Cadbury India's four factories in India churn out close
to 8,000 tonnes of chocolate and the company sells a
million bars every day.
But Bharat Puri, managing director of Cadbury India
will never forget the batch of Dairy Milk chocolates
numbered 28F311 manufactured in 2003 at the
company's plant in Thane, near Mumbai That was
the worm-infested batch that triggered a crisis for the
company that had always prided itself on its squeaky
To offset the negative impact of the
controversy and to re-establish the dominance
of Dairy Milk in its category, Cadbury also
signed up Bollywood icon Amitabh Bachchan [
as brand ambassador. With the help of its
advertising agency O&M, it created a
campaign which aimed for both rational and
One of the ads showed Bachchan visiting a
Cadbury plant, inspecting the systems and
processes and finally consuming a bar of
chocolate to be convinced that there's nothing
wrong with the brand.
Indian believed in Big B and he believed in Cadbury.
The trust in Cadbury was back and so were the profits.
The brand revived and everything was sweet again.
This is the impact of a celebrity in building a brand.
He is the macho man of bollywood ,the daredevil, having the
attributes of strength, attitude and benevolence. He has a
cult following, these are all the ingredients for creating a
strong brand image. Companies have been reluctant to
associate with him because of his negative publicity but now
his image boosted even more with wanted and dabangg he is
the new hot property and recently signed a deal with
mountain dew. He is none other than Salman Khan.
Q1. Sir you endorse a lot of brands. How do you think
your endorsing a brand helps the brand?
-As celebrities people believe in us, its like a
testimony. Crowd today , especially youngsters believe
in public image so if a celebrity is endorsing a brand
they believe in the brand’s promise.
Q2.How do u choose the brands to endorse?
-I usually choose a brand that I believe in or a brand
that genuinely benefits.
Q3.Do u believe in the products you endorse?
-I never endorse products that I don’t believe in or
that my fans would not accept.
Q4.When you sign a contract with a brand , is there
any clause that you cant endorse a rival brand?
-Brands usually prefer exclusively. So I cant be saying I
love drinking thums up and pepsi at the same time. It
confuses pople, so exclusivity is a must.
Q5.How many offers do you get on an average in
-Many, but I don’t necessarily believe in all the
products or the offers. I stick to brands that I believe
are true to their promise.
Q6.Do u think bigger the celebrity the better the
-Yes sometimes the scale of the advertisement
requires a big or well known name.
Q7.On a lighter note did you ever think you be such a
big brand image in India?
-I’am grateful to God for being fortunate and
lucky, that I’ve been able to make a difference.
Q8.Are you brand conscious?
-Once you are a public image you have to be careful
about how you carry yourself. It doesn’t really
depend on the brand.
Q9.Are you loyal to any brand?
-Yes particularly to the ones I endorse otherwise
whatever suits me.
Q10.Are you influenced by the ads yourself?
-I endorse them at the end of the day , so a certain
amount of influence does happen.
What’s a brand?
“ A singular idea or concept that you own
inside the mind of the prospect."
- Al Ries
(Chairman, Ries & Ries)
“Beauty is a greater recommendation than any letter of
This could aptly summarize why innumerable products are
endorsed by celebrities, with or without a significant need or
benefit from the same.
Today in the time of price point competition where
differentiation is almost none, celebrity endorsements have
become essential in order to influence the consumers and
creating brand loyalty.
e of a
Selecting the right celebrity does more than increasing sales;
it can create linkages with the celebrities’ appeal, thereby
adding new dimension to the brand image. Research
conducted by Katherine Eckel has revealed that “celebrities
can get people to make a better choice but cannot influence
people to make a foolish choice”.
The success of celebrity endorsement in India can be sought
from a market research conducted earlier which found that
80% of the TV commercials scored the highest recall were
those with celebrity appearances. A few examples: Sachin
Tendulkar - Adidas, Sourav Ganguly - Britannia, Leander Paes
& Mahesh Bhupati - J. Hampstead, Shah Rukh Khan -
Pepsi, Sushmita Sen - Epson, and Aishwarya Rai - Coke.
Recall of advertisements
With celebs 80%
Without celebs 20%
“As celebrities people believe in us , its like a
testimony. Crowd today, especially youngsters believe
in public image so if a celebrity is endorsing a brand
they believe in the brand’s promise.”
(reply to a question asked by Group 8 , F .Y Bcom (H) , NMIMS)
The need of celebrities
• Psychological Factors: Celebrities generally
satisfy the 'esteem needs' of an individual. For
example a movie actress is expected to possess a
flawless skin and a blemish free face. Her fans want
to know the secret of her beauty, so she becomes a
natural endorser for beauty related products
(cosmetics, soaps, powder).
• propping Up Awareness and Trust Levels: Rahul Dravid-
(Bank of Baroda).
