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they certifies the brand’s claim and position. The term Celebrity refers to an individual who is known to the public (actor, sports figure, entertainer, etc.) for his or her achievements in areas other than that of the product class endorsed (Friedman and Friedman, 1979). The basic assumption underlying celebrity endorsement is that the value associated with the celebrity is transferred to the brand and therefore it helps in creating an image that can be easily referred by consumers. As a result by association, the brand can very quickly establish the creditability, it can get immediate identification and thus can improve sales.
Research studies have proven that known products and names are sold more than unknown ones. Therefore, a known brand or an optimally exposed brand will find more recognition and buyers in the market in comparison to completely unknown or unexposed brand. And that’s why marketers make use of celebrities to influence consumers and sell products. They openly acknowledge the power of celebrity in influencing buyer's purchase decision. Marketers pay millions of dollars to celebrity endorsee hoping that the stars will bring their magic to brand they endorse and make them more appealing and successful. More or less every consumer has a brand preference and given the affordability and societal norms, each buyer would like to buy and consume one of the highly acceptable, recognizable, and reputed brands.
Celebrity endorsement is more likely to be observed for those products having a high priceproduction cost margin and on a large customer base. In short, celebrity endorsements are more typical for nationally marketed products then for local or niche market products and for
soft drinks and the like for which the price cost margins are apparently large. McCracken (1989). (Clark & Horstman. Experiments suggest that in certain situations. The ads which use celebrities are easy to recall by the viewers and helps to retain brands but today's dynamic market conditions may not always give a positive return on this expectation and thus making investments on celebrities is not always a good idea. . celebrities have credibility on expertise that makes the product more desirable or enhances perceptions of quality. defined Celebrities are people who enjoy public recognition and who often have distinctive attributes such as attractiveness and trustworthiness.products such as running shoes. the celebrity endorser’s image is transferred to the product so that those who use the product are associated with the image. celebrity endorsement can enhance recall and consume assessment of the products. Literature Review How celebrity endorsements affect consumer purchase decision is studied extensively by marketing and social psychology researches. Previous studies had revealed that consumers positively value the use of celebrity endorsers in the advertisements. 2003). Silvera and Austad (2004). Various hypothesis have been put forward including celebrity endorsement have recall of the product.
and music/jingle. Khatri (2006) studied that celebrity endorser is a panacea for all marketing woes. The star appeal however needs to be perfectly blended intelligently and strategically to reap the benefits and make brands . followed by brand name. But can also be a nightmare unless accompanied by a powerful idea. overall appeal. Sometimes the celebrities get more mileage from the endorsement than the product does. effective and impeccable positioning. It is today a frequently used approach in marketing for all brands building exercises. .It serves as an aid to expedite recall and influence purchase.Ohanian(1991) finds that in a market where advertising plays a vital role in coordinating consumer purchases. not only because endorsement fees continue to skyrocket. in the customer through an effective advertising campaign. but more importantly because high-powered marketing execs say their brands are being overshadowed by the high-profile celebrities who promote them. Advertisements being endorsed by celebrities are found to be less attractive and that the use of celebrities may not change the buying behavior of consumers significantly. Theory and practice proves that the use of superstars in advertising generates lot of publicity and attention. it becomes pertinent for companies to induct all possible measures to influence motivate and inculcate desire to purchase. A study by Sharma (2007) finds that nowadays consumer is not easily swayed by a celebrity in an ad but he needs full fledge information about the product also. Linda Orlando (2005) accordingly many companies are beginning to shy away from big names and get rid of celebrity endorsements altogether.
Gary Harwood (2004). urged brands to 'decelebritise' and focus on ideas. an international research agency. according to a research conducted by IMRB. the study identified the optimum celebrity 'fits' and the cases where celebrities overshadowed brand-building performance. it rather creates confusion for the consumer on the recall. Kolkata and Chennai. Indore and Lucknow. The use of celebrity for endorsements creates a very favorable impact on the consumer and it forces a consumer to purchase a product. Madurai. Delhi. Ranchi and Cuttack. and not celebrities. Concluding that ideas. build brands. Joshi & Ahluwalia (2008) finds that the use of celebrity for endorsements create a very favorable impact on the consumer and it creates a connect which forces a consumer to purchase a product. . across Mumbai. Research conducted by Bates in India that tracked consumer opinion on the 'relevance and effectiveness of celebrity advertising in building brands'. Ajmer. Mishra and Beauty (1990) Petty et al (1983) and Menon et al (2001) indicate that celebrity endorsements enhance brain recall. reveals that the most prominent ad are those with celebrities in it and it doesn’t influence consumer’s purchase pattern at any point of time. Dasgupta (2008).
