Institute of Management Studies Advertisement PROJECT

8/8/2019 Institute of Management Studies Advertisement PROJECT

1/41


2/41

Index of content

CHAPTER

y Title Pagey Declaration of the Studenty Acknowledgementy Obj ective.y Introductiony Need of studyy Scope of studyy

Methodology.y Data collected.y Interpretation of data collected.y findingsy Conclusion.y Suggestionsy limitationsy bi bliographyy questionnaire


3/41

Declaration of the Student

I hereby declare that the project entitled Effect of Advertisementon Consumer towards Brand Preference for soft Drinks su bmitted for theMBA Degree i s my original work and the project ha s not formed the ba s is

for the award of any degree, a ss ociate s hip, fellow s hip or any other s imilar titles.

Name; Aditya SinghSignat ure of the St udent:Place: IndoreDate: 13th November 2010


4/41

Acknowledgement

I have taken efforts in this pro ject. However, it would not have been possi ble

without the kind support and help of many individuals. I would like to extend my

sincere thanks to all of them. I am highly inde bted to Mr. Varun Keshari for their

guidance and constant supervision as well as for providing necessary information

regarding the pro ject and for your support in completing the pro ject.

I would like to express my gratitude towards my parents and my friends for their

kind co-operation and encouragement which help me in completion of this pro ject.

ADITY A SING H

MB A (MM) IIIrd Sem.Roll no.:- 43404


5/41

Objective.

The o bjectives of this research are as followsy To study impact of advertising in brand preference of

consumer

y To study the effect of celebrity endorsement for advertisement

y To find out most popular celebrity in cold drink advertisement

y To find consumer opinion for what make up a goodcommercial


6/41

INTRODUCTION TO ADVERTISING

Advertising

DEFINITION OF ADVERTISING

The word advertising originates from a Latin word advertise, which means

to turn to. The dictionary meaning of the term is to give pu blic notice or to

announce pu blicly.

Advertising may be defined as the process of buying sponsor-identified

media space or time in order to promote a product or an idea.

The American Marketing Association, Chicago, has defined advertising as

any form of non-personal presentation or promotion of ideas, goods or services,

by an identified sponsor.

What Advertisement Is?

Advertisement is a mass communicating of information intended to persuade buyers to by products with a view to maximizing a companys profits.

The elements of advertising are:

(i) It is a mass communication reaching a large group of consumers.

(ii) It makes mass production possi ble.


7/41

(iii ) It is a commercial communication because it is used to help assure the

advertiser of a long business life with profita ble sales.

(iv) Advertising can be economical, for it reaches large groups of people. This

keeps the cost per message low.(v) The communication is speedy, permitting an advertiser to speak to millions of

buyers in a matter of a few hours.

(vi) Advertising is identified communication. The advertiser signs his name to his

advertisement for the purpose of pu blicizing his identity.

D ifferent Mediums of Advertising

y Newspapers and magazines

y On radio and television broadcasts y Circular of all kinds , (whether distri buted by mail, by person, thorough

tradesmen, or by inserts in packages );

y Dealer help materials

y Window display and counter display materials and efforts

y Store signs, motion pictures used for advertising y Novelties bearing advertising messages and Signature of the advertiser,

Label stags and other literature accompanying the merchandise


8/41

INTRODUCTION

SOFT DRINKS

Car bonated drinks are dominated by artificial flavors based on cola, orange and

lime with Pepsi and coca-cola dominating the market. The entire part of the drink

is based on its artificial flavors and sweetening agents as no natural juice is used.

MARKET

y Cola products account for nearly 61-62% of the total soft drinks market.y Two glo bal ma jors Pepsi Co and Coke dominate the soft drink market.

y NCAER survey says 91% of soft drink in the country is in the lower, lower

middle and upper middle class people.

y The market is worth around Rs.5000 crores with growth rate of around 10-

15%.

y The production as soft drinks has increased from 5670 million bottles in1998-99 to 9783 million bottles in 2000-2008 industry source.

y Growth market this year is expected to be 10-15% in value terms and 20-

22% in volume terms.

However, the market for car bonated drinks is stagnating and not growing as

expected.


