A PROJECT REPORT ON

“THE INFLUENCE OF CELEBRITY ENDORSEMENTS IN BRAND

BUILDING OF MERIIBOY IICECREAMS
CECREAMS IN ERNAKULAM DISTRICT”
UNDERTAKEN
TAKEN AT SUPREME FOOD INDUSTRIES

Submitted to,

A P J ABDUL KALAM TECHNOLOGICAL UNIVERSITY

in partial fulfillment of the requirement
ment for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

Submitted by,

SRUTHY S. THOPPIL
MLM17MBA64

Under the guidance of

Mr. SIBY JAMES

ASSOCIATE PROFESSOR

DEPARTMENT OF MANAGEMENT STUDIES

MANGALAM COLLEGE OF ENGINEERING
ENGINEERING,, ETTUMANOOR
APRIL 2019

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 ACKNOWLEDGEMENT
Through this acknowledgement I express my sincere gratitude towards all those people who
helped me in this project, which has been a learning experience.

I extend my whole hearted gratitude to Dr. J M Mathana, M. Tech, PhD Principal of Mangalam
College of Engineering, Ettumanoor, Kottayam for his valuable guidance and support throughout
the project.

I would like to express my sincere gratitude to our dean, Department Of Management Studies
Prof. John T Varughese, M.Com, M.Phil. for his support in this project.

I would like to express my heartfelt thanks to Dr. Sibu C. Chitran, MBA, M.Phil.,
PhD (Mgmt.), FDP (IIM-K), AMT (AIMA), MAIMSI (USA), Professor & Head of the
Department of Management Studies for extending all the help for doing the project.

This space wouldn’t be enough to extend my warm gratitude towards my project guide
Mr. SIBY JAMES, Associate Professor, for his efforts in coordinating with my work and guiding
in right direction.

I would like to extend my heartfelt regards to Ms. Ambili G.S, HR MANAGER of Meriiboy Ice
creams (Supreme Food Industries) Chelamattom Ernakulam, for providing me an opportunity to
undertake a Project work in their well managed and reputed organisation.

I also express my thanks to teachers of department of MBA and library staff of Mangalam
Management Studies, Mangalam college of engineering, Ettumanoor. Extend my sincere thanks
to dear friends for co-operation to complete this project.

Finally I take this opportunity to thanks my parents for their support and encouragement.

SRUTHY S. THOPPIL

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 LIST OF TABLE

SL.NO CONTENT PAGE

NO.
2.1 Company profile 19
5.1 Table showing gender respondents 49
5.2 Table showing age respondents 50
5.3 Table showing customers more attracted 51
towards
5.4 Table showing customers influenced by the 52
celebrity in the advertisement to purchase
products
5.5 Table showing reasons for increasing 53
usage/use of celebrity in meriiboy
advertisement
5.6 Table showing celebrity endorsed 54
advertisement create faster awareness about
the meriiboy products
5.7 Table showing celebrity endorsed 55
advertisements of meriiboy captures the
consumers attention easily
5.8 Table showing celebrity endorsed 56
advertisements create a long lasting impact in
the consumers mind
5.9 Table showing words of endorsement about 57
meriiboy product from celebrity is accepted
as a testimonial by the consumers
5.10 Table showing consumers have a better brand 58
recognized at the point of purchase when
celebrity is present in the advertisement
5.11 Table showing celebrity endorsed meriiboy 59
products promise better quality
5.12 Table showing celebrity endorsed product 60
make me esteem or superior in my group
5.13 Table showing comparing meriiboy ice 61
creams with other brands of ice creams
5.14 Table showing customers buy this product if 62
they happen to see it in the store
5.15 Table showing Chi Square questions 63
5.16 Table showing chi square answers 64
5.17 Table showing Correlation 65

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 LIST OF FIGURES

SL.NO CONTENT PAGE

NO.
3.1 Figure showing choosing a celebrity 32
5.1 Figure showing gender respondents 49
5.2 Figure showing age respondents 50
5.3 Figure showing customers more attracted towards 51
5.4 Figure showing customers influenced by the 52
celebrity in the advertisement to purchase
products
5.5 Figure showing reasons for increasing usage/use 53
of celebrity in meriiboy advertisement
5.6 Figure showing celebrity endorsed advertisement 54
create faster awareness about the meriiboy
products
5.7 Figure showing celebrity endorsed 55
advertisements of meriiboy captures the
consumers attention easily
5.8 Figure showing celebrity endorsed 56
advertisements create a long lasting impact in the
consumers mind
5.9 Figure showing words of endorsement about 57
meriiboy product from celebrity is accepted as a
testimonial by the consumers
5.10 Figure showing consumers have a better brand 58
recognized at the point of purchase when celebrity
is present in the advertisement
5.11 Figure showing celebrity endorsed meriiboy 59
products promise better quality
5.12 Figure showing celebrity endorsed product make 60
me esteem or superior in my group
5.13 Figure showing comparing meriiboy ice creams 61
with other brands of ice creams
5.14 Figure showing customers buy this product if 62
they happen to see it in the store

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 TABLE OF CONTENTS
SI NO CONTENTS PAGE NUMBER

CHAPTER 1 INTRODUCTION
1.1 Background of the study 3-4
1.2 Need and significance of the study 5
1.3 Statement of the problem 5
1.4 Objectives of the study 5
1.5 Scope of the study 6
1.6 Limitations of the study 6
1.7 Organization of the report 6-7
CHAPTER 2 LITERATURE REVIEW

2.1 Review of literature 9

2.2 Industry profile 17
2.3 Company profile 19
CHAPTER 3 THEORETICAL FRAMEWORK
Theoretical background of the study 20
CHAPTER 4 RESEARCH METHODOLOGY
4.1 Objectives 42
4.2 Hypothesis 42
4.3 Research design 42
4.4 Sources of data collection 43
4.5 Primary and secondary data 43
4.6 Population 43

4.7 Sample design 44

4.8 Sampling method 44
4.9 Methods of data collection 45
4.10 Drafting a questionnaire 45

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 4.11 Statistical tools for data analysis 46
CHAPTER 5 DATA ANALYSIS 66
CHAPTER 6 FINDINGS 68
CHAPTER 7 SUGGESTIONS 70
CHAPTER 8 CONCLUSION 72
REFERENCE 74
APPENDIX 77

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 EXECUTIVE SUMMARY

A study on “THE INFLUENCE OF CELEBRITY ENDORSEMENTS IN BRAND

BUILDING OF MERIIBOY ICECREAMS IN ERNAKULAM DISTRICT”. The

main object of the research was to find out attitude of consumers towards celebrity
endorsement. Endorsement is a form of brand or advertising that involves a well known person
using their fare to help promote a product or service. Celebrity endorsements are used by
countless businesses of all shapes and sizes as a marketing strategy.

The study was done as a part of descriptive research. The primary data was collected
by means of questionnaire and the secondary data was collected from company records and
websites. The structured questionnaire was given to 50 customers/ respondents based on the
same. The data was analysed using chi-square and correlation method. Valuable suggestions and
recommendation are also given to the company for better prospects.

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 CHAPTER 1
INTRODUCTION

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1.1 BACKGROUND OF THE STUDY

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. The
term celebrity refers to an individual who is known to the public (actor, entertainer) for his or her
achievements the areas other than that of the product classic forms of celebrity, like
actors(eg.Amitabh Bachchan, Sharukh Khan, Rani Mukherjee, amir Khan and lerce Brosnan)

Celebrity endorsement is a special type of advertisement which includes a famous person from
film fraternity, athletes and Sports, modeling world etc. It helps in promoting the product brand
and also increasing the sales of the product. 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 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 advertisement world. It is very expensive to endorse a celebrity for a
product but in long run it has helped in increasing the sales of the products. Celebrities are also
interested in endorsing themselves in the product as they get compensation for it and their image
is been developed considerably. In the history of advertising products or services, celebrities
have played a seminal (primary) role. Whether what‘s on offer is a soft drink, beauty aid or
public health message, it’s the celebrity endorsement that makes the difference between
recognition and anonymity (unknowns).

In today’s competitive world consumers are exposed to thousands of voices and images in
magazines, newspapers, and on billboards, websites, radio and television. Advertisers attempts to
steal at least a fraction of a person's time to inform him or her of the amazing and different
attributes of the product at hand. Because of the constant media saturation that most people
experience daily, they eventually become numb to the standard marketing techniques. The

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challenge of the marketer is to Find a hook that will hold the consumer’s attention. The hooks
that can hold the consumer’s attention are the celebrities. Celebrity endorsement if used
effectively makes the brand stand out, brand recall and facilitates instant awareness. To achieve
this, the marketer needs to be really disciplined in choice of a celebrity. Hence the right use of
celebrity can escalate the Unique Selling Proposition of a brand to new heights; but a cursory
orientation of a celebrity with a brand may prove to be fruitful for a brand. A celebrity is a means
to an end, and not an end. Celebrity Endorsement is a way to get the brand noticed amidst the
rush that is there in the market place. There is a huge Impact of Celebrity Endorsements among
the consumers through TV commercials in India as lndians like the celebrities a lot and there is a
huge fan following. A consumer that observes messages for two different firm’s products, one
product’s message containing a celebrity endorsed and the other not believes the celebrity
endorsed product will have more purchases and so be of higher value.. More and more
companies prefer the celebrities of different fields in India like the cricketers, Bollywood
celebrities and other sports personalities to endorse their brands. Marketers spend enormous
amount of money on celebrity endorsement contracts based on the belief that celebrities are
effective spokespersons for their products or brands. Television is something which is watched
all over India by the people of all class whether the people belong to lower class or middle class
or upper class. all of them watch television to entertain themselves. In India, celebrity power can
rightly be assessed by their successful endorsements. Here celebrities like film stars and
cricketers have not only been successful in gathering huge public attention, but also in increasing
sales volume. For example. Cadbury used Amitabh Bachchan to promote the brand when it went
through a bad phase in India. Soon the ad recreated people’s love for the brand and increased
Cadbury’s sale. Aamir Khan is used by Titan to communicate the message that Titan watches are
as trustworthy as the actor is for his films. This celebrity endorsement has also been quite
effective in influencing consumers buying decision. Similarly, various endorsements by Sharukh
Khan, Sachin Tendulkar and others have been found to be successful in affecting consumers
buying decision.

