Surrogate advertisement

1
Marathwada Shikshan Prasarak Mandal’s
Deogiri Institute of Engineering and Management Studies,
Aurangabad
A
Project Report
On
“A STUDY ON IMPACT OF SURROGATE ADVERTISEMENTS ON
NON-USERS OF THE PRODUCT”
Submitted by
Mr. Muddassir Md Ali Baig
Roll no. Marketing -02
MBA IV semester
Batch 2016-2018
In partial fulfillment of the completion of MBA course of
Dr. Babasaheb Ambedkar Marathwada University, Aurangabad

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Acknowledgement
I, Muddassir Baig thank to Prof. Medha Kulkarni Her expertise
was valuable during each step of the project from narrowing the
scope of the research to theoretical development and analysis.
I also thank Prof. Rupesh Rebba (Head of Department) and Dr.
Ulhas Shiurkar (Director), Deogiri Institute of Engineering and
Management Studies, Aurangabad for encouraging and guiding
me through the Project.
Mr. Muddassir Baig
Roll no. M -02
MBA IV semester
Batch 2016-2018

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INDEX
SR.NO CONTENTS PAGE .NO
1 CHAPTER I:
1.1 INTRODUCTION 1-3
1.2 OBJECTIVES OF THE STUDY 4
1.3 SCOPE OF THE STUDY 5
1.4 LIMITATIONS OF THE STUDY 5
2 CHAPTER II:
2.1 RESEARCH METHODOLOGY 6
3 CHAPTER III:
3.1 COMPANY PROFILE /THEORITICAL BACKGROUND 7-14
4 CHAPTER IV:
4.1 DATA ANALYSIS & INTERPRETATION 15-29
5 CHAPTER V:
5.1 FINDINGS & CONCLUSIONS 30-31
5.2 BIBILIOGRAPHY 32
6 ANNEXURE 33-34

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CHAPTER I
INTRODUCTION
Research comprises "creative work undertaken on a systematic basis in order to increase
the stock of knowledge, including knowledge of humans, culture and society, and the use of this
stock of knowledge to devise new applications.”
Marketing research is "the process or set of processes that links the producers, customers,
and end users to the marketer through information which is used to identify and define marketing
opportunities and problems; generate, refine, and evaluate marketing actions; monitor marketing
performance; and improve understanding of marketing as a process. It is the systematic gathering,
recording, and analysis of qualitative and quantitative data about issues relating to marketing
products and services. The goal of marketing research is to identify and assess how changing
elements of the marketing mix impacts customer behavior
Consumer behavior is the study of individuals, groups, or organizations and the processes
they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy
needs and the impacts that these processes have on the consumer and society. Customer behavior
study is based on consumer buying behavior, with the customer playing the three distinct roles of
user, payer and buyer. Research has shown that consumer behavior is difficult to predict, even for
experts in the field.
Advertising is a form of marketing communication used to promote or sell something;
usually a business's product or service. Advertising is to promote the sales of a product or service
and also to reach masses to inform about the product attributes. It is an effective of
communicating the value of a product or service with large exposure to target consumer.
It uses different types of appeals to connect to consumers spread across the globe.
Virtually any medium can be used for advertising. Commercial advertising media can include
wall paintings, billboards, street furniture components, printed flyers and rack cards, radio,
cinema and television adverts, web banners, mobile telephone screens, shopping carts,
web popup, skywriting, bus stop benches, human billboards and forehead advertising, magazines,
newspapers, town criers, sides of buses, banners attached to or sides of airplanes, in-flight
advertisements on seatback tray tables or overhead storage bins, taxicab doors, roof mounts and
passenger screens, musical stage shows, subway platforms and trains, elastic bands on disposable
diapers, doors of bathroom stalls, stickers on apples in supermarkets, shopping cart handles, the
opening section of streaming audio and video, posters, and the backs of event tickets and
supermarket receipts. Any place an "identified" sponsor pays to deliver their message through a
medium is advertising

