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A PROJECT REPORT

On

CELEBRITY ENDORSEMENT IN SPORTS MARKETING :-


INFLUENCE ON BUYING BEHAVIOUR OF CONSUMERS

Submitted in partial fulfillment of the requirements


of
Bachelor of Business Administration
By

Mayur Kothari

2015-2018

22015126

Under the Supervision of


Dr. Mohammad Irfan

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CELEBRITY ENDORSEMENT
IN SPORTS MARKETING :-
INFLUENCE ON BUYING
BEHAVIOUR OF CONSUMERS

Subject Project report 1

By
Mayur Kothari
Auro University
BBA 2015-2018

Under the Guidance of Dr. Mohammad Irfan (auro


university)

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Acknowledgement

This research paper would not have been possible without the
help and support of my module leader Dr. Mohammad Irfan. As
my faculty and mentor, he has been very supportive and worked
actively to provide me with the protected academic time to
pursue my goals. I am grateful to all of those whom I have had
the pleasure to work during this and other related projects. I am
greatly obliged to those actively engaged for giving me their
valuable insights during primary data collection.

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INDEX

Sr. no Topic Page no.


1 ABSTRACT 4
2. INTRODUCTION 5-6
3. PRESENT SCENARIO 7
4. THE ORIGIN 8
5. RELATED INDUSTRIES 9
6. GROWTH 10
7. THE ROAD AHEAD 11
8. ECONOMIC CONTRIBUTION 12
9. LITERATURE REVIEW 13-18
10. RESEARCH METHODOLOGY 19
11. DATA ANALYSIS 20-29
12. RECOMMENDATION 30
13. CONCLUSION 30
14. BIBLOGRAPHY 31
15. QUESTIONER 32-34

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ABSTRACT
Sports promoting has established itself over the last 3 decades
not solely as a really special variety of promoting however
conjointly as AN own subject of analysis. However, it's quite
stunning that the character of sports promoting is comparatively
unknown as totally different definitions of sports marketing
indicate. Indeed, a usually accepted definition doesn't exist thus
far and opinions concerning the character of sports promoting
take issue wide. This paper examines the character of sports
marketing and thus seeks to contribute to the continued
discussion on whether or not sports promoting is any totally
different from principal promoting or simply a changed version.
It starts with a discussion of 3 totally different definitions of
sports promoting. Then the distinctive characteristics of sports
and sports promoting at delineated followed by implications for
sporting organization , firms concerned in sports promoting and
sports promoting teachers. The paper concludes with a
summarizing conception of sports promoting that illustrates the
terribly special nature of sports promoting each verbally and
diagrammatically.

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INTRODUCTION

Sport selling is that the application of selling ideas to sport


product and services, and therefore the selling of non-sport
product through AN association to sport. Sport selling thus has 2
key options. First, it's the applying of general selling practices to
sport-related product and services. Second, it's the selling of
different shopper and industrial product or services through
sport. like several style of selling, sport selling seeks to meet the
wants and desires of customers. It achieves this by providing
sport services and sport-related product to customers. However,
sport selling is not like typical selling in this it conjointly has the
power to encourage the consumption of non-sport product and
services by association. it's vital to know that sport selling
means that the marketing of sport further because the use of
sport as a tool to plug different product and services.
The two angles of sport selling square measure central to
understanding the total vary of how within which sport is
employed. The weakness, however, is that they have an
inclination to stress the marketing a part of sport selling. Before
any dealings will occur, a protracted strategic analysis should be
performed so as to deter- mine what sport customers wish and
what square measure the most effective ways in which of
delivering it. As a result, sport selling ought to even be seen
because the assortment of designing and implementation
activities related to the delivery of a sport product or service.
Prior to any sales, a sport product or service should hold an area
within the mind of a shopper. In observe, this demands that a
shopper is attentive to the game product or service and has
versed it in a way. the method of cultivating such a response is

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thought as stigmatization, and once a sport whole has grasped a
firm place in consumers minds, then it's aforementioned that it's
positioned.
The consequence of fortunate stigmatization and therefore the
acquisition of sturdy market positioning isn't just one dealings.
Rather, sport selling reflects the institution of AN current
relationship between a sport whole and its users.

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PRESENT SCENARIO

Fan Fest, the festivals created for fans throughout, around and
in regard to major sport events, like the Olympic Games and
also the FIFA World Cup.

