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BUSINESS SCHOOL
DISSERTATION ON
IMPACT OF BRAND AMBASSADORS ON
CONSUMER BUYING BEHAVIOUR
SUBMITTED BY:
ROHAN HIREMATH
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DECLARATION
I hereby declare that the work reported in this thesis entitled “Impact of Brand Ambassadors
On Consumer Buying Behaviour” is original and has not been previously submitted anywhere
else.
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CERTIFICATE
This is to certify that the work incorporated in the Final Dissertation Project “Impact of Brand
Ambassadors On Consumer Buying Behaviour '' submitted by Rohan Hiremath was
carried out by the candidate under my supervision. Such material has been obtained from other
sources has been duly acknowledged in this report.
Signature
Date:
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ACKNOWLEDGEMENT
I Rohan hiremath , sincerely thankful to all those people who have been giving me any kind of
assistance in the making of this project report.
This project helped me get deeper insight on how brand ambassadors impact on consumer
buying Behaviour through different mediums platforms like TV, Print, Social sites and Radio. It
also helped me to know the various way to select brand ambassador for a product and service in
depth.
I wish to communicate my sincere gratitude to Prof Y. Nisha . Her supervision at every stage of
research helped me accomplish my goal with ease and clarity of comprehension, which
ultimately made my job more easy.
Credit also goes to my parents and all my friends whose encouragement kept me in good stead.
Their continuous support has given me the strength and confidence to complete the project
without any difficulty.
Last of all but not the least I would like to acknowledge my gratitude to the respondents without
whom this survey would have been incomplete.
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EXECUTIVE SUMMARY
The impact of brand ambassador on consumer buying behaviour are based on various aspects.
The field of consumer buying behavior studies deal with how individuals, groups and
organization select, buy, use and dispose off products and services to satisfy their needs and
desire. The whole aspects of buying behavior determine the durability, price policy and utility
aspects in goods. I am presenting this report on impact of brand ambassador on brands of product
with the rationale behind preparing the report, objective, method and data collection, analysis
and conclusion.
In the present era of globalized competition every marketer has to perform the tough task of
getting the products into the minds of the customers and therefore has to evolve novel ways by
chewing over one or more ideas. Hence, the role of advertising has undergone positive impact by
showcasing new features and attributes of the products to stand out from the crowd. It is well
known that if a brand ambassador is promoting a product and service. It gives a unique identity
and positioning to that product and services in to the minds of target audience.
So as to promote the sales of their product marketers endeavor to endorse it through celebrities
who evoke closer consumer engagements with the brand under optimal conditions and drive
purchases. The celebrities are popularly named as Brand Ambassadors who can best portrayed as
the representative of the organization, institution or corporation that well sketches the products
and services being produced by the company or organization.
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TABLE OF CONTENTS
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INTRODUCTION
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1.1.1 Attributes of Brand Ambassadors
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Consumer Influencing Advertisements
The advertisement should be well made and designed to portray the actual image of the
brand and to convey the message intend to transfer to target audience. The director of the
ad film should be well chosen and the endorser should be good actor. Sometime due to
poor performance in the advertisement, the promotion attempts fails although the
celebrity was perfect for the brand.
Interest of Endorser
An endorsement become successful only when the endorser is also interested in the
association with brands not only in money terms but also for his/her own image building
also. Several celebrities have ventured in the fashion and the accessories business and
more are on the way. Jennifer Lopez, Sean Combs and Jessica Simpson all have clothing
lines, Victoria Beckham designs jeans, Elizabeth Hurley has launched a swimwear brand.
In addition, the list of celebrities that have launched perfumes named after them is
steadily increasing- Jennifer Lopez, Britney Spears, Paris Hilton, Celine Dion, Mary-
Kate and Ashley Olsen etc. Majors stars do not really work for the endorsement fee, but
are motivated by genuine affection for the product.
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1.1.2 History
The concept of brands and brand marketing have evolved over decades. Traditionally, consumers
were familiar with only a few products that were available in the market. Beginning from the
1870s a number of companies began pushing 'branded products,' which familiarized consumers
with more brands. From 1915 through the 1920s, manufacturer brands were established and
developed further, which increased companies' reliance on brand advertising and marketing.
