1

[TITLE OF SYNOPSIS]

“To Study the Impact of Advertisement of consumer

durable goods on Consumer Brand Preference at
Jalandhar”

Submitted to Lovely Professional University

Submitted by: Supervisor:

Devesh Chauhan Reg no.10900171 A-05 Mr. Hitesh Jhanji
Rohit Ranjan Reg no 10903042 A-07
Imran Hussan Reg no10902893 A-20
Chandan Kumar Singh Reg no 10903162 A -27

DEPARTMENT OF MANAGEMENT
LOVELY PROFESSIONAL UNIVERSITY
PHAGWARA
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Abstract

It is well known fact that people in India do not just watch their favorite sport, film or serial,
many are watching to see the commercials. Regardless of how good the game was, there are
usually a few ads that people talk about the next day. But one thing that people may not think
about is how trustworthy an advertisement may be and, at a higher level, how much trust one
can, or cannot, place in an industry's advertisements. In Indian scenario it is proved that
advertisements from Consumer Durables are most effective.

As we know these days Durables companies are advertising their product so much on televisions
and are spending so much money on the celebrities to endorse their products. For increasing the
sale of their product they are taking film stars, cricket stars in their advertisements of their
products which are again very costly. Therefore we took this as opportunity to study different
aspects of Advertisements, their impact on consumer perception etc.

Advertising is a form of communication used to help sell products and services. Typically it
communicates a message including the name of the product or service and how that product or
service could potentially benefit the consumer. However, Advertising does typically attempt to
persuade potential customers to purchase or to consume more of a particular brand of product or
service. Modern advertising developed with the rise of mass production in the late 19th and early
20th centuries. The crescendo of celebrities endorsing brands has been steadily increasing over
the past 20 years or so. Marketers overtly acknowledge the power of celebrity in influencing
buyer's purchase decision. They have firm believe that likeability or a favorable attitude towards
a brand is created by the use of a celebrity. The crore of rupees spent per year on celebrity
endorsement contracts show that celebrities like Amitabh Bachchan, Sharukh khan and Sachin
Tendulkar play an important role for the advertising industry. It is an established fact that
celebrity endorsement can bestow unique features or special attributes upon a product that it may
have lacked otherwise.
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TABLE OF CONTENT

S. NO. TOPIC Page

NO.
1 ABSTRACT 02
2 OBJECTIVE OF THE STUDY 04
3 SCOPE OF THE STUDY 04
4 NEED OF THE STUDY 04
5 INTRODUCTION OF THE STUDY 05
6 INTRODUCTION OF CONSUMER 06
PREFERENCE
7 IMPORTANCE OF ADVERTISEMENT 06
8 REVIEW OF LITERATURE 09
9 RESEARCH METHODOLOGY 14
10 DATA ANALYSIS 16
11 FINDING OF THE STUDY 40
12 CONCLUSION 41
13 RECOMMENDATION 42
14 LIMITATION 43
15 BIBIOLOGRAPHY REFRENCES 44
16 QUESTIONNAIRE 46

OBJECTIVE OF THE STUDY

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 To study the impact of the Advertisements on the brand preference of consumers.

 To find out the consumer preference regarding the most effective media for
Advertisements.
 To study the impact of the celebrity endorsement on the consumer buying behaviour.

SCOPE OF THE STUDY

This project helps in projecting the impact of advertisement on customer’s brand preference.
When the customer’s while selecting a product or service what is the role play by advertisement.
We very well know that advertisement is not only use for awareness it also play a important role
in brand preference. It also shows how celebrity endorsement impact customers.
The scope of study for management student gets to apply all their theoretical knowledge in the
market. During study they solve the particular problem given by the market and come to know
the various things practically.

NEED OF THE STUDY

As we know that every company spend a lot of money on Advertisements, Celebrities ect.
Therefore Advertising is an important aspect of the companies to promote their product, and
generate sales. It is also important for the companies to know whether their advertisements are
effective or not, In order to check the impact of the advertisements, we have taken this as our
research problem.

INTRODUCTION OF THE STUDY

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CONSUMER
A consumer is an individual who purchase or has the capacity to purchase goods and services
offered for sale by marketing institutions in order to satisfy personal or household needs, wants
or desires. According to a statement made by Mahatma Gandhi, ‘consumer refers to the
following, “A consumer is the most important visitor on our premises. He is not dependent on us.
We are dependent on him. He is not an outsider to our business. He is part of it. We are not doing
him a favour by serving him. He is doing us a favour by giving us an opportunity to do so”. So
consumer is like the blood of our business and also a satisfied customer is a word of mouth
advertisement of a product / services.

Consumer Durables goods:

Consumer durables involve any type of products purchased by consumers that are manufactured
for long-term use. As opposed to many goods that are intended for consumption in the short
term, consumer durable are intended to endure regular usage for several years or longer before
replacement of the consumer product is required. Just about every household will contain at least
a few items that may be properly considered to be of a consumer durable nature.

One of the most common of all consumer durables would be the furniture found in the home.
This would include items such as sofas, chairs, tables, bed frames, and storage pieces such as
chests of drawers and bookshelf units. While once thought to be limited to only items made of
sturdy metal or wood, any type of furniture today that is intended for use over the period of at
least a few years can rightly be classified as consumer durables.

Another common example of customer durables in the possession of most households is

appliances. These items may include ovens, refrigerators, toasters, and gas or electric water
heaters. Consumer durables of this type are intended for use on a continuing basis, and often are
sold with some type of warranty or service contract that helps to ensure the appliance will
continue working for an appreciable period of time.

The family car is also understood to be among the various consumer durables owned by many
households. Considered a major investment by many consumers, the expectation is that the
vehicle will remain operational for at least the amount of time it takes for the consumer to pay
off any loans associated with the acquisition. Further, consumers anticipate that the vehicle can
be utilized on a regular basis without fear of being destroyed by the frequent usage.
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CONSUMER PREFERENCE

All marketing starts with the consumer. So consumer is a very important person to a marketer.
Consumer decides what to purchase, for whom to purchase, why to purchase, from where to
purchase, and how much to purchase. In order to become a successful marketer, he must know
the liking or disliking of the customers. He must also know the time and the quantity of goods
and services, a consumer may purchase, so that he may store the goods or provide the services
according to the likings of the consumers. Now the whole concept of consumer’s sovereignty
prevails. The manufacturers produce and the sellers sell whatever the consumer likes. In this
sense, “consumer is the supreme in the market”.
As consumers, we play a very vital role in the health of the economy local, national or
international. The decision we make concerning our consumption behavior affect the demand for
the basic raw materials, for the transportation, for the banking, for the production; they affect the
employment of workers and deployment of resources and success of some industries and failures
of others. Thus marketer must understand this.

