Final WIP Doc.

8/12/2019 Final WIP Doc.

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DR. V. N. BEDEKAR INSTITUTE OF MANAGEMENT STUDIES, THANE Page 1

Genesis of the project

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. As many companies spends around 35%

money on advertising. So it is very important that company need to understand how much to

spend and when to spend? People might have certain perception about their favorite

advertisement, that why they like particular advertisement. There are many Soft Drink

companies spending huge amount on taking sponsorship e.g. For Pepsi for IPL 7 Season.

As of 2012, Pepsi is the third most popular carbonated drink in India with a 15% market share,

behind Sprite and Thumps-Up. In comparison, Coca Cola is the fourth most popular carbonated

drink occupying a mere 8.8% of the Indian market share.

As per Economic Times (1stJan 2014) coca-cola planed for aggressive ad campaign for 2014 to

be Indias most favorite Soft Drink. Coca-Cola is learnt to have spent at least Rs 12-15 crore on

the print burst, which is expected to last about a week. It carries the lyrics of a jingle Prasoon

Joshi wrote for a television campaign released in early 2012. Coke is set to follow it up with a

television campaign featuring actors Deepika Padukone and Farhan Akhtar. An official aware of

the contract details said Coca-Cola will pay Padukone a little less than Rs 4 crore annually in

fees.

So companies should understand which media is effective and how much it leads to Brand

Awareness about Soft Drinks. As companies spending huge amount on advertising, there should

be significant impact on their


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Research Objectives

1. To find out the perceptions w.r.t. advertising of cold drinks.a. Need for advertisingb. Reason for liking advertisingc. To find out the most popular slogan of advertisement regarding cold drinks.d. To study the impact of the celebrity endorsement on the consumer buying

behavior)

e. Perceived Impact of advertising on consumptionf. Customer Perception w.r.t Most effective media

2. To study the impact of the Advertisements on the brand awareness of Soft drinks.


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Research methodology

Data Collection Instrument:

Questionnaire

SOURCES OF DATA COLLECTION:

1. Primary Research: It is the first hand information collected through questionnaire.2. Sampling:

1. Sample size: 542. Sample unit: college student

3. Secondary Research: Secondary data was collected from the following sources:1. Books:

I. Consumer Behavior: Buying, Having and BeingMichael R. SolomonII. Marketing Management Kotler, Keller, Koshi & Jha14th edition -

Pearson

III. Advertising and Promotion: An Integrated Marketing CommunicationsPerspective,

IV. Marketing Research Aaker, Kumar, Day (7th edition John Wiley &Sons)

2. Newspapers: Economics Times3. Journals: Management Guru: Journal of Management Research, Vol.1, Issue

no.3

4. Websites


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Scope of the study:

As we know these days soft drink companies are advertising their product so much on televisions

and are spending so much money on the Advertisements of their products.

In soft drink industry the cost of advertising is nearly 35 % of the total cost. For increasing the

sale of their product they are taking film stars, cricket stars in their advertisements of their

products which is again very costly.

The soft drink companies are spending so much on the sponsorship of events like cricket match

etc. so this study deals with these aspects that whether Advertising is having any effect on

consumers or not.

This study will help

o To know that are people influenced by Brand Ambassadors or not.o Analyze different media options available for Advertisements and which are most

influential ones.

o Influence of Advertisements on their brands and brand loyaltyGROWTH OF SOFT DRINK MARKET

Carbonated drinks are dominated by artificial flavors based on cola, orange and lime with Pepsi

and coca-cola dominating the market. The entire part of the drink is based on its artificial flavors

and sweetening agents as no natural juice is used.

MARKET

Cola products account for nearly 61-62% of the total soft drinks market.

Two global majors Pepsi and Coke dominate the soft drink market.

91% of soft drink in the country is in the lower, lower middle and upper middle class people. (

NCAER survey)

The market is worth around Rs.5000 crores with growth rate of around 10-15%.


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The production of soft drinks has increased from 5670 million bottles in 1998-99 to 9783 million

bottles in 2000-2008 as per the industry source.