However, the Great Depression led to a severe drawback in brand progress, as companies were
left with few ways to increase revenue and get their business back on track. For the sake of their
brand and survival in a hopeless market, companies such as Procter and Gamble, General
Foods and Unilever developed the discipline of brand management. The "brand manager system"
refers to the type of organizational structure in which brands or products are assigned to
managers who are responsible for their performance.
Era of change
From the early- to mid-1950s to the mid-1960s, more firms moved toward adopting brand
managers. The sudden boom in the economy, followed by a growing middle class population and
birth rate, increased the demand for products within the market. This led to a steady competition
among a number of manufacturers who found it hard to get their products noticed amidst the pre-
existing brands. By the year 1967, 84% of large consumer packaged goods manufacturers had
brand managers. Brand managers were also being referred to as "product managers" whose sole
priority shifted from simply brand building to boosting up the company's sales and profit margin.
"The product manager is man of the hour in marketing organizations.... Modern marketing needs
the product manager," raved one 1960s article. Over the course of several years, brand managers
continued to exist as a medium that would help boost company revenue.
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1.1.3 Reason why products and services needs Brand Ambassadors?
2. Your brand ambassadors in turn will become more loyal to your product
The “Loyalty Ripple Effect” suggest customers can contribute to their own satisfaction by
their participation in the service delivery process. Moreover loyal customers often engage in
positive customer Behaviour labeled “customer voluntary performance” such as picking up
tash, busing tables, or reporting burnt out light bulbs and messy changing rooms to an
employee.
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5. Brand Ambassadors Build Trust
Consumer skepticism is growing about advertising, and trust in them is eroding. At the same
time, mass paid for advertising no longer reaches as many people as cost effectively as it did
previously. This is due to both the fragmentation of media (due to greater choice of
channels), and also due to the growth of online and social media. In a recent Nielson survey,
only 33% of consumers said they trust paid advertisements, but a whopping 92% trust peer
recommendations.
6. Cost Effective
There’s tons of research out there showing that Word-of-Mouth is the most impactful and
trusted form of marketing around. What’s more important is that SMBAs are extremely cost-
effective. Most of them are happy to be compensated with perks, swag, and discounts, and
some
will even do it for free, just because they truly enjoy what your business has to offer.
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AISHWARIYA RAI BACHCHAN – L’OREAL PARIS
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VIRAT KHOLI –
HERO MOTOCORP
Psychological Factors:
The human psychology plays a crucial role in designing the consumer’s preferences and likes or
dislikes for a particular product and services. Some of the important psychological factors are:
Motivation
Perception
Learning
Attitudes and Beliefs
Social Factors:
The human beings live in a complex social environment wherein they are surrounded by several
people who have different buying Behaviours. Since the man is a social animal who likes to be
acceptable by all tries to imitate the Behaviours that are socially acceptable. Hence, the social
factors influence the buying Behaviour of an individual to a great extent. Some of the social
factors are:
Family
Reference Groups
Roles and status
Cultural Factors:
It is believed that an individual learns the set of values, perceptions, Behaviours, and preferences
at a very early stage of his childhood from the people especially, the family and the other key
institutions which were around during his developmental stage. Thus, the Behavioural patterns
are developed from the culture where he or she is brought up. Several cultural factors are:
Culture
Subculture
Social Class
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Personal Factors:
There are several factors personal to the individuals that influence their buying decisions. Some
of them are:
Age
Income
Occupation
Lifestyle
Economic Factors:
The last but not the least is the economic factors which have a significant influence on the
buying decision of an individual. These are:
Personal Income
Family Income
Income Expectations
Consumer Credit
Liquid Assets of the Consumer
Savings
These are some of the underlying factors that influence the consumer Behaviour, and the
marketer must keep these in mind, so that appropriate strategic marketing decision is made.
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Complex Buying Behaviour
Customers go through complex buying Behaviour when he\she is highly involved in the
purchase process and know the significant differences between different brands. Consumers
showcase complex Behaviour pattern when they are purchasing an expensive, infrequently
bought and risky product.
Dissonance-Reducing Buying Behaviour
Occasionally the consumer is highly, involved in a purchase but he\she sees very little difference
in the brands.. But in this case since the brand differences are not pronounced the buyer would
buy fairly quickly.