Preference (or "taste") is a concept, used in the social sciences, particularly economics. It
assumes a real or imagined "choice" between alternatives and the possibility of rank ordering of
these alternatives, based on happiness, satisfaction, gratification, enjoyment, utility they
provide. More generally, it can be seen as a source of motivation. In cognitive sciences,
individual preferences enable choice of objectives/goals.

The study of the consumer preference not only focuses on how and why consumers make buying
decision, but also focuses on how and why consumers make choice of the goods they buy and
their evaluation of these goods after use. So for success of any company or product promotion it
is very necessary to depart its concentration towards consumer preference.

Consumer Acceptance
Acceptance describes consumer willingness to receive and/ to tolerate. For example, a customer
might accept the occurrence of a certain number of yearly supply interruptions given a certain
price.
Weighing needs or preferences against provided product or service attributes results in the
balance of satisfaction pointing in a negative or positive direction, depending on whether
interests are conflicting or corresponding.
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This determines the way in which people evaluate companies’ or utilities’ performance. Only
when a consumer’s needs for a stated good or service are met, i.e. when the service provided
corresponds with their preferences, will they feel satisfied.

Acceptance is also used in the literature to mean an affirmative answer to a proposal. The
distinction is subtle but there are occasions where consumers might not agree to a proposal yet
accept the subsequent service in the sense of tolerating it.

IMPORTANCE OF ADVERTISEMENT

Generally, advertising is a relatively low-cost method of conveying selling messages to

numerous prospective customers. It can secure leads for salesmen and middlemen by convincing
readers to request more information and by identifying outlets handling the product. It can force
middlemen to stock the product by building consumer interest. It can help trait dealers salesmen
in product uses and applications. It can build dealer and consumer confidence in the company
and its products by building familiarity. Advertising is to stimulate market demand. While
sometimes advertising alone may succeed in achieving buyer acceptance, preference, or even
demand for the product, it is seldom solely relied upon. Advertising is efficiently used with at
least one other sales method, such as personal selling or point-of-purchase display, to directly
move customers to buying action.
Advertising has become increasingly important to business enterprises –both large and
small. Outlay on advertising certainly is the voucher. Non-business enterprises have also
recognized the importance of advertising. The attempt by army recruitment is bases on a
substantial advertising campaign, stressing the advantages of a military career. The health
department popularizes family planning through advertising Labour organizations have also used
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advertising to make their viewpoints known to the public at large. Advertising assumes real
economic importance too. Advertising strategies that increase the number of units sold stimulate
economies in the production process. The production cost per unit of output is lowered. It in turn
leads to lower prices. Lower consumer prices then allow these products to become available to
more people. Similarly, the price of newspapers, professional sports, radio and TV programmes,
and the like might be prohibitive without advertising. In short, advertising pays for many of the
enjoyable entertainment and educational aspects of contemporary life. Advertising has become
an important factor in the campaigns to achieve such societal-oriented objectives such as the
discontinuance of smoking, family planning, physical fitness, and the elimination of drug abuse.
Though in India, advertising was accepted as a potent and recognized means of promotion only
25 years ago, its growing productive capacity and output necessitates the finding of consumers
and advertising plays an important role in this process. Advertising helps to increase mass
marketing while helping the consumer to choose from amongst the variety of products offered
for his selection. In India, advertising as a profession is in its infancy. Because of this fact, there
is a tremendous scope for development so that it may be productively used for the benefit of
producers, traders, consumers, and the country’s economy.
Everyday consumers are exposed to thousands of voices and images in magazines, newspapers,
and on billboards, websites, radio and television. Every brand 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. The challenge of the marketer is to find a hook that will hold the subject’s attention. In
helping to achieve this, use of celebrity endorsers is a widely used marketing strategy.

REVIEW OF LITERATURE
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Miss Amanda Spry et al, (2011) This research examines the impact of celebrity credibility on
consumer-based equity of the endorsed brand. The mediating role of brand credibility and the
moderating role of the type of branding (parent versus sub-brand) employed by the endorsed
brand on the endorser credibility-brand equity relationship are also examined. The endorser
credibility-brand equity relationship was developed using associative learning principles whereas
the brand signalling theory was applied to examine the mediating role of brand credibility.
Results suggest endorser credibility has an indirect impact on brand equity when this relationship
is mediated by brand credibility. This mediating relationship was moderated by type of branding.
However, the ‘endorser credibility-brand credibility’ and ‘endorser credibility-brand equity’
relationships did not vary according to the type of branding employed. Zhou Dongsheng(2003)
The purpose of this paper is to investigate the impact of short-term advertising on long-term
sales of consumer durables and nondurables in China by using cross-sectional time-series
television advertising and sales data. As China hastens its transformation to a market economy,
its advertising industry has witnessed one of the fastest growth rates in the world, averaging 35%
annually, far more than the country's GDP growth rate and the global advertising growth rate
(Hong Kong Trade Development Council 1998; Zhou, Zhang, and Vertinsky 2002). For
example, in 1996, one of the years studied in this paper, companies in China spent over U.S.$5
billion on advertising (Zenith Media 1998). Was this money well spent in creating long-term
effects on sales? There has been criticism that it was not (Zhuang, Zhou, and Ouyang 2001). As
the world's most populous country, with rapidly and steadily growing consumer incomes, China
has become an attractive market for many multinational corporations, especially due to its recent
accession to the World Trade Organization. If corporations can use their marketing budgets more
effectively through cutting advertising wastage, Mark M. Moriart(2002) In this research paper
addressed the question of how long the carryover effect of advertising on sales persists.
Appropriate cautions are included in the conclusions reached by Clarke since the preponderance
of studies that he reviewed involved mature frequently purchased low-priced products. His
conclusion is that, for such products, the carryover effect of advertising lasts a matter of months
rather than years. The current study examines durable goods and provides preliminary evidence
that for some durables, advertising effects may have a duration interval that exceeds a year.
Pamela L. Alreck et al(1999) The marketer's principal objective is typically to build a
relationship with buyers, rather than merely to make a single sale. Ideally, the essence of that
relationship consists of a strong bond between the buyer and the brand. Outlines six strategies for
building that relationship: linking the brand to a particular need; associating it with a pleasant
mood; appealing to subconscious motives; conditioning buyers to prefer the brand through
reward; penetrating perceptual and cognitive barriers to create preference; and providing
attractive models for buyers to emulate. The choice of an individual strategy or combination
depends mainly on the nature of the branded product
or service. The success of the strategy depends heavily on the marketer's understandingof the
preference building and bonding process. Rajagopal, (2006) The identity of brand, from the
perspective of consumers, is the foundation of a good brand-building program. Effective brand
management encompassing brand personality is of paramount importance in reaching the overall
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company goals of satisfaction, loyalty, and profitability. Advertising effectiveness can be