Growth market this year is expected to be 10-15% in value terms and 20-22% in volume terms.

However, the market for carbonated drinks is stagnating and not growing as expected.

The total soft drink (carbonated beverages and juices) market is estimated at 284 million crates a

year or $1 billion. The market is highly seasonal in nature with consumption varying from 25

million crates per month during peak season to 15 million during off-season. The market is

predominantly urban with 25 per cent contribution from rural areas. Coca cola and Pepsi

dominate the Indian soft drinks market.

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 programmers, 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. 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 countrys 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 persons time to inform him orher 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 subjects attention. Inhelping to achieve this, use of celebrity endorsers is a widely used marketing strategy.

LIMITATIONS OF THE STUDY

1. The study was restricted only in Thane city region.2. The study was limited collage students only.


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Literature Review

Advertising is more than a tool for selling foods and services. It has one overriding task, to

position a brand in theprospects perception or perceptual space in relation to competitors, so as

to create distinctiveness and preference.

To formulate the problem scientifically, and to point out the importance of undertaking this

study, it is essential to present a brief review of Researches undertaking in this area. Although

the review involved a large number of studies only a few studies which have a direct and indirect

bearing in the present study have been reviewed.

A. Effect of International Advertising and International sponsorshipTo understand effect of International Advertising and International sponsorship Eva-Lena had

mentioned that following things

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. Moreover, depending on a persons 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.

B. Effect of celebrity endorsersTo identify whether celebrity endorsers really affect the success of the product or not. For that

there are various people who gave their opinion. These experts helped me to understand effect of

celebrity endorsement.

Strout R (2008) in his case material Pepsi and Madonna examines the use of entertainment

personalities in advertising commercial products through the example of Pepsis 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


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L. Balakrishnan and C.S. Kumar:

Effect of Celebrity Based Advertisements on the Purchase Attitude of Consumers towards

Durable Products A study with reference to the city of Chennai Celebrity Endorsements act as a

credible means of spending money .This is because this is a world of products for which the

value a consumer obtains from purchasing any given variety. This could be for reasons of social

standing-People want to wear the right clothes, drink the right beverages and use the right

fragrances. Specifically, a consumer that observes messages for two different firms products, one

products message containing a celebrity endorsed and the other not, believes the celebrity

endorsed product will have more purchases and so be of higher value.

Clark & Horstman, 2003 Celebrity endorsement is more likely to be observed for those

products having a high price-production cost margin and on a large customer base.In short,

celebrity endorsements are more typical for nationally marketed products than for local or niche

market products and for products such as running shoes, soft drinks and the like for which the

price cost margins are apparently large.

C. Athlete role model endorsersAlso apart from celebrity endorsers are there any people who can influence the customers buying

behavior? For that reason Dix S and Pougnet S have given their opinion as,

Dix S, Pougnet S (2009)in their research have found that Athlete role model endorsers have a

positive influence on young adults product switching behavior, complaint behavior, positive

word-of-mouth behavior and brand loyalty. This confirms the assumption that sports celebrities

are important socialization agents and can have significant impact on purchase intentions and

behavior. This research provides useful insight into the influence of athlete endorsers on young

adults and suggests athletes have a positive influence on young adults behavioral intentions in

switching products, generating word-of-mouth and establishing brand loyalty.


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D. The Effect of advertising on brand switching and repeat purchasing,J. Deighton :

The authors examine switching and repeat purchase effects of advertising in mature, frequently

purchased product categories. They draw on consumer behavior theories of framing and usage

dominance to formulate a logic choice model for measuring these effects. They estimate the

model using single-source scanner data. Their results suggest that advertising induces brand

switching but does not affect the repeat purchase rates of consumers who have just purchased the

brand, a result consistent with usage dominance rather than framing. They find the switching

influence to be largely confined between the current and previous purchase occasions. They

illustrate the magnitude of this effect and explore potential profitability.