Sports research makes it easier to grasp the summary of sports


preferences, attitudes, lifestyles and interests of fans and build it
easier for sports industries to grasp what effective methods are
often undertaken to attempt additional wants of sports and sports
industries.

Indian sports has scaled newer heights in terms of on-field


performances and also the same has translated into off-field
business growth. With the direction for growth in situ,

growing quickly at twelve.3% in 2015 and tributary ten.4% of


Indian ADEX. The numbers here tell a story a story of
burgeoning sporting business scheme that, in contrast to within
the recent past, isn't alone captivated with a singular sport

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THE ORIGIN

Sports promoting 1st came to be within the decade within the


variety of Tobacco cards that featured the baseball players of
that era. But, the particular and sizable growth in sports
promoting was discovered over the last seventy years with the
rise in tv coverage of sports.

The first big league ball game was televised in 1939 and helped
build Ruth the primary six-figure contestant in skilled sport.

In its early years, sports promoting was strictly regarding


product placement and building product quality, and it wasnt
till the late 70s and early 80s that the employment of sports as a
promoting tool extremely began to capture the collective
company imagination.

While sports support is primarily involved with complete


awareness, sports promoting is regarding activating support
contracts. In its purest kind, it's regarding making a affiliation
between the image and also the complete and act this to the
patron.

The trend of sports promoting seems unending. The Rio de


Janeiro Olympiad is making a good buzz worldwide and is
anticipated to be the foremost sponsored and branded Olympic
until date.

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RELATED INDUSTRIES

Industries within the humanities, Spectator Sports, and


connected Industries sub sector cluster institutions that
manufacture or organize and promote live shows involving the
performances of actors and actresses, singers, dancers, musical
teams and artists, athletes, and alternative entertainers, as well as
freelance (i.e., freelance) entertainers and also the institutions
that manage their careers. The classification acknowledges four
basic processes:
producing (i.e., presenting) events
organizing, managing, and/or promoting events
managing and representing entertainers and
providing the inventive, inventive and technical skills necessary
to the assembly of those live events. Also, this sub sector
contains four industries for humanities firms. every is outlined
on the premise of the actual skills of the entertainers concerned
within the shows.

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GROWTH

The biggest reason for such growth is projected & nici increases
in revenue derived from media rights deals, that is expected to
surpass gate revenues because the sports industry's largest
section.

The growth and development of the Indian sport trade is making


opportunities for management professionals in a very large
choice of settings. it's the potential to overtake IT and connected
industries before 2020 in each side.

Being effortful in nature, the trade provides employment to quite


five hundred,000 people.

Jalandhar within the state of geographical area and


Meerut within the state of state account for nearly seventy five
per cent of total production.
Together, the 2 cities house quite three,000 producing
units and a hundred thirty exporters.
The Indian sports product trade conjointly
encompasses a presence within the cities of urban center, city
and metropolis, albeit at a lower scale.

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THE ROAD AHEAD

1.Fantasy sports Fantasy sports could be a big


opportunity business and a giant chance to gather information.
With the large reach and dependable fan following, the
engagement and activity among these networks will reveal lots
regarding fan behavior and interests.

2.Web Associate in mobile content With sports being


over simply an at the game expertise, leagues and groups at
ensuring their web page has all the stats, facts, and interactivity
that fans need. they're additionally creating mobile content, like
apps, {a partial neighborhood an area district region locality
vicinity section} of the complete expertise by supplementing
what fans are seeing at/during the sport.

3.Social media Networks like Twitter, will give a wealth


of knowledge, particularly once it involves fan sentiment.
Leagues and groups at wanting to social networks for
engagement, interaction, and to stay a pulse on fan feedback that
can't be found elsewhere.

4.Loyalty programs With a push toward personalization


and customization, leagues and groups ar thinking like your
native foodstuff and investment in ways that to trace people to
supply a a lot of personal and fascinating expertise that's
supported past and future habits.

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ECONOMIC CONTRIBUTION

The sports goods market in India was valued at US$ 2


billion in 2012-13. The market is growing as 35-40 per cent
a year and is expected to reach US$ 5.8 billion by 2018.

The growth is expected on account of increasing awareness


about health and fitness in the country.

India exported sports goods worth around US$ 256 million


in 2013-14 as compared to US$ 214.95 million in 2012-13
and registering a growth of about 19 per cent.

