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a A Major Research Project Report On “CONSUMER BEHAVIOUR” For The Partial Fulfillment Of Master of Business Administration 2013-15 SUBMITTED TO :- SUBMITTED BY:- Dr. Namrata Gupta Nipul Sharma H.O.D. of Mgmt. Dept. MBA IV Semester Roll No. 3193760 MAHARANA PRATAP COLLEGE OF TECHNOLOGY, GWALIOR (M.P.) Putli Ghar Road, Near New Collectorate, Gwalior, Madhya Pradesh 474006
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Page 1: Um a Shankar

a

AMajor Research Project Report

On“CONSUMER BEHAVIOUR”

For The Partial Fulfillment OfMaster of Business Administration

2013-15

SUBMITTED TO :- SUBMITTED BY:-Dr. Namrata Gupta Nipul SharmaH.O.D. of Mgmt. Dept. MBA IV Semester

Roll No. 3193760

MAHARANA PRATAP COLLEGE OF TECHNOLOGY, GWALIOR (M.P.) Putli Ghar Road, Near New Collectorate, Gwalior, Madhya Pradesh 474006

DECLARATION

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This is to declare that the Major Research Project Report has been

accomplished by me and being submitted in partial fulfillment of

requirement for the award of the Degree of Master of Business

Administration from Maharana Pratap College of Technology,

Gwalior.

The work has not been submitted by me anywhere else for the

award of any degree or diploma.

Date: Nipul Sharma

Place: MBA IV Semester

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GUIDE CERTIFICATE

It is certified that the Major research Report entitled,

“CONSUMER BEHAVIOUR” is submitted by Mr. Nipul

Sharma for partial fulfillment for the award of the

degree of Master of Business Administration of

MAHARANA PRATAP COLLEGE OF TECHNOLOGY,

GWALIOR (M.P.).

Date : Dr. Namrata Gupta

Place: H.O.D. of Management Dept.

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ACKNOWLEDGEMENT

It gives me immense pleasure to express my deep

sense of gratitude to Dr. Namrata Gupta, H.O.D. of

Management Dept., MAHARANA PRATAP COLLEGE OF

TECHNOLOGY, GWALIOR for his valuable guidance and

consistent supervision throughout the course.

Finally I am indebted to our other faculty

members, my friends and my parents who gave their

full-fledged co-operation for successful completion of

my project.

It was indeed learning experience for me.

Nipul Sharma

MBA IV Sem.

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TABLE OF CONTENTS

CHAPTER 1: -INTRODUCTION /CONCEPTUAL FRAMEWORK

CHAPTER 2: -LITERATURE REVIEW

-RATIONALE

-OBJECTIVE

CHAPTER 3: - RESEARCH METHADOLOGY

-UNIVERSE

-SAMPLE

-HYPOTHESIS

-RESEARCH DESIGN

-TOOLS FOR DATA COLLECTION

-TOOLS FOR DATA ANALYSIS

CHAPTER 4: - RESULT AND DISCUSSION

CHAPTER 5: -CONCLUSIONS

-IMPLICATIONS

-LIMITATION

-SCOPE FOR FUTURE WORK

REFERENCES: -BIBLIOGRAPHY

-WEBLIOGRAPHY

ANNEXURES: -QUESTIONNAIRE

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Chapter – 1

INTRODUCTION/CONCEPTUAL FRAMEWORK

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Introduction/Conceptual Framework

The effect of celebrity endorsement on consumer buying behavior, with special

reference to bike segment undertakes a applied research in which the study of

effect of celebrity use in advertisements of bike. This study will focus on the

impact of celebrity on consumer buying behavior and their impact on consumer

decision.

Celebrity endorsement is a special type of advertisement which includes a famous

person from film fraternity, athletes, and sports, modelling world etc. it helps in

promoting the product brand and also increasing the sales of the product. Celebrity

endorsement not only has developed in recent years, it is being used from the past

for promoting the product. This type of marketing strategy is used to promote the

product and has proved in itself a boon in advertising world. It is mainly used to

influence the consumer who comes across these advertisements as it is accessed in

the consumers mind for many days even after the advertisement. Celebrity

endorsement has not always helped in promoting the product but it has been

developed considerably over the years. It is very expensive to endorse a celebrity

for a product but in the long run it has helped in increasing the sales of the product.