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Introduction

As we know these days soft drink companies are advertising their products so much on

televisions and are spending so much money on the celebrities to endorse their products. In soft

drink industry the cost of advertising is nearly 35 % of the total cost. For increasing the sales of

their product they are taking film stars, cricket stars in their advertisements of their products

which is again very costly. Therefore, we took this as an opportunity to study different aspects of

Advertisements, their impact on consumer perception etc. Each advertisement is a specific

communication that must be effective, not just for one customer, but for many target buyers. This

means that specific objectives should be set for each particular advertisement campaign.

Advertising is a form of promotion and like a promotion; the objectives of advertising should be

specific. This requires that the target consumers should

be specifically identified and that the effect which advertising is intended to have upon the

consumer should be clearly indicated. The objectives of advertising were traditionally stated in

terms of direct sales. Now, it is to view advertising as having communication objectives that seek

to inform persuade and remind potential customers of the worth of the product. Advertising

seeks to condition the consumer so that he/she may have a favorable reaction to the promotional

message. Advertising objectives serve as guidelines for the planning and implementation of the

entire advertising programmers.

So to understand Consumer buying behavior we need to identify some factors .And that factors

can be determined by Theories like,


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The Pyramid of Consumer Behavior by Michael Solomon

Figure 6.1: The Pyramid of Consumer Behavior by Michael Solomon

Michael Solomon, described Consumer buying behavior in his one of the theory that there are

Micro and Macro factors that affects the consumer Behavior. From that Micro factors are related

to Individual focus and Macro factors are related to Social focus. Different consumers can have

their own focus that affects their behavior.


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The Wheel of Consumer Behavior by Michael Solomon

Figure 6.2: Wheel of Consumer Behavior

Perceptual Process by Michael Solomon

Figure 6.3: Process of Perception

There are three stages that make up the process of perception. These are exposure, attention, and

interpretation.

We receive external stimuli

through our five senses


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Figure 6.5: Memory Process

Memory Systems by Michael Solomon

According to the information-processing perspective, there are three distinct memory systems:

sensory memory, short-term memory, and long-term memory. Each plays a role in processing

brand-related information, as summarized in the figure 6.6

Figure 6.6 : Memory Systems

Sensory memory stores the information we receive from our senses. This storage is temporary. If

the information is retained for further processing, it passes through an attentional gate and

transfers to short-term memory. Short-term memory also stores information for a limited period

of time, and it has limited capacity. This system is working memory. It holds information we are

currently processing. Our memories can store verbal input acoustically or semantically. We store


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this information by combining small pieces into larger ones in a process we call chunking. A

chunk is a configuration that is familiar and the person can think about it as a unit. Long-term

memory is the system that allows us to retain information for a long period of time. A cognitive

process we call elaborative rehearsal allows information to move from short-term memory to

long-term memory.

So now lets understand Advertising.

Advertising

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 train dealers salesmen

in product uses and applications. It can build dealer and consumer confidence in the company

and its products by building familiarity.

WHAT IS ADVERTISING?

The word advertising is derived from the Latin word viz, "advertero". "ad" meaning towards and

"verto" meaning I Turn. Advertising is an organized series of advertising messages. It has been

defined as "a planned, co-ordinate series of promotional efforts built around a central theme and

designed to reach a specified goal." In other words, it is an orderly planned effort consisting of

related but selfcontained and independent advertisements.

American marketing association has defined advertising as "any paid form of non personal

presentation and promotion of ideas, goods or services by an identified sponsor. The medium

used are print broad cast and direct. Stanton deserves that "Advertising consists of all the

activities involved in presenting to a group a nonpersonal, oral or visual openly, sponsored

message regarding a product, service, or idea. This message called an advertisement is

disseminated through one or more media and is paid for by the identified sponsor


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Advertising is any paid form of nonpersonal paid of presentation of ideas goods or services by

an identified sponsor. Advertising is a "nonpersonal paid message of commercial significance

about a product, service or company made to a market by an identified sponsor. In developing

advertising programmers, one must always start by identifying the market needs and buyer

motives and must make five major decisions commonly referred as 5M (mission, money

message, media and measurement) of advertising .Basic Features of Advertising On the basis of

various definitions it has certain basic features such as:

1. It is a mass non-personal communication.

2. It is a matter of record.

3. It persuades buyers to purchase the goods advertised.

4. It is a mass paid communication.

5. The communication media is diverse such as print (newspapers and magazines)

6. It is also called printed salesmanship because information is spread by means of the written

and printed work and pictures so that people may be induced to act upon it.