The major items to be exported during 2013-14 includes


inflatable balls, cricket bats general exercise equipments,
sports nets and protective equipment for cricket.

The industry exports nearly 60 per cent of its total output to


sports-loving people the world over.

United Kingdom is the major importer of Indian sports


goods. It shows Indias ability to grow as a sporting super
power.

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LITERATURE REVIEW

(PUGAZHENTHI, 2013) - Celebrity endorsements can be seen


as a powerful and effective advertisement tool to cut through
todays media clutter and grab the attention of consumers by
underpinning a brands image.

(Merz, 2008) - The purpose of this conceptual paper is to


provide a grounded theory-based framework for classifying
activities that comprise sports marketing strategies.

(Ratten, 2015) - This paper discusses the main sports marketing


issues raised by the articles in this special issue and suggest
directions for future research.

(Ratten H. , 2014) - The paper explores the concept of


international sports marketing, and discusses the practical and
future research implications of this exciting new field of
marketing research.

(Kunz, 2012) - This paper contributes to the sport value


framework by addressing value co-creation in a sport media
and marketing context. By highlighting the Red Bull
phenomenon as an innovative approach a successful integration
of branding and sponsorship activities into sport entertainment
content production, distribution and viral marketing is presented.

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(Tsiotsou, 2010) - The study expands the concept of brand
personality to sport services and provides insights into the main
dimensions of sport brands personality. This is the first study
that develops a valid and reliable instrument for measuring the
personality of sport teams.

(Inoue, 2015) - The findings contribute to the literature by


indicating that how employees evaluate cause-related sport
sponsorship may be different from their evaluation process of
traditional sport sponsorship without the cause affiliation. This
research highlights the need to conduct further internal
marketing research specific to cause-related sport sponsorship.

(Tsiotsou R. H., 2016) - The findings provide several


implications to marketing managers of sport teams in how to go
about and develop loyal sport fans.

(Munnukka, 2015) - The authors find that: first, identification


with a team mediates the effects of brand personality on
attitudinal loyalty and behavioral loyalty; second, brand
personality is a stronger driver of identification among newer
fans; and third, brand personality has a stronger influence on
both attitudinal and behavioral loyalty among newer fans. These
findings stress the importance of sports brands personality in
driving fans identification with the team and their loyalty to it.

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(Roy, 2014) - Major findings indicate a film celebrity to create
more positive consumer attitudes than a sports celebrity. The
components Agreeableness, Openness and partially,
Conscientiousness were important moderators of consumers
attitudes out of the Big Five Personality dimensions. All
dimensions of source credibility were found to have significant
moderating effects on consumer attitudes.

(Klaus, 2011) e-study found mixed results, but the researchers


had not addressed some issues that were addressed in the study
reported here: use of celebrities of the same racial background,
same sporting background, and same activity in the ad. is was to
rule out as many confounding factors as possible.

(Runyan, 2008) - This is understandable considering the


staggering amounts of money spent by marketers upon
endorsements. This research was conducted to provide retailers,
marketers and brand owners useful information regarding
trends in the use of sports celebrities to promote retail products
in national print media.

(Hyman, 2010) - Sport teams and advertisers piggyback on


journalists, who popularize star athletes as a by-product of their
published work. We do not mean to challenge journalists right
to free speech; rather, we mean to discourage the exploitation of
this by-product.

(V, 2007) - Celebrity endorsements can be seen as a powerful


and effective advertisement tool to cut through todays media

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clutter and grab the attention of consumers by underpinning a
brands image.

(Kahle, 2012) - With this perspective we can begin to under-


stand the basis, source, and power of antecedents of
relationships as well as the conditions of performance, change,
and behavior systems of inducement for the consequent side. A
great deal more research is necessary, and full usage of
relationship marketing will emerge only when theories help us
understand sports relationships in their full complexity.

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Research Objective

1. To identify that people follow brand because of celebrity or


not.
2. Influence of celebrity endorsement on consumer behavior.