9/41

MAJOR PLAYERS FOR SOFT DRINK INDUSTRY

y PEPSICO The ma jor brands for Pepsi Co India arey Pepsiy 7UPy Aquafinay Gatoradey Mountain Dewy Nimboozy Slicey Tropicanay Tropicana Twister y Mirinda

y Coke - The ma jor brands for coke India are y COCA-COLAy THUMS UPy SPRITEy FANTAy LIMCAy MINUTE MAID PULPY ORANGEy MAAZAy

KINLEYy GEORGIA


10/41

INTODUCTION TO PEPSICO

Pep s i is a carbonated s oft drink that i s prod uced and man ufact u redby Pep s iCo. Invented in 1898 and introd uced a s "Brad' s Drink", it wa s

later renamed a s Pep s i-Cola on J une 16, 1903

Pep s i

Current Pep s i logo (December 2008-) . Type: Cola man ufact u rer Country of origin - United State s Introd uced - 1898 (a s Brad' s Drink)

June 16, 1903 (a s Pep s i-Cola)1961 (a s Pep s i)

Web s ite: http://pep s i.com/

HISTORY.

Pep s i was fir s t introd uced a s "Brad' s Drink" in New Bern, North Carolina, in1898 by Caleb Bradham, who made it at hi s pharmacy where the drink wa s s old. It was later named Pep s i Cola, po ss ibly due to the dige s tive enzymepep s in and kola n u ts us ed in the recipe . Bradham s ought to create afountain drink that wa s delicio us and wo u ld aid in dige s tion and boo s tenergy .

In 1903, Bradham moved the bottling of Pep s i-Cola from hi s dr ugs tore to arented wareho us e . That year, Bradham s old 7,968 gallon s of s yr up. Thenext year, Pep s i wa s s old in s ix-ounce bottle s , and s ale s increa s ed to19,848 gallon s. In 1909, a u tomobile race pioneer Barney Oldfield wa s thefir s t celebrity to endor s e Pep s i-Cola, de s cribing it a s "A bu llydrink ... refre s hing, invigorating, a fine bracer before a race ." The adverti s ingtheme "Delicio us and Healthf u l" was then us ed over the next two decade s.


11/41

In 1926 Pep s i received it s fir s t logo rede s ign s ince the original de s ign of 1905 . In 1929, the logo wa s changed again .

In 1931, at the depth of the Great Depre ss ion, the Pep s i-Cola Companyentered bankr uptcy - in large part d ue to financial lo ss e s incu rred bys pec u lating on wildly fl uctuating su gar price s a s a re su lt of World War I .

Ass et s were s old and Roy C . Megargel bo ught the Pep s i trademark . Eightyear s later, the company went bankr upt again . Pep s i's a ss et s were thenpurcha s ed by Charle s Gu th, the Pre s ident of Loft Inc . Loft wa s a candyman ufact u rer with retail s tore s that contained s oda fo untain s. He s ought toreplace Coca-Cola at hi s s tore s ' fountain s after Coke ref us ed to give him adis co unt on s yr up. Gu th then had Loft' s chemi s ts reform u late the Pep s i-Cola s yr up form u la .

On three s eparate occa s ions between 1922 and 1933, the Coca-ColaCompany wa s offered the opport unity to p urcha s e the Pep s i-Cola companyand it declined on each occa s ion .[5]Pep s i-Cola trademark

The original s tylized Pep s i-Cola logoThe s econd s tylized Pep s i-Cola logo

The original trademark application for Pep s i-Cola wa s filed on September 23, 1902 with regi s tration approved on J une 16, 1903 . In the application' s s tatement, Caleb Bradham de s cribe s the trademark a s an, "arbitraryhyphenated word "PEPSI-COLA," and indicated that the mark wa s incontin uous us e for hi s bus ine ss s ince A ugus t 1, 1901 . The Pep s i-Cola' s de s cription i s a flavoring- s yr up for s oda water . The trademark expired on

April 15, 1994 .

A s econd Pep s i-Cola trademark i s on record with the USPTO . Theapplication date su bmitted by Caleb Bradham for the s econd trademark i s Sat urday, April 15, 1905 with the su cce ss f u l regi s tration date of April 15,1906, over three year s after the original date . Curious ly, in thi s application,Caleb Bradham s tate s that the trademark had been contin uous ly us ed inhis bus ine ss "and tho s e from whom title i s derived s ince in the 1905application the de s cription su bmitted to the USPTO wa s for a tonicbeverage . The federal s tat us for the 1905 trademark i s regi s tered andrenewed and i s owned by Pep s ico, Inc . of P u rcha s e, New York .

During the Great Depre ss ion, Pep s i gained pop u larity following the


12/41

introd uction in 1936 of a 12-o unce bottle . Initially priced at 10 cent s , s ale s were s low, b u t when the price wa s s las hed to five cent s , s ale s increa s edsu bs tantially . With a radio adverti s ing campaign feat uring the jingle "Pep s i-Cola hit s the s pot / Twelve f u ll ounce s , that' s a lot / Twice a s much for anickel, too / Pep s i-Cola i s the drink for yo u ," arranged in su ch a way thatthe jingle never end s. Pep s i enco uraged price-watching con su mer s tos witch, obliq uely referring to the Coca-Cola s tandard of s ix ounce s per bottle for the price of five cent s (a nickel), in s tead of the 12 o unce s Pep s is old at the s ame price . Coming at a time of economic cri s is , the campaignsu cceeded in boo s ting Pep s i's s tat us. From 1936 to 1938, Pep s i-Cola' s profits do ubled .