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1.2 NEED AND SIGNIFICANCE OF THE STUDY

Celebrity endorsement is a way of brand communication, advertising or marketing where

celebrities use their reputation to promote selected products, certify the brand’s right and
standpoint through enlarging their personality, fame, their status in society or proficiency in the
domain to the brand. celebrities promote your brand or product, their recommendation is
influential and hence, it all shows the importance of having celebrity endorsement for a brand.

1.3 STATEMENT OF THE PROBLEM

This study aims to find out the celebrity endorsement of MERIIBOY products. This particular
topic is chosen because celebrity endorsement is a very important concept and it plays a vital role
in the success of a company. It is very important for a huge company like MERIIBOY to build
its Brand for earning profits.

1.4 OBJECTIVES OF THE STUDY

1. To Study the attitude of consumers towards celebrity endorsement

2. To Analyze the influence of celebrity endorsement
3. To Examine that is there any relationship between the brand recognition and the celerity
who endorse the product.
4. To study the celebrity endorsed products promise better quality
5. To understand the impact of celebrity endorsement on the ice creams

1.5 SCOPE OF THE STUDY

Celebrity endorsement is a very old marketing communication strategy whereby popular culture
and celebrities that are part of this popular culture are used to create a brand image and to deliver
the message regarding the brand image. Celebrity endorsement is used to deliver advertisement
messages in 30% of the advertisements published in western countries, 60% of the
advertisements published in Asian countries and around 25% of the adds published on TVs in the
United States.

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1.6 LIMITATIONS OF THE STUDY

1. The result of the study depends on the information furnished by the respondents and
hence the information is subjected to personal bias.
2. Due to the time constraints, the findings of the study may be confined only to the areas
covered
3. The study is also subject to errors arising due to sampling

1.7 ORGANIZATION OF THE REPORT

 Chapter 1 :introduction

This chapter includes background of the study, need and significance of the study, significance
of the study, statement of the problem, objective of the study, scope of the study, limitation of
the study and organization of the report.

 Chapter 2: literature review

This includes industry profile, company profile, product profile and review of literature.

 Chapter 3: theoretical framework

This chapter gives the theoretical knowledge about the topic

 Chapter 4 : Research methodology

This chapter includes the hypothesis, research design, source of data ,primary and secondary
data, method of data collection, and data analysis techniques

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  Chapter 5: Data collection and interpretation

It includes data analysis using statistical tool like percentage analysis, co- efficient of correlation,
and hypothesis testing through chi- square testing.

 Chapter 6: Findings
 Chapter 7: Recommendation
 Chapter 8: Conclusion

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 CHAPTER 2

REVIEW OF LITERATURE

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2.1 REVIEW OF LITERATURE

 “YamB.Limbu, Bruce A. Huhmann and Robin T.Peterson 2012” (An examination of

humor and endorsers effect on consumers’ response to direct-to-consumer advertising:
the moderating role of product in involvement) Study show that low involvement
consumers demonstrate more positive responses than high involvement consumers

toward prescription drug ads with emotional appeals. However. expert endorser is found
to be more effective in improving ad credibility. A three-way interaction between humor.
endorser, and involvement is indicating that the celebrity endorser and humor jointly
generate more positive response than other combinations of treatment group when
product involvement is low. This is the first empirical study that examines the effects of
emotional appeals namely humor and endorsers on consumers’ response to DTCA (direct
-to -consumers-advertising).
 “A.Pughazhendi and R.Thirunavukkarasu (2011)” (A study on Celebrity Based
Advertisement on the purchase Attitude of Consumers Towards durable
Products)Advertisement play a major role in changing the settled perception or thinking.
The consumers are induced significantly by the celebrity endorser when the target is on
quality and price. The purchase attitude is influenced by the celebrity endorsement
factors, product evaluation and brand recognition. .
 “Wen-Shin Huang, Tsuifang Hsieh and Han -Shen Chen (2011)” this study suggests
that consumers are affected by animated spoke-characters, which increasing the
advertisement communication effect. However, product and brand values are essential
reasons for making purchase decisions. Hence, regardless of high or low involvement
products, consumers consider their real demands when purchasing products. Varsha Jain
and Subhadip Roy (2010) Study points out the fact that national Celebrities are better
than regional celebrities in creating positive consumer attitude. Consumers are open to
new product in high and low involvement products categories with the presence of
national and regional celebrity. However, when compared within the product categories,

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 It has a higher impact on low involvement product (soft drink) as compared to the high
involvement product (car).
 “Vipal Jain (2011)” (Celebrities endorsement and its impact on sales: A Research
Analysis Carried out In India) this study has a positive inclination towards the belief that
people are motivated to buy products as a result of celebrity endorsement. The research
also indicates that celebrity endorsement helps in brand promotion. The respondents also
strongly agree that celebrities bring brand equity to the product
 “Ekant Veer (2010)” the results show that celebrity endorsements do play a significant
role in attitude towards the political advert, attitude towards the endorsers and voter
intention. The results show that low political salience respondents were significantly
more likely to vote political party when a celebrity endorser is used.
 “Christopher R. Knittel and Victor Stango (2010)” (Celebrity Endorsements, Firm
value and Reputation Risk: evidence from the tiger Woods Scandal) they estimate the
stock market effects of the Tiger Woods scandal, on both his sponsor and their
competitors. In the trading days after the beginning of the scandal, firms with products
endorsed by woods suffered significant declines in stock market value. relative to both
the entire stock market and a set of competitor firms. The top five sponsors lost 2-3 per
cent aggregate market value after the accident, and his core three sponsor EA, Nike and
PepsiCo lost over four percent . It appears that the scandal sent a negative market wide
signal about the reputation risk associated with celebrity endorsement.
 “ChristinaS.Simmers,Datha Damron Martinez ,anddiana L. Haytko(2009)” in the
introduction of this paper, two question were posed. The first asked why some celebrities
are only able to endorse a limited range of related products, while others can endorse a
wide range of related products. Celebrities who are known for acquirable expertise are
limited in what they can endorse. One the other hand, celebrities who are known for their
likeability or overall image are not as limited in products that they can endorse. These
celebrities are good matches for affective products but can also endorse functional
products within his/her area of expertise. If a celebrity becomes associated with
something negative, he / she can slide to the left of the continuum, making him /her less
marketable.

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 “Karen E.Lear, Rodney C.Runyanand William H.Whitaker (2009)” (Sports
celebrity endorsement in retail products advertising ) the purpose of this paper was to
find out the effectiveness of sports celebrity endorsement in retail product advertisement.
In this study, it appears that products which are ultimately sold by retailers are endorsed
more frequently by celebrities.
 Mark toncar, Reid and Anderson (2007) (Effective spokespersons in a public service
announcement: national celebrities, local celebrities and victims) the paper finds that
hurricane victim is the most credible and believable spokesperson. The national celebrity
is the least credible and least believable. The local celebrity is more credible and
believable than the national celebrity.
 “Diana Seno and Brayan A. Lukas(2007)” study provides a set of criteria for selecting
the most appropriate celebrities for enhancing the value of product brand. Product
celebrity congruence (matching the characteristics of a celebrity endorse with the
attributes of a product) is an important management principle for identifying suitable
celebrity endorse. Celebrity credibility and attractiveness are important selection criteria
for choosing among the identified celebrities. After deciding on the number of celebrities
required, and making a selection, celebrity activation becomes an important management
factor, as does the way the celebrity endorse is integrated into a promotion program.
“Bhavana Sindhu (2011)” celebrity is always considered a big shot in the armor of big
brands to impress the masses. An interesting finding. male celebrities are more cichtivc
as endorsers than female. Celebrity endorsement decisively gives more visibility to the
product endorsed. But celebrity endorsement is fraught with several dangers like
overexposure, overshadowing the brand, negative publicity of the endorser to name a
few. All the related factors have to be taken care of; otherwise the celebrity endorsement
may prove to be a landmine having a devastating impact on the profitability, products
future prospects and brand image.
 “Puja Khatri (2006)”Celebrity Endorsement: A Strategic Promotion Perspective"
advertisers agree that celebrity endorsement does not itself guarantee sales. It can create

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 a buzz and make a consumer feel better about the product, which in turn has to come to
expectation of customers as real star by delivering the promise.
 “Subhadip Roy (2006)” this study raise question and attempts to provide explanations
for them. The question relates to determining the fit between the celebrity and the brands
endorsed by her/him. The results suggest that consumers differentially rank both
celebrities and brands. Specifically, Amitabh Bachchan ranks high on Five personality
attributes, and brands such as Pepsi and Coke rank high on four personality attributes.
The study shows that many celebrities endorse several brands but their personality does
not fit well with the personality of the all brand which they endorse.
 “Kenneth E.Clow, Karen E. James, Kristine E. Kranen burg, Chistine T.Berry
(2006)” (The relationship of the visual element of an advertisement to service quality
expectations and source credibility ) the study show that both source credibility and
services quality evaluations have a definite impact on attitude towards the ad and
purchase intentions of a services and the type of visual element used is important in the
ad evaluation process.
 “Jennifer Edson Escales James R.Battam (2005)” study show that consumers report
higher self brand connections for brands with image that are consistent with the image
of an in group compared to brands with images that are inconsistent with the image of an
in group. Consumer use brands whose image match reference group. This finding that
consumers reject the social meaning of brands that arises from out group brand. This also
fined that our effect are moderated by brand symbolism, such that brands that
communicate something about the yield stronger effect than brands that do not.
 “Subramanian Sivarama krishana and Rajesh V. manchanda (2003)” (the effect of
Cognitive busyness on consumers’ perception of product value) according to this study,
when consumers are cognitively busy, they are less likely to accurately assess the value
of price discount offers. Such cognitively busy consumers generally disregard the
magnitude of the discount and the actual saving offered in forming their assessments of
value for the offer. On busy consumers, on the other hand, perceive difference in values
as magnitude of discount, price or quality of product features being altered. It is shown

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 that paying close attention to product-and-price related information details causes’
cognitive business.
 “Brian D.Till (1998)” the use of celebrity endorses in advertising is wide spread as much
as 20 percent of all advertising use some type of celebrity endorse. Marketers invest
significant dollars in securing the promotional support of well individuals. Principles
such as repetition, over shadowing. blocking. belongigness, CS pre exposure, and
association set size, and extinction are introduced and linked to specific managerial
suggestions for improving the use of celebrity endorse.
 “ Role of culture in celebrity endorsement: Brand endorsement by celebrities in
Indian context : A Review, Synthesis and Research Propositions -Abhishek
&Arvind Sahay”

In this article they opinioned that it will be wrong to consider celebrity endorsement as an
effective response to media clutter in all situations in spite of the intensity of involvement people
have with celebrities in india. The purpose of this paper was to review and synthesize the
literature on celebrity endorsements in the light of widely differing practices in nature and
quantity of use of the phenomena between developed and emerging markets and to develop a set
of propositions that explain the difference using the lens of culture. From the study they found
that when a celebrity endorses a brand which is facing negative news, the attitude toward a brand
will turn more positive in a society having long term orientation in comparison to society having
short term orientation.