Celebrities are also interested in endorsing themselves in the product as they get

compensation for it and their image is been developed considerably. Businesses

have long sought to distract the attention of the potentials customers that live in a

world of ever increasing commercial bombardment. Everyday consumers are

exposed to thousands of voices and images in magazines, news paper, and on

billboards, websites, radio and television .Every brand attempts to steal a fraction

of an unsuspecting person‘s time to inform him or her of the amazing and different

attributes of the product at hand.

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Because of the constant media saturation that most people experience daily, they

eventually become numb to the standard marketing techniques.

The study is to be done within the purview of certain variables which will clearly

underline the factors which affect the consumer buying decision and would help in

the study of effect of celebrity endorsement on consumer buying behavior & the

corresponding factors involved in it.

There are various variables (factors) which is affect the decision of consumer use

of celebrity in advertisements.

Various studies suggest that the overall cost of attracting new customers in the

market is much higher as compared to retaining existing ones, thus companies

must seek both to develop an effective and efficient communication with their

existing consumers along with attracting potential customers utilizing its marketing

mix.

It is a known fact that the best endorsements achieve an eclectic 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. 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. And clever marketers leverage this very

celebrity appeal and are successfully carrying out their jobs by giving the bottom

lines of all 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

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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 manifolds 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. The growing importance of

mythical characters as celebrities and their sway over the target segments are

ample proof of public demand for icons to look up to. 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.

Does anyone buy a product because a Bollywood or TV actor/actress stands up and

reads a script in somewhat convincing manner? Are their distinctions in how

consumers perceive these types of endorsements and respond to them?

What happens when a celebrity endorser gets involved in a public scandal, or

worse, dies? Will the product lose consumer support or perish?

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.

The four Qs:

Quick saliency: It gets cut through because of the star and his attention getting

value. Goodlass Nerolac has ensured high saliency for its brand with the inclusion

of Amitabh Bachchan in its advertising.

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Quick connect: There needs to be no insight but the communication connects

because the star connects. Sachin, Shah Rukh and their ilk's ensure an easy connect

for Pepsi with the youth.

Quick shorthand for brand values: The right star can actually telegraph a brand

message fast without elaborate story telling. 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.

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.

Convincing clients.

Types of Celebrity Endorsements

Celebrity branding has many aspects. A slight change in the type of branding used

can result in either a great success or a dismal failure. Celebrity branding falls into

five general categories:

Testimonial: The celebrity acts as a spokesperson for the brand.

Imported: The celebrity performs a role known to the audience.

Invented: The celebrity plays a new, original role.

Observer: The celebrity assumes the role of an observer commenting on the

brand.

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Harnessed: The celebrity's image is integrated with the ad's storyline.

Objectives of Marketing Communications

Defining the objectives of the advertisements is the first step. In general, there are

four major objectives for any advertisement. Note that not all advertisements need

to have all the objectives.

1 Establish the product need

stablishing a need for a product or a product category is the necessary first step.

This is more important in new-to-world category of products In Indian context,

consider the advertisement for Polio Immunization drive - the TV advertisement

featured Amitab Bachan telling that immunization is a must for every child - while

people suffering from polio are shown in the background along with healthy kids.

This advertisement used a celebrity to create the need for polio immunization.

Another good example is Toyota’s advertisement of Innova in India. The TV

advertisement prominently shows Amir Khan playing different roles while

traveling in an Innova. The different roles - establish the need for such a big car in

India. ( Note that Indian car market is dominated by small cars - which can seat

only four adults, Toyota wanted to establish the need for a 8 seater car in India)

2 Create Brand Awareness

Once the need for a product is established, customers must be able to associate the

brand with the product category. For example iPod is strongly associated with

portable MP3 players, Nike with sports shoes etc.

A classic example of this is Nike’s use of Michael Jordan advertising for Nike.