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Television – This is the most common mode of advertisement. As we have discussed
earlier in the article, substitutes are used to portray the concerned product. Advertisements of
beverages are significant example of these.
Online advertising- This has become one of the widest medium for use after the boom of
technology and internet globally. Companies can find easy audiences here which fall in the
potential target segments. This medium also has advantages of low costs and more target
customer’s effective reach. Beverage Companies promote their products extensively through this
medium be it social networking platforms or community forums.
Billboard Advertising- In the outdoor world far from the silver screen of moving images
and sound, billboards are used for these types of advertisements. For the brand to choose this way,
they need to create strong brand identification among consumers. Generally the name of the brand
along with the image from the TVC or the message are used which creates the immediate recall
among the consumers for the brand products if they are exposed to it earlier in one form or the
other.
After implementation of the Cable Television Networks Regulation Act - 1999, new
advertising appeal used by most liquor companies circumvented the ban by what is called
surrogate advertising. Literally Surrogate Advertising means using the Brand Image of one
product (i.e. legally Allowed-to-Promote), the companies attempt to promote another product (i.e.
legally Banned-to-Promote).
There are a numerous reasons for companies to restore themselves to such advertisements.
One of the most common among them is to circumvent a prohibition by law in several countries
on direct advertisements of particular products besides its unhealthy.

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Hence different techniques used to promote such brands might include, endorsing their
products using public service announcements, advertising well established brand embedding such
surrogate products or duplicating the brand image of one product extensively to promote another
product of the same brand or if not the case, endorsing themselves as discharging some social
obligation towards the society (Ex: Officers Choice – Alcohol).
Liquor Industry has one of the most lately growing market values in India. The liquor
industry does make about by campaign to entire customer. Therefore the assurance of the
customer is increasing day by day this is mainly due to the advertising.
In an industry where change is the only constant, survival depends on the quickest reaction
time. When technology advances happen at the blink of the eye, one has to keep pace or get left
behind. To achieve this, the companies have to lay emphasis on total consumer satisfaction
through continuous improvements by their own capabilities and teamwork. For this products
should be backed by strong R & D, continuous up gradation of technology, customer oriented
marketing and unique background integration process in manufacturing.
There is a surrogate approach towards liquor advertising in India. There is not much that
they can do except market themselves through promotions with the latest celebrity. Hollywood
films like “Scent of a Woman” have helped in brand endorsement.
Advertising is a form of marketing communication used to promote or sell something;
usually a business's product or service. Advertising is to promote the sales of a product or service
and also to reach masses to inform about the product attributes. It is an effective way of
communicating the value of a product or service with large exposure to target consumer. It uses
different types of appeals to connect to consumers spread across the globe. Virtually any medium
can be used for advertising.
Commercial advertising media can include wall paintings, billboards, street furniture
components, printed flyers and rack cards, radio, cinema and television adverts, web banners,
mobile telephone screens, shopping carts, web popup, skywriting, bus stop benches, human
billboards and forehead advertising, magazines, newspapers, town criers, sides of buses, banners
attached to or sides of airplanes, in-flight advertisements on seat-back tray tables or overhead
storage bins, taxicab doors, roof mounts and passenger screens, Musical stage shows, subway
platforms and trains, elastic bands on disposable diapers, doors of bathroom stalls, stickers on
apples in supermarkets, shopping cart handles, the opening section of streaming audio and video,
posters, and the backs of event tickets and supermarket receipts.

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OBJECTIVES OF THE STUDY
1. To explain the concept of surrogate advertisements.
2. To study the consumers' awareness towards surrogate advertisements and product users and
non users.
3. To evaluate the influence of surrogate advertisement on product users and non users.
4. To understand the consumer perception towards surrogate advertisements and its products.
5. To understand the impact of surrogate advertisements on the company’s original and
surrogate brands.
6. To know the influence of surrogate ads on consumer buying decision.

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SCOPE OF THE STUDY
This study was conducted in Aurangabad city for primary data collection. It is based on the
responses collected from customers during the period of Feb - mar 2018.The study is undertaken
to understand the concept of surrogate advertising and its influence on consumer buying behavior
 The study is conducted to explain the concept of surrogate advertisements.
 To study the consumers' awareness towards surrogate advertisements and products.
 To evaluate the influence of surrogate advertisement on consumers buying decision.
 To understand the consumer perception towards surrogate advertisements and its
products.
 The study was conducted in the city of Aurangabad city for collecting information.
 The study also helps companies to know the customer views and make appropriate
changes in their strategies to reach out to customers in a better way
LIMITATIONS OF THE STUDY
Study is restricted to the geographical limits of Aurangabad Limited period of survey and
limited sample size (100). There were few responses which were vague or not answered at all to
get complete and accurate information required for the study.