Literature Review 3. other attractive celebrities did not.According to Agrawal & Kamakura (1995). This is because a change in tastes and preferences tend to take time. Becker and Murphy (1993). intended influence of any advertisement (especially those using endorsers) on the purchase or the increase in the purchases of the product should be treated as a change in demand rather than a change in consumer tastes or preferences. Research Hypotheses 5. Research Objectives 4. Kamins (1990) found that attitudes toward ads and products became favorable as celebrity endorser’s attractiveness increased. while the impact of advertisements is of a short term nature TABLE OF CONTENT 1. the use of celebrities in advertising has proven to be profitable in the past since the announcement of a celebrity endorsement contract has been shown to actually increase the value of a company’s stock portfolio. according to them. Result and Discussion . Till and Busler (1998). Till and Shimp (1998) found that although a number of celebrity endorsements turned out to be very successful. Introduction 2.
Research Methodology 7. Preferred Celebrities for Retail Brands Comparison of Actors with Sportspersons Preferred Product Category for Celebrities for Retail brands 6. References Celebrity Endorsement in Television Advertising: A Study On Viewer’s Perception . Limitation and Scope for Future Research 8.
which heightens the purchase intention and consequently.Introduction:. applied this strategy in the early 1950s. by a British actress. Scholars have also .Celebrity endorsement in advertisements started its journey with the endorsement of pears soap. social status. in 1893. To make product visible. Lillie Langtry (Bergstrong and Skarfstad. In India. It is perceived as a winning formula for building corporate and brand image. increase the sale. But everything is not hunky-dory. Celebritie’s word-of-mouth helps in positioning and repositioning a brand by extending their personality. Cinema and television have particularly extended the scope of endorsement as an advertising technique. If a celebrity can aggrandize the merits of a brand. It is often seen as an integral part of the integrated marketing communication. almost every company. and/or expertise in the field of the brand. positive attitude towards the brand. Marketers overtly acknowledge the power of celebrities in influencing consumerpurchasing decisions. the use of celebrity-endorsed advertisement has become a common tool among the advertisers. in general celebrity endorsement influences the consumer percetion and attitude towards the advertisement and the brand. then known as Hindustan Lever Limited. runs after popular celebrities. popularity. (HUL). celebrities are after all mere mortals made of flesh and blood like us. the FMCG giant Hindustan Unilever Ltd. It is a ubiquitously accepted fact that celebrity endorsement can bestow special attributes upon a product that it may have lacked otherwise. Research has shown that. to develop a prepurchase. In recent years. now-a-days. he or she can also exacerbate the image of a brand. Lux. for their beauty soap. 2004). and to generate new demand.
sports and televion to promote their products and services. The study finds that …………………………. Literature Review : A study by Balakrishnan and Kumar (2011) focused on identifying the influence of celebrity endorsements on the purchase attitude of the consumers. The study finds that …………………… Y. The celebrity used in various ads are mostly film stars and sports persons. They try to use the fame of celebrities in the field of film. 1999). A study by Pughazhendi ( 2011) aimed at investigating celebrity based advertisements on the purchase attitude of consumers towards durable products in reference to the city of Coimbatore.argued that celebrity-endorsers are more effective than non-celebrity-endorsers in terms of arousing the intension to purchase and creating the actual sales (Erdogan. Majumder(2010) Studied celebrity endorsement has become popular among advertisers all over the world. Madhuri Srinivas(2011) studied the extent of changes in brand preferences of people due to one exposure to a television advertisement. The present study seeks to examine the demografic aspects of popular celebrities and the effectiveness of the celebrity-endorsed TV ads. . Finding of the study showed that some of the selected advertisement could bring about a significant changes in the brand preferences of people through just one exposure to the advertisements which all the more emphasizes the importance of the design of an advertisement and the cost-effective selection of media.