Some of the Advertising strategy for Pepsi

With the ri s e of televi s ion, Pep s i u tilized the s ervice s of a yo ung, up-and-coming actre ss named Polly Bergen to promote prod ucts , oftentime s lending her s inging talent s to the cla ss ic "... Hits The Spot" jingle . Some of the s e Bergen s pot s can be s een on Cla ss icTVAd s. com .

Thro ugh the intervening decade s , there have been many different Pep s itheme s ong s su ng on televi s ion by a variety of arti s ts , from JoanieS ummer s to The Jack s on s to Britney Spear s.

In 1975, Pep s i introduced the Pep s i Challenge marketing campaign wherePep s iCo s et up a blind ta s ting between Pep s i-Cola and rival Coca-Cola . During the s e blind ta s te te s ts the majority of participant s picked Pep s i as the better ta s ting of the two s oft drink s. Pep s iCo took great advantage of the campaign with televi s ion commercial s reporting the re su lts to thepublic.

In 1997, Pep s iCo la unched the highly su cce ss f u l Pep s i Stuff marketing

s trategy . By 2002, the s trategy wa s cited by Promo Magazine a s one of 16"Agele ss Wonder s " that "helped redefine promotion marketing ."

In 2007, Pep s iCo rede s igned their can s for the fo urteenth time, and for thefir s t time, incl uded more than thirty different backgro und s on each can,introd ucing a new backgro und every three week s. One of their backgro undde s igns include s a s tring of repetitive n umber s , "73774" . This is a


13/41

numerical expre ss ion from a telephone keypad of the word "Pep s i."

In late 2008, Pep s i overha u led their entire brand, s imu ltaneo us lyintrod ucing a new logo and a minimali s t label de s ign . The rede s ign wa s comparable to Coca-Cola' s earlier s implification of their can and bottlede s igns. Als o in 2008 Pep s i teamed up with Google/Yo uTube to prod ucethe fir s t daily entertainment s how on Yo uTube, Pop t ub. This daily s howdeal s with pop c u ltu re, internet viral video s , and celebrity go ss ip. Pop t ub is updated daily from Pep s i.

Pep s i ha s official s pon s or s hip deal s with three of the fo ur major North American profe ss ional s port s leag ue s : the National Football Leag ue,National Hockey Leag ue and Major Leag ue Ba s eball . Pep s i als o spon sor s

Major Leag ue Soccer .

Pep s i als o ha s s pon s or s hip deal s in international cricket team s. ThePaki s tan cricket team i s one of the team s that the brand s pon s or s. Theteam wear s the Pep s i logo on the front of their te s t and ODI te s t matchclothing .


14/41

Slogans for Pepsi

19391950: "Twice a s Much for a Nickel"1950: "More Bo unce to the O unce"19501957: "Any Weather i s Pep s i Weather"

19571958: "Say Pep s i, Plea se"19581961: "Be Sociable, Have a Pep s i"1961- 1963: "Now It' s Pep s i for Tho s e Who Think Yo ung" (jingle su ng by Joanie Sommer s )19631967: "Come Alive, Yo u 're in the Pep s i Generation" (jingle su ng by Joanie Sommer s )19671969: "(Ta s te that beat s the other s cold) Pep s i Po ur s It On".

* 19691975: "Yo u 've Got a Lot to Live, and Pep s i's Got a Lot to Give"* 19751977: "Have a Pep s i Day"* 19771980: "Join the Pep s i People (Feeling Free)"* 19801981: "Catch That Pep s i Spirit" (David L uca s , compo ser)* 19811983: "Pep s i's got yo ur ta s te for life"* 1983: "It's cheaper than Coke!"* 19831984: "Pep s i Now! Take the Challenge!"* 19841991: "Pep s i. The Choice of a New Generation" (commercial with Michael Jack son and The

Jack s on s , feat uring Pep s i ver s ion of Billie Jean)* 1984-1988: "Diet Pep s i. The Choice of a New Generation"* 1988-1989: "Diet Pep s i. The Ta s te That' s Generation s Ahead"* 1989-1990: "Diet Pep s i. The Right One"* 1989-1992: "Diet Pep s i. The Ta s te That Beat s Diet Coke"* 19861987: "We've Got The Ta s te" (commercial with Tina T urner)* 19871990: "Pep s i's Cool" (commercial with Michael Jack son, feat uring Pep s i ver s ion of Bad)* 19901991: "Yo u got the right one Baby UH HUH" ( su ng by Ray Charle s for Diet Pep s i)* 19901991: "Yehi hai right choice Baby UH HUH" (Hindi - meaning "Thi s is the right choice Baby UH