 “Influence 0f Celebrity Endorsement la Rural Markets : A Study With Reference

To Thirunelli Panchayat In Wayannd la KeralaHart Sundar G. Ram.. D. Sudharani
Ravindmnst M. Salish”

According to them Rural India it the buzzword and Eldorado for marketers. Organizations are
shifting their focus towards this huge and largely untapped market. 1 he objective of the study is
to study the effect of celebrity endorsement in rural market of Kerala. in rural market. the
influence of Celebrity endorsement in decision making and purchasing the product is
remarkable. Celebrity is a person who can attract people by mere presence and words (Kotler
2002). In India influence of films stars and sports personalities especially cricketer are
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phenomenon. Kerala. the literate state of India may not be falling behind in the influence of
celebrity endorsement in purchasing products. The study envisages finding out the influence of
celebrity endorsement in purchase of consumer durable goods in rural Kerala. The village chosen
is Thirunelli Grams Panchayath, Waymad District. Kerala from where the samples were taken.
The profile of the respondents were small and medium coffee planters residing in Thimnelli
Grams panchayath at Wayanad district selected at random. The data were collected through
pretested questionnaire. The collected data were anal} red by using Statistical software SPSS.
The tool Chi-square test was employed for studying the hypothesis.

“The Effect of using Celebrities in Advertising on the Buying Decision

"Empirical Study on Students in Janish Print: University"Mohammad. 0. M
ZoubiMohammad. T. Bataineh.”

This study is based on a iield work. of which population included economic faculty student in
Jarash University who were enrolled in a" BA programs. The study used convenience sample of
9| students from the mentioned university and used a very common method to collect the data
needed in this research is questionnaire. This questionnaire was designed to measure the effect of
using celebrities on buying decision: it contains three main sections concerning the main
variables of the study. The first section intended to measure consumer attitudes towards the
attractiveness of celebrities, where the second section designed to assess the intiuence of
celebrities on consumers' brand choice behavior, and the third section designed to compare
between the intiuence of using celebrities and non-celebrities on the buying decision of
consumers .The most important research findings of the study include the followings:

1. The Television advertising, which uses celebrities is attractive. this indicates to the Television
advertising, which uses celebrities, is attractive.

2. There is no effect of using the celebrities on the buying decision. this indicate to the using the
celebrities haven’t a significant effect on the buying decision

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3. Using celebrities has no greater effect than non celebrity on consumer buying

decision, this indicate to the using the celebrities hasn’t a significant effect than non celebrity on
consumer buying decision.

Definition of a Celebrity

Per say, a dictionary meaning of this word is “a famous person". 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. But if a person acts or performs something which gives spectacular
results is noticed by masses. That person has "done something" special that we and masses can
not do. He is regarded as a special person with some "extra" given by that "Almighty“ above. We
start feeling that he/she is great. We start celebrating his/her all acts which produce success. if
the success rate for that person is very high to "deliver" same results, he becomes a
"CELEBRITY". it may be in field of sports. cinema. theatre. social life, politics, and science
anything but something with some special results. But by all means these acts should be with
good cause, positive results, morally good and acceptable results. Eg. 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. A celebrity is perceived as god by
masses. They touch their feet, create idols and worship, garland their photographs, perform
"Yagnyas" for their idols performance, wait for their "Darshan" in hot sun or heavy rains for
hours together, follow fashions of them wear similar clothes or have similar hair style as that of
celebrity, and on wrong side even commit suicide if celebrity FAILS to deliver results. They
have tremendous mass followings. They pull crowds with their presence only. If it is understood
that Amitabh Bachchan is coming for shooting a film to a particular location on a particular day,
then there is big commotion in that area. Celebrities are people who enjoy specific public

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recognition by a large number of certain groups of people. They have some characteristic
attributes like attractiveness, extraordinary lifestyle or special skills that are not commonly
observed. Thus it can be said that within a society, celebrities generally differ from the common
people and enjoy a high degree of public awareness.

According to Friedman and Friedman. a “celebrity endorser is an individual who is known by the
public for his or her achievements in areas other than that of the product class endorsed”.
Compared to other endorser types, famous people always attach a greater degree of attention,
recall and loyalty. In this age of intense competition. where capturing a position in the
consumers’ mind Space is extremely tough, celebrity endorsements give an extra edge to the
companies for holding the viewers’ attention. Celebrities can catalyze brand acceptance and
provide the enormous momentum that brands require by endorsing the intrinsic value to the
brand.

Like

a)Actors (e.g., Amitabh Bachchan, Shahrukh Khan, Aishwarya Rai,, Preity

Zinta, Aamir Khan and Pierce Brosnan)
b) Models (e.g., Mallaika Arora, Milind Soman, etc),
c) Television Personalities (Husain, Smriti lrani),
(d) Sports figures (e.g., Sachin Tendulkar, Sania Mirza, Anna Kournikova,
Michael Schumacher,Tiger Woods, etc),
e) Entertainers (e.g., Cyrus Broacha, Oprah Winfrey,)
f) Pop-stars (e.g., Madonna, Shakira)

But also for less obvious groups like businessmen (e.g., Vijay Mallya, Bill Gates) or politicians.
Celebrities appear in public in different ways. First, they appear in public when fulfilling their
profession, e.g., Vishwanathan Anand, who plays chess in front of an audience. Further more,
celebrities appear in public by attending special celebrity events, e.g., award ceremonies,
inaugurations or world premieres of movies. In addition, they are present in news, fashion
magazines, and tabloids, which provide second source information on events and the ‘private
life’ of celebrities through mass-media channels (e.g., Smriti lrani being regularly featured in

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various publications). Last but not least, celebrities act as spokes-people in advertising to
promote products and services, which is referred to celebrity endorsement.

2.2 INDUSTRY PROFILE

THE EVOLUTION OF ICE CREAM

Ice cream's origins are known to reach back as far as the second century B.C., although no
specific date of origin or inventor has been undisputedly credited with its discovery. We know
that Alexander the Great enjoyed snow and ice flavored with honey and nectar. Biblical
references also show that King Solomon was fond of iced drinks during harvesting. During the .
Roman Empire, Nero Claudius Caesar (A.D. 54-86) frequently sent runners into the mountains
for snow, which was then flavored with fruits and juices. Over a thousand years later, Marco
Polo returned to Italy from the Far East with a recipe that closely resembled what is now called
sherbet. Historians estimate that this recipe evolved into ice cream sometime in the l6th century.
England seems to have discovered ice cream at the same time, or perhaps even earlier than the
Italians. "Cream Ice," as it was called, appeared regularly at the table of Charles I during the l7th
century. France was introduced to similar frozen desserts in l553 by the Italian Catherine de
Medici when she became the wife of Henry II of France. It wasn't until I660 that ice cream was
made available to the general public. The Sicilian Procopio introduced a recipe blending milk,
cream, butter and eggs at Café Procope, the first café in Paris.

WORLD SCENARIO

The annual world trade in milk products (excluding intra-EU) amounts to 33million tons, valued
at US$ 10 billion. Barely 6 to 7% of the world milk Production is traded internationally. The
bulk of the world dairy trade is in Cheese, Butter and Powders. A growing shift towards cheese
is expected in the near future. Two dynamic products with a substantial projected growth in the
coming years are yoghurt and dessert. The international dairy trade is dominated by four players
EU, New Zealand, Australia and USA which together account for 85% of all exports. New
Zealand and Australia export as much as 80 and 50% of their milk production respectively. It

17
accounts for the bulk of milk powder imports and half of the imports of condensed and
evaporated milk. In contrast, most cheese imports go from developing countries to developed
countries such as Japan and the United States. The dairy industry is regulated in most countries
through various ways. Imports are commonly restricted, and exports frequently subsidized. High
dairy price supports in many countries are put in place to stimulate production to the extent that
subsidies for exports are necessitated to maintain domestic dairy programs. In the United
Kingdom. all the milk produced by farmers is procured by the cooperatives. In the United States,
70 per cent of the dairy industry is cooperative. Dairy programs are subject to more Government
participation or regulation than most other domestic agricultural industries in the USA. There are
also Federal Milk Marketing Orders and movement barriers in the USA for “orderly marketing
control, which is associated with stabilizing fluid milk prices. providing secure and dependable
markets for individual dairy farmers, primarily for the fluid market and improving the balance of
market power between farmers and handlers. With substantial and continued investment in
building up milk production. lndia can emerge as a major exporter of dairy products and
technologies in the next few decades.

INDIAN SCENARIO

Ice cream industry occupies important place in India. It is one of the consumer goods industries
its products is important popular diet. lndia is an agriculture-based country because of the large
number of cattle and large milk production most of the dairy and ice-cream industries has
developed and India is well ranked in the world. Ice cream industry has brought magnificent
change in the rural economy. It provides employment to the marginal farmers. Today the
competition in ice-cream of players like Amul, Kwalitywalls,Vadilal etc. as ice cream has been a
regular edible item the consumption of ice cream is more. In 1983 when lndian Government
Issued a control in which the certain price level was fixed. It has an important role in
employment generation and reducing the migration of villagers towards the town and cities for
live hood. India has one of the largest livestock populations in the world. Fifty percent of the
buffaloes and twenty percent of the cattle in the world are found in India, most of which are milk
cows and buffaloes. Dairy development in India has been acknowledged the world over as one of

18
modem India’s most successful developmental program. Today, India is the largest milk
producing country in the world. Milk and milk products is rated as one of the most promising
sectors which deserves appreciation in a big way. When the world milk production registered a
negative growth of2 percent, India performed much better with 4 percent growth.