measured by brand and advertising evaluations. The purpose of this paper is to analyse the
strategies of effective brand building and managing the same with reference to acquiring
optimum customer value for long-run competitive gains. There are many psychographic
variables like emotions associated with the brand image which constitute the personality of a
brand. In case typical product category advertisements are associated with negative affect, the
particular advertising functions act as a counter-attitudinal message, which is more persuasive in
the case of a mismatch rather than a match with the category advertisements. However, a
persuasive advertising may affect consumer preferences. It will be of critical importance for
future researchers and practitioners to understand the increasingly complex variety of factors
underlying and influencing the linkages between brands and customer relationship. Michelle
Groene (2008) The increasingly widespread use of digital video recorders (referred to as DVR
from this point forward) has given consumers control over the advertising they watch or do not
watch during their television viewing experience. Headlines in the media have proclaimed that
DVR will lead to advertising’s demise, but in conducting research on this topic it would appear
that the industry professionals themselves are not ready to kill the 30-second spot just yet. DVR
is the latest challenge for an industry that has dealt with advertising avoidance for many years;
the current broadcasting/advertising model still exists despite previous threats like cable
television, the remote control and the VCR, which speaks to the resiliency of the industry. The
academic and professional research on the topic finds that, like the various technological
inventions before it, DVR does indeed have an impact on advertising, but the studies yield some
positive results for advertisers as well. Thus, the argument that will be made that DVR is an
opportunity for the advertising industry to reinvent itself and remain an effective force in the era
of consumer control; using the literature that exists on the topic to determine what still needs to
be researched and implementing some of these methods in order to create better, more effective
advertising. Unnava & Brunkrant (1991) He did a study whose main objective was to compare
the effects of varied v/s same execution of advertisements on brand name memory when the
number of exposure to ads is held constant. They found out that varied advertisement executions
enhance memory for brand name over repeated same executions. In varied advertisement
executions learning was superior when execution remained same. (Grewal Rajdeep et al 2004)
In an attempt to bring consumer psychology theories into research on the timing of repurchase of
consumer durables, the authors suggest that attitude functions (knowledge, value expressive,
social adjustive, and utilitarian) can help explain and predict interpurchase intervals. Adopting an
interactionist perspective, the authors propose that the effect of the attitude functions is
contingent on contextual factors, which they theorize as the nature of the product (along public-
private and luxury-necessity dimensions) and the nature of the decision (forced or unforced
purchase decision). Hypothesis testing is facilitated by survey data on actual purchase decisions
and hazard models that incorporate individual heterogeneity. The results support the suggested
role of attitude functions in explaining and predicting inter purchase intervals and suggest means
by which managers can position their products to shorten inter purchase intervals. Fareena
Sultan and Russell S. Winer, In this paper, consumers' time preferences for technology-driven
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consumer durable innovations are examined. We calculate from survey data rates of time
preference for products and product attributes. Several propositions related to these constructs
are empirically tested. The results show that, over subjects, the product rate is different from the
economic discount rate which captures time preferences for money that product rates of time
preference vary by individual, by product and over time, and that attribute level rates of time
preference may vary by attribute. . Gupta&Devi(2008)studied It will be around the impact of
TV advertisements on buying pattern of adolescent girls. He found that the advertisement played
a vital role in introducing a new product in the family list and making better choice during
shopping. The girls’ utilized pocket money received every month for shopping. The adolescent
girl is influenced by T.V advertisement when he purchases clothing they were guided by fashion,
friend and boutiques. The respondents preferred to buy branded and standardized product which
are more advertised on television. Hoek &Gendall (2006) studied concern advertising and
obesity: A behavioral perspective. The study it observed the levels of obesity in the western
countries has grown, and the researchers forecast a rapid growth in the medical care that a
progressively more obese population will require .Policy makers have examined the factors
contributing to this problem, he found advertising that promotes high fat and high sugar products
to children has come under increasing secreting. This reasoning overlooks the role advertising
plays in the reinforcing and normalizing behavior, however, and it assumes that only that only
direct link merit regulatory attention. This study presents an alternative analysis of how
marketing con tributes to obesity and uses behavior modification theory to analyses the fast-food
industry's promotions. Enwalled, et al (2005). The influence of advertising on consumer brand
preference. Re examined the role played by advertising influencing consumer’s preference for
Bourn vita which is one of lading food drinks in the food and Beverage industry in Nigeria.
Results revealed that both male and female and different age groups were equally. Dillon ,et al.
(1997). Investigated the factors affecting the consumer behavior on durable goods and foot
items. The sample consisted 150 females 75 from rural and the anther 75 urban areas from. The
information about this study pointed the rural respondents given the advertisement through radio
primary importance and the other media like posters and magazines were least affected, where as
the urban respondents were affected more by television and magazines. Various studies have
been conducted on the effects of television advertisement on the Marketing operations and
consumer behavior. Carolyn (1995) studied the cultural differences in message strategies in the
USA and Japan; he found that the USA television commercial contained informational cues and
comparative advertising compared with the Japan consumer. Muneer (1995) studied the social
and economical effects of advertisement on the Saudi consumer. He found that the advertisement
provides the knowledge about new products and it helps them select the best products. However,
some of the study sample indicated an adverse effect of the television advertisement through
encouraging the consumer to buy unneeded products . Mickel ( 1990 )Studied the effects of
commercial television on Iraqi consumer . The found that their television advertisement offer
knowledge about the advertising company and their products .Is addition , the show time and
quality of the advertisement affect, directly the consumer behavior . Jae H. Pae, et al(2002) The
significant body of published work in global advertising literature focuses on the standardization
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and localization of the advertising campaign from a marketing strategy perspective without much
concern regarding consumers’ response. In this research, this gap is addressed by gauging
consumer perceptions of localized and standardized advertisements in Hong Kong. Consumers
generally prefer locally produced to foreign-sourced commercials, irrespective of brand origin;
and they exhibit more favorable attitudes toward foreign-sourced, standardized commercials in
situations involving greater brand familiarity and when execution style is transformational.
Therefore, well-known brands with transformational appeals are more likely to succeed when
transferred to Hong Kong, while localized advertising messages will be more effective when
brand familiarity is low. Priya Pankaj, et al (2010) Children differ in their cognitive ability
while trying to interpret television advertisements and hence form different attitudes towards
them. The purpose of this paper is to analyse the impact of children's attitudes towards television
advertisements on their resultant buying behaviour. The demand for the advertised products is
heavily influenced by the children's attitude towards advertisements. Further, the cognitive
changes among the different age groups leads to the formation of varying attitudes towards the
advertisements. Yet there are other potent factors apart from advertisements, which result in the
requests for a product or brand. Alex Wang, (2009) This paper aims to examine the effect of
cross-channel integration of an advertiser's television spot that invited viewers to play an online
game and web site that featured the game on consumers' perceived media engagement and brand
attitudes. An important factor, personal involvement is also to be examined. The results reveal
that interaction effects are evident between cross-channel integration of advertising and personal
involvement on media engagement and brand attitudes. Eva-Lena (2006): International
Advertising and International sponsorship respectively influence the local target group in
different ways, but also affect International brand , they have an impact on brand image and
brand equity. More over depending on a person’s age consumers view brands differently and
thus have an effect on International brand alone, but also in combination with International
Advertising and International sponsorship together these factors influence the way in which a
brand is perceived and consequently influence consumers preferences. Gareth Parkin (2002)
“Positive effects of promotional mugs” says that a simple mug can be such a powerful marketing
and Advertising tool. By embossing your company name, logo, message, website details on
promotional mugs, you can impact a message to prospective clients and those around them. By
using the latest printing techniques, promotional mugs can easily be decorated to reflect your
business or brand .Style and advertising message for creating strong and lasting brand recall. .
Biswas S, et al(2001) Say that here is a positive, although moderate, impact of celebrity
endorsements on attention and exposure of consumers. Implications for marketers as well as
suggestions for future research are discussed. The article is of the view that although there is
considerable risk in endorsing celebrities for products and services, the firms need to analyse the
various factors that can reduce such risks and hence increase the likeability of transfer of
leverage of the brand image from the celebrity to the products and services. Dix S & Pougnet S
(2009) in their research have found that Athlete role model endorsers have a positive influence
on young adults' product switching behaviour, complaint behaviour, positive word-of-mouth
behaviour and brand loyalty. This confirms the assumption that sports celebrities are important
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socialisation agents and can have significant impact on purchase intentions and behaviours. This
research provides useful insight into the influence of athlete endorsers on young adults and
suggests athletes have a positive influence on young adults' behavioural intentions in switching
products, generating word-of-mouth and establishing brand loyalty.Goddard L & Wilbur N
(2009) in their study provide a starting-point for further research on negative information
transference in the celebrity endorsement relationship. It is crucial that organisations be aware of
the risks associated with using celebrities to endorse their stores and products. Given that these
results provide tentative support for the commonly held belief that a decline in the celebrity's
image can impact the image of the brand, it is important that retailers carefully choose an
endorser who currently has a good image and will likely be able to uphold this image in the
future. Strout R (2008) in his case material “Pepsi and Madonna” examines the use of
entertainment personalities in advertising commercial products through the example of Pepsi's
use of Madonna. It illustrates how companies try to tie the success of the artist to their product.
The paper demonstrates the need for clear evaluation of the celebrity endorser, their public
image, and if the relationship between the artist and the product applies to the advertising rules.
When Pepsi picked Madonna, the choice turned out to be too hot to handle. The $5 million
campaign featuring the extravagant vocalist had to be scrapped because of its links to Madonna's
highly controversial "Like a Prayer" music video." David H, et al(2008) In their research topic
have examined whether consumers infer that celebrity endorsers like the products they endorse,
and presents a model using these inferences and other characteristics of the endorser to predict
attitudes toward the endorsed product. Participants in two experiments examined written
endorsement advertisements and were asked to infer the extent to which the endorser truly liked
the advertised product and to rate the endorser's attractiveness, similarity to themselves, and
knowledge of the product. Attitudes toward the advertisement, the endorser and the product were
also measured. The resulting model indicated that product attitudes were predicted by inferences
about the endorser's liking for the product and by attitudes toward the endorser.