HUH") (India)* 19911992: "Gotta Have It"/"Chill O u t"* 19921993: "Be Yo ung, Have F un, Drink Pep s i"* 19931994: "Right Now" (Van Halen s ong for the Cry s tal Pep s i adverti s ement)* 19941995: "Do uble D utch B us " (Pep s i song su ng by Brad Bentz)* 1995: "Nothing El se i s a Pep s i"* 19951996: "Drink Pep s i. Get St uff ." Pep s i Stuff campaign* 19961997: "Pep s i: There' s nothing official abo u t it" (During the Will s World C up (cricket) held in

India/Paki s tan/Sri Lanka)* 19971998: "Generation Next" (with the Spice Girl s )* 19981999: "It' s the cola" (100th anniver s ary commercial)* 19992000: "For Tho se Who Think Yo ung"/"The Joy of Pep s i-Cola" (commercial with Britney

Spear s /commercial with Mary J . Blige)* 1999-2006: "Yeh dil maange more" (Hindi - meaning "Thi s heart a sks for more") (India)* 2003: "It's the Cola"/"Dare for More" (Pep s i Commercial)* 20062007: "Why Yo u Doggin' Me"/"Ta s te the one that' s forever yo ung" (Mary J . Blige)* 20072008: "More Happy"/"Ta s te the once that' s forever yo ung" (Michael Alexander)* 2008pre s ent: "pep s i ye pyaa s heh bari" (( urdu) meaning "it killed my thir s t" (paki s tan))

* 2008: "Pep s i St uff" Super Bowl Commercial (J us tin Timberlake)* 2008: " epsi is #1" v commercial (Luke Rosin)* 2008present: "Something For Everyone"* 2009present: "Refresh Everything"/"Every Generation Refreshes the World"* 2009present: "Yeh hai youngistaan meri jaan" (Hindi - meaning "This is our young country my baby")* 2009present: "My Pepsi My Way"(India)* 2009present: "Refresca tu Mundo" (Spanish - meaning "Refresh your world") (Spanish Spoken countries in Latin

America)* 2010present: "Every Pepsi Refreshes The World"* 2010present "Badal Do Zamana" {Pakistan}


15/41

Introduction to coke

Coca-Cola is a carbonated soft drink sold in the stores, restaurants, and vendingmachines of more than 200 countries. It is produced by The Coca-Cola Company of

Atlanta, Georgia, and is often referred to simply as Coke (a registered trademark of The Coca-Cola Company in the United States since March 27, 1944). Originallyintended as a patent medicine when it was invented in the late 19th century by JohnPemberton, Coca-Cola was bought out by businessman Asa Griggs Candler, whose

marketing tactics led Coke to its dominance of the world soft-drink marketthroughout the 20th century

Coca-ColaCoca-Cola logo - svgType Soft drink (Cola)Manufacturer The Coca-Cola CompanyCountry of origin United StatesIntroduced 1886Color Caramel E-150d

The company produces concentrate, which is then sold to licensed Coca-Colabottlers throughout the world. The bottlers, who hold territorially exclusive contracts

with the company, produce finished product in cans and bottles from the concentratein combination with filtered water and sweeteners. The bottlers then sell, distributeand merchandise Coca-Cola to retail stores and vending machines. Such bottlersinclude Coca-Cola Enterprises, which is the largest single Coca-Cola bottler in NorthAmerica and Western Europe. The Coca-Cola Company also sells concentrate for soda fountains to major restaurants and food service distributors.

y The Coca-Cola Company has, on occasion, introduced other cola drinks under the Coke brand name. The most common of these is Diet Coke, with othersincluding

y COCA-COLAy THUMS UPy SPRITEy FANTAy LIMCAy MINUTE MAID PULPY ORANGE


16/41

y MAAZAy KINLEYy GEORGIA

HISTORYThe prototype Coca-Cola recipe was formulated at the Eagle Drug and ChemicalCompany, a drugstore in Columbus, Georgia by John Pemberton, originally as a cocawine called Pemberton's French Wine Coca. He may have been inspired by theformidable success of Vin Mariani, a European coca wine.

In 1886, when Atlanta and Fulton County passed prohibition legislation, Pembertonresponded by developing Coca-Cola, essentially a non-alcoholic version of FrenchWine Coca. The first sales were at Jacob's Pharmacy in Atlanta, Georgia, on May 8,1886. It was initially sold as a patent medicine for five cents a glass at soda fountains,which were popular in the United States at the time due to the belief that carbonatedwater was good for the health. Pemberton claimed Coca-Cola cured many diseases,including morphine addiction, dyspepsia, neurasthenia, headache, and impotence.Pemberton ran the first advertisement for the beverage on May 29 of the same year inthe Atlanta Journal.