2.3 COMPANY PROFILE

Table no:2.1

Name of the company MERIIBOY ICE CREAM

(SUPREME FOOD INDUSTRIES
CHELAMATTOM, OKKAL P.O
Table 2.1
Year of Incorporation 2003

Place Chelamattom

District Ernakulam

State Kerala

Country India
Type of organization Partnership organization

Nature of organization Partnership firm

Nature of product Manufactured

No. of employees 150

Production capacity 6000 liters

Exporting products to Karnataka, Tamil nadu

Major competitors Lazza, Amul

Company website www.meriiboy.com

19
 CHAPTER 3
THEORETICAL FRAMEWORK

20
CELEBRITY ENDORSEMENT

The use of celebrities in order to increase the sales and/ or the recall value of a brand is called
celebrity endorsement

The late '80s saw the beginning of celebrity endorsements in advertising in India. Hindi film
and TV stars as well as sportspersons began encroaching on a territory that was, until then, the
exclusive domain of models. There was a spurt of advertising, featuring stars like Tabassum
(Prestige pressure cookers), Jalal Agha (Pan Parag), Kapil Dev (Palmolive Shaving Cream) and
Sunil Gavaskar (Dinesh Suitings). Of course, probably the first ad to cash in on star power in a
strategic, long-term, mission statement kind of way was for Lux soap, a brand which has,
perhaps as a result of this, been among the top three in the country for much of its lifetime.

Endorsements by celebrities have started since a long time. The very fact that their use has
continued for so long is proof enough of its immense advantages, but they have several
disadvantages too. When it comes to celebrity endorsement, the first brand that comes to the
Indian mind is that of Lux, the Beauty Bar of the Stars. Since its inception, Lux the brand has
grown positioning itself thus. However, recently Lux has tried to change its positioning from
being a woman’s soap to being soap for men as well. Sticking to its strategy of using celebrities
to appeal to its target audience, this time around it has used Shah Rukh Khan to endorse Lux. But
this time the response has been confusing.

One of the first sports endorsements in India was when Farokh Engineer became the first Indian
Crickets to model for Brylcream The Indian cricket teams now earns roughly Rs. 100 crore
through endorsements. There was a spurt of advertising, featuring stars like tabassum (Prestige
Pressure cookers). Jalal Agha (Pan Parag).Kapil Dev (Palmolive Shaving cream) and Sunil
Gavaskar (Dinesh Sutings)

21
RISE OF CELEBRITY CULTURE

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.Often, celebrities cannot escape the public eye
& 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 fame fades.

In India today, the use of celebrity advertising for companies has become a trend and a perceive
winning formula of corporate image building and product marketing. Associating a brand with a
top-notch celebrity can do more than perk up brand recall. It can create linkages with the stars
appeal, thereby adding refreshing and new dimensions to the brand image.

In a world filled with faces, how many do you remember? Admittedly the ones that evoke some
kind of feel in you, whether it’s humors, acceptance, appreciation or recognition. These are the
faces you’d turn to look at, the ones that would stop you in your tracks. And that’s when you
have more than just a face. You have personality.

“Personality that’s reflective of your brand and promises to take it that extra mile”.

As existing media get increasingly cluttered, the need to stand out has become paramount- and
celebrities have proved to be the ideal way to ensure brand prominence. Synergizing personality
with product and message can create an instant breakthrough. Result? Brand buzz. People begin
to notice, opportunities come about. People want to be part of the brand.

22
 “Touch it. Feel it. Experience it.”

‘Celebrities as brands’ is a concept-selling challenge, as the current notion of celebrity

management is far from ideal – it’s perceived as a business that merely attaches celebrity to the
brand to get that added advantage. However, the actual job is not mere brokerage --- it’s about
selecting a celebrity whose characteristics’ are congruent with the brand image.

Using celebrities in advertising dates back to the late nineteenth century and this common
advertising practice has drawn a considerable amount of academic and practical attention. Most
academic investigations of celebrity endorsement have been contextualized in the realm of

source credibility and attractiveness models, and suggest that celebrities exert their influence on
consumer through perceived attributes such as expertise, trustworthiness, attractiveness,
familiarty, and likeability

Celebrities embody a collection of culturally relevant images, symbols, and values. As the
images of the celebrity become associated with the products through endorsement, the meanings
they attach to the product are transferred to consumer through and consumption. Therefore, the
practice for celebrity endorsement should be closely related to the cultural context in which the
images of celebrities are formed and individual celebrities are selected to be linked with
particular products.

For advertising practitioners, employing an appropriate celebrity endorser to promote a product

is important and difficult tasks. Familiarity, as well as the fit between celebrity and the product,
as important factors for choosing the appropriate endorsers.

Other highly ranked decision factors include celebrity/ target- audience congruence, costs of
securing the celebrity, the celebrity’s risk of controversy, and the celebrity’s prior endorsement.
As suggested by Erdogan, Baker, and Tagg (2001), the perceived importance and the actual use
of endorser selection criteria may vary from culture to culture. Differences in the entertainment

23
industry and the agency business, and more broadly, in the cultural environments are likely to
influence the execution of the celebrity endorsement strategy across countries.

Arguing for standardized advertising across countries, some contend that consumer demands and
tastes have become similar on a global scale (and that using celebrities with world wide
recognition in advertising is an effective means of overcoming cultural difficulties. Others claim
that despite some observed convergence among consumer around world, fundamental values still
remain divergent across cultures. Therefore, international advertisers cannot assume that the
same advertising technique should be uniformly applied or that it will be equally effective in
different countries.

Celebrity endorsements are very expensive. Therefore their use in an ad should be justified. In
other words, the message strategy for a brand should strongly warrant the use a known face in an
idea. Sadly, very often the celebrity is hired first and an idea is then weaved around his or her
presence.

The 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.

A celebrity’s presence in the ad should be contextual. When Sachin Tendulkar declares, “Boost
is the secret of my energy,” it doesn’t seem out of context. Internationally, Nike’s association
with Michael Jordan is legendary and also logical.

Celebrity endorsements work best when the celebrity is not introducing the brand. When the
product already has a strong identity and a USP that is well established, then a celebrity can
come in and give the brand an added fillip and generate some more interest value. However,
what is of paramount importance is to find a complete fit between the values of the brand and the
values of the celebrity. One needs to create a unique situation or story that links the celebrity to
the product.

24
IS IT SMART TO USE CELEBRITY ENDORSEMENT FOR BRANDING

Stars, who are known to shape destinies, cast an enormous influence. No, we’re not
talking about astrology here. We’re referring to the powerful effect of celebrities on destinies of
brands. One approving nod from a famous face can translate into millions in brand sales. Perhaps
that’s why the world over, companies have been using stars to endorse everything, from food to
food chains, from soft and hard drinks to health drinks, from clothes and accessories to cars (and
the tyres on which they run). Even political parties are awestruck by the charisma of stars. Such
is the magnetism of celebrities in this country that in the recent general elections, major political
parties fielded a record number of film stars and cricketers to contest from important
constituencies around the country

CELEBRITY ENDORSEMENTS AS A STRATEGY

Signing up stars for endorsements is a time-tested strategy and has been effectively used
by some of the top brands in the world including Nike and Pepsi. In India too, HLL has used
Hindi film stars to endorse their beauty soap Lux since the fifties. Vimal, Thums Up, Gwalior
and Dinesh are some of the other brands that used star-appeal in the early days of mass
advertising. And who can forget Kapil ‘Palmolive’ Dev?

Marketeres believe that star endorsements have several benefits, key among them being building
credibility, fostering trust and drawing attention or any or all of which can translate into higher
brand sales. So how does one decide whether to put a celebrity in an ad? Ideally, this should be
dictated by the communication idea. MG Parmeswaran, Executive Director of FCB Ulka says,
“As advertising professionals, we recommend celebrity endorsements when the case is justified.
There are many cases where you need to use the celebrity to break out of a category clutter. At
times celebrity endorsement is used to build credibility to the brand offer.”

25
 Most experts concur that, when used judiciously, celebrity endorsements can be an effective
strategy. According to Mohammed Khan, Chairman of Enterprise Nexus, “Using a celebrity by
itself is not a bad idea provided it is done intelligently.” And there are many examples of good
and bad use of celebrities.

Take Amitabh Bachchan, who has been used by some companies like Parker Pens and ICICI
Home Loans remarkably well while some others have been unable to exploit his Big B status too
well. Shah Rukh Khan’s endorsement of Hyundai i10 too seems to have worked well.

Parmeswaran adds, “We used cricketers like Rahul Dravid for Castrol in an attempt to break out
of the clutter, as well as have an image rub off of ‘dependability’ on to the brand.”

Yet, there are some who don’t have much conviction in star endorsements. Adrian Mendonza,
Executive VP and Creative Director of Rediffusion DY&R does not recommend celebrity
endorsements because he thinks that to be really successful, a brand needs to have a strong
identity of its own. It should ideally not piggyback on the identity of a celebrity and hope to
achieve success. Mendonza adds, “I somehow get this feeling that not much effort is put in to
think through an ad with a celebrity. Most times it seems like it is just the celebrity saying ‘I use
this product, so why don’t you’ kind of thing and the ad agency thinks it has done its job.”

"High-profile endorsements from athletes and celebrities will set you apart from your
competitors, and you can become a contender in the playing field —a celebrity
spokesperson can work for companies of all sizes." .

"Many companies have had considerable success using celebrities as spokespersons, especially
athletes," stated researchers Amy Dyson and Douglas Turco, in "The State of Celebrity
Endorsement in Sport," for the Cyber-Journal of Sport Marketing. They found that, in 1995, U.S.
companies paid more than $1 billion to 2,000 athletes for endorsement deals, and that sport
endorsers were featured in 11% of all television advertisements that same year. "Research has
26
indicated that customers are more likely to choose goods and services endorsed by celebrities
than those without such endorsements," they concluded. Their research shows that one of the
advantages to celebrity-based marketing campaigns is that:

“Famous people hold the viewer's attention. In this era of sound-bytes and channel surfing,
there is a demand for people's time and focus.”

Of course, any marketing material — even with a powerful celebrity endorsement — must be a
combination of both education and sales.

PRODUCT ENDORSEMENT

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 center 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 exchange for an
endorsement contract, someone may agree to use the product publicly whenever possible, and

27
they may be restricted from using 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. 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 various sports merchandise.