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CHAPTER II:
RESEARCH METHODOLOGY
Sample design:
 Sample technique: non- probability convenience sampling.
 Sampling unit: Individual
 Sample size: 100 respondents
 Sample area: Aurangabad
Sources of data:
 Primary data: The primary data was collected using a Questionnaire
 Secondary data: The secondary data was collected from research papers,
articles, journals.
Tools and Techniques used for data analysis:
 Graphical pie charts
 Simple tabulations

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CHAPTER III
COMPANY PROFILE /THEORETICAL BACKGROUND
SURROGATE ADVERTISING: DEFINITION
The term 'surrogate' is defined a 'substitute' i.e. anything which takes place of other. It
can be a person, human, product etc. In case of surrogate advertising, a product is used to
advertise a certain different product. Especially products (for which direct advertising on
mass media is prohibited by the laws of land of most countries) are advertised with use of
substitutes like mineral water, soda, Mega cricket team clubs, friend clubs or music CDs.
Advertising takes various shapes with level of surrogate advertisements varying from
country to country, people to people and product to product. In certain regions of the globe,
open advertisements of these products are allowed while some counterparts imposing strict
restrictions on them. The basic intention of these types of advertisements is mainly to
popularize the brand and create a slot of consideration in the potential consumer’s minds.
ORIGIN OF SURROGATE ADVERTISING
It is said that birth of surrogate advertising happened in Britain, where housewives started
protesting against liquor advertisements which provoked their husbands. The protest rose to
a level where liquor advertising had to be banned and brand owners seeing no way out
decided to promote fruit juices and soda under the brand name; the concept later emerged as
surrogate advertisements.
"Surrogate advertising is a reflection of the hypocritical society that we live in. We
consider some products good enough to be sold but not good enough to be advertised. A
marketer has to sell his product, and will find means to promote it. I don't blame him."
A surrogate advertisements is one in which a different product is promoted using an
already established brand name. Such advertisements or sponsorships help in contribute to
brand recall. The different product shown in the advertisement is called the “Surrogate.” It
could either resemble the original product or could be a different product altogether, but
using the established brand of the original product.

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THEORETICAL BACKGROUND
INDIAN SCENARIO
The use of surrogate advertising in India can be traced back to 1995 when the Cable Television
Act 1995 was enforced which stated - "No advertisement shall be permitted which promotes
directly or indirectly, production, sale or consumption of cigarettes, tobacco products, wine,
alcohol, liquor or other intoxicants". This ban on advertising of such products leads to the
emergence of surrogate advertising in India in a big way. Indian market was flooded by
surrogate products of established brands of the so called 'negative products' and their
promotions.
By August 2002, the I&B Ministry had banned 12 advertisements and leading satellite TV
channels including Zee, Sony, STAR and AajTak were issued show cause notices to explain
their rationale behind carrying surrogate liquor advertisements. Product advertising for liquor
and cigarette companies is banned in the country since 1995 by Cable Television Network
(Regulation) Act. According to Rule 7 (2) of the Act, no broadcaster is permitted to show
advertisement which promotes directly or indirectly promotion, sale or consumption of
cigarettes, tobacco products, wine, alcohol, liquor or other intoxicants, infant milk substitution,
feeding bottle or infant food. This ban is now likely to be extended to advertising of extended
brands.
In June 2002, the Indian Information and Broadcasting (I&B) Ministry served notices to leading
television broadcasters to ban the telecast of two surrogate ads of liquor brands McDowell No.1
and Gilbey’s Green Label. The Ministry also put some other brands ---