By 1888, three versions of Coca-Cola sold by three separate businesses wereon the market. Asa Griggs Candler acquired a stake in Pemberton's company in 1887

and incorporated it as the Coca Cola Company in 1888. The same year, whilesuffering from an ongoing addiction to morphine, Pemberton sold the rights asecond time to four more businessmen: J.C. Mayfield, A.O. Murphey, C.O. Mullahyand E.H. Bloodworth. Meanwhile, Pemberton's alcoholic son Charley Pembertonbegan selling his own version of the product.

John Pemberton declared that the name "Coca-Cola" belonged to Charley, but theother two manufacturers could continue to use the formula. So, in the summer of 1888, Candler sold his beverage under the names Yum Yum and Koke. After bothfailed to catch on, Candler set out to establish a legal claim to Coca-Cola in late 1888,in order to force his two competitors out of the business. Candler purchasedexclusive rights to the formula from John Pemberton, Margaret Dozier and WoolfolkWalker. However, in 1914, Dozier came forward to claim her signature on the bill of sale had been forged, and subsequent analysis has indicated John Pemberton'ssignature was most likely a forgery as well.Old German Coca-Cola bottle opener


17/41

Ingredients

* Carbonated water * Sugar (sucrose or high-fructose corn syrup depending on country of origin)* Caffeine* Phosphoric acid v. Caramel (E150d)* Natural flavorings

A can of Coke (12 fl ounces/355 ml) has 39 grams of carbohydrates (all from sugar,approximately 10 teaspoons), 50 mg of sodium, 0 grams fat, 0 grams potassium, and140 calories.Formula of natural flavoringsMain article: Coca-Cola formula

The exact formula of Coca-Cola's natural flavorings (but not its other ingredientswhich are listed on the side of the bottle or can) is a trade secret. The original copy of the formula is held in SunTrust Bank's main vault in Atlanta. Its predecessor, theTrust Company, was the underwriter for the Coca-Cola Company's initial publicoffering in 1919. A popular myth states that only two executives have access to theformula, with each executive having only half the formula. The truth is that whileCoca-Cola does have a rule restricting access to only two executives, each knowsthe entire formula and others, in addition to the prescribed duo, have known theformulation process.Franchised production model

SOME OF THE MAJOR SPONSERSHIP BY COKE

Coca-Cola wa s the fir s t commercial s pon s or of the Olympic game s , at the1928 game s in Ams terdam, and ha s been an Olympic s s pon s or ever s ince . This corporate s pon s or s hip included the 1996 S ummer Olympic s ho s ted in

Atlanta, which allowed Coca-Cola to s potlight it s hometown . Mos t recently,Coca-Cola ha s relea s ed localized commercial s for the 2010 Olympic s in

Vanco uver; one Canadian commercial referred to Canada' s hockeyheritage and wa s modified after Canada won the gold medal game onFebr uary 28, 2010 by changing the ending line of the commercial to s ay"Now they know who s e game they're playing" .

Since 1978, Coca-Cola ha s s pon s ored each FIFA World C up, and other competition s organized by FIFA . In fact, one FIFA to urnament trophy, the


18/41

FIFA World Yo u th Champion s hip from T unis ia in 1977 to Malay s ia in 1997,wa s called "FIFA Coca Cola C up". In addition, Coca-Cola s pon s or s theann ual Coca-Cola 600 and Coke Zero 400 for the NASCAR Sprint C upSerie s at Charlotte Motor Speedway in Concord, North Carolina andDaytona International Speedway in Daytona, Florida . Coca-Cola ha s a longhis tory of s port s marketing relation s hips , which over the year s haveincluded Major Leag ue Ba s eball,Coca-Cola wa s one of the official s pon s or s of the 1996 Cricket World C upheld on the Indian su bcontinent . Coca Cola i s als o one of the a ss ociates pon s or s of Delhi Daredevil s in Indian Premier Leag ue .

