1 2 3 4 5 6 Total 10 17 27 20 24 2 100

Expected N 16.7 16.7 16.7 16.7 16.7 16.7

Residual -6.7 .3 10.3 3.3 7.3 -14.7

Quality of the product Chi Square df Asymp. Sig 25.880b 5 .000

Interpretation The Chi-square calculated value X2 (25.88) is greater than Table value (11.070) at df 5 at level. Hence, reject the null hypothesis.

64

Value for money


Observed N 1 2 3 4 5 7 Total 9 13 29 18 29 2 100 Expected N 16.7 16.7 16.7 16.7 16.7 16.7 Residual -7.7 -3.7 12.3 1.3 12.3 -14.7

Value for money Chi Square df Asymp. Sig 35.600b 4 .000

Interpretation

The Chi-square calculated value X2 (35.60) is greater than Table value (9.48) at df 4 at level. Hence, reject the null hypothesis.

65

Test Statistics
Price of the product Chi Square df Asymp. Sig 35.500a 4 .000 Celebrity endorsement 23.200a 4 .000 Quality of the product 25.880b 5 .000 Value for money 35.600b 5 .000

a. 0 cells (0%) have expected frequencies less than 5. The minimum expected cell frequency is 20.0. b. 0 cells (0%) have expected frequencies less than 5. The minimum expected cell frequency is 16.7.

Now, for the other question the variables were: Celebrity endorsement hikes the price of the product. I dont mind paying the higher price for a product endorsed by higher celebrity. Celebrity endorsements are not required. Celebrity themselves use the products they endorse. Celebrity endorsed products are high in quality.

66

2.17
Celebrity endorsement hikes the price
Observed N 1 2 3 4 5 Total 17 14 32 21 16 100 Expected N 20.0 20.0 20.0 20.0 20.0 Residual -3.0 -6.0 12.0 1.0 -4.0

Celebrity endorsement hikes the price Chi Square df Asymp. Sig 10.300a 4 .036

Interpretation The Chi-square calculated value X2 (10.30) is greater than Table value (9.48) at df 4 at level. Hence, reject the null hypothesis.

67

I dont mind paying higher price for a product endorsed by higher celebrity.

Observed N 1 2 3 4 5 Total 19 12 34 18 17 100

Expected N 20.0 20.0 20.0 20.0 20.0

Residual -1.0 -8.0 14.0 -2.0 -3.0

Dont mind paying higher price for product endorsed by higher celebrity Chi Square df Asymp. Sig 13.700a 4 .008

Interpretation The Chi-square calculated value X2 (13.70) is greater than Table value (9.48) at df 4 at level. Hence, reject the null hypothesis.

68

Celebrity endorsements are not required.

Observed N 1 2 3 4 5 Total 14 18 29 19 20 100

Expected N 20.0 20.0 20.0 20.0 20.0

Residual -6.0 -2.0 9.0 -1.0 .0

Celebrity endorsement are not required Chi Square df Asymp. Sig 6.100a 4 .192

Interpretation The Chi-square calculated value X2 (6.10) is greater than Table value (9.488) at df 4 at level. Hence, accept the null hypothesis.
69

Celebrity themselves use the products they endorse.

Observed N 1 2 3 4 5 6 Total 20 15 32 21 11 1 100

Expected N 16.7 16.7 16.7 16.7 16.7 16.7

Residual 3.3 -1.7 15.3 4.3 -5.7 15.7

Celebrities themselves use the products they endorse Chi Square df Asymp. Sig 32.720b 5 .000

Interpretation The Chi-square calculated value X2 (32.72) is greater than Table value (11.7) at df 5 at level. Hence, accept the null hypothesis.

70

Celebrity endorsed products are of high quality.

Observed N 1 2 3 4 5 Total 27 17 22 19 15 100

Expected N 20.0 20.0 20.0 20.0 20.0

Residual 7.0 -3.0 2.0 -1.0 -5.0

Celebrity endorsed products are of high quality Chi Square df Asymp. Sig 4.400b 5 .355

Interpretation The Chi-square calculated value X2 (4.40) is greater than Table value (11.07) at df 5 at level. Hence, accept the null hypothesis.