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EXAMPLES OF SURROGATE ADVERTISEMENTS
'MCDOWELL'S NO.1 YAARI'
Mc Dowell's No.1 Soda, from the house of United Spirits Limited - a Diageo group company,
recently launched the 'Yaaron Se Bane Hum' (We are made by our friends) campaign, which is an
extension of its 'No.1 Yaari' platform. Conceptualized by DDB Mudra Group, the long-format
campaign represents a new perspective on celebrating the bonds of friendship.
The over-five-minutes digital film, shows a group of three friends going for a trek. The film shows
them running through a farm, and reaching a water body. When they try to cross a river, across which
a tree bark serves as a bridge, one of the boys gets hesitant. The other two motivate him to take that
one first step, and the boy heeds their advice
and makes his way across.
PAN BAHAR
The latest Pan Bahar commercial featuring actor Pierce Brosnan has been on the line of fire since its
launch. After receiving brickbats on social media, it’s now the turn of the Central Board of Film
Certification (CBFC) to crack the whip.
Reports suggest that the Board has issued an order citing laws that restrict content promoting pan
masala, tobacco and alcohol from being showcased on electronic media. We tried reaching out to
Pahlaj Nihalani, Chairman of CBFC for a comment on the recent issue, but there was no response till
the time of filing the story.
However, according to few brand consultants and broadcasters whom we spoke to, this decision by
CBFC is only for ads shown in cinemas and on Doordarshan. For private owned channels, they take
into account, advertising watchdog ASCI’s ruling.

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IMPERIAL BLUE MEN WILL BE MEN
In the advertising industry, we call this 'slice of life' advertising or 'surrogate situational' advertising.
Since there is a ban on advertising alcohol in India, liquor companies leverage the power of surrogate
advertising to convey their brand identity/message. The Seagram's Imperial Blue campaigns are made
up of real-life elements and every single ad manages to bring a smile to the faces of the viewer,
irrespective-of-the-gender.
The 'Men will be men' tagline is the brainchild of advertising biggie Ogilvy & Mather and has been
running successfully with the liquor brand's campaigns for over 18 years now. Seagram's Imperial
Blue, launched in 1997, primarily targets male audiences in the 25-40 age bracket. Since a good
chunk of the target audience is married, resides in Tier I, II & III cities, and is amongst the working
populace, the men who make up this group can relate to all the ads under the 'Men will be men'
campaign.
Laced with downplayed humour, these advertisements try to connect with the progressive, young
Indian man who is (consciously or subconsciously) trying to impress the opposite sex (and other
men, too), but is held back by the fact that he is financially, physically and socially handicapped in
some way or the other. Notwithstanding, he puts on a confident facade, sometimes coming off as a
winner (Seagrams Imperial Blue, Car), and often embarrassing himself (Seagrams Imperial Blue,
Store).

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VIMAL PAN BHAR MASALA
Gutka or guṭkha is a preparation of crushed areca nut, tobacco, catechu, paraffin wax, slaked
lime and sweet or savory flavorings.[1]
It is manufactured in India and exported to a few other
countries. A mild stimulant, it is sold across South Asia in small, individual-sized packets that cost
between 2 and 10 rupees per packet. It is widely consumed in countries like India, Pakistan &
Bangladesh. Gutka is consumed by placing a pinch of it between the gum and cheek and gently
sucking and chewing.[2]
It is considered responsible for oral cancer and other severe negative health
effects.[1]
As with paan and other smokeless tobacco products, there are preventive efforts to
encourage users to quit and young people not to start.

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TUBORG BEER
Tuborg beer is an Indian beer brewed by United Breweries Group, Bangalore owned by Mohammed
imran The brand was launched in 1978. With a market share of over 36% in India, it is also available
in 52 other countries. The Heineken Group holds 42.4% equity shares in United Breweries Ltd.
Kingfisher was ranked 74th among India's most trusted brands according to the Brand Trust
Report 2012, a study conducted by Trust Research Advisory. In the Brand Trust Report 2013,
Kingfisher was ranked 102nd among India's most trusted brands and subsequently, according to the
Brand Trust Report 2014, Kingfisher was ranked 198th among India's most trusted brands.
During the years 2009 through 2015, United Spirits (USL) / Diageo exited all non-core investments
in United Breweries and sold 850,000 INR shares to Heineken, which will now give it leverage to
managing affairs of India's largest beer producer. USL sold 3.21% shares for Rs 872 crore in a block
trade. The shares were sold at Rs 1,030 apiece, a slight premium to Tuesday's closing price of Rs
1,014.10. As of July 2015, Heineken's stake in United Breweries (UB) has increased from 39% to
42.1%. This deal will give Heineken an upper hand over Vijay Mallya in running the company.