RESEARCH METHODOLOGY
Before examining types of research designs it is important to be clear about the role and purpose
of research design. We need to understand what research design is and what it is not. We need to
know where design into the whole research process from framing a question to finally analyzing
and reporting data.
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Research design

The purpose of the study to “To Study the Impact of Advertisement of consumer durable goods
on Consumer Brand Preference at Jalandhar”. Hence descriptive research design used for this
study. A survey was conducted through which an analysis was drowned.

Sample size
A sample of “100” sample was taken for the purpose of study and analysis.

Sampling unit:
Sampling unit consists of all customers having consumer durable goods in Jalandhar city.

Sampling technique
Convenience sampling technique (non probability sampling) was used for the survey.
Questionnaire filled by the selected customers.

Data collection: data was collected through primary and secondary sources.

(1)Primary data: primary data was collected with the help of structured questionnaire and
personal interview.

(2)Secondary data: Source of secondary data was collected with help of published reports,
magazines, newspapers and the websites.

DATA INTERPETATION TOOLS

The most often tools used to Examine are SPSS.

 Percentage.
 Pie Charts.
 Chi square test.
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HYPOTHESIS FORMULATION
It is basically a presumption which Researcher uses when they do research.

For objective one:

 Null: - There is a no significant effect of the Advertisements on the brand preference of

consumers.
 Alternative:- There is a significant effect of the Advertisements on the brand preference of
consumers.