CELEBRITY ENDORSEMENT

The use of celebrities in order to increase the sales and/ or the recall value of a brand is called
celebrity endorsement The late '80s saw the beginning of celebrity endorsements in advertising
in India. Hindi film and TV stars as well as sportspersons began encroaching on a territory that
was. until then. the exclusive domain of models. There was a spurt of advertising. featuring stars
like Tabassum(Prestige pressure cookers). Jalal Agha (Pan Parag),Kapil Dev (Palmolive Shaving
Cream) and Sunil Gavaskar (Dinesh Suitings). Of course, probably the first ad to cash in on star
power in astrategic, long-term, mission statement kind of way was for Lux soap, a brand which
has, perhaps as a result of this, been among the top three in the country for much of its life time.
Endorsements by celebrities have started since a long time. The very fact that their use has
continued for so long is proof enough of its immense advantages, but they have several
disadvantages too. When it comes to celebrity endorsement. the first brand that comes to the
Indian mind is that of Lux, the Beauty Bar of the Stars. Since its inception. Lux the brand has
grown positioning itself thus. However, recently Lux has tried to change its positioning from
being a woman’s soap to being soap for men as well. Sticking to its strategy of using celebrities
to appeal to its target audience, this time around it has used Shah Rukh Khan to endorse Lux. But
this time the response has been confusing. One of the first sports endorsements in India was
when Farokh Engineer became the first Indian Crickets to model for Brylcream The lndian
cricket teams now earns roughly Rs. 100 crore through endorsements. There was a spurt of

28
advertising, featuring stars like tabassum (Prestige Pressure cookers). Jalal Agha (Pan
Parag).Kapil Dev (Palmolive Shaving cream) and Sunil Gavaskar (Dinesh Sutings)

Celebrity-Target Audience Match

Smriti Irani endorsing the WHO recommended ORS Campaign in India. Indian mothers can
associate with Smriti Irani through the facets she projects on screen or in regular life which helps
develop a connect with the target audience since mothers medicate their children with ORS. The
in serial placement of the campaign in "Kyunki Saas Bhi Kabhi Bahu Thi" has won it an award
from PR Week. Similarly, lrfan Pathan endorsing Hero Cycles has gained the brand immense
recall and embarked through the positive association between the consumer and the brand.

Celebrity Values

Celebrity branding is all about the transfer of the value from the person to the product he
endorses or stands for. There are two concerns here. The first is how long this could last. Canthe
person maintain his popularity (i.e., his performance or status ranking) The lifecycle of celebrity
popularity varies a lot. The second concern is his private life -personal integrity. If he is
implicated in any kind of scandal, that would ruin the brand. "Who would want to use Michael
Jackson to brand their product?" (brandchannel.com)Tabu endorsing Tetra Packed Milk,
Shabana Azmi campaigning for AIDS Awareness,

Celebrity Regional Appeal Factors

R. Madhavan endorsing Pepsi in southern India or Sachin Tendulkar endorsing in India are few
examples of how celebrities are chosen to reach out to target audiences for brands in regional
markets. Another interesting example would be of Steve Waugh campaigning for Tourism
Australia in India since he was one of the popular celebrities from Australia and could carry the
message of Australia as a tourist destination. Other celebrities like Kylie Minogue. Nicole
Kidman from Australia can be prospective endorsers for Brand Australia but not in the region of
India.

29
 Celebrity Popularity

Celebrity Brand association like Garnier endorsed Tara Sharma & Simone Singh, Agni
Diamonds with Riama Sen don't get much brand recall, and even if they do, its difficult to
attribute it to the celebrities' endorsing the brand. On the other hand, HPCL has had increased
popularity and share of voice due to the endorsement of the brand through Sania Mirza.

Celebrity Credibility

The most important aspect and reason for celebrity endorsement is credibility. ln are search
carried out among 43 ad agencies and companies, most experts believed that the most important
dimensions of credibility are trustworthiness and prowess or expertise with regard to the
recommended product or service (Miciak and Shanklin, 2002). One of the most obvious reasons
of Amitabh Bachchan endorsing huge number of brands is the credibility of the celebrity and his
recognition across consumers. To site one of the most successful campaigns in which the
celebrity's credibility has had an indelible impact on the brand and has saved the brand is of
Cadbury's. After the worm Controversy, Amitabh Bachchan's credibility infused into the brand
through the campaign, helping it to get back on track. The campaign has won an award for the
same.

SUCCESSFUL CELEBRITY ENDORSEMENTS FOR A BRAND AN INDIAN

PERSPECTIVE

The latter part of the '80s saw the burgeoning of a new trend in India brands started being
endorsed by celebrities. Hindi film and TV stars as well as sports-persons were roped in to
endorse prominent brands. Advertisements featuring stars like Tabassum (Prestige Pressure
Cooker), Jalal Agha (Pan Parag), Kapil Dev (Palmolive Shaving Cream) and Sunil Gavaskar
(Dinesh Suitings) became common. Of course, probably the first ad to cash in on star power in a
strategic, long-term, mission statement kind of way was for Lux soap, a brand which has,
perhaps as a result of this, been among the top three in the country for much of its life-time In
recent times, we had the Shah Rukh-Santro campaign with the objective of creating awareness

30
about an unknown Korean brand in the Indian market, Hyundai. The objective was to garner
faster brand recognition, association and emotional unity with the target group. Star power in
lndia can be gauged by the successful endorsement done by Sharukh for three brands
Pepsi,Clinic All Clear and Santro.Similarly, when S. Kumar’s used Hrithik Roshan, then the
hottest advertising icon for their launch advertising for Tamarind, they reckoned they spent 40-
50 per cent less on media due to the sheer impact of using Hrithik. Ad recall was as high as 70
per cent, and even the normally conservative trade got interested. Confming to India, it would
not be presumptuous to state that celebrity endorsements can positively affect the overall brand.
We have numerous examples exemplifying this claim. A standard example here is Coke. which.
till recently, internationally didn't use stars at all in fact, lndia was a first for them. The result was
a ubiquitously appealing Aamir cheekily stating 'thanda matlab coca cola’. The recall value for
Nakshatra advertising is only due to the sensuous Aishwarya. The Parker brand of pen, which by
itself commands equity, used Amitabh Bachchan to revitalize the brand in lndia. According to
Pooja Jain. Director, Luxor Writing instruments Ltd. (LWlL), post-Bachchan Parker's sales have
increased by about 30 per cent. lndia is one country which has always idolized the species of the
celluloid world. Therefore, it makes tremendous sense for a brand to procure a celebrity for its
endorsement. In India, there is an exponential potential for a celebrity endorsement to be
perceived as genuinely relevant, thereby, motivating consumers to go in for the product this
would especially prove true if the endorser and the category are a natural lifestyle fit (sports-
persons and foot-wear, Kapil -Sachin and Boost. film stars and beauty products, Katrina Kaif and
Lux).

Selection of Celebrity

Anyone who is famous may be the right celebrity. However, the appropriateness of the celebrity
largely depends on the product or service. Most advertisers insist that their celebrity
spokespeople have charisma and current popularity. That is why we see more movie and
television stars, athletes, real-life heroes, and musicians acting as brand ambassadors in the
market.

31
 How a Marketer chooses a Celebrity

Match up Fame, popularity Trustworthiness

between Brand (But Brand should
image and be reliable)

Celebrity chosen Physical

Expertise
attractiveness

Figure 3.1

The choice of celebrity is critical for the success of the advertisement. The celebrity should have
high recognition, high positive effect, and the image of the celebrity must match with that of the
product. For this reason, famous sportsmen are used to endorse sporting goods: Michael Jordan
& Nike, Tiger Woods and Nike, David Beckham endorses Adidas, etc. While it is totally
inappropriate for movie stars to endorse a sports products. Celebrity endorsements must be used
judiciously. If the celebrity is too famous or too popular, then the celebrity will overpower the
product i.e., people will remember seeing only the celebrity and forget the product. This
happened when Britney Spears came in a Pepsi Commercial in 200]. Britney Spears was at the
height of her popularity viewers saw the advertisement to see Britney Spears and forgot all about
Pepsi. The cost benefit analysis of using celebrity in marketing communications is bit tricky. But
the general belief is that using celebrity is a lot cheaper in building a brand. For example,
S.Kumar’sbuilt the brand "Reed & Taylor’s" as a premier suiting material by having Amitabh
Bachan in its advertisements. To achieve the same without a celebrity would have taken longer
time & more money. In a span of less than two years after launch, the brand Reed & Taylor’s"
has become the second largest seller of cloth for men’s suits in India. Selection of the right
celebrity is crucial. The needs of the brand-rather than the fame of the celebrity-should be the
primary criteria when selecting a celebrity spokesperson. The celebrity’s physical attractiveness,
values, and credibility also matter tremendously. However, it would be suicidal to forget about
the target audience.

32
 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:

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

2. Imported: The celebrity performs a role known to the audience.
3. Invented: The celebrity plays a new, original role. G Observer: The
celebrity assumes the role of an observer commenting on the brand.
4. Harnessed: The celebrity's image is integrated with the ad's storyline.

PARTNERS OF THE COMPANY

1. A.V Thomas

2. K.M Joseph

3. E.V Joseph

4. Daisy Devassy

5. Mini Varghese

YEAR OF INCORPORATION

The company started its function as a partnership enterprise on 2003.

33
 HISTORY OF THE COMPANY

Meriiboy is a division of Cousins Group, a business venture founded in I990, by S closelyknit

families. Over the years, the group has developed diverse interests from plastic modeling to ice
cream and more. The first ice cream factory unit was set up in 2003 at Kalady with a capacity of
600L a day. Today, the group holds four advanced units manufacturing over 5 million litres
every year.

In 2006 Cousins Group started the second ice cream factory in Kinfra Food Processing Park.
Calicut, catering to Northern Kerala. ln 20|O the third factory commissioned at Trivandrum as a
part of market expansion the fourth factory inaugurated at Kannur and reaches production
capacity of‘ 8 million liter/annum. ln 20l3 Meriiboy becomes a major player in Kerala. Awarded
ISO 22000: 2005 certifications by BUREAU VERITAS for Kalady factory. Distribution network
spreads across |200 dealers and 400 distributors in Kerala. Tamil Nadu and Karnataka.
Establishes own retail outlets in Lulu & Oberon malls in Ernakulam, Vega Land, Food Mall at
Revenue Tower, R P Mall at Calicut, Bakker junction at Kottayam. Meriiboy is one of the largest
producers of fresh ice cream, based in South India. The brand is known across Kerala and in the
emerging markets of Tamil Nadu and Karnataka for its original freshness and unmatched quality.
The brand pays great attention to quality at every level. from the sourcing of fresh raw materials
to testing, manufacturing, packaging and the finished product. Made with state-of-the art
production techniques and a comprehensive hygiene policy, every Meriiboy product is nothing
less than world class. To ensure this, Tetra Pak Hoyer, Denmark has been involved as
consultants and quality advisors.