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COMPANIES FOLLOWING SURROGATE ADVERTISING
Product Category Brands Surrogates
Tobacco
Rajnighanda Kesar Pan Masala
Goa Gutka Pan Masala
Pan Parag Pan Masala
Manikchand Filmfare Awards
Cigarettes
Red & white Cigarettes bravery award ceremony
Gold Flake Tennis Tournaments
Wills Lifestyle India Fashion Week, Lifestyle (textiles) showrooms,
Indian Cricket Team/Matches
Charms Audiocassettes and CDs.
Four Square white water rafting& Gliding
Wills Lifestyle India Fashion Week, Lifestyle (textiles) showrooms,
Indian Cricket Team/Matches
Alcohol
Beverages
Seagram„s Music
Mc Dowells Water and Soda
Bagpiper Water, Soda, and Music – cassettes & CDs
Red and White Bravery Awards

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SURROGATE AD: ROLE IN CONSUMER BUYING DECISION
Generally advertisements which showcase the product in a different prospective and
highlights the attributes as never been seen before retain the customer share of mind. But
there is catch in the case of surrogate advertisements. Here the product is prohibited to be
shown- its attributes or features to be portrayed are near to impossible. Their role in
impacting the consumer buying decision should be subsequently limited but surprisingly, it is
found that they have a higher role in impacting consumer purchase decisions as compared to
general products’ advertisement owing largely to viewer’s interest and sense of capturing the
message. This fact is also supported by numbers. It is seen that company investing heavily in
surrogate advertisements are witnessing more sales rates as compared to those investing none
or comparatively less. You will be surprised to know advertising budget of beverage
companies stretches in the ranges of hundreds of millions of dollars per annum. The only
reason understood of investing such high sums is the fact of the recovery through this in the
coming future. After all it’s a 60000 crore plus revenue generating market. Surrogate
marketing is not a bad way of marketing or illegal marketing. It is just the more creative way
if marketing that shows the product even without revealing it. Opportunities are hidden
everywhere just like the products in surrogate advertisements.

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CHAPTER III
DATA ANALYSIS AND INTERPRETATION
Q 1) What are the surrogate advertisements of brands that are seen the most?
1)'Mcdowell's no.1 yaari' 2) Pan bahar 3) Imperial Blue
4) Vimal pan bhar masala 5) Tuborg beer
TABLE NO. 1
FACTOR NO. OF RESPONDENTS PERCENTAGE
Mcdowell's no.1 29 29%
Pan bahar 12 12%
Imperial blue 19 19%
Vimal pan bhar masala 11 11%
Tuborg beer 29 29%
Total 100 100%
GRAPH NO. 1
Data Interpretation: -The above table shows that out of 100 respondents, 29% have with
Mcdowell's no.1, 12% are pan bahar,1 9 % are with imperial blue ,11% Vimal pan bhar masala
29% of with Tuberg beer.

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Q 2) Which product category is seen the most of surrogate advertisement?
1) Alcohol 2) Beverages 3) Tobacco 4) Cigarettes
TABLE NO. 2
Alcohol 47 47%
Beverages 20 20%
Tobacco 15 15%
Cigarettes 18 18%
Total 100 100%
GRAPH NO. 2
Alcohol, 20% are Beverages, and 15% are with Tobacco, 18%, of with Cigarettes.

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Q 3) Does the surrogate advertisement induce to try the original product?
1) Never 2) Occasionally 3) Sometimes 4) Regularly
TABLE NO. 3
Never 37 37%
Occasionally 20 20%
Sometimes 15 15%
Regularly 28 28%
Total 100 100%
GRAPH NO 3
never, 20% are occasionally, and 15% are with sometimes, 28%, of with regularly.

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Q 4) What is impact of these advertisements on surrogate products?
1) Definitely will not affect 2) probably will not affect 3) undecided
4) probably will effect 5) definitely will effect
TABLE NO. 4
Definitely will effect 58 58%
Probably will effect 12 12%
Undecided 9 9%
Probably will not affect 11 11%
Definitely will not affect 10 10%
Total 100 100%
GRAPH NO. 4
definitely will effect, 12% are Probably Will Effect , 9 % are with Undecided 11% , of Probably
Will Not Affect ,10% of with Definitely Will Not Affect.

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Q 5) Are you recalling the original products while looking at surrogate advertisements?
1) Definitely 2) Most Probably 3) Occasionally Not At All 4) Don't Remember
TABLE NO. 5
Definitely 58 58%
Most Probably 10 12%
Occasionally Not At All 11 9%
Don't Remember 21 21%
Total 100 100%
GRAPH NO. 5
Data Interpretation: -The above table shows that out of 100 respondents, 58% have
with definitely, 10% are most Probably, 11 % are with Occasionally Not At All 21% , of
Don't Remember.