CONTROVERSEYS RELATED TO COLD DRINKS IN INDIA

In India, there i s a major controver s y whether there are pe s ticide s andother harmf u l chemical s in bottled prod ucts ,. In 2003 the Centre for Science and Environment (CSE), a non-governmental organization in NewDelhi, s aid aerated water s prod uced by s oft drink s man ufact urer s in India,including m u ltinational giant s Pep s iCo and Coca-Cola, contained toxin s including lindane, DDT, malathion and chlorpyrifo s pe s ticide s that cancontrib u te to cancer and a breakdown of the imm une s ys tem . CSE fo undthat the Indian prod uced Pep s i's s oft drink prod ucts had 36 time s the levelof pe s ticide re s idue s permitted under E uropean Union reg u lation s ; Coca-Cola' s s oft drink wa s found to have 30 time s the permitted amo unt. CSEs aid it had te s ted the s ame prod ucts s old in the U .S . and fo und no su chres idues. After the pe s ticide allegation s were made in 2003, Coca-Colas ale s in India declined by 15 percent . In 2004 an Indian parliamentarycommittee backed up CSE' s findings and a government-appointedcommittee wa s ta s ked with developing the world' s fir s t pe s ticide s tandard s for s oft drink s. The Coca-Cola Company ha s re s ponded that it s plant s filter water to remove potential contaminant s and that it s prod ucts are te s ted for pe s ticide s and m us t meet minim um health s tandard s before they aredis tribu ted . In the Indian s tate of Kerala s ale and prod uction of Coca-Cola,along with other s oft drink s , wa s initially banned after the allegation s , untilthe High Co u rt in Kerala overt urned r u led that only the federal governmentcan ban food prod ucts. Coca-Cola ha s als o been acc us ed of exce ss ivewater us age in India .


19/41

Criticis m of COLD DRINKS

COLD DRINKS ha s been criticized for alleged adver s e health effect s , its aggre ss ive marketing to children, exploitative labor practice s , high level s of pe s ticide s in its prod ucts , b u ilding plant s in Nazi Germany which employeds lave labor, environmental de s tr uction, monopoli s tic bus ine ss practice s ,and hiring paramilitary units to m u rder trade union leader s. In October 2009, in an effort to improve their image, Coca-Cola partnered with the

American Academy of Family Phy s ician s , providing a $500,000 grant tohelp promote healthy-life s tyle ed ucation; the partner s hip s pawned s harpcriticis m of both Coca-Cola and the AAFP by phy s ician s and n u tritionis ts.

Famous brand ambassadors for cold drink advertisement in India

Pepsiy Shahrukh khany Sachin tendulkar y Ranbeer kapoor y Deepika padukoney Kareena kapoor


20/41

y Priyanka chopray Mahendra singh dhoniy Amitabh bachany John abraham

coca cola

y Hritik roshany Aishwarya raiy Aamir khany Imran khany Kalki kochiny

Gautam gambhir mirinda

y Amitabh bachany Asin

fantay Rani mukherjeey Genelia d souza

slicey Katrina kaif

Thumps upy Salman khany Akshay kumar

Need of the study:

As we know these days soft drink companies are advertising their product so much

on televisions and are spending so much money on the Advertisements of their

products.


21/41

In soft drink industry the cost of advertising is nearly 35 % of the total cost. For

increasing the sale of their product they are taking film stars, cricket stars in their

advertisements of their products which is again very costly.

The soft drink companies are spending so much on the sponsorship of events like

cricket match etc. so this study deals with these aspects that whether Advertising is

having any effect on consumers or not.

This study will help

y To know that people are influenced by Brand Am bassadors or not.

y Analyze different media options availa ble for Advertisements and which are

most influential ones.

y Influence of Advertisements on their brands and brand loyalty .

SCOPE OF THE STU D Y

y The scope of this study, as far as the area is concerned, is limited to

INDO R E City only. Due to time and other resource constraints we have

limited our scope of study to this particular area and hope to focus entirely

on our o bjectives.


22/41

Research Methodology

RESEARCH DESIGN

A research design is a framework or blueprint for conducting the marketingresearch pro ject. It specifies the details of the procedures necessary for o btaining

the information needed to structure and/or solve marketing research pro blem.

The research design used in this pro ject is Descriptive research design .

Sample Design

y SAMPLING TECHNIQUE USED:

In this research we have used Convineance Sampling.y Geographical Area: Indore

y SAMPLE SIZE:

For this study, a sample of 300 has been taken.


23/41

y Data Collection Instrument:

Questionnaire

y SOURCES OF DATA COLLECTION:

1. Primary data: It is the first hand information collected throughquestionnaire.

2. Secondary data: Secondary data was collected from the following sources:

y Books

y Newspapers

y Journalsy Magazines.y Research Papers


24/41

The study was conducted with the help of questionnaire which was administered

personally to all the respondents. The questionnaire is aimed at fulfilling out the

impact of Advertisements of Coke and Pepsi in terms of Consumer preferences,recall and purchase behavior.

The questionnaire dealt with aspects like

y To study impact of advertising in brand preference of consumer

To study the effect Tools Of Investigation

y of celebrity endorsement for advertisement

y To find out most popular celebrity in cold drink advertisement

y To find consumer opinion for what make up a good commercial.