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Test statistics

Celebrity endorsement hikes the price

Dont mind Celebrity paying endorsement higher price are not for product required endorsed by higher celebrity 13.700a 6.100a

Celebrities themselves use the products they endorse 32.720b

Celebrity endorsed products are of high quality 4.400b

Chi Square df Asymp. Sig

10.300a

5 . 355

.036

.008

.192

.000

a. 0 cells (.0%) have expected frequencies less than 5. The minimum expected cell frequency is 20.0. b. 0 cells (.0%) have expected frequencies less than 5. The minimum expected cell frequency is 16.7.

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Chapter III

Findings

This analysis helped to explore the behavior of the respondents towards the product as well as the brand endorser. It was quite clear how the respondents were attracted towards the brand and what influenced them to purchase a particular brand. Also, brand loyalty among the respondents was also seen. It was evident that all the respondents were much aware of celebrity endorsement and they also were clear about it. When it comes to the age, the respondents were majorly belonging to youth category. It was seen that the respondents were quite knowledgeable about the product features and they were also clear about what lead them to purchase a product. For them, quality played a important role and they were not bothered whether product was endorsed by a well known celebrity or by an unknown person. Advertisements also played an important role while conducting this research. Usually, advertisements leave a major impact on the consumers mind. In this research, advertisement did played a vital role. It was noted thet advertisement of Cadbury Dairy Milks Pappu paas ho gaya and Miss Palampur were not easily recallable by the respondents. Thought the advertisements were quite impressible, still the respondents were not able to recall the advertisements. The Shubh Aarambh

advertisement played a major role and it was revealed that the respondents were able to identify this advertisement more easily than any other. Also, when it was found that the celebrity endorsement didnt mattered much for the respondents. They believed that until the product like Cadbury Dairymilk is of good quality they wouldnt mind if it was not endorsed by celebrity. They believed that the quality of the product is more important than the brand endorser.

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Thought the respondents believed that usually the product endorsed by the celebrity if of not good quality it was also clear among the respondents that it was not always the celebrity that drive them to purchase the product. The respondent were clear about the products quality and for them quality was the top priority. The type of advertisements also played a major role in promotion of a brand. When the consumers were asked about which type of advertisement persuaded them to purchase a product, they agreed with television advertisement. It was noted that television advertisements left more impact on the respondents mind and also they were easily able to recall the various types of advertisement of Cadbury Dairy Milk.

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Chapter IV

Suggestions and Recommendations

Having summarized the various findings of this research, the following managerial implications have been proposed which if taken seriously can prove to be of value to both in theory and practice. Businesses stand to gain if they from the suggestions made known below. Firstly in order to be successful, businesses should be able to differentiate between different kinds of consumers namely the celebrity enthusiasts and the product enthusiasts and promote their product accordingly. So they need to play it safe and cater to the demand of both of them. Also marketers should come up with contracts which bind the celebrities to use or wear their endorsed product at least in public in order to counter the problem of lack credibility of the celebrities in the eyes of the consumers. The research has identified that the consumers are tolerant towards celebrity endorsement with the stipulation that there should exist a common link between the product and the celebrity. Thus the managers should take immense pain and care to ensure that the celebrity chosen to endorse the product is right in terms of age, personality and the all the other symbolic properties associated with the celebrity. A very popular and good looking celebrity is not enough; the endorsement should be backed by an appropriate linkage. Also marketers should refrain from choosing celebrities who are already endorsing a complimentary product within the same product category. Managers should cultivate appropriate means to handle the negative publicity that can descend on the celebrities during their careers. This is because some consumers do get pessimistically influenced by it and this could be dangerous for the endorsed product, some to such an extent that they suggest that the celebrity facing a crises period should be replaced. This is because the credibility of the celebrity is a very important plays a very big role in 8influencing these consumers. Viewing this from another
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perspective, any business should ensure that they have consumers who get influenced by the quality and features of the product as opposed to the presence of a celebrity as negative publicity anyways does not make much of a difference to them. Therefore they can play the role of a safety net for the business. Also the presence of genuine reasoning for the use of celebrities to endorse products is essential is the recommendation for the managers and also that they should take trouble to stick to the suggested guidelines when planning to utilise and execute celebrity- based promotions.