This advertisement instantly created a strong association of Nike with basketball

shoes.

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3 Set customer expectations

Brand value comes from the customers experience with the product. If the product

meets or beats his expectations, then a positive brand image is created, else a

negative brand image is created. Therefore it is essential to set the customer

expectations accordingly. This is most common in established consumer products -

Beauty products, household cleaning products, food products etc.

4 Create a purchase intention

These are marketing promotion advertisements - Buy one, get one free, or get

additional discounts if you buy within a particular date etc.. The sole purpose of

such communication messages is to encourage customers to buy immediately or

within a short period after seeing Use of celebrity endorsements to create a

purchase intention has been very limited. This is mainly because such

advertisements adversely affect the personality brand value of the celebrity. Being

associated with a discount deal is not favorable image for the celebrity and the

customer.

Variable definitions:-

Advertising

Advertising is any paid form of non personal presentation and promotion of ideas,

goods, or services by identified sponsor.

Consumer

Consumers as individuals generally purchase products or services for personal

consumption for his/her own use, household or gift. It means they are identified as

end users.

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Celebrity

McCracken's (1989) defines a celebrity as, "any person who enjoys a public

recognition and who utilizes this recognition on behalf of any consumer product by

coming along with it in an advert.” As per (Friedman and Friedman, 1979), a

celebrity is an individual who is a ‘Globally famous and renowned icon’ among

populace in cosmopolitan societies. He can be an entertainer to the public, a movie

superstar, a television actor or a sportsman, etc owning special entertaining

qualities respectively.

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Chapter- 2

Chapter 2: Review of Literature, Rational and Objectives

2.1 -LITERATURE REVIEW2.2 -RATIONALE2.3 -OBJECTIVE

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2.1 - LITERATURE REVIEW

Research is a systematic method of finding solutions to problems. It is essentially

an investigation, a recording and an analysis of evidence for the purpose of gaining

knowledge. According to Clifford woody, “research comprises of defining and

redefining problem, formulating hypothesis or suggested solutions, collecting,

organizing and evaluating data, reaching conclusions, testing conclusions to

determine whether they fit the formulated hypothesis”

What are the real factors which change the consumer purchasing decision?

Celebrity brand image?

Look?

Personality?

Cool Avenues, 2005

Friedman and Friedman also found empirical evidences that, in advertising and

promotion of products which are high in psychological and/or social risk, use of

celebrity endorser can lead to an authentic believability and a more favorable

assessment of the product and the advertisement, which can significantly lead to a

more positive purchase intention by the customer.

According toVeer, Ekant Becirovic, Ilda Martin, Brett A. S.

A research on “The role of celebrity endorsements in political party advertising”

has been conducted with the aim of determining, if celebrity endorsers in political

party advertising have a significant impact? They found that to incorporate the use

of celebrity endorsements in political party.

The results show that low political salience respondents were significantly

more likely to vote for the political party when a celebrity endorser is used.

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According to Choi, Sejung Marina Rifon, Noraj

A research on “Does celebrity endorsement still work?” The article provides a

research study of the positive impact of celebrity endorsers in the society in the

field advertising. The research is carried out in three phases including exploratory

phase that qualitatively measures self-concept, brand image, and credibility. The

article states that celebrities draw more attention to the advertisements they appear

in and brands they are associated with and can create, enhance and change brand

images. The article mentions that the celebrities who represent up-to-date and

dominant values in a fragmented and diverse society might facilitate the existence

and evolution of the cultural entity.

Thus considering the above base of knowledge further study of the topic has been

done with an aim of analyzing the feasibility of the above stated conditions and

their impact on the consumer and their buying decision.

As per Atkins and Block (1983), a research on effectiveness of celebrity

endorsement found that celebrities may be influential because celebrities are

viewed as dynamic with both attractive and likable qualities. In addition to this

their names and fame is thought to attract attention to the product or service they

are endorsing.

Pandey (2010)in his study “Impact of celebrities multiple product endorsements on

buyer’s attitude and purchase intentions”study that the aim of advertiser is to make

their product distinct and so valuable that the customer becomes a repeat buyer.