For objective two:

 Null: - There is no difference in the consumer preference regarding the most effective media
for Advertisements.
 Alternative: - There is a difference in the consumer preference regarding the most effective
media for Advertisements.

For objective three:

 Null: - There is no significant effect of the celebrity endorsement on the consumer buying
behaviour.
 Alternative: - There is a significant effect of the celebrity endorsement on the consumer
buying behaviour.

Data Analysis:
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Gender

Cumulative
Frequency Percent Valid Percent Percent

Valid Male 68 68.0 68.0 68.0

Female 32 32.0 32.0 100.0

Total 100 100.0 100.0

ANALYSIS: The above data shows that the Gender of the respondent. Here 68% of respondent
are male and rest 32% are female.

Age

Cumulative
Frequency Percent Valid Percent Percent

Valid 20 to 30 8 8.0 8.0 8.0

30 to 40 56 56.0 56.0 64.0

40 to 50 24 24.0 24.0 88.0

50+ 12 12.0 12.0 100.0

Total 100 100.0 100.0

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ANALYSIS: The above data show that the age difference of the respondent. 8% of the
respondent belongs to 20 to 30 year. 56% people belong to 30 to 40. 24% belong to 40 to 50 and
rests of the respondent belong to 50+age category.
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Which is your favorite Brand?

Cumulative
Frequency Percent Valid Percent Percent

Valid LG 30 30.0 30.0 30.0

SAMSUNG 26 26.0 26.0 56.0

ONIDIA 15 15.0 15.0 71.0

SONY 25 25.0 25.0 96.0

PHILIPS 4 4.0 4.0 100.0

Total 100 100.0 100.0

ANALYSIS: The above table show that the consumer preference regarding the durable goods.
30% people like to LG, 26% Samsung and 25% people like Sony products. It shows that these
three are the most preferable brands in the market.
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Why you have chosen this Brand?

Cumulative
Frequency Percent Valid Percent Percent

Valid PRICE 20 20.0 20.0 20.0

QUALITY 8 8.0 8.0 28.0

ADVERTISEMENTS 12 12.0 12.0 40.0

BRAND NAME 48 48.0 48.0 88.0

CELEBRITY 12 12.0 12.0 100.0

Total 100 100.0 100.0

ANALYSIS: When we ask to them why you chose these brands then 48% people said that they
choose these brands due to Brand Name. 20% people concern with the price and 12% said that
celebrity and quality is most important for his brand preference.
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Does Advertisement affects the choice of your brand?

Cumulative
Frequency Percent Valid Percent Percent

Valid STRONGLY AGREE 16 16.0 16.0 16.0

AGREE 38 38.0 38.0 54.0

NEUTRAL 22 22.0 22.0 76.0

DISAGREE 18 18.0 18.0 94.0

STRONGLY DISAGREE 6 6.0 6.0 100.0

Total 100 100.0 100.0

ANALYSIS: 38% people agree that advertisement affect his choice. It show that advertisement
play a important role in brand preference. 22 %people are neutral and 16% people disagree he
said that advertisements not affect his choice.
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Which medium of Advertisement you like the most?

Cumulative
Frequency Percent Valid Percent Percent

Valid TV 30 30.0 30.0 30.0

RADIO 26 26.0 26.0 56.0

NEWSPAPERS 9 9.0 9.0 65.0

MAGAZINE 14 14.0 14.0 79.0

INTERNET 18 18.0 18.0 97.0

OUT DOOR MEDIA 3 3.0 3.0 100.0

Total 100 100.0 100.0

ANALYSIS: 30% people said that TV is a good medium for advertisement. So we say that if
company wants to communicate their customers then they choose the TV for Advertisement.
26% people said that radio is good medium and 18% people said that internet is good medium
for advertisement.
 22

Can you recall any advertisement of your Brand?

Cumulative
Frequency Percent Valid Percent Percent

Valid YES 68 68.0 68.0 68.0

NO 32 32.0 32.0 100.0

Total 100 100.0 100.0

ANALYSIS: When we ask to the respondent can you recall any of the advertisement then 68%
respondent can recall the past or present add. It shows that the advertisement play an important
role in consumer sensory.
 23

Which of the following aspect of the advertisement you remember most?

Cumulative
Frequency Percent Valid Percent Percent

Valid COLOR 4 4.0 4.0 4.0

SLOGAN 8 8.0 8.0 12.0

THEME 20 20.0 20.0 32.0

PUNCH LINE 32 32.0 32.0 64.0

CELEBRITY 36 36.0 36.0 100.0

Total 100 100.0 100.0

ANALYSIS: The above table show that the aspect of advertisement which the most remember
able to the customer. It show that 36% of people said that celebrity is most remember able and
32% said that Punch line is the most remember able and 20% people said that Theme is most
remember able.
 24

Do you rely on advertisement?

Cumulative
Frequency Percent Valid Percent Percent

Valid YES 36 36.0 36.0 36.0

NO 21 21.0 21.0 57.0

SOMETIMES 43 43.0 43.0 100.0

Total 100 100.0 100.0

ANALYSIS: The above Graph show that the reliability of the customer to advertisement. 36%
of the people rely on the advertisement. 43% said that they are relying sometime. Only 21%
people said that they not rely on the advertisement.
 25

Do you change your preference of a product by just seeing celebrity in advertisement?

Cumulative
Frequency Percent Valid Percent Percent

Valid YES 32 32.0 32.0 32.0

NO 26 26.0 26.0 58.0

SOMETIMES 42 42.0 42.0 100.0

Total 100 100.0 100.0

ANALYSIS: 32% of people said that they change his perception towards the product if the
advertisement tries to promote the product in a better way. 26% people said that they not change
his perception just seen a advertisement. And 42% people said that they sometimes change his
perception.
 26

Do you purchase a product just because your favorite celebrity is endorsing it?

Cumulative
Frequency Percent Valid Percent Percent

Valid YES 34 34.0 34.0 34.0

NO 21 21.0 21.0 55.0

SOMETIMES 45 45.0 45.0 100.0

Total 100 100.0 100.0

ANALYSIS: The above data show that if the favourite celebrity is endorsing a product. Then the
image of the product is improved and people try to adopt these product. Because they believe
that product is good. 34% people said yes. 21% said no and rest said they purchase sometime due
to celebrity is endorsing it.
 27

Chi Square Test

Hypothesis 1:

H0: There is no significant relationship between the advertisement(s) and the brand preference
of consumers.