pleasantness. The factors that customers perceived to be important in selecting the celebrities for retail brands were proficiency. distinctiveness. There are many studies that have been conducted on celebrity endorsements. The preference for celebrities was more for sensory products than cerebral products. For the present study. Television Audience Measurement (TAM) Media Research found a 49% growth in celebrity advertising in 2007. Its target audience is mainly youth who constitute 50% of the Indian population. It surely brings the brand increased media exposure. Retail brands need to be positioned for this segment. reliability. and one of the strategies used is celebrity endorsement. Aarzoo Daswani(2008). if designed with a clear understanding of the target audience.The study has revealed that the advertisers should develop celebrity-endorsement strategies for TV ads. Jain and Sudha(2009) The retail sector is one of the fastest moving sectors in India. sanyukta A. The present study aims to mitigate this gap in the existing literature.Gaulkar PGDBM12005-07 Welingkar Institute of Management Development & Research . approachability and non-controversial. was employed on a sample of 186 respondents. but there is no study which has been done exclusively to understand the perception of consumers about celebrity advertising for retail brands. using a structured questionnaire.Kulkarni Sahir U. The findings of the study revealed that customers prefer female celebrities over male celebrities. elegance. the survey method. Customers want celebrities to entertain them as well as give information pertaining to the products in the advertisements. with a clear demografic perspective of the target audience.
L. Corporate credibility along with endorser credibility plays a significant role in the attitude of the consumer towards the brand and the advertisement respectively. the over popularity of the celebrity sometimes overshadows the brand. it tends to create confusion among consumers and hence negatively affects the perception of the advertisement and the brand. Matunga (CR). to say clearly whether the practice of celebrity endorsement impacts positively or negatively to the brand still remains a debate. there are few undesirable impacts of this practice on the brand. Source Attractiveness Theory and Meaning Transfer Theory' provide a basis on which the methodology of celebrity endorsement works and also explains how the process of the celebrity endorsement influences the minds of the consumers. On the other hand. getting the right celebrity to endorse the right brand. The issue of matching the values of the celebrity with the brand values is also very important. Research Objectives : . Although it has been observed that the presence of a well-known personality helps in solving the problem of over communication that is becoming more prominent these days. Today 'Celebrity Endorsement' has attracted immense debate on whether it really contributes to the brand building process or whether it is just another lazy tool to make the brand more visible in the minds of the consumers.e. However there lies uncertainty with respect to the returns that the company might be able to garner for the brand. Firms invest huge amounts as advertising expenditure for hiring the right celebrity. Hence. Napoo Road. Mumbai–400 019 Studied. i. The theories like 'Source Credibility Theory. This makes endorsement as one of the indictors of quality for any brand. Consumers perceive the brand as having superior quality because it has been endorsed by a credible source. If the celebrity is involved in multiple endorsements.
The Study has on the following key issues: 1. and 4. The newly evolved model should lead any brand towards the success of strategic branding from an endorsement aspect. SAMPLING FRAME: All the corporate executive of service sector of Indore city. The role of celebrity-endorsed add in the consumer’s decision-making process. This study explores the link between brand and the consumer psyche and finally comes up with a model which can help any brand to identify the key areas to concentrate on while going for any celebrity endorsement. . 3. The major characteristics of celebrity endorser RESEARCH METHODOLOGY The project titled “ A Study of Relation of Emotional Intelligence to Job Satisfaction among Corporate Executives” shall be the result of exploratory research UNIVERSE. 2.The objective of this study are to reveal the impact of celebrity endorsement in TV advertisement on brand image and to find out the most prominient factors that play a key role in the success of a celebrity endorsement. The attitude of consumers towards celebrity endorsed ads. The demographic factores behind the attitude development.
DATA COLECTITON: The task of data collection begins after a research problem has been defined and research design chalked out. and Chi-Square test and correlation. . The respondents will be selected by purposive sampling and convenience sampling method SAMPLE SIZE: Sample size of 100 employees is taken in study. • Sources of secondary data1) Magazines 2) websites 3) Books 4) Journals DATA ANALYSIS: The data will be analyzed using appropriate statistics.SAMPLING METHOD: The present research is to be conducted on a sample of 100 respondents from service sector . Hypotheses shall be tested by using t test. There are two types of data primary as well as secondary data. as follows: • Sources of primary data1) Observation 2) Self Design questionnaire which would be designed with the help of mentor shall be administrated on foresaid employees. The scale would be developed on liker scale having employees option on summated scale between the score of 1 to 5.