Aggarwal (2009)in his study “brand ambassadors and their impact on consumer

behavior: A case study of mobile companies in India” study that the choice of

celebrities to fulfill that role has become common practice for brands competing in

today’s cluttered media advertisements. Recently, two of it giants, hp and Lenovo

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signed Bollywood stars, shah rukh khan and saif ali khan as their brand

ambassadors.

The term celebrity refers to an individual who is known to the public (actor

figure, entertainer, etc.) for his or her achievements the areas other than that of the

product class endorsed (Friedman and Friedman, 1979). Celebrities appear in

public in different ways. First, they appear in public when fulfilling their

profession, e.g., Viswanathan Anand, who plays chess in front of the audience.

Furthermore, celebrities appear in public by attending special celebrity events, e.g.,

award ceremonies, Inauguration or world premieres of movies. In addition, they

present in news, fashion, magazines, and tabloids‘, which provide second

information on events and the private life of celebrities through mass media

channel (e.g., Smiriti Irani being regulated featured in various publications). Last

but not the least, celebrities act as spokes-people in advertising to promote

products and services, which is referred to celebrity endorsement.

(http://pakistanmba.jimdo.com )

Celebrity is 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. E.g. A bandit queen of chambal valley was very

famous, but was terror before her surrender to police. But she never becomes

celebrity. But an actress Ms Seema Biswas who acted in film on "Bandit Queen"

on life of that bandit, became very famous and a Celebrity. They pull crowds with

their presence only. If it is understood that BIG B is coming for shooting a film, to

a particular location on a particular day , then there is big commotion in that area.

Police worry about law and order situation, even young generation throng there in

big nose to have glimpses of BIG B and even wait since early morning leaving

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aside their. Celebrities are people who enjoy public recognition by a large share of

a certain group of people. Whereas attributes like attractiveness, extraordinary

lifestyle or special skills are just examples and specific common characteristics

cannot be observed, it can be said that within a corresponding social group,

celebrities generally differ from the social norm and enjoy a high degree of public

awareness.

(McCracken, Grant (1989), "Who is the Celebrity Endorser?" Journal of ConsumerResearch, 16 (December), 310-321

A product endorsement is a form of testimonial from someone which indicates that

they like or approve of a product. Commonly, product endorsements are solicited

from people who are socially prominent, allowing companies to advertise their

products with statements like as used by such-and-such an actress, or the official

product of company/event X. It's hard to miss a product endorsement on product

packaging and in advertisements; most companies keep their endorsements front

and centred so that they are always in the public eye. The concept of the product

endorsement is quite ancient. In England, for example, several companies have

been advertising themselves as by appointment to the Queen for hundreds of years,

indicating that they enjoy the patronage of the British royal family. Consumers are

often seduced by the idea of purchasing a product which is endorsed by someone

wealthy or famous, as though by buying the product, the consumer also becomes

affiliated with the person who endorses it. Modern product endorsements can come

with contracts worth substantial amounts of money. For example, many sports stars

agree to participate in product endorsement campaigns with the understanding that

the company will compensate them for the trouble; some stars donate the proceeds

to charities they support, using the product endorsement as a public relations

campaign. In exchange for an endorsement contract, someone may agree to use the

product publicly whenever possible, and they may be restricted from using

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products made by a competitor. A product endorsement doesn't necessarily mean

that a product is good. It just means that the company has managed to work its

public relations connections to get a big name associated with it. While most

people and organizations will try out a product before they agree to endorse it, this

isn't always the case, and you shouldn't rely on endorsements to speak to the

quality of the product, especially if you are concerned about issues like illegal

labour or adulterated products. Some endorsements take the form of written

testimonials, where people write about how the product changed their lives.