H1: There is significant relationship between the advertisement(s) and the brand preference of
consumers.

For testing the above hypothesis we have used Chi Square test .The variables used are Age and
Advertisement affect your choice of Brand
Case Processing Summary

Cases

Valid Missing Total

N Percent N Percent N Percent

age * Advertise_effect 100 100.0% 0 .0% 100 100.0%

ANALYSIS: According to chi-square test rules if the assumption. Significant value comes out to
be less than 0.05 then we reject null hypothesis, and we accept alternative hypothesis. And in our
case assumption. Sig. value comes out to be .045, which is less than 0.05 significance level. So,
we reject the null hypothesis and accept the alternative hypothesis .This means there is a
significant relationship between advertisements and the brand preference of consumers. In other
words we can say advertisement affect the choice of brands among the consumers.
 28

Hypothesis 2:
H0: There is no impact of the celebrity endorsement on the consumer buying behavior.

H1: There is impact of the celebrity endorsement on the consumer buying behavior.

For testing the above hypothesis we have used Chi Square test .The variables used are Gender
and Celebrity affect your choice of Brand.
Case Processing Summary

Cases

Valid Missing Total

N Percent N Percent N Percent

Gender * Advertise_effect 100 100.0% 0 .0% 100 100.0%

ANALYSIS: From the above Chi square test it is clear that assumption. Significant value i.e. .
036 is less than significance level .05 therefore we reject our Null hypothesis. Therefore we
accept our Alternate hypothesis, i.e. there is impact of the celebrity endorsement on the
consumer buying behaviour.
 29

Q10 1 Factors influenced when you see an Advertisement. Price of the

product

Cumulative
Frequency Percent Valid Percent Percent
Valid STRONGLY AGREE 22 22.0 22.0 22.0
AGREE 33 33.0 33.0 55.0
SOME WHAT
18 18.0 18.0 73.0
AGREE
DISAGREE 15 15.0 15.0 88.0
STRONGLY
12 12.0 12.0 100.0
DISAGREE
Total 100 100.0 100.0

Analysis:- Price of the product is the most influencing while seeing advertisement and this is
proved by the above graph which shows that 22% respondent strongly agree and 33%
respondents are agree with that price of the product influence them while seeing advertisement.
18% respondent says that they are neutral or somewhat agree with the statement. Only 15% and
12% of the respondent are disagree with this particular variable.
 30

2.) Factors influenced when you see an Advertisement. Benefits of the product

Valid Cumulative
Frequency Percent Percent Percent
Valid STRONGLY AGREE 17 17.0 17.0 17.0
AGREE 43 43.0 43.0 60.0
SOME WHAT
13 13.0 13.0 73.0
AGREE
DISAGREE 18 18.0 18.0 91.0
STRONGLY
9 9.0 9.0 100.0
DISAGREE
Total 100 100.0 100.0

Analysis:- According to the above graph most of the respondent 43% of the respondent says that
Benefits of the product influenced them while seeing an advertisement. Least respondent as only
9% says that they do not consider benefits of the product while seeing an advertisement.
 31

3.) Factors influenced when you see an Advertisement. Brand endorsers

Cumulative
Frequency Percent Valid Percent Percent
Valid STRONG AGREE 24 24.0 24.0 24.0
AGREE 28 28.0 28.0 52.0
SOMEWHAT AGREE 18 18.0 18.0 70.0
DISAGREE 19 19.0 19.0 89.0
STRONGLY
11 11.0 11.0 100.0
DISAGREE
Total 100 100.0 100.0

Analysis:- brand endorsers is the most considerable factor while seeing an advertisement. As we
know brand endorser play a important role in attracting consumer attention so our study also
prove this point. 24% and 28% respondent are agree with the statement that brand endorser
influence them. Only 19% (disagree) and 11% (strongly disagree) with this point.
 32

4.) Factors influenced when you see an Advertisement. Offers

Valid Cumulative
Frequency Percent Percent Percent
Valid STRONGLY AGREE 28 28.0 28.0 28.0
AGREE 37 37.0 37.0 65.0
SOME WHAT
16 16.0 16.0 81.0
AGREE
DISAGREE 12 12.0 12.0 93.0
STRONGLY
7 7.0 7.0 100.0
DISAGREE
Total 100 100.0 100.0

Analysis:- Promotional offer influence consumer brand preference and liking. So an

advertisement having promotional offers also influence consumer brand preference and
perception and this is proved by the graph. Mostly respondent 37% agree with the statement.
Only 7% respondents strongly disagree with the statement.
 33

5.) Factors influenced when you see an Advertisement. Quality of the product

Valid
Frequency Percent Percent Cumulative Percent
Valid STRONGLY AGREE 16 16.0 16.0 16.0
AGREE 41 41.0 41.0 57.0
SOME WHAT
32 32.0 32.0 89.0
AGREE
DIS AGREE 4 4.0 4.0 93.0
STRONGLY
7 7.0 7.0 100.0
DISAGREE
Total 100 100.0 100.0

Analysis:- 41% of the respondent says that they are agree with quality of the product influence
them while seeing the advertisement. 32% of the respondents are somewhat agree. But only 11%
are disagree (7% strongly disagree) with this point. So on the basis of the result we can say that
quality of the product influence consumers while seeing advertisement.
 34

6.) Factors influenced when you see an Advertisement. Uses of the product

Valid
Frequency Percent Percent Cumulative Percent
Valid STRONGLY
16 16.0 16.0 16.0
DISAGREE
AGREE 45 45.0 45.0 61.0
SOME WHAT
20 20.0 20.0 81.0
AGREE
DISAGREE 14 14.0 14.0 95.0
STRONGLY
5 5.0 5.0 100.0
DISAGREE
Total 100 100.0 100.0

Analysis:- 45% of the respondents are agree on that uses of the product influence consumers
while seeing an advertisement. Only 5% of the respondent strongly disagree with the above data
and said that they do not consider uses of product while seeing an advertisement. In other word
we can say that Use of Product influence consumer perception while seeing an advertisement.
 35