Habitual Buying Behaviour
Consumers who showcase the habitual buying Behaviour have very little involvement in the
product or brand category. They simply go to the store and reach for their preferred brand.
loyalty.
Variety-Seeking Buying Behaviour
In this category of buyers, it has been often observed that they switch a lot of brands. Consumer
might choose a brand for some set of beliefs, but without making much evaluation, once they use
the product they tend to evaluate it and when the next time they go out to buy the product they
would reach for some other brand out of boredom or even for a wish for different taste. Here
brand switching occurs for the sake of variety and not for dissatisfaction.
1. Awareness Stage:
Individual consumer becomes aware of the innovation. He is aware of either by discussion with
friends, relatives, salesmen, or dealers. He gets idea about a new product from various means of
advertising like newspapers, magazines, Internet, television, outdoor media, etc. At this stage, he
doesn’t give much attention to the new product.
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directly from company. He tries to know about qualities, features, functions, risk, producers,
brand, colour, shape, price, incentives, availability, services, and other relevant aspects. Simply,
he collects as much information as he can.
3. Evaluation Stage:
Now, accumulated information is used to evaluate the innovation. The consumer considers all
the significant aspects to judge the worth of innovation. He compares different aspects of
innovation like qualities, features, performance, price, after-sales services, etc., with the existing
products to arrive at the decision whether the innovation should be tried out.
4. Trial Stage:
Consumer is ready to try or test the new product. He practically examines it. He tries out the
innovation in a small scale to get self-experience. He can buy the product, or can use free
samples. This is an important stage as it determines whether to buy it.
5. Adoption Stage:
If trial produces satisfactory results, finally the consumer decides to adopt/buy the innovation.
He decides on quantity, type, model, dealer, payment, and other issues. He purchases the product
and consumes individually or jointly with other members.
Brand Ambassadors serve as the face of their client company at promotional events. They offer
the company a chance to make a good impression on prospects. An effective brand ambassador
is one who is interested in the product they are promoting, who can easily connect with the
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product. “During the live brand experience they become the identity of the brand, because they
are the only human interface between the brand personality and the consumer. They are the
people who have the potential to appeal to the desires of the participants and strengthen their
relationship with the brand.
The Purpose of this study is to investigate the influencing factors on consumers buying
behaviour, Attitude towards the celebrity or brand ambassadors based advertisements and
purchase intentions of the endorsed product and the qualities required to make the celebrity
advertisement more effective. This study facilitates an understanding of the consumer attitude
towards the advertisement, and their choice of celebrities. Studies reveal that there exists a wide
difference in the perceptions and attitudes of consumers in Urban, Semi urban and rural areas.
To see how does celebrities transfer meaning and values to the products endorsed by
them and to what extent does it shape consumer buying intention.
To determine if there is a significant relationship between the attractiveness of a celebrity
and how much are consumers convinced.
To judge the effectiveness of brand ambassador in female segment in the field of
cosmetics.
The impact that the celebrity creates on its consumer in terms of product fit match
between the product/brand and the celebrity.
To determine how many consumers buy the particular product because of the celebrity
endorsed is his/ her favorite.
Pepsi – Endorsing celebrities have been the bedrock of Pepsi’s advertising campaign. Over the
decades, Pepsi has used and still continues to utilise a number of celebrities for its general
market which includes Shaquille O’Neal, Britiny Spears, Wyclef Jean, Busta Rhymes and Mary
J. Blige.
Nike – The Company signed famous golfer Tiger Woods in 1996 and have seen a revenue
growth of $50 million. In 2000 Tiger Woods renegotiated a 5 year contract with Nike estimated
at $125 million.
Reebok – Venus Williams, famous tennis player and Wimbledon champ has signed a 5 year
contract with Reebok International Inc. worth $40 million. (Chillibreeze, 2010).