Historically, such testimonials were often printed on the product packaging

directly; modern testimonials are more commonly included in advertising

campaigns, with excerpts only on the packaging. Many companies also use

photographs of famous people on their products to create a visual connection

between the endorser and the product, which is why sports stars appear on your

cereal box. The modern mass media has increased the exposure and power of

celebrity. Often, celebrity carries with it immense social capitals that is highly

sought after by some individuals. High paying jobs and other social perks

unavailable to most people are readily available to celebrities, even for wok not

connected to the talents or accomplishment that made them famous. For example -

A retired athletes might receive high speaking fees or compensation for public

appearances, despite his talent having been sports, not oratory, while some envy

celebrities, and many aspire to celebrity, some who have attained it are ambivalent

about their status. Often, celebrities cannot escape the public eye, and risk being

followed by fans. As well, child celebrities are notorious for having poor emotional

health in adulthood, and often turn to drug and alcohols abuse when their celebrity

(as it usually does) fades.

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(Erdogan (1999), "Celebrity Endorsement: A Literature Review", Journal of

Marketing Research, 15, 291-314)

Attribution theory and endorsement effectiveness

Although past research documents a general tendency for consumers to believe in

the purity of the motives of celebrity endorsers, it is likely that this tendency varies

substantially both across consumers and across endorsers. For example, Tripp

showed that celebrities who endorse several products are viewed as less credible

endorsers than those who endorse only a single product. Also demonstrated that

celebrities who are blamed for negative events (e.g. accidents) can have

detrimental effects on the products they endorse. In short, the effectiveness of a

celebrity endorser is dynamic, dependent on the celebrity, the product, and perhaps

even societal conditions at the time and place where the advertisement is shown.

As such, it could be fruitful to abandon the use of traditional measures of the

celebrity endorser's trustworthiness or credibility in general in favor of directly

measuring the degree to which individuals evaluate the celebrity as liking the

endorsed product after viewing the advertisement. Such evaluations fit under a

class of judgment that has been referred to as “correspondent inferences”

Correspondent inferences more generally refer to any judgment in which observers

use an individual's behavior (e.g. an endorser saying that she loves Cheerios cereal)

to infer congruent dispositions in that individual (e.g. inferring that the endorser

actually does love Cheerios cereal). We propose that correspondent inferences are

a direct measure of a celebrity's credibility in the specific context of the

advertisement, and thus should predict consumers' attitudes toward the advertised

product.H1. =Correspondent inferences will be positively associated with attitudes

toward the advertised product. Another interesting question in this context is

whether consumers will tend to make correspondent inferences about celebrity

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endorsers. Early social psychological work in attribution theory suggests not – a

large endorsement fee should be viewed as a strong incentive toward endorsement

behavior, and thus observers should doubt that endorsements reflect true liking for

the product on the part of the endorser. However, research indicating that

celebrities are especially credible and trustworthy endorsers (e.g. Freiden, 1984)

suggests that consumers might believe celebrities like the product regardless of

endorsement fees. Furthermore, research examining a phenomenon called

“correspondence bias” suggests that observers are biased such that they tend to

attribute behavior to personal characteristics of the individual performing that

behavior (e.g. liking for the product) even when situational factors (e.g.

endorsement fees) are sufficient to fully explain the behavior.

2.2 -RATIONALE

The rationale behind the study is to add to the already existing stock of knowledge

and taking into consideration the left over variables and providing an entirely new

dimension to it.

Advertising is any paid form of non personal presentation and promotion of ideas,

goods, or services by identified sponsor. Marketer uses the brand image of

celebrity it positioning the product in consumer mind.

Over object for research is Does people purchase a bike after watch a celebrity in

the advertisement and get influenced by them?

It is a known fact that the best endorsements achieve an eclectic balance between

the product 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

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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. 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. You can do this cleverly by aligning the spirit of the

brand to the product, or by using a celebrity because it ensures that people will

notice you, and hopefully remember what the brand is saying. Smart associations

are ones where the former happens.

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2.3 –OBJECTIVE

1 To find the effect of celebrity endorsement on consumer buying behavior for

purchasing a bike.