VISION STATEMENT

The supreme food industry (Meriiboy Ice cream Company) has a great vision of becoming a
leader of fast moving consumer goods and products. Its vision is to provide total customer
satisfaction through continuous improvement in production process and services.

34
 MISSION STATEMENT

The mission of the company is to deliver high quality food products that set themselves apart
from others in taste and value.

QUALITY POLICY

Meriiboy ice cream provides quality policies mainly on the following areas:

1. They periodically check the quality in production of ice creams

2. Packaging process also include quality procedures such as inspection of

packages.

3. They also provide quality protection on handling such as refrigerator

vans for their Products while marketing.

In Process

1. The procedures are processes adopted adhering to HACCP standards.

2. Most modem machines imported from Italy & Europe

3. Procedures like disinfection

4. Fully automated plants to avoid human involvement in manufacturing.

5. Each batch tested for quality.

6. In house laboratory with trained microbiologists and chemists.

35
In Packaging

1. Paper packaging done with white ITC food grade cartons

2. Packaging workers are inspected before they engage in packaging.

3. Packaging materials supplied by reliable suppliers.

In Handling

1. Refrigerated vans for transportation. 0 Well trained distributers

and dealers.

2. Well maintained cold chain facilities less breakdowns

COMPANY LOGO

36
 QUALITY CERTIFICATION

ISO 22000-2005 Certification

ISO 22000:2005 specifies requirements for a food safety management system where an
organization in the food chain needs to demonstrate its ability to control food safety hazards in
order to ensure that food is safe at the time of human consumption.

ISO 22000:2005 specifies requirements to enable an organization

To plan, implement, operate, maintain and update a food safety management system aimed at
providing products that, according to their intended use, are safe for the consumer, To
demonstrate compliance with applicable statutory and regulatory food safety requirements, To
evaluate and assess customer requirements and demonstrate conformity with those mutually
agreed customer requirements that relate to food safety, in order to enhance customer
satisfaction, To effectively communicate food safety issues to their suppliers. customers and
relevant interested parties in the food chain, To ensure that the organization conforms to its
stated food safety policy, To demonstrate such conformity to relevant interested parties, and To
seek certification or registration of its food safety management system by an external
organization, or make a self-assessment or self-declaration of conformity to ISO 22000:2005.

OWNERSHIP STATUS

Partnership firm the members of the board of directors of the company are closely related
family members

PRODUCTS OF THE COMPANY

ICE CREAMS Ice cream (derived from earlier iced cream or cream ice) is a frozen
dessert usually made from dairy products, such as milk and cream and often combined with fruits
or other ingredients and flavors. Most varieties contain sugar, although some are made with other

37
sweeteners. in some cases, artificial flavorings and colorings are used in addition to, or instead
of, the natural ingredients. The mixture of chosen ingredients is stirred slowly while cooling, in
order to incorporate air and to prevent large ice crystals from forming. The result is smoothly
textured semi-solid foam that is malleable and can be scooped. Meriiboy ice creams are available
at various flavors’ like Vanilla, Strawberry, Orange, Pineapple. Coffee, Lemon Delight, Guava,
Pista, Alphonso Mango, Butterscotch, Spanish Delight, Chocolate, Black Currant etc.

SUNDAE

The sundae is a sweet ice cream dessert. It typically consists of one or more scoops of ice
cream topped with sauce or syrup, and in some cases other toppings including sprinkles, whipped
cream, maraschino cherries, or other fruits. In Meriiboy Sundae is available at Chocolate,
Strawberry and Pista flavours.

CASSATA

The different varieties of Cassatas available in Meriiboy are Cassata King. Cassata
Queen. Cassata Prince and Cassata Kid

BARS

An ice cream bar is a frozen dessert on a stick or a candy bar that has ice cream in it. The
coating is usually a thin layer of chocolate used to prevent the melting and dripping of ice cream.
Flavors available at Meriiboy are:

1. Chocolate
2. Mango
3. Strawberry

38
 CONFETTI

Flavors:

1. Chocolate
2. Mango
3. Strawberry
4. Pista

MILK LOLLY

Milk lolly is a special item produced by Meriiboy Ice Cream Company. It is the mix Of various
ingredients like milk powder, emulsifier, flavors etc. milk lolly is available at various flavors like
Vanilla, Strawberry, Pineapple, Mango etc.

KULFI

Kulfi is a popular frozen dairy dessert from the Indian Subcontinent. It is often described as
"traditional Indian Subcontinent ice cream”. As popularly understood, Kulfi has similarities to
ice cream in appearance and taste; however it is denser and creamier. It comes in various flavors
like Mango and Cardamom. Meriiboy ice cream company produces cardamom flavored Kulfi.

RAW MATERIALS

The major raw materials used by Meriiboy are:

1. Milk
2. Butter
3. SMP Milk powder
4. Sugar
5. Fresh fruits

39
Cost plus pricing

Cost-plus pricing is a pricing strategy companies use to maximize their rates of return. Firms
may accomplish their objective of profit maximization by increasing their production until
marginal revenue equals marginal cost and then charging a price which is determined by the
demand curve. However, in practice, most firms use either value-based pricing or cost-plus
pricing which is also known as mark-up pricing. (Cost + mark-up == selling price).There are
several variations of cost-plus pricing, but the most common method is to calculate the cost of
the product then add a percentage of the cost as markup. This approach sets prices covering the
cost of production and provides enough profit margins for the firm to reach its target rate of
return. It also provides a way for companies to calculate how much profit they will make.

Market oriented pricing

Setting a price based upon analysis and research compiled from the target market. This means
that marketers will set prices depending on the results from the research. For instance if the
competitors are pricing their products at a lower price, then it's up to them to either price their
goods at an above price or below, depending on what the company wants to achieve.

40
 CHAPTER 4

RESEARCH DESIGN

41
4.1 OBJECTIVES
1. To study the reason for increase the use of celebrity in meriiboy advertisement.
2. To study the effectiveness of advertisement in meriiboy.
3. To compare the meriiboy ice cream with other brand
4. To study the quality of meriiboy product
5. To study the celebrity endorsed advertisements create faster awareness about the
meriiboy product.

4.2 HYPOTHESIS
H0: Consumers have a better brand recognize at the point of purchase when celebrity is
present in the advertisement

H1: consumers does not have a better brand recognize at the point of purchase when
celebrity is present in the advertisement

4.3 RESEARCH DESIGN

The formidable problem that follows the task of defining the research problem is the preparation
of a design of the research project, popularly known as “research design”. A research design is
the arrangement of conditions for collection and analysis of data in a manner that aims to
combine relevance to the research purpose with economy in procedure. In fact, the research
design is the conceptual structure within which research is conducted; it constitutes the blueprint
for collection, measurement and analysis of data. As such the design includes an outline of what
the researcher will do from writing the hypothesis and its operational implications to the final
analysis of data.

42
4.4 SOURCES OF DATA COLLECTION

The task of data collection begins after a research problem has been defined and research
design/plan chalked out. While deciding about the method of data collection to be used for the
study, the researcher should keep in mind two types of data viz., primary and secondary.

4.5 PRIMARY AND SECONDARY DATA

Primary data:

1. It is referred as first hand information.

2. Data collected by directly interacting with the hr manager.
3. Observing the working environment and interacting with them personally.
4. Questionnaire which is drafted and printed prior is then given to the employees to fill
individually.

Secondary data:

Secondary data means data that are already available i.e., they refer to the data which have
already been collected and analyzed by someone else. When the researcher utilizes secondary
data, then he has look into various sources from where he can obtain them. Secondary data may
either be published data or unpublished data.

The secondary sources of data collection include:

 Data collected from journals

 Data collected from company websites
Magazines, published and unpublished sources

4.6 POPULATION

The employees of Meriiboy ice creams (supreme food industries)

43
4.7 SAMPLING DESIGN

Sampling design consists of two steps

 Selection of the study area

 Selection of the sample size.

4.8 SAMPLING METHOD

The method of selecting a sample is of fundamental importance and depends upon the nature of
data and investigation. The techniques of selecting a sample are classified as – ‘non-probability
sampling’ and ‘probability sampling’.

A. Non-probability sampling: Non-probability sampling is that sampling procedure which

does not afford any basis for estimating the probability that each item in the population has
of being included in the sample. Non-probability sampling is also known by different names
such as deliberate sampling, purposive sampling and judgement sampling.

B. Probability sampling: Probability sampling is also known as ‘random sampling’ or

‘chance sampling’. Under this sampling design, every item of the universe has an equal
chance of inclusion in the sample. It is, so to say, a lottery method in which individual units
are picked up from the whole group not deliberately but by some mechanical process.

Probability sampling can classify into simple random sampling and complex random
sampling.

a. Simple random sampling: Simple random sampling from a finite population refers to
that method of sample selection which gives each possible sample combination an equal
probability of being picked up and each item in the entire population to have an equal
chance of being included in the sample.

b. Complex random sampling: Complex random sampling designs, which are the mixture of
probability and non-probability sampling methods.

44
4.9 METHODS OF DATA COLLECTION

a. Observation Method: It is the most commonly used method specially in studies

relating to behavioral sciences. In a way we all observe things around us, but this sort of
observation is not scientific observation. Observation becomes a scientific tool and the method
of data collection for the researcher, when it serves a formulated research purpose, is
systematically planned and recorded and is subjected to checks and controls on validity and
reliability. Under the observation method, the information method is sought by way of
investigator’s own direct observation without asking from the respondent.

b. Interview Method: The interview method of collecting data involves presentation of

oral-verbal stimuli and reply in terms of oral-verbal responses. This method can be used through
personal interviews and, if possible, through telephonic interviews. Personal interview method
requires a person known as the interviewer asking questions generally in a face-to-face contact to
the other person or persons. Whereas the telephonic interview method is collecting of
information consists in contacting respondents on telephonic itself.

c. Questionnaires: A questionnaire consists of a number of a questions printed or typed in a

definite order on a form or set of forms. The questionnaire is mailed to respondents who are
expected to read and understand the questions and write down the reply in the space meant for
the purpose in the questionnaire itself.

d. Schedules: This method of data collection is very much like the collection of data through
questionnaire, with little difference which lies in the fact that schedules are being filled by the
enumerators who are specially appointed for the purpose. These enumerators along with
schedules, go to respondents, put to them the questions from the perform in the order the
questions are listed and record the replies in the space meant for the same in the perform.