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The crescendo of Indian celebrities endorsing various brands has been steadily mounting over
the past 3-4 decades. Marketers overtly acknowledge the intense power of celebrities in
influencing a customers buying decision. Crores of rupees flown per year on celebrity
endorsement contracts gives a clear picture that celebrities like superstar Shah Rukh Khan,
Amitabh Bachchan and cricketer Sachin Tendulkar, M.S. Dhoni play an important and vital role
for the Indian advertising industry. In India from late 1970’s to the early 1980’s, a new trend in
Indian advertising commenced, when celebrities started endorsing various brands. Hindi film and
Television stars along with famous sports personalities were roped in to endorse various
prominent brands. Advertisements started featuring movie stars like Tabassum (Prestige
cookers), Late Jalal Agha (Pan Parag) , Ravi Shastri along with Vivian Richards (Vimal), Sunil
Gavaskar (Dinesh Suitings) and the legend Kapil Dev (Palmolive Shaving cream) became
common. (Indian MBA, 2008). The trend still continues today with Shahid Kapoor endorsing
VIP bags, Abhishek Bachchan promoting Idea cellular, M.S. Dhoni boosting up the sales of
Boost energy drink and many more. The famous cricketer Sachin Ramesh Tendulkar endorses
everything right from Visa to Adidas, Cannon to music systems and Palio to Pepsi. Whether it is
King Khan of Bollywood endorsing Navratan hair oil advert or Radhe of Tere Naam promoting
Chlormint, one approving nod of a celebrity face can be transformed into billions for the
company. (Meri News, 2009).
This literature review has presented an exhaustive list of different research work within
marketing or a summary of various past researches concerning the impact of celebrity
endorsements. The literature review will serve as a guide to the various critical theoretical
assumptions or hypothesis which will underpin the research work and will form a fundamental
basis for the proposed research. In a nutshell, the current market scenario indicates, that the
powerful impact of celebrity endorsement advertising strategy under the right conditions or
circumstances indeed justifies the high costs and expenditures associated with it. It generates a
connection that forces a customer to buy a product; however, it is quite essential for advertisers
to be conscious of the multifarious processes underlying celebrity endorsement.
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3.1 RESEARCH DESIGN
If the design are not cleared the result of it will not be effective. As the research design shows
that this research was conducted in order to know the behaviour of consumer in buying the
products by the impact of brand ambassador . Conclusive research is very specific and inherent.
The data needed in this project was very clear rather then being vague. Descriptive research is a
type of research which comes in conclusive research.
My research is descriptive in nature and also the quantitative and qualitative were considered
under this type of research. In order to make more easy way survey method was taken into
action. When designing another consideration was my questions were close-ended.
3.2 SAMPLING
Design
Sampling design is the plan designed to select the appropriate sample in order to collect the right
data so as to achieve more customer at the most. The focus is on the group as they represent the
core buyers. Secondly they are the target customer for the brands.
Sample size
My sample size is around 25. They were given a questionnaire regarding impact of brand
ambassador on consumer buying behaviour.
Sampling is a method that allows us to infer information about a population, without having to
investigate every individual. Percentage Analysis is used in this project. So the method used in
this report is simple random sampling where each member of population has an equal chance of
being selected.
Primary Data
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The data is been collected through questionnaire method as one just have to have answer the
question which is being asked. The data collected in first hand data. In this research paper all the
questions which are close ended as one just had to answer the question by given option Another
is by communicating towards them some of information is been collected.
Secondary Data
Some secondary data is also been used in order to collect the information about the topic. The
data which is basically collected from the net. Books, magazines etc.
In my case, I have used both primary as well as secondary sources of data. I have distributed the
survey as a tool of primary research. In this report also these two data helped me a lot in order to
get the information about the way a consumer buys the product looking at what kind of celebrity
is been endorsed to a given product.
SURVEY METHOD
Here the survey was been provided to different people with age group of 16- 65 in order to
know whether they do or don’t get impact by brand ambassador while purchasing the product.
In order for the survey to be both reliable and valid it is important that the questions are
constructed properly. My questions were written clear and easy to comprehend. In order to
measure Impact of Brand ambassador on consumer buying behaviour, a set of 10 questions was
mentioned and were distributed among approximately 25 people out of which 20 responded. The
survey i distributed was a closed ended questions.
My was cross-sectional survey, that means a researcher collects information from a sample
drawn from a population. It involves collecting data at one point of time. The period of data
collection can vary and it depends on the study weight age..
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Due to time constraints the study was restricted.