7.) Factors influenced when you see an Advertisement. Necessity of Product

Frequenc Valid Cumulative

y Percent Percent Percent
Vali STRONGLY AGREE 13 13.0 13.0 13.0
d AGREE 44 44.0 44.0 57.0
SOMEWHAT AGREE 22 22.0 22.0 79.0
DISAGREE 15 15.0 15.0 94.0
STRONGLY DISAGREE 6 6.0 6.0 100.0
Total 100 100.0 100.0
 36

7.) Factors influenced when you see an Advertisement. Necessity of Product

Frequenc Valid Cumulative

y Percent Percent Percent
Vali STRONGLY AGREE 13 13.0 13.0 13.0
d AGREE 44 44.0 44.0 57.0
SOMEWHAT AGREE 22 22.0 22.0 79.0
DISAGREE 15 15.0 15.0 94.0
STRONGLY DISAGREE 6 6.0 6.0 100.0

Analysis:- 44% of the respondents are agree with that necessity of the product
influence them, in other word only 6% of the respondent says that they are strongly
disagree with this factor.

8.) Factors influenced when you see an Advertisement. Opinion of friends about
products
 37

7.) Factors influenced when you see an Advertisement. Necessity of Product

Frequenc Valid Cumulative

y Percent Percent Percent
Vali STRONGLY AGREE 13 13.0 13.0 13.0
d AGREE 44 44.0 44.0 57.0
SOMEWHAT AGREE 22 22.0 22.0 79.0
DISAGREE 15 15.0 15.0 94.0
STRONGLY DISAGREE 6 6.0 6.0 100.0
Frequenc Valid Cumulative
y Percent Percent Percent
Valid STRONGLY AGREE 28 28.0 28.0 28.0
AGREE 33 33.0 33.0 61.0
SOMEWHAT AGREE 21 21.0 21.0 82.0
DISAGREE 11 11.0 11.0 93.0
STRONGLY DISAGREE 7 7.0 7.0 100.0
Total
100 100.0 100.0
 38

Analysis:- Mostly respondent 33% are agree with that opinion of friend about product
influenced by an advertisement. Only 7% of the respondents are against the above statement.
 39

9.) Factors influenced when you see an Advertisement. Celebrity

Valid Cumulative
Frequency Percent Percent Percent
Valid STRONGLY AGREE 12 12.0 12.0 12.0
AGREE 42 42.0 42.0 54.0
SOME WHAT
26 26.0 26.0 80.0
AGREE
DISAGREE 13 13.0 13.0 93.0
STRONGLY
7 7.0 7.0 100.0
DISAGREE
Total 100 100.0 100.0

Analysis:- Mostly respondents 42% are influenced by celebrity in an advertisement. Only 7% of

the respondent strongly disagrees with this point. On this basis of this graph we can say that
celebrity endorsement influence them while seeing an advertisement.
 40

10.) Factors influenced when you see an Advertisement. Entertainment

Valid Cumulative
Frequency Percent Percent Percent
Valid STRONGLY AGREE 19 19.0 19.0 19.0
AGREE 43 43.0 43.0 62.0
SOME WHAT
14 14.0 14.0 76.0
AGREE
DISAGREE 15 15.0 15.0 91.0
STRONGLY
9 9.0 9.0 100.0
DISAGREE
Total 100 100.0 100.0

Analysis:- As we know mostly advertisement are entertaining in nature. So, mostly respondent
43% says that entertainment influence them while seeing an advertisement. Only 9% of
respondent strongly disagree with this point.
 41

Findings
1. LG is most preferred brand followed by Samsung and Sony.
2. There is an impact of the Advertisements on the consumers regarding the choice of
their brand, i.e. there is a significant relationship between advertisements and the
choice of the brand.
3. The most liked medium of Advertisements is television followed by Internet and
Radio media.
4. There is a great impact of the advertisements on the consumers as 68%
respondents replied they do recall the advertisements of their brands. This recall
helps them in decision making while making a purchase.
5. People remember different aspects of the advertisements. The most remembered
aspect by respondents is Celebrity, followed by Punch line and Theme.
6. The main four factors are most influencing the consumer preference while
selecting the consumer durable goods. These are follow:-
 Celebrity.
 Offers.
 Quality of the Product.
 Opinion of friends about the product.
 42

Conclusion
As we know that today market is very competitive. There is cut throat competition in the
Consumer Durables industry mainly between the three big giant’s i.e. LG, SAMSUNG
and Sony. Both are striving very hard for their market share. Therefore it becomes very
hard for the companies to retain their customers. It is also evident that companies spend a
huge amount on Advertisements. Therefore Advertisements are the back bone for this
Industry, they act as a glue to retain their consumers and target the prospectus. Also the
consumer’s preferences and the attitudes change with the passage of the time and age.
Mediums of Advertisements also play an important role in promoting the products among
the masses. Advertisements play a pivotal role in changing the consumers preference
.Television is an important and effective medium used for communication with the
consumers, and Internet has emerged one of the strongest medium that youngsters use to
gather the information. At last we can say that there is a direct relation between
Advertisements and the consumer preference which has been proved by the tests also.
 43

Recommendations

1. Companies should aggressively go for Internet marketing as there is a great scope

for it because youngsters are in close contact round the clock with Internet.
2. Companies should focus on creative advertisements, because people want
something different, something new that will attract their attention.
3. Companies should make use different mediums of Advertisements to cover
maximum population.
4. Companies should go for Sponsorships of different events at district levels.
5. Companies should select the celebrity that has greater credibility and fan following
in the particular regions.
6. Companies should promote their product on FM Radio stations in Jalandhar and
almost everybody listen to FM radio Stations on their cell phones so there is a
great scope for this.
7. Use of digital Billboards as images and videos change after 5 seconds on bill
boards, they are attractive and they easily grab consumer’s attention.
8. Personal contract with the customer is best possible way to attend the customers.
So the company try to make relation with the customers after sales service.
 44

Limitations of the Study

Limitations are always accompanied with any work. The present study has some
limitations.
 The study has been conducted in the city ‘Jalandhar’. Opinion of people of other
places may be different.
 The respondent for this study were well educated. Illiterate and less literate people
might have different views.
 As all the primary data has been collected by discussion and interviews, there is a
choice of error as people hesitate in granting correct data and sometime
exaggerate the information.
 I tried to convince the respondents that the study is only meant for academic
purpose, some respondents were not ready to furnish other information like who is
your favorite celebrity; you rely on advertisement, which factors influence you
preference.
 45