4.10 DRAFTING A QUESTIONNAIRE

1. Selecting a particular topic on the area which the researcher wants to take
2. Learn and go through the topic which the researcher selected
3. Identify and study the problem which the researcher has selected for

45
 4. The data are conducted through academic books and internet
5. The next step is to create hypothesis on the basis of information from the published book
researcher used
6. The time and expenses spend for preparing the data and hypothesis
7. Collect the relevant data with the help of convenient sampling method from the
respondents
8. Collecting data by observing, conducting personal interview and through schedule
9. Data collection is possible if the researcher used structured questionnaire
10. Analysing the collected data using Percentage analysis with the help of tables and charts
11. Hypothesis testing, calculated with the help of Correlation and Chi Square test
12. After hypothesis testing the researcher interpret the data
13. Report preparation

4.11 STATISTICAL TOOLS FOR DATA ANALYSIS

 CHI-SQUARE ANALYSIS
A chi-square test, also referred to as a X2 test, is any statistical hypothesis test wherein the
sampling distribution of the test statistic is a chi-square distribution when the null hypothesis is
true. Chi-squared tests are often constructed from a sum of squared errors, or through the sample
variance. Test statistics that follows a chi-squared distribution arise from an assumption of
independent normally distributed data, which is valid in many cases due to the central limit
theorem. A chi-square test can be used to attempt rejection of the null hypothesis that the data are
independent.

Chi-square,

Xc2 = ∑ (O – E)2

46
Where,

“c” is the degrees of freedom

“O” is the observed value

“E” is the expected value

 CORRELATION
Correlation means relationship between two variables. When two variables m
move
ove together then
we called it as correlated. When the one variable changes and if there is a corresponding change
in another variable then that is called correlation. It can be defined as "Tendency of two or more
variables of items varies together directl
directlyy or indirectly." That means an increase or decrease in
one variable is found in connection with an increase or decrease of other variable. There are
several methods and formulas are used to measure correlation. Among that Karl Pearson
coefficient of correlation
lation is widely used. Karl Pearson’s coefficient of correlation is denoted by
using the symbol ‘r’. It can be expressed in the following way.

Conditions;

Where,

r = 0; there is no correlation between the variables

r = -1;
1; there is negative perfect corr
correlation

r = + 1; there is positive perfect correlation

r = 0.9; there is high positive correlation

r = 0.2; there is low positive correlation

r = 0.5; there is moderate positive correlation

47
 CHAPTER 5

DATA ANALYSIS AND INTERPRETATION

48
 Table 5.1 GENDER OF RESPONDENTS

Gender No of respondents

Male 31

Female 69

Figure 5.1 GENDER OF RESPONDENTS

Gender
Male Female

31%

69%

INTERPRETATION

From the sample taken for the study 69% of the respondents are female where as 31% of
the respondents are male.

49
 Table 5.2 AGE GROUP OF RESPONDENTS

Age Group No of respondents

15-20 25
20-30 40
30-40 19
40-50 10
50 or more 6

Figure: 5.2 AGE OF RESPONDENTS

Age Group

15-20
20-30
30-40
40-50
50 or more

INTERPRETATION

From the above graph most of the respondents are between the age 20-30. 25% are
between 15-20, 19% are between 30-40, 10% are between 40-50 and last 6% are above the age
of 50.

50
 Table 5.3 CUSTOMERS MORE ATTRACTED TOWARDS CELEBRITY
ENDORSEMENT

Response No of respondents

Celebrity endorsed advertisement 69

Non celebrity endorsed advertisement 31

Figure 5.3 CUSTOMERS MORE ATTRACTED TOWARDS CELEBRITY

ENDORSEMENT

69

31

celebrity endorsed advertisement non celebrity endorsed advertisement

INTERPRETATION

From the above graph 69% of the respondents are more attracted towards celebrity
endorsed advertisement and 31% are non celebrity endorsed.

51
 Table 5.4 CUSTOMERS INFLUEN
INFLUENCED
CED BY THE CELEBRITY IN THE
ADVERTISEMENT TO PURCHASE PRODUCT

Response No of respondents

Yes 59

No 41

Figure 5.4 CUSTOMER INFLUENCED BY THE CELEBRITY IN THE

ADVERTISEMENT TO PURCHASE PRODUCT

100%
90%
80%
70%
60% 59 2.5
50%
40%
30%
20%
10%
0%
Yes No

INTERPRETATION

From the above graph 59% of them are influ

influenced
enced by the celebrity in the advertisement
to purchase product and 41% are not influenced by the advertisement to purchase product.

52
 Table 5.5 REASONS
S TO INCREASE THE USAGE/USE OF CELEBRITY IN
MERIIBOY ADVERTISEMENT
ADVERTISEMENT.

Options No of respondents
Because off popularity & status of 29
celebrity
People attracted towards celebrity 15
Creates a good image / impression on 23
minds of consumers
Due to increase in competition 22
Celebrity endorsement creates or leads to 12
huge sales of product/services

Figure 5.5 REASONS TO INCREASE THE USAGE/USE OF CELEBRITY IN

MERIIBOY ADVERTISEMENT.

Because of popularity & status of celebrity

People attracted towards celebrity

Creates a good image / impression on minds of consumers

INTERPRETATION

From the above graph 29% respond that because of popularity and status of celebrity.
23% creates a good image on the minds of the consumers, 22% due to increas e in competition,
15% people attracted towards celebrity and last 12% celebrity endorsement creates or lrads to
huge sales of product/services meriiboy product information.

53
 Table 5.6 CELEBRITY ENDORSED ADVERTISEMENTS CREATE FASTER
AWARENESS ABOUT THE MERI
MERIIBOY PRODUCTS.

Response Strongly Agree Neutral Disagree Strongly

Agree Disagree
Celebrity
endorsed
advertisements
create faster 16 34 18 20 12
awareness
about the
meriiboy
product.

Figure 5.6 CELEBRITY ENDORSED ADVERTISEMENTS CREATE FASTER

AWARENESS ABOUT THE MERIIBOY PRODUCTS
PRODUCTS.

strongly agree agree Neutral

12% 16%
20%

34%
18%

INTERPRETATION

From the above graph 34% are agree celebrity end

endorsed advertisements
nts creates a faster
awareness about the meriiboy product, 20% are disagree, 18% neutral, 16% strongly agree and
12% are strongly disagree.

54
Table 5.7 CELEBRITY ENDORSED ADVERTISEMENT OF MERIIBOY CAPTURES
THE CONSUMER’S ATTENTION EASILY.

Response Strongly Agree Neutral Disagree Strongly

Agree Disagree
Celebrity
endorsed
advertisement
of meriiboy 26 35 20 10 9
captures the
consumer’s
attention
easily

Figure 5.7 CELEBRITY ENDORSED ADVERTISEMENT OF MERIIBOY CAPTURES

THE CONSUMER’S ATTENTION EASILY.

Strongly strongly
Disagree
disagree agree
10%
9% 26%

Neutral
20%
Agree
35%

INTERPRETATION

From the above graph 35% of respondents agree that celebrity endorsed advertisement of
meriiboy captures the consumer’s
onsumer’s attention easily. 26% strongly disagree. 20% neutral 10%
disagree and 9% of people strongly disagree.

55
 Table 5.8 CELEBRITY ENDORSED ADVERTISEMENT CREATES A LONG
LASTING IMPACT IN THE CONSUMER’S MIND.

Response Strongly Agree Neutral Disagree Strongly

Agree Disagree

Celebrity
endorsed
advertisement
creates a long 18 45 21 10 6
lasting
impact in the
consumer’s
mind

Figure 5.8 CELEBRITY ENDORSED ADVERTISEMENT CREATES A LONG

LASTING IMPACT IN THE CONSUMER’S MIND
MIND.

Disagree Strongly strongly

10% disagree agree
6% 18%

Neutral
21%
Agree
45%

INTERPRETATION

From the
he above graph 45% are celebrity endorsed advertisement creates a long lasting
impact in the consumer’s mind, 21% neutral, 18% strongly Agree 10% are disagree 6% are
strongly disagree.

56
 Table 5.9 WORDS OF ENDORSEMENT ABOUT MERIIBOY PRODUCT FROM
CELEBRITY IS ACCEPTED AS A TESTIMONIAL BY THE CONSUMERS

Response No of respondents

Strongly agree 19
Agree 38
Neutral 20

Disagree 15
Strongly Disagree 8

Figure 5.9 WORDS OF ENDORSEMENT ABOUT MERIIBOY PRODUCT FROM

CELEBRITY IS ACCEPTED AS A TESTIMONIAL BY THE CONSUMERS

strongly disagree 8

disagree 15

neutral 20

agree 38

strongly agree 19

INTERPRETATION

From the above graph 38% are celebrity words of endorsement about meriiboy product
from celebrity is accepted as a testimonial by the consumers. 20% are neutral 19% are strongly
agree. 15% disagree and 8% are strongly disagree.

57
 Table 5.10 CUSTOMERS OPINION ABOUT BRAND RECOGNITION

Response No of respondent

Strongly agree 22

Agree 36

Neutral 20
Disagree 14
Strongly disagree 8

Figure 5.10 CUSTOMERS OPINION ABOUT BRAND RECOGNITION

36

22
20

14

strongly agree agree neutral disagree strongly

disagree

INTERPRETATION

From the above graph 36% of people agree with they have a better brand recognized at
the point of purchase when celebrity is present in the advertisement. 22% are strongly agree.
20% are neutral, 14% disagree and 8% strongly disagree

58
 Table 5.11 CELEBRITY ENDORSED MERIIBOY PRODUCTS PROMISE
PR
BETTER QUALITY

Response No of respondents

Strongly agree 20

Agree 42
Neutral 17
Disagree 9
Strongly disagree 12

Figure 5.11 CELEBRITY ENDORSED MERIIBOY PRODUCTS PROMISE

BETTER QUALITY

45
40
35
30
25 42

20
20 17
15
9 12
10
5
0
strongly agree agree neutral disagree strongly
disagree

INTERPRETATION

From the above graph 42% are agree ce

celebrity
lebrity endorsed meriiboy products promise better
quality, 20% are strongly agree
agree,, 17% are neutral 12% strongly disagree and 9% are disagree
celebrity attributes and buying behavior.