As there were more load of work, the respondent were not had a spare time to give a
little contribution to the survey.
Collecting information from different sources were time consuming.
Different and fluency in a language was also a type of barrier involved in the task.
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Data analysis is very important aspect of project, as it basically involves the analysis of all the
information that we collected. Data analysis is a body of methods that help to describe facts,
detect patterns, develop explanations. After analysis of each of the question in a survey the
interpretation of the same is also being provided which includes the reason about the particular
aspect of the organization.
1. Gender
GENDER
MALE
FEMALE
Observation:
In the above figure from 100% of population, there were 46% male and 54% female who were
participated in this survey. This participants had given their contribution towards the survey and
I got their opinions and got to know the sample size.
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2. Age Group
10
0
16 - 25 25 - 35 35 - 45 45 - 55 55 and above
Observation:
In the above graph , it explains that during survey the respondent age group were from 16 to 55
and above. As you can see that 16- 25 are the age which is highest among all of the age group.
The lowest lowest age group is 55 and above. The youth were so much interested rather then the
elder because they are more impacted by the brand ambassador who endorsed the product or
brand.
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3. Do you buy a product which is endorsed by a celebrity?
No. of consumer
Strongly Agree
Agree
No. of consumer
Neutral
Disagree
Strongly Disagre
0 2 4 6 8 10 12 14
Observation:
In the given figure, most of the respondent has given a neutral response and there very few who
are strongly agree to the question asked. But overall if you see
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4. Do you believe products specifically advertised by the celebrities are of good quality?
10%
23%
Yes
17% No
50%
Not sure
50%
Observation:
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5. What type of brand ambassador persuades you personal to purchase products?
20
18
16
14
12
10
0
Film star Famous personalities Cricketer
Observation:
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6. Does the presence of celebrities like Shahrukh khan, Amitabh Bachan and many more in
advertisement encourages you to purchase the product or service?
Encourage to buy
23%
33%
Yes
No
Not sure
43%
Observation:
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7. Do you think that ads having brand ambassador are more effective than those which
don't?
18
16
14
No. of consumers
12
10
0
Yes No
Observation:
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8. Will you stop buying a brand if your favourite celebrity endorsing it got involved in a
scandal?
12
10
8
Buying behaviour
0
Strongly disagree Disagree Neutral Agree Strongly agree
Opinion of consumer
Observation:
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9. If a celebrity you disliked was endorsing a brand you often purchase from, would this
change your interest?
20
18
16
14
12
10
8
6
4
2
0
Yes No Maybe
Observation:
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10. Do you believe the celebrities also use those products which they themselves endorse?
RESPONSE
20%
33%
Yes
No
Not sure
47%
Observation:
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11. Are you able to identify the product because of the celebrity associated with it?
RESPONSE
12
10
RESPONSE
6
0
Strongly Disagree Neutral Agree Strongly Agree
Disagree
Observation:
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Chapter 5. Conclusion
Brand ambassador has strong positive impact on Consumer buying behavior as its an implied
device that can change people buying behavior positively and teenagers are becoming more and
more conscious for branded products to show off their personality symbol. This is a real picture
of society that brand ambassador playing a crucial role to change the people buying behaviour. It
is suggested that companies that are targeting teenagers should focus more on developing their
brand image because it was found that most of the teens were influenced by it.
Consumers are very much enlightened about the various brands on the market and as such their
mage is very crucial when it comes to making a purchase decision especially at first time. Again
family, friends and reference groups do play a major role in affecting the purchase decision-
making of consumers.
It is finally concluded that there is a significant relationship between celebrity endorsement and
buying behavior. Respondent clearly conveyed that they do purchase those products and services
which are endorsed by the celebrities. Physical attractiveness, credibility of the celebrity with
references to endorsed advertisement all have impact on customer perception about he advertised
product. It also has been highlighted that celebrity endorsement advertisement boosting up the
sales and purchase of product, people like to buy the products more if endorsed by the celebrity
and it shows that today’s customer is aware and influenced by the media.
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It is finally concluded that there is a
significant relationship between
celebrity endorsement
and buying behavior. Respondents
clearly conveyed that they do
purchase those products and
services, which are endorsed by the
celebrities.
