CELEBRITY ENDORSERS AND ENDORSEMENTS IN INDIA-THE RISE AND THE IMPACT -Presented By Garima Suhalka

CELEBRITY ENDORSERS AND ENDORSEMENTS IN INDIA-The Rise and The Impact

India is one country which has always idolized the species of the celluloid world.Over three million television commercials are made each year in India.80% people forget information in just 24 hours.Plight of the marketer to make his brand shout over deafening clutter of all brands,leads to celebrity endorsements.However, it is the increasing rate of such endorsements,which forms a huge part of the advertisement industry today.

WHAT IS ENDORSEMENT?(IN CONTEXT ADVERTISEMENTS)

AN Any advertisement that features an actual

expert, celebrity, consumer, or organization TO expressing support for a company's products and/or services is considered as an endorsement which can form of verbal statements, demoe onstrations, or depictions of the name, signature, likeness or other identifying personal characteristics of an individual or the name or seal of an organization.

WHAT IS CELEBRITY ENDORSEMENT?WHAT ARE THE TYPES OF CELEBRITY ENDORSEMENTS?

Celebrity endorsements
This features individuals who have achieved a certain level of public recognition because of their achievements in the field of sport, entertainment, or some other aspect of media. This type of endorsement is most often employed by major companies engaged in multi-million dollar marketing campaigns. But it can also be utilized by smaller companies varying from a range.

Types Of Celebrity Endorsements 1.Testimonial

Celebrity acts as a spokesperson for the brand.

2.Imported 3.Invented 4.Observer

Celebrity performs a role known to the audience. Celebrity plays an original,new role. Celebrity assumes the role of an observer commenting on the brand.

5.Harnessed

Celebritys image is integrated with the ads storyline.

DO ALL COMPANIES It is not a compulsion that every brand,which BENEFIT FROM BRAND has a celebrity to endorse its product benefits.There are many which earn huge ENDORSEMENTS?
profits,for example,Santro,a product of

Hyundai motors whose sales sky-rocketed after Shahrukh Khan was signed for the endorsement.It was a revolution in the mass market.On the other hand,when Shahrukh was endorsing Kolkata Knight Riders (KKR) in IPL,Nokia was piggybanking on the success of KKR in IPL,which unfortunately was not a winner.Salman Khan was dropped from the Thums-Up advertisement after an accident in India.

DO CELEBRITY ENDORSEMENTS BREAK THE CLUTTER OR IS A CLUTTER OF CELEBRITIES BEING FORMED?

Celebrity Endorsements help break the clutter and make the brand more noticeable.A celebritys preference for a brand gives out a persuasive message. For instance-Priyanka Chopras perkiness,Sachin Tendulkars credibility. On the other hand,in todays scenario,the cluttercan also be termed with relevance to a large number of same products tagged in different brands by different celebrities.On the same stage,Amitabh Bachchan,Shahrukh Khan,Kareena Kapoor,M.S.Dhoni,add on to the list of creating a clutter of celebrity endorsements. Every advertisement does not require a celebrity to endorse it.There are many advertisements which have never felt the need of doing so.For example,Fevicol,Vim,Lifeboy,Amul,Fair and Lovely. Rather,there are a few noted ads where the owner is seen endorsing their own commodity.Such as Mahashay Dharampal of MDH Masala and Rajeev Reddy of Country Club. The primary reason being Instant Recallwhich ensures immediate focus to the brand.This does not lead to the fact that the product will gain an immediate profit in sales due to the fact that there are many other brands in competition and higher prices paid in crores to celebrities within the same type of brand.Pepsi,Coca-Cola always share the same field of war,in this case. Well,very obviously,most of them do so, to come out of losses.There come,such times,when brands need a lift up to come out of low sales.For example,One of the companies which broke their bank,was the Amrapali group Group which went from being a Rs. 3,400-crore

ARE CELEBRITY ENDORSEMENTS THE NEED OF EVERY ADVERTISEMENT?

WHYARE ADVERTISERS READY TO PAY CRORES FOR ENDORSEMENTS?