As suggestions for future research, replication and expansion of the same study should be made by doing a comparative analysis study of the consumer perceptions towards celebrity endorsements between a developed country and a developing country like India. Furthermore as this study has focused its research only on consumers within the age bracket 21-30 years, future research can be undertaken targeting different age groups in India which would probably bring to light different perceptions regarding the topic in hand. Also consumers from different walks of life as in the people who are working, the housewives and even kids as quite a number of advertisement in India today such as health drink advertisements are targeted at the kids. By including them in the future research would help get an overall perception of the Indian consumers. Moreover future research would bring interesting insights if conducted using the lower and middle class segments. The usage of focus groups in future studies could also aid in obtaining consumers thoughts and beliefs from varied angle, hence apart from the conducting semi-structured interviews for understanding the consumers perception, focus group as a data collection method seems very promising. The same research design could be used to conduct a similar kind of study in different national contents as every country has its own set of cultural values and hence distinctive thoughts would surface and it would be interesting to observe what attitude and beliefs influence them. Future research in this area can challenge what kind of celebrities work best with what type of products? Also whether all the products are suitable for being endorsed by celebrities or they need to be categorized accordingly.
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Also future research should aim to how the consumers are attracted to the different traits of the celebrity, which is assumed to influence buying behavior, should be studied in detail. The changing mindset of people calls for inquiry into the degree of consciousness of the consumers in relation to the advertising world. Some interviewed participants viewed celebrity endorsement as a negative marketing technique. Future research should look into the reason for this negativity and try coming up with the explanations of how to overcome it.

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Chapter V

Conclusion
Celebrity endorsement is truly a multifaceted and debatable research topic. After mulling over the analysis it is evident that all the respondents were very much aware of the fashion of celebrity endorsing products. It was observed that even though celebrity endorsement as a marketing communication activity is viewed in a positive light since the consumers used terms like glamorous and eye catching to define it, the general view relating to opting for celebrity endorsed product as a personal choice was pessimistic. Looking back at the analysis it can clearly be seen that the celebrities are quite often viewed by people in some phase of their lives as their icon if not consistently throughout their lives. The consumers follow the trends set by them both in terms of external beauty and valuable characteristics. But this phenomenon is deemed to be short lived in the consumers lives.

In relation to good looks it was seen that the for the consumers the advertisements should include attractive models to endorse the product as no one wants to view or be like their unattractive counterparts. For the consumers who opted for celebrity endorsed products their need for good looking models seemed to influence their purchase but on the other hand the consumers who were in favor of product quality and features, for them good looking personas appearing in advertisements were a mere source of entertainment. In either case the presence of good look was asked for, even though the need for it differed.

Credibility of the celebrities appeared to be of utmost importance for the respondents for influencing their purchase decision. For them credibility of the celebrity endorsing the product was of no value. The familiarity of the celebrity as an essential criterion for inducing a purchase of a celebrity endorsed product had to acknowledge rejection

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at the hands of all the consumers. As per their thought process a celebrity being familiar is not enough.

A profound number of consumers were not in favor of the notion that the celebrities were in the habit of using the products which they endorse. This negative element was significant as for the celebrity enthusiast credibility has been stated as a very important criterion. This makes consumers overly aware of the true nature of endorsement which has more to do with generous compensation for the celebrity and less to do with brand/product attributes. Thus, leading for consumers to feel overt cynicism about their motives. (Tripp et al. ,1994). Such actions make the consumer believe that its all about money for the celebrities. Hence it can be concluded that since there is a heavy advertising clutter and almost no room left for actual product differentiation in markets ,celebrity endorsement strategy can be used to differentiate products from that of the competitors in mature and saturated markets, provided the right celebrity is found.(Erdogan, 1999)

In the case of brand recall, respondents agree that the existence of celebrities does help in recalling the product faster and in some cases also leads to consumers going ahead and purchasing the goods. But in most of the incidences it does not result in inducing a purchase.

