CELEBRITIES IN ADVERTISEMENTS: CHECKING

THE EFFECTIVENESSBy- Group F

Amit Attrey(152)

Shailja Lundia(153)

PrakritiNautiyal(154)

Nandini Sharma(155)

Utkarsh Singh(187)

Kunal Panja(198)

DEFINITION OF CELEBRITIES

“Celebrity” refers to an individual who is known to the public, such as actors, sport figures, entertainers and others of the like for his or her achievement in areas other than that of the product class endorsed.

Actors ( Shahrukh khan, Amitabh Bachchan ) Models ( Malaika Arora, Milind Soman) Sports athletes (Sachin Tendulkar, Roger Federer ) Pop Stars (Britney Spears, Lady Gaga) Businessmen (Mukesh Ambani, Vijay Mallya) Politicians (Barack Obama) Fictional celebrities (Ronald McDonald, Fido dido,

Amul Girl)

MOTIVES BEHIND ENDORSEMENT BY CELEBRITIES

Helps to position and re-position existing brands.

Brings global awareness to a brand and brand recall.

Contributes extensive PR advantage and opportunities

for brands.

Famous personalities are a major influence

for our lifestyles.

To push the demand of the product

To bring the reliability and retention of the product.

Instant Credibility

To refresh the brand image.

MULTIPLIER EFFECT FORMULA FOR A SUCCESFULL BRAND

Where,

S is a Successful Brand

P is an Effective Product

D is Distinctive Identity

AV is Added Values

S = P * D * AV

About a decade ago, one in three television commercials used celebrities

endorsements, and today this advertising approach appeared to be on

the increase across all media types. It was found that celebrities are

featured in 15% of the prime-time television commercials.

Indians like to associate themselves with their icons.

Brand Ambassadors bring their endorsements into limelight.

Brand Ambassadors became attention grabber.

The trick of the company.

They motivate consumers to purchase.

They increase awareness.

They create positive feelings towards brands, connect user to brand.

WHY ENDORSEMENT BY CELEBRITY IS GAINING IMPORTANCE

Consistency and long-term commitment

Prerequisites to selecting celebrities:

The endorser should be attractive, have a positive image in the society, and be perceived as having the necessary knowledge.

Celebrity–brand match

Trademark and legal contracts

Do not endorse competitor’s products in the same product category

MAJOR FACTORS FOR SUCCESSFUL CELEBRITY ENDORSEMENT

Constant monitoring:

Monitor the behavior, conduct and public image

Timing:

Constant lookout for emerging celebrities.

Brand over endorser (Vampire Effect):

Potential overshadowing of the brand by the celebrity

Celebrity endorsement is just a channel

The celebrity trap:

Once into a celebrity, it is hard to get out of it

MAJOR FACTORS SUCCESSFUL FOR CELEBRITY ENDORSEMENT

WHY ARE ADVERTISERS READY TO PAY CRORES FOR ENDORSEMENTS?

The reason is “Instant Recall” which ensures immediate focus to the brand.

Example- Pepsi and Coca-Cola.

WHY DO BRANDS, DURING LOSSES,SIGN CELBRITIES

TO ENDORSE?Companies uses celebrity to come out of losses, basically

when brands need a lift up to come out of low sales.Example- Cadbury dairy Milk and Amitabh Bachchan

4 Q’S OF CELEBRITY ENDORSEMENT

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

attention getting value.

Quick connect: There needs to be no insight but the

communication connects because the star connects.

Quick shorthand for brand values: The right star can actually

telegraph a brand message fast without elaborate story telling.

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.

TYPES OF CELEBRITY ENDORSEMENTS

As themselves They advertise the product and promote it with their

name.

As actors They act as a different character in the

advertisement.

Voice Over They don’t appear in the ad but lend their voice.

Testimonials They share their own experiences of using that

product.

Selecting the right Celebrity

Used commonly to entail the communicator’s positive attributes that affect the recipient’s acceptance of a message

Source credibility refers to the perception of the source’s expertise, objectivity and trustworthiness

Expertise is “the extent to which a communicator is perceived to be a source of valid assertions” and consists of knowledge, special experience and skills

Trustworthiness is “the degree of confidence in the communicator’s intent to communicate the assertions he considers most valid and consists of honesty, integrity and believability

THE SOURCE CREDIBILITY MODEL

“Beauty is a greater recommendation than any other introduction.”~ Aristotle

Attractiveness based on ‘source valence’ model was identified as another dimension of source credibility.

Mostly associated with physical attributes, such as familiarity, similarity and likeability

Attractiveness includes any number of attributes such as intellectual skill, personality properties, lifestyle or athletic prowess

It is not necessary that attractiveness should necessarily translate into actual behavior, cognitive attitudes and purchase intention

THE SOURCE ATTRACTIVENESS MODEL

There are certain parameters that postulate compatibility between brand image and the celebrity

Celebrity prior endorsements. Whether celebrity is a brand user. Celebrity profession Celebrity’s fit with the brand image. Celebrity—Target audience match Celebrity—Product match. Celebrity associated values.