Results show that the celebrity
endorsement has reasonable impact
on customers as per their
attitude and buying intention. Physical
attractiveness, credibility and
congruence of the celebrity with
the reference to endorsed
advertisement all have impact on
customer perception about the
advertised
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product. It has also been highlighted
that celebrity endorsement
advertisements boosting up the sales
and purchase of product, people
like to buy the products more if
endorsed by the celebrity and it
shows that today’s customer is aware
and influenced by media.
It is finally concluded that there is a
significant relationship between
celebrity endorsement
and buying behavior. Respondents
clearly conveyed that they do
purchase those products and
services, which are endorsed by the
celebrities.
Results show that the celebrity
endorsement has reasonable impact
on customers as per their
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attitude and buying intention. Physical
attractiveness, credibility and
congruence of the celebrity with
the reference to endorsed
advertisement all have impact on
customer perception about the
advertised
product. It has also been highlighted
that celebrity endorsement
advertisements boosting up the sales
and purchase of product, people
like to buy the products more if
endorsed by the celebrity and it
shows that today’s customer is aware
and influenced by media.
CHAPTER 6. RECCOMENDATION & SUGGESTIONS
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Brand ambassador will be more effective when there are not frequent changes in
celebrities who are endorsing the products because that would further enhance the recall
When the ad execution is simple, clean and free of irrelevant design elements and the ad
characterizes catchy themes associated with the personality of the celebrity, it is much
A good number of respondents believe that the products advertised by brand ambassadors
are of good quality and that perception should be sustain in the mind of consumer.
It was revealed that among the various media vehicles TV is the most influencing media
persuading consumers to buy the products. But nowadays most of the consumer is in
social media platform as specially the youngster who spends time more then 5 to 6 hour
Brand ambassador should enhances product information and creates awareness among
Film stars are playing major role in creating an impact than Sports and famous
personalities. Recommending that the trend is been changing and now it’s the famous
personalities who can impact much on consumer buying behavior and the famous
Lastly, I would suggest it will be more effective when using a celebrity who is not
Bibliography
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https://www.researchgate.net/publication/
319529018_Impact_of_Celebrity_Endorsement_on_Consumer_Bu
ying_Behaviour
https://www.ukessays.com/essays/marketing/the-impact-of-
celebrity-endorsement-customers-buying-behaviour-marketing-
essay.php
https://www.slideshare.net/SanaKhan412/survey-questionnaire-on-
celebrity-endorsement
https://www.slideshare.net/dineshkumar49b/influence-of-celebrity-
endorsement-on-the-consumers-purchase-decision
www.consumerbehaviourwikipeadia.com
http://globalvisionpub.com/globaljournalmanager/pdf/1390559627.pdf
https://www.researchgate.net/publication/
282211655_Impact_of_Celebrity_Endorsement_on_Consumer_Bu
ying_Behavior
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Annexure
SURVEY
Hello everyone. My name is Rohan Hiremath. This is the survey on impact of brand ambassador on
consumer buying behaviour. It would be of great help if you could spare a few minutes to fill up this
survey. It is purely for academic purpose.
1. Gender
Female
Male
2. Age
16-25
25-35
35-45
45-55
55 and above
3. Do you buy a product which is endorsed by a celebrity?
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
4. Do you believe products specifically advertised by the celebrities are of good quality?
Yes
No
50%
Not sure
5. What type of brand ambassador persuades you personal to purchase products?
Film star
Famous personalities
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Cricketer
6. Does the presence of celebrities like Shahrukh khan, Amitabh Bachan and many more in
advertisement encourages you to purchase the product or service?
Yes
No
Not sure
7. Do you think that ads having brand ambassador are more effective than those which don't?
Yes
No
8. Will you stop buying a brand if your favourite celebrity endorsing it got involved in a
scandal?
Strongly disagree
Disagree
Neutral
Agree
Strongly agree
9. If a celebrity you disliked was endorsing a brand you often purchase from, would this change
your interest?
Yes
No
Maybe
10. Do you believe the celebrities also use those products which they themselves endorse?
Yes
No
Not sure
11. Are you able to identify the product because of the celebrity associated with it?
Strongly Disagree
Disagree
Neutral
Agree
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Strongly Agree
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