Slogan Recall test will be used to study the Recall a bility of respondents for the

Advertisements of Coke and Pepsi and other cold drinks

For Aided Recall various clues will be given e.g. Slogans and name of the model

and respondents will be asked to identify the soft drink brand am bassador

associated with them.

.


25/41

1. Do you consume cold drink or soft drinks?

frequency percentageyes 297 100

no o 0

Interpretation:The data was o btained from the 300 respondents , and after analyzing the responses from the

respondents, the result showed that all the respondents i.e 300 are used to drink soft drinks in

the Indore city.

300

0

yes

no


26/41

2. Which source of advertisement you rely the most

frequency percentage

television 235 76

radio 5 2

newspaper 53 17

hoardings 17 5

others 0 0

InterpretationMost of the people ie 76% rely on adv. On television, followed by 17% on news paper 5% on hoardings, 2% on radio

So we can say that television adds. Has the greatest impact on mind of consumer.

76%

2%

17%

5%

0%

Sales

t elevision

radio

newspaper

hoardings

o t hers


27/41

3 which cold drink you consume the most?


pepsi 43 15

Coca cola 39 13

mirinda 38 13

fanta 25 8

Thums up 29 8

sprite 18 6

7 up 19 6

limca 9 3

Mountain dew 37 12

slice 18 6maza 25 8

others 0 0


28/41


29/41


Flavor or taste 230 77

advertisement 23 8

Price 7 2

Celebrity 21 7

brand 19 6

Interpretation:This question gives us the insight why the respondents have chosen their brands. From the

a bove data it is evident that ma jority of the respondents i.e. 77 % were using their respective brands because of the taste of the product, that means the respondents give first preferencetowards taste or quality before selecting any drink, followed by advertisements i.e. 8 % prefer because of adds. Of the brands. That means advertising also has an impact on the brand

preference towards consumers. The third preference that respondents gave was cele brity namei.e. 7 % , Also a bout 6 % of the respondents prefer of brand because, this means there is closeassociation between cele brities and brand preferences, Also least num ber of people gave

preference to the Price i.e. barely 2 %, this means respondents are not concerned with the priceof the product. In other ways price has least effect on the brand preference

77%

8%

2% 7%6%

choic e %

t as t e

adver t smn t

price

celebri t ey

brand


30/41

Q 5 . Does Advertisement affect the choice of your Brand?

Frequency Percentagestrongly agree 86 28.7agree 134 44.7neutral 68 22.7dissatisfied 6 2.0strongly disagree 6 2.0

Interpretation:From this data we come to know whether there is a positive relation between advertisement andthe brand preference. The a bove data reveals that 29 % of the respondents strongly agree thatAdvertisements affect their choice of brands, followed by 44% who also agree with thestatement. This means there is a positive relation between Advertisements and the Brand

preference.

But also there are some respondents who do not agree or strongly disagree with the a bovestatement .Therefore companies must come with innovative and creative advertisements that willhave a positive impact on their buying behavior.

6. Can you recall any advertisements of your brand?

st rongly agree29%

agree44 %

neu t ral2 3%

dissa t isfied2%

st ronglydisagree

2%


31/41

Frequency PercentYes 250 84 No 50 16

Interpretation:From the a bove data ma jority of the respondents can recall the advertisements of their brand. About 84 % respondents replied yes while as there are some of therespondents i.e 16% who cannot recall the advertisements of their brand.

Therefore it is becomes necessary on part of the companies to use creative andeffective advertisement so that to better position their products in the mind of their consumers.

8 3%

17%

yes no


32/41


33/41

8 . In what opinion what make up a good commercial?


Graphics or look out 2 5 8

music 15

5

Celebrity endorsement 60 20

Concept 9 8 33

Humor 67 22

originality 35 12

Interpretation:From the ta ble it is very clear that ma jority of the respondents i.e 33% likes the concept of theadvertisement followed by humor i.e 22% and cele brity endorsement i.e 20% then the

originality followed by graphic look out and music

So if the advertisement is to be made catchy the first and the foremost thing is the originalconcept and humor element and cele brity also accounts for good commercial to a little extentAnd yes the originality also important.

8%5%

2 0%

33 %

22%

12%

C o lumn1

look ou t

music

celeb end.

concep t

humor

originali t y


34/41


35/41

Q10 How does an advertisement showing your favorite celebrity affect yourperception?