WHY DO BRANDS, DURING LOSSES,SIGN CELBRITIES TO ENDORSE?

DO CELEBRITY ENDORSEMENTS REACH THE POOR SECTION OF THE SOCIETY?

WHERE DO THE CURRENT CELEBRITY ENDORSERS STAND?

WHY IS IT OFTEN CONSIDERED AS A FORM OF DUPLICITY?

start-up to a fledgling Rs. 7,000-crore firm in just nine months of being associated withDhoni. So was the case with,one of the largest selling brands of chocolate in India,Cadbury Dairy Milk,who received a facelift after signing Amitabh Bachchan at a time of crisis(When FDA claimed that it had worms,in one of its inspections). Most of the Celebrity endorsements fail to reach the poor section of the society ,yet endorsements those pertaining to easily accessible schemes of mobile connection and cellphones like those of Airtel,Idea,Reliance,Vodafone and Tata are beneficiary.Also the government backed ones,in which celebrities encourage people to ensure Polio drops (Do Boond Zindagi Ke)for children upto five years in which Amitabh Bachchan was seen prominently,or Aishwarya promoting donation of eyes. According to the research by TAM Media,Adex India Analysis 2010,for the first half of 2010,Lists Kareena Kapoor as the leading female endorser possessing 45% of Bollywoods most sought after. Whereas Mahendra Singh Dhoni is declared as the leading male endorser in the first half of 2010.Ahead of a difference of 8 ads from Shahrukh Khan and 3 ads from Sachin Tendulkar. According to Adex India Analysis,bollywood celebrities accounted for 80% celebrity endorsement TV ad volumes in 2009, TV actresses -2% TV actors-2% Sports-15% Film Actresses-43% Film Actors-37% According to an IPAN-IMRB Research(2008), 86%-Remember celebrity ads 3%-Feel celebrities effect buying decision 84%-Believe quality and price is the input factor. 2%-Consider celebrity importance 5%-Believe stars endorse brand for money 22%-Believe celebrities use products they endorse. Celebrity Endorsements carry huge amounts of money with them. 45% of Tv ads volume in 2009, 4oo crore celebrity endoersements are figures

enough to convey why a celebrity would be ready to sell a product,simply for the reason that he or she earns treasures of money,endorsing it. However,this does not mean that the entire foundation of a celebrity endorsement is a form of duplicity. Else,the brands of products would not exist,for exampleKareena Kapoor endorsing Boro Plus ,Salman Khan endorsing wheel, Amitabh Bachchan endorsing Navratna Oil seem to be such forms.

DO CELEBRITY This depends upon the Brand Recall, Unique ENDORSEMENTS LEAVE A Selling Point, Target Audience,of the commodity endorsed.It also relates to the MARK?
DO YOU SEE A SHIFT IN THE TYPE OF CELEBRITY ENDORSEMENTS?WHERE DO YOU SEE THE ROAD HEADING TO?

number of endorsements done by a particular celebrity,and is subjective to the customers. Certainly,there is a huge shift in type of celebrity endorsements where every other celebrity is seen endorsing some or the other commodity.However,previously,the celebrity was to bring in credibility, trust and realism. Today,what we see is an increasingly intelligent and conscious range of consumers who are not willing to believe anyone other than themselves. And hence the role of celebrities has now been reduced to bringing in glamour and noticeability. A term known as Celebrity Vamping which means over-use of a celebrity in selling products.They dont like it because they figure that if the same celebrity is used to endorse multiple products,the public will become suspicious of celebritys authority and expertise. The way ahead seems to lead towards saturation point of celebrities seen endorsing products.There seems a good need to have the celebrities fit into the relevant frame of the commodity being endorsed.

While celebrity endorsements are on the rise,many in the industry believe that celebrities can build brands, some consider celebrity branding a misuse of millions of dollars. Whether celebrities create credibility for companies or risk the identity of brands is a concern that will continue to baffle advertisers.On the other side,it also continues to impact the audience with the monotony of their presence and their ability to make a difference to customers opinions.