BIBLIOGRAPHY & REFERENCE

BOOKS REFERED
 Kotler Philip (2008), Marketing Management 12th Ed, New Delhi, Pearson Education,
PP34-42
 Kotler, Philip and Pfoertsch (2006) Waldemar, 12th Ed, New Delhi, Pearson
publication, PP 56-66
 Shah .K and D’Souza .A (2009) Advertising and Promotions :An IMC Perspective 11th
Ed, New Delhi ,TMH Publications, PP359-366
Journal:-
 Fareena Sultan and Russell S. Winer, Journal of Economic Psychology Volume 14,
Issue 4, December 1993, Pages 587-61
 Menon 1994: “Customers' Perception Advertisements An Analytical Study” , Journal of
Services Marketing, Vol. 5, No. 3, pp. 39-52, September 2007
 Miss Amanda Spry, Dr. Ravi Pappu, Prof. Bettina T Cornwell, (2011) "Celebrity
Endorsement, Brand Credibility and Brand Equity", European Journal of Marketing,
Vol. 45 Iss: 6
 Zafar .B , (July 2008 ) “Advertisement and its effects : a literature review” Journal of
Marketing Management, ICFAI,Vol.2No.2, pp 27-35.
 Mark M. Moriarty(2002) Journal of Business Research Volume 11, Issue 1, March
2002, Pages 127-137
 Pamela L. Alreck et al(1999) JOURNAL OF PRODUCT & BRAND MANAGEMENT, VOL. 8
NO. 2 1999, pp. 130-144,
 Michelle Groene (2008) . “Adoption of Digital Video Recorders and Advertising: Threats or
Opportunities.” Journal of Interactive Advertising 6.1 (2008): 51 pars.
 Zafar .B , (July 2008 ) “Advertisement and its effects : a literature review” Journal of
Marketing Management, ICFAI,Vol.2No.2, pp 27-35.
 Erdogan(1999) "Celebrity Endorsement: A Literature Review", Journal of
Marketing Research,VOL.7No.3,pp 291-314)
 McCracken, Grant (1989), "Role of Advertisements and its effects?" Journal of
Consumer Research, Vol.5 No.4, pp 10-21.
 Unnava and Brunkrant (1991) George Doukidis,” Exploring Consumer Attitudes
towardsAdvertising ”, International Journal on Media Management, Vol. 5 No. 2, pp.27-
35.
 46

Internet

 http://business.enotes.com/business-finance-encyclopedia/advertising, 2006-04-08, 13.16

 http://en.mimi.hu/marketingweb/lowinvolvement_products.html 2006-04-25, 14.12
 http://encarta.msn.com/encyclopedia_761564279/Advertising.html 2006-04-04, 11.36
 http://geoff.cox.free.fr/Docs/Text7.pdf 2006-04-10, 10.00
 http://www.wisegeek.com/what-are-consumer-durables.html
 http://www.allbusiness.com/marketing-advertising/576118-1.html
 http://www.jstor.org/pss/30162315

Additional Reference:
 Rajagopal, (2006) "Brand excellence: measuring the impact of advertising and brand personality
on buying decisions", Measuring Business Excellence, Vol. 10 Iss: 3, pp.56 – 65
 Mukherjee D, AUG-2008,“Impact of Advertisements on the Brand Preference”
Available at:- http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1444814
 Hassan Muneer A (1995). Perspective of Saudi consumers a bout the Affect of economical and
social adv . Dirassat magazine, folder 22,No.4
 Kamins A M and Michael A.K, Celebrity Endorsements in Advertising, 11th JUN-
2006 Economic Times, At www.economictimes.com/11june2006/celebrityendorsement.
 Biswas S, Hussain M, O'Donnell K “ Advertisements and Consumer Perceptions: A
Cross-Cultural Study” (2009) ,www.chillibreeze.com/articles/Advertisement-
endorsement.asp.
 Dnillon,etal (1997). The factors affecting on consumer behavior durable good and foot Items.
 Gvpta.N .K& Devi, A.(2008). Impact of T.V. advertisements on buying pattern of adolescent
girls. Government college for women, parade, Jammu and Kashmir, India
 47

QUESTIONNAIRE

Dear Sir/Madam.

We are conducting this survey as a part of our MBA programme from Lovely Professional University.
The purpose of this survey is “To Study the Impact of Advertisement of consumer durable goods on
Consumer Brand Preference at Jalandhar”. So we would be grateful if you could spend some of your
precious time in filling up this Questionnaire.

Name:-……………………………………………………………………………….
Contact No:-…………………………………………………………………………
Gender: (1) Male (2) Female
Age:-…………………………………………………………………………………
Q1Which is your favorite Brand?
LG SAMSUNG ONIDA
SONY PHILIPS others
Q2 Why you have chosen this Brand?
Price Quality Advertisements Brand Name Celebrity

Q3.Does Advertisement affects the choice of your brand?

Strongly Agree Agree Neutral Disagree Strongly Disagree

Q4.Which medium of Advertisement you like the most?

TV Radio Newspapers
Magazine Internet Out Door Media others

Q5 Can you recall any advertisement of your Brand?

Yes No

Q6 Which of the following aspect of the advertisement you remember most?

Color Slogan Theme Punch Line Celebrity

Q7 Do you rely on advertisement?

Yes No Sometimes
 48

Q8 Do you change your preference of a product by just seeing celebrity in advertisement?

Yes No Sometimes

Q9 Do you purchase a product just because your favorite celebrity is endorsing it?
Yes No Sometimes

(10) What do you want to see in a Advertisement? Which affect you preference toward the
brand? (Strong Agree-1, Agree-2, Somewhat Agree-3, and Disagree-4, Strongly Disagree-5)

S Factors Strongly Agree Somewhat Disagree Strongly

No. Agree Agree Disagree
1 Price of the product
2 Feature of the
product
3 Brand endorsers
4 Offers
5 Quality of the
product
6 Use of the product
7 Necessity of Product
8 Opinion of expert
about product
9 Celebrity
10 Entertainment

(11)What is your valuable suggestion / opinion about favorite Brand Advertisement?

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