QUESTIONNAIRE

Interpretation:From the ta ble it is very clear that ma jority of the respondents i.e 74 % are

positively affected by the cele brities regarding the brand perception. This meansthat cele brities play a ma jor role in stimulating the consumers preference towardsthe brand. Therefore cele brity endorsing have an impact on the consumers buying behavior.But also from the ta ble it is evident that some respondents responded negatively,

therefore the companies should bridge this gap, and should select the cele brity withgreater credi bility, fan following etc.

Frequency PercentPositively 222 74.0 Negatively 24 8.0Cant say 54 18.0

111

12

27

P osi t ively

nega t ively

Can t say


36/41

Findings

1. After analyzing the data collected from 300 respondents, it is revealed that most preferred brand are Pepsi, Coca Cola and Mountain Dew. Followed by Mirinda and thums up

2. Ma jority of the respondents uses their respective brands because of the taste and qualityand it is revealed that there is no significant relationship between the choice of brand and

price of the product.

3. There is an impact of the Advertisements on the consumers regarding the choice of their brand, i.e. there is a significant relationship between advertisements and the choice of the brand.

4. Television has the greatest impact on youngster Newspapers and Radio has the low ratingas compared to other mediums, because they are still used by aged people.

5. There is a great impact of the advertisements on the consumers as 83% respondents repliedthey do recall the advertisements of their brands. This recall helps them in decision makingwhile making a purchase.

6. People remem ber different aspect(s ) of the advertisements. The most remem bered aspect by respondents is Punch Line, followed by Cele brity.

7. Cele brity endorsement has a positive effect on the perception of the respondents.

8. Almost all the respondents were a ble to answer the last question which was based on the punch line recall. Respondents were given punch lines of different brands and respondents

have to identify the brands with which they are associated.

9. Respondent also like new concept in the advertisement followed by humor and cele brityendorsement


37/41


38/41

Recommendations

1. Companies should come up with new and effective advertisement campaigns regularly.

2. New concept really help out to remem ber the advertisements and a pinch of humor adds

charm to it so first go for a good concept rather than the cele brity

3. Companies should focus on creative advertisements, because people want something

different, something new that will attract their attention.

4. Companies should make use different mediums of Advertisements to cover maximum

population.

5. Advertisements should be made according to the taste of people.

6. Companies should select the cele brities, that has greater credi bility and fan following.

7. Use of digital Bill boards as images and videos change after 5 seconds on bill boards, they

are attractive, and they easily gra b consumers attention.

LIMITATIONS

W hile considering the findings of the study it is advisa ble to consider the following

limitations:

1) The sample size is restricted to only 300 samples due to time constraints.

2) The survey was conducted only in Indore city

.


39/41

B IBL IOGRAPHY

1. Marketing Management: Philip Kotler

2. Market Research: David A.Aaker

3.www.cocacolaindia.com

4. www.pepsico..com

6.www.google.com

7.www.wikipedia.com 8.www.manage page.com


40/41

QUESTIONNAIRE

Dear Sir/Madam. We are conducting this survey as a part of our MBA from Institute of Management Studies , DAVV. The purpose of thissurvey is to study the EFFECT OF ADVERTISEMENT ON CONSUMER WHILE CHOOSING COLD DRINK

BRAND , so we would be grateful if you could spend some of your precious time in filling up this Questionnaire

NAME Phone no

Gender. Age grp. Below 1 5 . 1 5 -3 0. 3 0 -4 5 .. 4 5 -60

Occupation service.. Business. Student house wife.. Employee others.

1. Do you consume cold drink?Yes.. No.

2. Which source of advertisement you rely the most?Television radio.. Newspaper. Hoardings.. Others

3. Which cold drink you consume the most?Pepsi. Coca cola.. mirinda..thums up sprite mazaSlice.. 7up mountain dew.. fantalimca. Others.

4. What is the reason to choose this brand?Flavor or tasteadvertisement.....Price .. Cele brity. Brand..

5. Does advertisement affect choice of your brand?Strongly agree.. agree. Neutral. Disagree strongly disagree

6. Can you recall any advertisement of your brand?Yes.. No..

7. Which of the following aspect of the advertisement you remem ber the most?Product Name Theme..... Punch Line Cele brity..

8. In what opinion what make up a good commercial?Graphics or look out..music.. Cele brity endorsement.. Concept .Humor originality

9. Punch Lines recall test Brand

a) Thanda Matla b ------------------------------------------- b) Yeh Dil Mange More -------------------------------------------c) Seedhi Baat No Bakwas -------------------------------------------d) Do the Dew -------------------------------------------e) Bhe ja Fry, 7 Up try -------------------------------------------

10. How does an advertisement showing your favorite cele brity affect your perception?Positively. Negatively.. Cant say


41/41

TH A NK Y OU

Institute of Management Studies Advertisement PROJECT

Documents

Transcript of Institute of Management Studies Advertisement PROJECT