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Q 6) Do you purchase surrogate products like soda, water etc after seeing their advertisements?
1) Never 2) Occasionally 3) Regularly 4) Often
TABLE NO. 6
Never 45 45%
Occasionally 31 31%
Regularly 19 19%
Often 5 5%
Total 100 100%
GRAPH NO. 6
Data Interpretation: -The above table show that out of 100 respondents, 45% are says
never,31% is with occasionally and 19% with regularly,5% is with often.

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Q 7) What is your opinion about banning of surrogate advertisements?
1) Strongly Agree 2) Agree Neither 3 Agree/Disagree 4) Disagree
5) Strongly Disagree
TABLE NO. 7
Strongly Agree 29 69%
Agree Neither 12 19%
Agree/Disagree 9 12%
Disagree 11 11%
Strongly Disagree 39 39%
Total 100 100%
GRAPH NO. 7
strongly agree, 12% are agree neither, 9 % are with agree and disagree 11% , of disagree 39% of
with Strongly Disagree.

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Q 8) Do you think surrogate advertisement is required for some product?
Products Yes No May be
Alcohol
Tobacco
Cigarettes
TABLE NO. 8
SR NO. ITEM (ALCOHOL)
NO. OF
RESPONDENTS
PERCENTAGE
1) Yes 19 19%
2) No 67 67%
3) May be 14 14%
TOTAL 100 100%
SR NO. ITEM (Tobacco)
NO. OF
RESPONDENTS
PERCENTAGE
1) Yes 22 22%
2) No 47 47%
3) May be 31 31%
TOTAL 100 100%
SR NO. ITEM (Cigarettes )
NO. OF
RESPONDENTS
PERCENTAGE
1) Yes 66 66%
2) No 21 21%
3) May be 13 13%
TOTAL 100 100%

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GRAPH NO. 8
Data Interpretation: -
The above table shows that out of 100 respondents and opinion about requirement of surrogate
advertising of Majority of Alcohol (67%) no believe that these ads never induce them to think
surrogate advertisement is required for some product.
This question is to know the public opinion on to think surrogate advertisement is required for
some product. And result of respondent or Opinion about requirement of surrogate advertising of
Tobacco 47% of the respondents consider these NO to Tobacco, 22% agree with and 31% think
they are with maybe.
66% of people says yes to cigarettes, 21% with No and remaining with 13% is says maybe.
Analysis: It is clear from the above inference that there is no positive correlation between
respondents view on them to think surrogate advertisement is required for some product. And their
perception on surrogate advertisements

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Q 9) From which media you used to watch the most in advertisements? (Tick one)
A) Print Media B) Radio C) Television D) Internet E) Mobile
TABLE NO. 9
Print Media 29 69%
Radio 12 19%
Television 38 38%
Internet 11 11%
Mobile 10 10%
Total 100 100%
GRAPH NO. 9
print media,12% of with radio , 38% with television,11% is watching on internet and last of are
wit mobile is 10%.

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.Q 10) What you feel, whether liquor advertising and its marketing when compared to any
Products are ethical in India …?
A) Strongly Disagree B) Disagree C) Neither Agree or Disagree
D) Agree E) Strongly Agree
TABLE NO. 10
Strongly Disagree 25 25%
Disagree 14 14%
Neither Agree or Disagree 11 11%
Agree 15 15%
Strongly Agree 35 35%
Total 100 100%
GRAPH NO.10
Data Interpretation: - Out of 100 respondents, majority of them think that it’s strongly
agree, 14% agree that they are disagree, 11% are for neither agree and disagree and only 15%
for agree and remaining is with 25% is strongly agree.

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Q 11) How often surrogate products are seen as advertisements?
1) Rare 2) Regular 3) Occasional 4) Never Seen 5) Don’t Remember
TABLE NO. 11
Rare 34 34%
Regular 15 15%
Occasional 11 11%
Never Seen 25 25%
Don’t Remember 15 15%
Total 100 100%
GRAPH NO.11
Data Interpretation: - Out of 100 respondents, majority of them think that it’s rare is 34 ,
15% are they watch regularly, 11% are for occasional and only 25% for never seen and
remaining is with 15% is don’t remember.