2 To identify the most influential celebrity for bike endorsement.

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Chapter- 3

METHADOLOGY

3.1- RESEARCH METHADOLOGY

3.2 -UNIVERSE

3.3 -SAMPLE

3.4 -HYPOTHESIS

3.5 -RESEARCH DESIGN

3.6-TOOLS FOR DATA COLLECTION

3.7 -TOOLS FOR DATA ANALYSIS

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3.1- RESEARCH METHADOLOGY

Research is a systematic method of finding solutions to problems. It is essentially

an investigation, a recording and an analysis of evidence for the purpose of gaining

knowledge. According to Clifford woody, “research comprises of defining and

redefining problem, formulating hypothesis or suggested solutions, collecting,

organizing and evaluating data, reaching conclusions, testing conclusions to

determine whether they fit the formulated hypothesis”

Simple random sampling is used for this study. This is Applied Research.

3.2 –UNIVERSE

The universe chooses for the research study is the 18 to 30 age group people of

Indore.

3.3 -SAMPLE

A sample design is a finite plan for obtaining a sample from a given population.

Simple random sampling is used for this study.

a. SAMPLE SIZE : 200 Respondents from each institute.b. UNIT : Indorec. NO. OF QUESTIONS : 18

Sampling Procedure:

The procedure adopted in the present study is random sampling, select respondent

randomly from population.

3.4 –HYPOTHESIS

There is no impact of celebrity endorsement on consumer buying behavior for

Purchasing a bike.

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3.5 -RESEARCH DESIGN

The study all about celebrity endorsement effect on consumer buying behavior. It

required primary data and it collect from the various young employee of

organization of Indore like student, Business Man, Employee between the age of

18 to 30 year.

3.6-TOOLS FOR DATA COLLECTION

-PRIMARY SOURCE:

Primary data are in the form of “raw material” to which statistical methods are

applied for the purpose of analysis and interpretations. The primary sources are

discussion with employees, data collected through questionnaire.

- QUESTIONNAIRE:A well defined questionnaire that is used effectively can gather information on

both overall performance of the test system as well as information on specific

components of the system. A defined questionnaire was carefully prepared and

specially numbered. The questions were arranged in proper order, in accordance

with the relevance.

- NATURE OF QUESTIONS ASKED :

The questionnaire consists of multiple choice and likerd scale, variable assessing

questions.

-PRE-TESTING:

A pre-testing of questionnaire was conducted with 10 questionnaires, which were

distributed and all of them were collected back as completed questionnaire. On the

basis of doubts raised by the respondents the questionnaire was redialed to its

present form.

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- SAMPLE:

A finite subset of population, selected from it with the objective of investigating its

properties called a sample. A sample is a representative part of the population. A

sample of 200 respondents in total has been randomly selected. The response to

various elements under each questions were totaled for the purpose of various

statistical testing.

-VARIABLES OF THE STUDY:

The direct variable of the study is the effect of celebrity endorsement indirect

variables are the market image, perception, personality, attachment.

3.7 -TOOLS FOR DATA ANALYSIS

The tool used in the analysis of data would be

‘Z’Test

The data are presented through bar charts.

Data also presented through tables.

Based on above interpretation and inferences are drawn.

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Chapter- 4

RESULT AND DISCUSSION

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MAJOR RESULT

We have two objectives

1 To find the effect of celebrity endorsement on consumer buying behavior for

purchasing a bike.

2 To identify the most influential celebrity for bike endorsement. For this we

make Hypothesis which is there is no impact of celebrity endorsement on

consumer buying behavior for purchasing a bike.

QUESTIONNAIREFor objective firstrating range from 1 to 5 where stand for

1 Strongly Disagree.

2 Somewhat Disagree.

3 Neutral.

4 Somewhat Agree.

5 Strongly Agree.

1. Celebrity endorsing is the motivating factors when you plan to buy a Bike?

1. □ 2. □ 3. □ 4. □ 5.□

2. Do you believe Bike specifically advertised by the celebrities is of good

quality?

1. □ 2. □ 3. □ 4. □ 5.□

3. Celebrity is the most persuading factor to purchase the Bike?

1. □ 2. □ 3. □ 4. □ 5.□

4. Bike companies are investing large amounts of money for using celebrities; do

you think its helping them to increase their total revenue?