MATCH-UP HYPOTHESIS

According to McCraken (1989), the previous models discussed above are not capable of capture the success factors of the endorsement process

The central premise is that celebrities encodes unique sets of meanings which might be transferable to the endorsed product.

• Culture

• Endorsements

• Consumption

THE MEANING TRANSFER MODEL

Role 1

Role 2

Role 3

CelebrityProduc

tConsum

er

Meaning Acquisition Endorsement Consumption

Stage 1 Stage 2 Stage 3

Note: Path of Meaning Movement Stage of Meaning Movement

Effectiveness depends on the existence of a 'fit‘

Effective match:

Reid & Taylor and Amitabh Bachhan,

Accenture and Tiger Woods

Establishing a Perfect Match

EXAMPLES

REEBOKBIPASHA BASU/

M S DHONI

• FIT

• HEALTHY

• PERFECT BODY

• SPORTS PERSON

PRODUCT

• FOR FITNESS

• FOR HEALTH

CONSCIOUS

• SPORTS SHOE

SONY VAIOKAREENA

• BEAUTIFUL

• SLIM

• LIGHT WEIGHT

• ZERO FIGURE

• STYLISH

PRODUCT

• SLIM

• LIGHT WEIGHT

• STYLISH

• SLEAK

PEPSIRANBIR KAPPOR /

DEEPIKA

• YOUNG

• STYLISH

• ENERGETIC

• CHOICE OF YOUTH

PRODUCT

• FOR YOUNG PEOPLE

• ENERGETIC

LUXKATRINA / ASH

• FAIR

• SOFT SKIN

• BEAUTIFUL

• BEAUTY ICON

PRODUCT

• FAIRNESS SOAP

• FEMALE PRODUCT

Dearth of salesmanAmitabh bacchan is one man brand industry.Nobody has that 6-to-60 universal appeal who can sell anything to India, and to Bharat.

.

Revolutionized the psychological trend of using Cadbury from 5-55age group.

‘A gift that helps foster relationships’.

Endorsing a product with multiple celebrities as it leads to attracting and connecting to the different and diverse sets of target audience to the product.

Multiple celebrities may lead to confusing consumers about the brand’s identity

It should be assured that “each and every celebrity possesses compatible meanings that are sought for brands”

MULTIPLE  CELEBRITY ENDORSEMENTS  

PREVALENCE OF MULTIPLE CELEBRITY ENDORSEMENT IN INDIA

Consumer holds by and large a positive attitude towards celebrity endorsements.

Celebrity endorsement can have an impact on the consumers recall evaluations, attention but it does not necessarily always translates into purchase intentions

Individuals with higher levels of education might be less influenced by any form of advertising than those with less education

The celebrities are often looked upon by the young as their role model.

CONSUMER’S  PERSPECTIVE  

Indian Consumer Mentality

They look up to certain public faces and aspire to be one among them.

Brand Ambassadors connect with a sense of attachment.

Brands have temptation to use celebrity ambassadors.

Different stages of consumer purchase decision making

Problem Recognition

Information Search

Generation of Alternatives

Evaluation of Alternatives

Purchase Decision

Post Purchase Decision

BRAND AMBASSADOR

CONSUMER

Brand endorsements by celebrities are a widespread phenomenon in India and worldwide

Celebrities in India live a very public life Few of the brands have been established

without celebrity endorsement like Rejoice, Lifebuoy, Close Up, Fevicol etc.

There is a great potential for celebrity endorsement in India like successful endorsements done by Shah Rukh Khan includes brands like Santro, Nokia , Nerolac paints, Lux, Pepsodent, Frooti to name a few

COUNTRY  CONTEXT:  INDIA

Celebrities are most effective when compared to other genre of endorsers

Celebrity endorsers produced more positive attitudes towards advertising and greater purchase intentions

Created endorsers were more effective in creating a link to the product than celebrity endorsers

McCraken (1989) found that the use of celebrity endorsers stand for an effective way of transferring meaning to brands .

CELEBRITY  VERSUS  NON‐CELEBRITY  ENDORSEMENT  EFFECTIVENESS  

To stand out from the clutter Image polishing Celebrity as a persuasive source Improves the level of product recall Strong impact on learning style and

memory Underpin global campaigns

PROS  OF  CELEBRITY  ADVERTISEMENT  

1. Negative publicity

2. Overshadowing

3. Overexposure

4. Extinction

5. Celebrity Trap

6. Celebrity credibility

CONS  OF  CELEBRITY  ENDORSEMENT

Before choosing the celebrity the marketer has to decide how far the benefits outweigh the risks associated.

Because celebrity endorsement can create a buzz and make a consumer feel better about the product but it can not itself guarantee sales.

CONCLUSION

Thank You