•To Communicate a Certain Message about the
Company: Sachin Tendulkar as brand ambassador
gave it the desired facelift and image for the
launch of 'Victor‘
•Value for Money:
•To Position their Brand Distinctively: Lux
worldwide has positioned itself as the 'soap the
filmstars use'. From Leela Chitnis to Aishwarya
Rai, all top actresses have modeled for Lux.
• Celebrity Standing for a Single Brand:Think
Zakir Hussain and you are reminded of 'Wah Taj'
Taj Mahal tea. Ditto with A. R. Rahman for Airtel.
Factors to be considered
• Celebrity & audience match up,
• Celebrity & brand match up,
• Celebrity credibility,
• Celebrity attractiveness,
• Cost consideration,
• A working ease and difficulty factor,
• An endorsement saturation factor,
• A likelihood-of-getting-into-trouble factor.
The TEARS Model (product-celeb
The attributes highlighted by the acronym “TEARS” are
gauged for celebrity selection. These are: -
•Trustworthiness: For example - Legendary actor
Amitabh Bachchan who is an icon of trust; promoting
•Expertise: For example - Golfer Tiger Woods for a
•Attractiveness: For example - Tennis player Anna
Kournikova who used to earn dollars per year in
•Respect: For example - Former Miss World
Aishawarya Rai and the Eye donation campaign.
•Similarity: For example - a child artist promoting
a chocolate brand.
A celebrity scoring high on all the above attributes
can turn out to be a good endorser for the brand
The various risks associated with celebrity
endorsements are as
•Negative publicity - If the celebrity is strongly
associated with the brand then the occurrence of the
negative publicity can spill over the brand..
E.g., Salman Khan lost his endorsement deal with
Thumbs-Up after his infamous incidents like buck-
killing and rashdriving
•Overshadowing - When celebrity endorser is used, the risk
of consumers focusing on the celebrity and not on the brand
•Overexposure - This risk arises when the celebrity chooses
to endorse several different products simultaneously which
might leave the consumers confused. E.g., Sachin Tendulkar
endorses several brands such as MRF, TVS
Victor, Pepsi, Fiat, Boost, etc.
•Financial Risk - The decision for hiring an expensive
endorser may not be always feasible if there is a poor brand
•Overuse - Sometimes the company can use many different
celebrities to appeal to different market segment. But
multiplicity of endorser might blur the image.
•Extinction - The favorable response obtained by a
particular brand may weaken over time if the brand gets
significant exposure without the association of the celebrity. If
the celebrity contract is for a considerable period of
time, then it can lead to draining out capital without proper
The best advertising campaign of 2010 was the
Vodafone zoozoo campaign and guess what it was
without a celeb .Not only this there have been so
many campaigns without a celeb that have been
more appealing than those with celebs, Tata
motors have not been using celebs for
endorsements but still it is a brand emotionally
attached to Indians.
The concept of “Total Branding” is slowly emerging
and many companies are focusing on that. They are
emphasizing on their best practices, customer
relationship management, and employee training and
knowledge management. Internal brand
management, under which the company ensures that
employees and channel partners are convinced about
the brand, is becoming particularly important, for they
are the ones who have to deliver. Thus, the celebrity
endorsement can be considered only as a carrier of
(Tata Motors and
~ Any damn fool can put on a deal, but it takes
genius, faith and perseverance to create a brand. ~
• RIL is into industrial products with its flagship product been
petrochemicals. The marketing of such industrial products is
business-2—business and does not involve much advertising
it is totally different from consumer goods industries. RIL
being the biggest company in its sector are operating as a
near monopoly mainly in areas of pricing. They are going to
enter the consumer goods market also but don’t think they
need a celebrity to promote that as they are the largest
company in India and nobody needs an introduction to them.
Summary of interview with
Head sales , Western
•Tata motors is into both commercial vehicles and passenger
cars being the market leader in the former and the market
follower in the latter. In the commercial market they have
almost 60% stake and celebrities rather advertisements are
rarely needed. According to them the Tata brand appeals to
the deepest sentiments of all the Indians. The biggest
celebrity they have is Mr Ratan Tata himself who is a symbol
of trust and a source of inspiration to the Indians.
A word with
Head Sales, India
•When asked about celebrities in the passenger car segment
they felt that cars were a consumer durable and celebrity
endorsements were not that important as consumers spend a
lot of time thinking before buying a product so expensive. The
best product and not the best endorsed product sold well. So
was the case with their rivals Honda, Maruti , Mahindra etc
etc . The celebrities mattered when it was about emotional
value of the products where the consumers needed to be
pulled towards the products like most of the FMCG brands.
•Nano was a very successful launch and it got worldwide
appreciation, If u asked a guy in France about Tata he may or
may not know but he would mostly know about nano.
According to them nano was a revolution.
•The acquisition of Jaguar (JLR) was a strategic move to make
the presence of Tata Motors in the international market and
when the right time would come they would think of adding
the tata name to the jaguar cars. Though this claim was not