Scope and Importance of the study:

Through an awareness of various biases, investor can develop


various financial instruments to hedge unwanted biases.
This study can be undertaken in emerging economies to find
out whether various behavioral biases and its outcome are
similar in all economies.
At macro level a study can be done to check foreign
institutional investors make decisions.
This study can be explored by applying it in primary market
& also on other investment avenues like Arts and Antiques.
This study will give an understanding of how human
psychology leads to various biases and mistakes in taking
financial decisions. Through the knowledge of various biases
and mistakes investor can learn how to mitigate losses and
manage their money by handling their emotions and
sentiments. As emotions plan a very important role in making
financial decision, this study will help to avoid emotion-
driven speculations leading to losses.

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By understanding how people react, investors can modify
their behaviors in order to achieve more rational and profit
maximizing outcomes.

Limitations of this study:

The study has been restricted to overall article


Time is one of the most important limitations of the study
because questionnaire was too long and researcher had to
wait for the responses from the respondents.

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Research methodology & Source of data collection

Qualitative research
Research equipment used: Close-ended questionnaire
Time consuming
Primary data collection
Secondary data collection
Flexible data

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DATA ANALYSIS

1.

72.2% people disagree and 27.8% people agree. And total


number people are 18.

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8.

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9.

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10.

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RECOMMENDATION

The sports industry sector may include several different


segments such as sports tourism, sporting goods (in
manufacturing and retail), sporting garments, and the available
opportunities in sporting management and sponsorship. It is seen
across the globe that sports as a full-fledged industry can and
may contribute about 1 to 5 percent of the countrys GDP.

CONCLUSION

All in all, the sports industry in India has tremendous business


potential, especially in the fields of marketing,
management/sponsorship, exporting of goods or apparel, and
sports medicine and tourism. Therefore, the time is ripe to
facilitate investment mobility so that corporate houses that are
already engaging in sports can upgrade to for-profit sporting
ventures, while business houses that are not involved in sports
so far may consider this sector as an ideal avenue for CSR
activities. Its time to find out whether the sports industry can in
fact be the next big thing for Indias economy.

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Bibliography
Hyman, M. R. (2010). Idolizing sport celebrities .
Inoue, Y. (2015). Roles of sport and cause involvement in determining employees
beliefs about cause-related sport sponsorship.
Kahle, C. C. (2012). Relationship Marketing in Sports.
Klaus, N. (2011). Celebrity Endorsements, An Examination of Gender and
Consumers Attitudes.
Kunz, R. E. (2012). Sport-related branded entertainment.
Merz, S. F. (2008). The Four Domains of Sports Marketing.
Munnukka, J. (2015). How do brand personality, identification, and relationship
length drive loyalty in sports.
PUGAZHENTHI, A. (2013). A STUDY ON THE INFLUENCE OF CELEBRITY
ENDORSEMENT OVER THE PERCEPTION AND PURCHASE INTENTION OF COLLEGE
STUDENTS.
Ratten, H. (2014). International sport marketing .
Ratten, V. (2015). The dynamics of sport marketing .
Roy, S. (2014). The moderating role of consumer personality and source credibility
in celebrity endorsements.
Runyan, R. C. (2008). Sports celebrity endorsements in retail products advertising.
Tsiotsou, R. (2010). Developing a scale for measuring the personality of sport
teams .
Tsiotsou, R. H. (2016). Sport team loyalty integrating relationship marketing and a
hierarchy of effects .
V, G. (2007). Celebrity performance and endorsement value.

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Questioner
1. Do you practice sport / exercise at least once a
month? (individual or team sports)

o Yes one or more team sports (Football, rugby)

o Yes one or more individual sports (running gym etc)

o No I do not practice any sports or exercise once a


month

2. On average, how often do you practice sports?

Daily

o 3-4 times a week

o 1-2 times a week

o Every 2 weeks

o Once a month

3. Do you follow any brand because of celebrity?


o Yes

o No

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4. How much do you approximately spend on sports per
year? Memberships, equipment, officials etc

o Below 10,000 / year

o 25,000-50,000 / year

o more than 50,000 / year

5. What age category do you fall in?

o 15-20

o 21-30

o 31-40

6. Has a partnership between a celebrity and brand ever


made you more enticed to purchase a product?

o Yes

o No

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7. If a celebrity you disliked was endorsing a brand you
often purchase from, would this change your
consumer interests?

o Yes

o No

8. If a celebrity you disliked was endorsing a brand you


often purchase from, would this change your
consumer interests?

o Yes

o No

9. If a celebrity receives negative press, do you think


this has an effect on the brand they are associated
with?

o Yes

o No

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