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Q 12) What is your perception about such advertisements?
1) Entertaining 2) Boring 3) Interesting 4) Don’t Care
5) Funny 6) Disturbing
TABLE NO. 12
Entertaining 29 29%
Boring 12 12%
Interesting 10 10%
Don’t Care 10 10%
Funny 10 10%
Disturbing 29 29%
Total 100 100%
GRAPH NO. 12
entertaining, 12% are with boring, 10% are with intresting, 10% is with don’t care, 10% of with
funny ,29% of with Disturbing

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Q 13) Which product category has the maximum frequency of ads?
1) Alcohol 2) Pan Masala 3) Cigarettes
TABLE NO. 13
Alcohol 61 61%
Pan Masala 15 15%
Cigarettes 24 24%
Total 100 100%
GRAPH NO.13
Data Interpretation: - Out of 100 respondents, majority of them think that it’s alcohol is
61% , 15% are they watch pan masala, 24% are for cigarettes.

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Q 14) which of these brands are seen the most when it comes to surrogate advertising?
1)'Mcdowell's no.1 yaari' 2) Pan bahar 3)Imperial Blue
TABLE NO. 14
Mcdowell's no.1 29 29%
Pan bahar 12 12%
Imperial blue 19 19%
Vimal pan bhar masala 11 11%
Tuborg beer 29 29%
Total 100 100%
GRAPH NO. 14
Mcdowell's no.1, 12% are pan bahar,1 9 % are with imperial blue ,11% Vimal pan bhar masala
29% of with Tuberg beer .
.

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CHAPTER IV
FINDINGS
FINDINGS OF THE STUDY
 To explain the concept of surrogate advertisements.
 This study gives a thorough and detailed explanation of the concept of surrogate
advertising with the help of the secondary data where the basic concept, its existence in
Indian market, emergence and companies using surrogate advertisements, legal cases,
and ethical concerns are stated with a clear description.
 To study the consumers' awareness towards surrogate advertisements.
 The study identifies that some of the respondents were not aware of the concept earlier,
but the questionnaire has enabled them to understand the concept, while some of the
respondents were aware of the concept earlier itself. From analysis of questionnaire it is
found that even though consumers lack the level of awareness, they are familiar with the
concept of surrogate advertising.
 To evaluate the influence of surrogate advertisement on consumers’ buying decision.
 By analyzing the primary data it is known that surrogate ads are successful in creating
brand recall of the hidden product in the advertisement and from chi square test it is
understood that these ads induce customers to buy the original banned product which
shows that the ads are effective. Surrogate ads need to be telecasted regularly through the
media of TV to have an impact and create a set in the minds of consumer.
 To understand the consumer perception towards surrogate advertisements and its
products.
 Questionnaire consisted of question where respondents were asked their opinion on
surrogate advertisements (if they are ethical/unethical/should be banned) and it is
concluded that majority of the public view surrogate advertisements as unethical
practices and agree that they should be banned. Viewers have negative insight towards
these ads as they are perceived to misguiding, boring.

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CONCLUSION
It was observed during the research that people who are of non consumer group are very
arrogant towards this practice but what astonish is that the consumer group also doesn’t feel any
relevance of such advertisements.
As everything has a double fold effect, so surrogate on one hand when reminds about the
product on the other hand also conveys a message that the advertisement of alcoholic/ tobacco based
products are banned because they are harmful for health.
However, (on a contradictory note) from the studies it is clearly indicated that surrogate
advertisements fulfills its purpose as for a marketer it is an impressive and money folding practice.
So the purpose of the same is being fulfilled. So from marketing perspective this practice is a four
starred one and reaping benefits of investment.
The recent practice of showing adverse effects of consumption through a small clipping in
movie halls or television is an effective eye opener. This could be an area for further research.
Government can further increase such practices and spread more awareness
Surrogate advertising is basically duplicating the brand image of a particular product and then
promoting a different product of the same brand. Ban on advertising of alcohol, cigarettes, tobacco
products gave rise to the concept of surrogate advertising in India. It has become an ethical issue and
has emerged as a loophole challenge over government rules. Though this upcoming trend is not
healthy for the young consumers & others in the interest of the health of the community; Surrogate
ads have proved themselves a strapping& successful marketing strategy for the forbidden goods
today.