1. □ 2. □ 3. □ 4. □ 5.□

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5. Does the presence of celebrities like John Abraham, Amir Khan or Dhoni in an

advertisement encourage you to purchase Bike?

1. □ 2. □ 3. □ 4. □ 5.□

6. Do you believe the celebrities also use those products which they themselves

endorse?

1. □ 2. □ 3. □ 4. □ 5.□

7. Do you give value celebrity endorsement when purchasing a Bike?

1. □ 2. □ 3. □ 4. □ 5.□

8. Does celebrity endorsement help in brand promotion?

1. □ 2. □ 3. □ 4. □ 5.□

9. As a celebrity, do you look to buy products that are endorsed by celebrity?

1. □ 2. □ 3. □ 4. □ 5.□

10. Any quality of celebrity like Success, Personality, Attractiveness, and

Nationality eg Indian Celebrity, Status about the celebrity would influence your

decision to buy?

1. □ 2. □ 3. □ 4. □ 5.□

11. Would you be prepared to pay more for a Bike which is advertised by a

celebrity endorser?

1. □ 2. □ 3. □ 4. □ 5.□

12.Would you consider a Bike to be of a high quality if it was endorsed by a

celebrity?

1. □ 2. □ 3. □ 4. □ 5.□

13. Give your opinion:- I am more likely to purchase a Bike if it is being

advertised by a celebrity that I like or admire?

1. □ 2. □ 3. □ 4. □ 5.□

14.If you had previously bought a Bike due to celebrity influence, would that

celebrity personal problems or lack of success effect your opinion of the Bike?

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1. □ 2. □ 3. □ 4. □ 5.□

15.As an observer, do you believe that celebrity endorsing advertisement affects

the Bike consumers’ buying patterns?

1. □ 2. □ 3. □ 4. □ 5.□

For objective second

16.What type of celebrity endorsement persuades you personally to purchase

products?

• Film star □ • Cricketer □

• Famous personalities □ • Other □

17.As a bike consumer, what brand of bike you purchase did you purchase most

recently?

a. Mahindra Stilo □ b.TVS Star city □ c. Herohonda Karizma □ d.Yamaha SZ □

18. Please rate the following celebrities as a brand endorser:-

1 Excellent □ 2Average □ 3Poor □ 4can’t say □

a) John Abraham for Yamaha SZ

1Excellent □ 2Average □ 3Poor □ 4can’t say □

b) Amir Khan for Mahindra Stilo

Excellent □ 2Average □ 3Poor □ 4can’t say □

c) Hritik Roshan for Hero Honda

Excellent □ 2Average □ 3Poor □ 4can’t say □

d) Virandra sahwag for Hero Honda

Excellent □ 2Average □ 3Poor □ 4can’t say □

e) Rajvardhan singh rathod for Hero Honda

Excellent □ 2Average □ 3Poor □ 4can’t say □

f) M.S. Dhoni for bajaj Discover

Excellent □ 2Average □ 3Poor □ 4can’t say □

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Chapter- 5CONCLUSION

5.1 CONCLUSION

5.2 IMPLICATION

5.3 LIMITATIONS OF THE STUDY

5.4 SCOPE FOR FUTURE WORK

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5.1 CONCLUSION

Celebrities have always been the easiest way for a new product launch (consumer

goods) and will remain to do so in the near future on account of their mass appeal

and a world full of star stuck loyal fans. But the impact on the brand is much

greater than just an advertisement showing a celebrity.

We have seen that the correct choice of a celebrity can surely increase sales but

when it comes to long term loyalty and impact on the brand. The effect is yet

somewhat debatable. In the end, the product must deliver for the customer, no

matter who endorses the product, if the customer does not see himself getting value

from his purchase, he will not buy it. But yes, celebrities over time can influence

the loyalty and make a person friendlier to a brand. Brand and celebrities are here

to stay for a long time and in this age of slick advertising and mass media and

unthinkable budgets, celebrities are having a field day charging huge amounts and

making more money than their mainstream professions. But then do they really

care about the brand? Or is it just the money? But the bottom line, celebrity

endorsements are here to stay.