Indrani Majumdar* and Debiprasad Mukhrjee* Varsha Jain*.com/occasional_papers/op88/op88.indianmba.wbiaus.pdf http://www. i.%20Shalini.html . Mari Sudha** and Aarzoo Daswani*** http://www. Similar studies can be conducted in other cities. Print media can also be used for conducting a similar study.. towns and villages of India to find out if there is any change in the perception of the customers. Madhuri Srinivas*.Limitation and Scope for Future Research: One of the limitations of the study is that it is carried out in only one city of India. References : (Should be in alphabetical order and in proper format) Y.e. This study has used only one media for the research work. television.org/8.
but may not influence buying: A Study”. Iss. No. Celebrity endorsements.htm Friedman.2005-07-07.ca/ihorstmann/JEMS. 56-63. (1995).. "Endorser Effectiveness by Product Type. 19 (5). I. 2009 Agrawal and Kamakura. Chicago.utoronto. Clark. 108. Vol. Kevin M. Article from Bizcommunity. Wagner A. VI. 2. Hershey H.Shalini Kumar**( World Review of Business Research Vol. Vol. 63-71." The Quarterly Journal of Economics. Vol." Journal of Advertising Research. 98 . Becker. C. “Celebrities aid brand recall. Gary Harwood(2004). and Linda Friedman (1979). 3 & 4. pg. 3.R. & Horstmann.112) The IUP Journal of Brand Management. pg.pdf].clark. 4. 941-965.rotman." Journal of Marketing. and Murphy. Dasgupta (2008).com/branding . May 2011 Pp. Nos. "The economic worth of celebrity endorsers: An event study analysis. Gary S. 1. from The Financial Express. "A simple theory of advertising as a good or bad. 59. (1993).Lalitha Balakrishnan* and C.J. “Do celebrity endorsements build brands”. (2003). Iss. Unpublished manuscript [http://www.
“The Impact of Celebrity Endorsements on Consumer Brand Preferences”.1 • No. “Journal of advertising Research. “An Investigation into the "Match-Up" Hypothesis in Celebrity Advertising: When Beauty May be Only Skin Deep”. Roobina (1991). G. Indian Media Studies Journal • Vol. “Celebrity Endorsement: A Strategic Promotion Perspective”. M. “The Impact of Celebrity spokespersons” Perceived Image on Consumers’ Intention to purchase.indianmba. Beatty. 31(1).. Journal of Business Research. Journal of Advertising. 310 .321 Misra.Joshi & Ahaluwalia (2008). 46-53. 19..com . from www. Journal of Consumer Research. (1989). 21 (1990) pp159-173.1.com/FacultyColumn Kamins.S and S. July-Dec. (1) 4-13. Article from Buzzle. 2006 McCracken. Orlando Linda (2005) “Celebrity Endorsements Selling Companies Short”. Ohanian. pp. “Who is the Celebrity Endorser? Cultural Foundations of the Endorsement Process”. A. (1990). Volume 16 December. Khatri (2006). “Celebrity spokesperson and Brand Congruence”.
Till.. “Factors predicting the effectiveness of celebrity endorsement advertisements”.Petty.” Journal of Advertising. D.indianmba. B. Brian D and Terence A. Cacioppo. European Journal of Marketing 38 (11/12): 1509–1526.. and Austad.com/Faculty Column Silvera. Journal of Consumer Marketing 15 (6). (2004). D. Till. and D. R. H.E. J. Busler (1998). “Matching Products with Endorsers: Attractiveness versus Expertise”. 1983. Schumann. . and M. from www. T. “Celebrities don't affect consumer decision making. B. 576-86. Journal of Consumer Research 10(2): 135-146.Shimp (1998) “Endorsers in the case of Negative Celebrity Information. says study”. Sharma Sandhir (2007). Central and peripheral routes to advertising effectiveness: The moderating role of involvement.
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