In terms of the popularity of the so called vampire effect of the celebrity has revealed really interesting findings. Some respondents were in the view that the celebrities do take away the limelight from the product as it is believed that the consumers are so mesmerized by the presence of the celebrity that they tend to overlook the product. In contrast to this some respondents voiced that it is because of the presence of these celebrities that the product is noticed and remembered by the consumers.

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The results of this study regarding negative publicity are quite contradicting to the previous literature where negative publicity of the celebrity is taken in a cynical attitude. There were some respondents whose thoughts were synonymous to the previous literature. While the thought of the remaining respondents were in contrast stating its not always the fault of the celebrities and in man y cases the media who unnecessarily evades the privacy hypes up the situation. Some candidates have stressed on the importance of age and personality of the celebrities while attaching meaning to the product. It was observed that the gender of the celebrity on the other hand, is not much of a concern with the consumers.

All in all, the positive or negative impact of celebrities on the brand is open for further pondering. But till the time the corporate world keep footing the large sums of pay demanded by celebrities and till the consumers continue picturing celebrities sporting a halo over their heads, celebrity endorsement as a marketing strategy will be prevalent till then. (Katyal, 2007).

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IMPACT OF CELEBRITY ENDORSED ADVERTISEMENTS ON CONSUMERS By DR. BIMAL ANJUM, SUKHWINDER KAUR DHANDA,SUMEET NAGRA IRJC Asia Pacific Journal of Marketing & Management Review Vol.1 No. 2, October 2012, ISSN 2319-2836

A STUDY ON THE IMPACT OF CELEBRITY ENDORSEMENT ON BRAND POSITIONING OF DIFFERENT PRODUCT CATEGORIES Pooja Bahl Dr. Bobby Brahme Pandey Manoj Sharma IJRIM Volume 2, Issue 3 (March 2012) (ISSN 2231-4334)

http://www.123helpme.com/view.asp?id=56878

http://www.studymode.com/essays/Dairy-Milk-Swot-752364.html

Social media case study: Cadbury Dairy Milk Posted by David Greaves
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http://www.furlongpr.com/social-media-case-study-cadbury-dairy-milk

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Cadbury Essay by dicksmith, University, Bachelor's, March 2006 http://www.writework.com/essay/branding-and-brand-management-cadbury

Brand Analysis: Cadburys Dairy Milk : A journey of success http://marketingbrainstorm.wordpress.com/2011/02/16/brand-analysis-cadburysdairy-milk-a-journey-of-success/

CADBURY'S DAIRY MILK http://www.mbaskool.com/brandguide/food-and-beverages/430-cadburys-dairymilk.html

http://www.managementparadise.com/forums/marketing-management-rm-im/137529cadburys-advertising-strategy.htm

CADBURY'S ADVERTISING STRATEGY http://www.managementparadise.com/forums/marketing-management-rm-im/137529cadburys-advertising-strategy.html

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Big B to promote Cadbury chocolates, Dairy Milk to get facelift http://www.business-standard.com/india/news/big-b-to-promote-cadbury-chocolatesdairy-milk-to-get-facelift/141905

Cadbury ropes in Amitabh as its brand ambassador http://economictimes.indiatimes.com/articleshow/410769.cms

Amitabh Bachchan to endorse better packaged Cadbury Dairy Milk Chocolates By Ritu Midha http://www.exchange4media.com/news/story.aspx?Section_id=1&News_id=10489

How Cadbury's won the battle of worms http://specials.rediff.com/money/2008/apr/22brand3.htm

Amitabh Bachchan: The advertiser's safest bet? By N. Shatrujeet http://www.afaqs.com/news/story/8109_Amitabh-Bachchan:-The-advertisers-safestbet