59
 Table 5.12
12 CELEBRITY ENDORSED PRODUCT MAKE ME ESTEEM OR
SUPERIOR IN MY GROUP

Responses No of respondents

Strongly agree 8
Agree 17
Neutral 32
Disagree 19
Strongly disagree 24

Figure: 5.12 CELEBRITY ENDORSED PRODUCT MAKE ME ESTEEM OR

SUPERIOR IN MY GROUP

24
strongly disagree

disagree 19

neutral 32

agree 17

strongly agree 8

INTERPRETATION

From the above graph 32% of respondents are ne

neutral
utral response with celebrity endorsed
product make me esteem or superior in their group. 24% strongly disagree. 19% disagree, 17%
agree and last 8% strongly agree

60
 Table 5.13 COMPARING MERIIBOY ICE CREAM WITH OTHER BRANDS OF
ICECREAMS

Opinion Number of respondents

-2 12

-1 16

0 15

1 25

2 32

Figure 5.13 COMPARING MERIIBOY ICE CREAM WITH OTHER BRANDS

OF ICECREAMS

32

25

16 15
12

-2 -1 0 1 2

INTERPRETATION

From the above graph 32% respond very positive opinion about comparing meriiboy ice
cream with other brands of ice creams and 12% respond very negative opinion.

61
 Table 5.14 CUSTOMERS BUY THIS PRODUCT IF THEY HAPPEN TO SEE IT
IN THE STORE

Opinion Number of respondent

Definitely buy 9

Probably buy 17

Might buy 46

Probably not buy 16

Definitely not buy 12

Figure 5.14 CUSTOMERS BUY THIS PRODUCT IF THEY HAPPEN TO SEE IT

IN THE STORE

46

17 16
12
9

Definitely buy Probably buy might buy probably not definitely not
buy buy

INTERPRETATION

From the above graph 46 % respond that they might buy this product if they happen t see
it in the store , 17 % probably buy,16% probably not buy,12% definitely not buy and last 11%
definitely buy.

62
 CHI-SQUARE

QUESTION:

Consumers have a better brand recognize at the point of purchase when celebrity is
present in the advertisement

Response Number of respondents

Strongly agree 22

Agree 36

Neutral 20

Disagree 14

Strongly disagree 8

Total 100
Table 5.15

H0: Consumers have a better brand recognize at the point of purchase when celebrity is
present in the advertisement

H1: consumers does not have a better brand recognize at the point of purchase when
celebrity is present in the advertisement

X2= ∑ (O − E) ∕ E

Where; “E” is the expected frequency

“O” is the observed frequency

63
 O E O-E (O – E)2 (O – E)2/E

22 20 2 4 0.2
36 20 16 256 12.8
20 20 0 0 0
14 20 -6 36 3.15
8 20 -12 144 7.2
23.35

Table 5.16

E = 100/5

= 20

Degree of freedom = N – 1

=5–1

=4

Table Value = 9.448

Calculated Value = 23.35

Table Value < Calculated Value

So null hypothesis is accepted

INTERPRETATION

From the above hypothesis, we identify that the calculated value of the chi square is 23..35 and
the table value is 9.448. So we accept the null hypothesis. So can be concluded that the
consumers have better brand recognize at the point of purchase when celebrity is present in the
advertisement

64
CORRELATION

Celebrity endorsed advertisement creates a long lasting impact in the consumer

consumer’ss mind

X y X2 Y2 XY

26 18 676 324 468

35 45 1225 2025 1575
20 21 400 441 420
10 10 100 100 100
9 6 81 36 54
100 100 2482 2926 2617

Table 5.17

∑X = 100

∑Y=100

∑X2 = 2482

∑Y2 = 2926

∑XY = 2617

n =5

r = 0; there is no correlation between the variables

r = -1;
1; there is negative perfect correlation

65
r = +1; there is positive perfect correlation

r = 0.9; there is high positive correlation

r = 0.2; there is low positive correlation

r = 0.5; there is moderate positive correlation

r= (5 x 2617) - (100 x 100)

√ (5 x 2428 – (1002) x √ (5 x 2926 – (1002)

r= 13085 - 10000

√ (12410 – 10000) x (14630 – 10000)

r= 3085

√ (2410 x 4630

= 3085

3340.40

r = 0.9235 positive correlation

INTERPRETATION

From the above analysis we can interpret that there is high positive correlation.

66
CHAPTER 6

FINDINGS

67
6.1 FINDINGS

1. From this study it is found that customers of meriiboy ice creams are influenced by the
celebrity in the advertisement to purchase product.
2. Majority of customers said that celebrity endorsement helps to increase the sale of the
meriiboy ice creams because of‘ the popularity and status of the celebrity. It is
understood that celebrity endorsed advertisements helps to create faster awareness about
the meriiboy product.
3. From this study it is found that consumers have a better brand recognized at the point of
purchase when celebrity is present in the advertisement
4. It is understood that most of the people are strongly disagree with celebrity convince the
price of meriiboy products are in your comfort zone
5. It is found that celebrity endorsed meriiboy products promise better quality
6. It is understood that most of the respondents neutrally agree that celebrity endorsed
product make me esteem or superior in my group
7. From this study it is found that customers neutrally agree with customers trust and buy
meriiboy products because the celebrity is honest about the message she giving
8. Majority of the respondents disagree with customers buy the product because they like
the endorsed celebrity
9. Compare with other brands of ice cream’s advertisement it is found that advertisement of
meriiboy ice creams is more effective than competitor’s advertisement
10. It is found that the most of the respondents like the print advertisement of meriiboy
icecream
11. It is found that most of the respondents have very positive opinion about meruboy Ice
creams while comparing with other brands of ice creams 0 It is understood that the
actress selected for the advertisement are very suitable f rom the study it is found that the
customers might buy the product if they happened to see it in the store
12. It is found that the customers might search the meriiboy product in order to purchase

68
 CHAPTER 7

RECOMMENDATIONS

69
 7.1 RECOMMENDATIONS

1. As the market is highly competitive, always keep an eye on competitor's oftermgs and
take suitable actions.
2. Customers favor the company products which gives them good margin and high profit.
So the company should try to encourage the customers by maintaining 800d quality
products
3. It is necessary to include price details about the product in the advertisement
4. Convenience the customers about the price of meriiboy products are in their comfort
zone

70
CHAPTER 8

CONCLUSION

71
 CONCLUSION

The project was undertaken for Meriiboy Ice Cream (Supreme Food Industries) Chelamattom to
do a study about the influence of celebrity endorsement in meriiboy ice creams. The study was
conducted in Eranakulam district and found that most of the customers are influenced by the
celebrity in the advertisement to purchase product. The impact on the brand is much greater than
just an advertisement showing a celebrity. Celebrity endorsed advertisement of helps to captures
the consumer’s attention easily. The consumer looks for a variety of aspects from the
endorsement like the credibility, Likeability and Trustworthiness of the endorser. Credibility also
means the fit between the brand and the celebrity. Professional performance of the endorser is
important in deciding the success of the endorsement. From the study I identified that the sales
promotion activities of meriiboy ice creams helps them to improve their goodwill and product
image.the main factors that helped them to improve the sale is their brand ambassador and
messages in the advertisement.

72
BIBLIOGRAPHY

73
1. Jain, V., Sudha, M. & Daswani, A. (2009). 26. Customer Perception About Celebrity
Endorsement in Television Advertising for Retail Brands. IUP Journal of Brand
Management. 6(3/4), 7-25.

2. Eagar, T. (2009). Defining the Brand Hero: Explorations of the Impact of Brand Hero
Credibility on a Brand Community. Advances in Consumer Research - North American
Conference Proceedings. 36, 488-493.

3. 11. Erdogan,Z(2001) Selecting Celebrity Endorsement : The Practitioners Perspective,

Journal of Advertising Research. Vol : 41(3), 39.

4. Erdogan,Z(2001) Selecting Celebrity Endorsement : The Practitioners Perspective, Journal of

Advertising Research. Vol : 41(3), 39.

WEBLIOGRAPHY
1. http://www.redff.com/money/2003/december/05guest.htm
2. http://www.chillibreeze.com/articles/celebrity-endorsement.asp
3. http://www.coolavenues.com/know/mktg/surabhi6.php

74
APPENDIX

75
 QUESTIONNAIRE ON THE INFLUENCE OF CELEBRITY ENDORSEMENTS IN
BRAND BUILDING OF MERIIBOY ICECREAMS IN ERNAKULAM DISTRICT.

I am SRUTHY S THOPPIL, MBA student of Mangalam College Of Engineering, Kottayam. I

need some details from you on the topic “THE INFLUENCE OF CELEBRITY
ENDORSEMENTS IN BRAND BUILDING OF MERIIBOY ICECREAMS IN ERNAKULAM
DISTRICT” as a part of my project work. I promise you that the data provided by you shall be
kept as confidential and I expect your corporation on collecting.

Name :

Gender : Male Female

Age :

1. Personally I am more attracted towards:

Celebrity endorsement Non celebrity endorsement

2. Have you been influenced by the celebrity in meriiboy advertisement to purchase the
product?
Yes No

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 3. According to you, what are the reasons for increasing usage/use of celebrity in meriiboy
advertisement.

Options Rank

Because of popularity & status of celebrity

People attracted towards celebrity

Creates a good image / impression on minds of

consumers
Due to increase in competition

Celebrity endorsement creates or leads to huge

sales of product/services

4. Celebrity endorsed advertisements create faster awareness about the meriiboy product

Strongly agree Agree Neutral Disagree Strongly disagree

5. Celebrity endorsed advertisement of meriiboy captures the consumer’s attention easily

Strongly agree Agree Neutral Disagree Strongly disagree

6. Celebrity endorsed advertisement create a long lasting impact in the consumers mind

Strongly agree Agree Neutral Disagree Strongly disagree

7. Words of endorsement about meriiboy product from celebrity is accepted as a testimonial

by the consumers

Strongly agree Agree Neutral Disagree Strongly disagree

8. Consumers have a better brand recognized at the point of purchase when celebrity is
present in the advertisement

Strongly agree Agree Neutral Disagree Strongly disagree

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 9. Celebrity convince that price of meriiboy products are in your comfort zone

Strongly agree Agree Neutral Disagree Strongly disagree

10. Celebrity endorsed meriiboy products promise better quality

Strongly agree Agree Neutral Disagree Strongly disagree

11. Celebrity endorsed product make me esteem or superior in my group

Strongly agree Agree Neutral Disagree Strongly disagree

12. If you compare meriiboy ice cream with other brans of ice cream how do you find this
product

-2 = very negative opinion, 2 = very positive opinion

Ordinary -2 -1 0 1 2 Extra
ordinary

13. Would you buy this product if you happened to see it in the store

Definitely Probably buy Might buy Probably not buy Definitely not
buy buy

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