Let us accept one thing - the world of advertising and brand building does not

believe in the Laissez-Faire principle. Unless you reach out to the customer, make

him think and nudge him that little bit, you will fall short of your targets and that is

a cardinal sin, given the competition.

The brand managers work on an extremely sleek, thought-controlling process

which may be propounded as the Multiplier Effect. They are smart, pragmatic

people and know very well that Mr. Singh, sitting in his cosy home in Delhi and

watching his favourite action hero driving the brand new LX car model, would not

walk up to the car showroom next day and book one for himself. They offer simple

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feelers like concept and lifestyle to him, which are inherent to the product

advertisement, with or without the celebrity endorsement.

5.2 IMPLICATION

The given principles were linked to specific managerial suggestions regarding

more effective use of celebrities to enhance brand equity:

Celebrity endorsements will be more effective when used consistently over

time to increase the strength of the link between the celebrity and the endorsed

brand.

Celebrity endorsements will be more effective when the ad execution is

simple, clean, and free of irrelevant design elements. Focus on the celebrity

and the brand together.

Celebrity endorsements will be more effective when using a celebrity who is

not already strongly associated with another product or service.

Celebrity endorsements will be more effective when using a celebrity with a

high “fit”, “congruence”, or “belongingness” with the endorsed brand.

Celebrity endorsers can be used to effectively reinforce and/or create an image

for a product or service.

Test potential brand/celebrity combinations to ensure that the impression and

image of the celebrity is positive for the target audience.

Celebrity endorsements will be more effective for less familiar brands.

Celebrity endorsers will be more effective for brands for which consumers

have limited knowledge/facts.

Celebrity endorsers will be more effective when integrated across the

elements of the marketing mix.

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Caution in choice of celebrity endorser is warranted given the potential risk of

tarnishing the brand’s image.

5.3 LIMITATIONS OF THE STUDY

The limitations of the study are the following -

The data was collected through questionnaire. The responds from the

respondents may not be accurate.

The sample taken for the study was only 200 and the results drawn may not be

accurate.

Lack of experience of Researcher.

5.4 SCOPE FOR FUTURE WORK

The present study on employee motivation helps to get clear picture about the

factors which motivates the employees. This in turn helps the management to

formulate suitable policy to motivate the employees. Hence, the motivational level

of the employees may also change. The factors that motivate the employees may

change with change in time because the needs of employees too change with

change in time. So continuous monitoring and close observation of factors that

motivate the employees is necessary to maintain a competent work force. Only

with a competent work force an organization can achieve its objective. Moreover,

human resource is the most valuable asset to any organization. A further study with

in dept analysis to know to what extent these factors motivate the employees is

required and important conclusions can be drawn.

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REFERENCES:

ReferenceJobber, D. (2001) Principles & Practice of Marketing 3rd edition, London UK,

McGraw-Hill.

Journal of Marketing and Communication Jan-April 2010 ,Vol. 5 Issue 3,p20 25,5p

European Journal of Marketing, 2010, Vol. 44 Issue 3/4, p436-450, 15p, 1

Diagram, 1 Chart Journal of Global Marketing, 2009, Vol. 22 Issue 2, p121-137,

17p, 2 Diagrams, 4 Charts

Bibliography

1) Kotler p and Kelker kavin lane, Abraham kosh, M. jha(2010) Marketing

Management , Delhi; Person(13 Edition),PP.647

2) Journal of Current Issues & Research in Advertising, Spring2009, Vol. 31

Issue 1, p1-13, 13p, 4 Charts

3) SHH. Kazmi and Satish K. Batra(2010) Advertising & Sales Pramotion,

New Delhi; Excel Books(3rd Edition),PP.660

4) BERI GC(1998)Marketing Reserch, New Delhi;Tata Mcgraw-Hill(2nd

Edition)PP.454

5) Schiffman Leon G. & Ceslie Lazer Kanuk (2007) Consumer Behavior, New

Delhi; Person(9th Edition),PP.579

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