Impact of Celebrity Endorsement on a Brand chillibreeze writer Saurbh Katyal

http://www.chillibreeze.com/articles/Celebrity-endorsement.asp

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Celebrity Endorsement: Its Impact on Brand Dr. Anitha R. Natekar Assistant Professor, Department of Management Studies Karnataka State Womens University THAVAN IJRMM Vol 1, No. 2- Jan-Mar 2012, ISSN: 2277-1468

Analysis of celebrity endorsement as an effective destination marketing tool Robert van der Veen Bournemouth University United Kingdom Fachhochschule Heilbronn - Germany Master of Arts in European Tourism Management 2003/2004

11MB WORKING PAPER NO.2009-09-289 CELEBRITY ENDORSEMENTS AND BRAND PERSONALITY Subhadip Roy ICFAI Business School Survey No. 156/57

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Advertising and Promotion By George E. Belch & Michael A.Belch

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Appendix

Questionnaire: Cadburys Dairy Milk

Dear Sir/Maam, I am student of Ramaiah Institute of Management Studies (RIMS), Department of Management Studies, Bangalore and presently doing a Final Year project on Influence of Celebrity endorsement on buying behaviour of the consumer for Cadburys Dairy Milk. I request you to kindly fill this Questionnaire below and assure you that the data generated shall be kept confidential. The data would be collectively analysed along with other respondents in the survey. I thank you in advance for your cooperation.

Name: Gender: Age: 13-19 20-30 30-40 40-50 Male Female

Address: Contact No: Income:

1) Have you tried any of the Dairy Milk chocolates? a. Yes b. No

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2) If yes, what sub-brands of Cadbury Dairy Milk have you tried? a. Cadbury Dairy Milk b. Cadbury Dairy Milk Crackle c. Cadbury Dairy Milk Roasted Almond d. Cadbury Dairy Milk Fruit and Nut e. Cadbury Dairy Milk Shots f. Cadbury Dairy Milk Silk g. Cadbury Dairy Milk Wowie

3) Since when are you eating Cadbury chocolates? Is it before Amitabh Bachchan as brand ambassador or after? a. Before b. After

4) Have you been eating any other brand of chocolates earlier? a. Yes b. No

5) Is AmithabBachchan a reason for you to switch to Cadbury? b. Yes b. No

6) Which a. a. b. c. d.

Ad of Cadbury Dairy Milk do you remember? Meetha hai Khana aaj pehli traarikh hai Shubh aarambh Khane walon ko khane ka bahana chahiye Real taste of life Campaign Pappu pass hogaya & Radha Miss Palaumpur Campaign.

7) Will you stop buying Cadbury Dairy Milk if Amitabh Bachchan is not the Brand Ambassador? If Yes then why? a. Yes b. No 8) Do you believe products specifically advertised by the celebrities are of good quality? a. Yes b. No c. Not Sure

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9) What is the most persuading factor to purchase of Cadbury Dairy Milk? a. Celebrity b. Quality c. Brand Name d. Price

10) Does the presence of celebrities in an advertisement encourages you to purchase the product or service? a. Yes b. No c. Not Sure

11) Do you believe the celebrities also use those products which they themselves endorse? a. Yes b. No c. Not Sure

12) What do you value the most when purchasing a product? (5- Strongly Agree; 1- Strongly Disagree) 1 a. b. c. d. Price of the product Celebrity endorsement Quality of the product Value for money 2 3 4 5

13) Does celebrity endorsement help in brand promotion? a. Yes b. No c. Not Sure

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14) What means of advertisements persuades you the most to purchase a product? a. Television b. Radio c. Newspaper d. Magazine e. Internet

15) What do you think is the reason for the companies to choose celebrity endorsement for promoting their products? a. Easy recognition of product b. Cant generate new ideas c. to be able to increase sales and profit d. To compete strongly

16) Rate the following: (5- Strongly Agree; 1- Strongly Disagree) 1 a. Celebrity Endorsement hikes the price of the product b. I dont mind paying the higher price for a product endorsed by higher celebrity. c. Celebrity Endorsements are not required. d. Celebrity themselves use the products they endorse e. Celebrity endorsed products are of high quality. 2 3 4 5

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Chi-Square Distribution Table

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