37
BIBLIOGRAPHY
WEB REFERENCES
Http://Www.Academia.Edu/16499143/SURROGATE_ADVERTISING_THE_AW
ARENESS_AND_DOES_IT_HELPS_TO_PROMOTE_CORE_PRODUCT_ITS
ELF_IN_INDIAN_CONTEXT
http://www.mbaskool.com/business-articles/marketing/14340-surrogate- advertising-
hidden-yet-visible-products.html
http://www.ukessays.com/essays/marketing/surrogate-advertising-and-its-impact- on-the-mind-
marketing-essay.php
http://www.slideshare.net/shampm88/a-project-report-on-the-impact-of-surrogate-
advertisement-in-surrogate-products-at-ogilvy-mather
https://en.wikipedia.org/wiki/Surrogate_advertising
http://www.indianmba.com/faculty_column/fc266/fc266.html
http://www.thehindubusinessline.com/2003/05/23/stories/2003052300090900.htm
BOOKS REFERRED
 George E. Belch & Michael A. Belch (2010) .Advertising & Promotion – An Integrated
Marketing Communications Perspective. 7th
Edition.
 Philip Kotler ,Kevin Lane Keller.(2006). Marketing Management.Pearson
Education.12thEdition.
 Malhotra.N.K..(2006).Marketing Research: An Applied Orientation. Pearson
Education.4th
edition.
 Wells, Moriarty & Burnett .Advertising principles & practice.7th
Edition. pg 59 – 88.
JOURNALS REFERRED
Dr. S. G. Khawas Patil. Laxmikant S. Hurne. (2011).Surrogate advertising: A Successful
Marketing Strategy for Liquor, Whisky products.Indian Streams Research Journal.Vol-I ,
Issue-V.June.
Dahiya, Ms Kirti Singh, and Ms Kirti Miglani.(2013).Emergence of surrogate

38
Annexure
Deogiri Institute of Engineering and Management Studies,
Railway Station Road, Aurangabad-431005 Ph. No.: 0240-2367575 Fax. No: 0240-2367577
“A STUDY ON IMPACT OF SURROGATE ADVERTISEMENTS ON
NON-USERS OF THE PRODUCT”
Section A
PERSONAL PROFILE
Name:-
Age:-
Gender:- Male Female
Address:-
Section B
Q 1) What are the surrogate advertisements of brands that are seen the most?
Q 2) Which product category is seen the most of surrogate advertisement?
2) Alcohol 2) Beverages 3) Tobacco 4) Cigarettes
Q 3) Does the surrogate advertisement induce to try the original product?
1) Never 2) Occasionally 3) Sometimes 4) Regularly 5) Often
Q 4) What is impact of these advertisements on surrogate products?
2) Definitely Will Not Affect 2) Probably Will Not Affect 3) Undecided
4) Probably Will Effect 5) Definitely Will Effect
Q 5) Are you recalling the original products while looking at surrogate advertisements?
1) Definitely 2) Most Probably 3) Occasionally Not At All 4) Don't Remember

39
Q 6) Do you purchase surrogate products like soda, water etc after seeing their advertisements?
1) Never 2) Occasionally 3) Regularly 4) Often
Q 7) What is your opinion about banning of surrogate advertisements?
1) Strongly Agree 2) Agree Neither 3 Agree/Disagree 4) Disagree
5) Strongly Disagree
Q 8) Do you think surrogate advertisement is required for some product?
Products Yes No May be
Alcohol
Tobacco
Cigarettes
Q 9) From which media you used to watch the most in advertisements? (Tick one)
A) Print Media B) Radio C) Television D) Internet E) Mobile
Q 10) What you feel, whether liquor advertising and its marketing when compared to any
Products are ethical in India …?
A) Strongly Disagree B) Disagree C) Neither Agree or Disagree
D) Agree E) Strongly Agree
Q 11) How often surrogate products are seen as advertisements?
1) Rare 2) Regular 3) Occasional 4) Never Seen 5) Don’t Remember
Q 12) What is your perception about such advertisements?
1) Entertaining 2) Boring 3) Interesting 4) Don’t Care
5) Funny 6) Disturbing 7) Misguiding
Q 13) Which product category has the maximum frequency of ads?
2) Alcohol 2) Pan Masala 3) Cigarettes
Q 14) Which of these brands are seen the most when it comes to surrogate advertising?
THANK YOU

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