FUNCTIONS OF ADVERTISING

Advertising is particularly effective in certain other spheres too such as:

i) When consumer awareness of products or service is at a minimum.ii) When sales are increasing for all terms in an industry.iii) When a product is new and incorporates technological advance not strong and.iv) When primary buying motive exists

It performance the following functions:

i) Promotion of salesii) Introduction of new product awareness.


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iii) Mass production facilitationiv) Carry out researchv) Education of people.

TYPES OF ADVERTISING

Broadly speaking, advertising may be classified into two categories viz., product and

institutional advertising.

a) Product advertisingThe main purpose of such advertising is to inform and stimulate the market about the advertisers

products of services and to sell these. Thus this type of advertising usually promotes specific,

trended products in such a manner as to make the brands seam more desirable. It is used by

business government organization and private non-business organizations to promote the uses

features, images and benefits of their services and products. Product advertising is sub-divided

into direct action and indirect action advertising, Direct action product advertising wages the

buyer to take action at once, ice he seeks a quick response to the advertisement which may be to

order the product by mail, or mailing a coupon, or he may promptly purchase in a retail store in

response to prince reduction during clearance sale.

Product advertising is sub-divided into direct & indirect action advertising &product advertising

aims at informing persons about what a products is what it does, how it is used and where it can

be purchased. On the other hand selective advertising is made to meet the selective demand for a

particular brand or type is product.

b) Institutional Advertising :It is designed to create a proper attitude towards the sellers to build companyimage or goodwill

rather than to sell specific product or service. Its purpose is tocreate a frame of mind and to

implant feeling favorable to the advertisers company. Its assignment is to make friends for the

institution or organization.


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It is sub-divided into three categories: patronage, public, relations and public service institutional

advertising.

i. In patronage institutional advertising the manufacturer tells his prospects and customerabout himself his policies and lives personnel. The appeals to the patronage motivation of

buyers. If successful, he convinces buyers that his operation entitles him to the money

spent by them.

ii. Public relations institutional advertising is used to create a favourable image of the firmamong employees, stock-holders or the general public.

iii. Public service institutional advertising wages public support.

c) Other TypesThe other types are as follows :

i) Consumer advertisingii) Comparative advertisingiii) Reminder advertisingiv) Reinforcement advertising

ADVERTISING OBJECTIVES

The long term objectives of advertising are broad and general, and concern the contribution

advertising should make to the achievement of overall company objectives. Most companies

regard advert singly main objective as hat of proving support to personal selling and other forms

of promotion. But advertising is a highly versatile communications tools and may therefore by

used for achieving various short and long term objectives.

Among these objectives are the following:

1. To do the entire selling job (as in mail order marketing).


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2. To introduce a new product (by building brand awareness among potential buyers

3. To force middlemen to handle the product (pull strategy).

4. To build brand preference by making it more difficult for middleman to sell substitutes).

5. To remind users to buy the product (retentive strategy)

6. To publicize some change in marketing strategy (e.g., a price change, a new model or an

improvement in the product).

7. To provide rationalization (i.e. socially acceptable excuses).

8. To combat or neutralize competitors advertising.

9. To improve the moral of dealers and/or sales people (by showing that the company is doing its

share of promotion).

10. To acquaint buyers and prospects with the new uses of the product (to extend the PLC).

Therefore the manufacturers try to improve this goodwill and reputation by knowing the buyer

behavior. To sum up it may be said that advertising aims at committing the producers, educating

the consumer, supplementing the salesman converting the producer and the dealer to eliminate

the competitor, but above all it is a link between the produce and the consumer.

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.

WHY & WHEN TO ADVERTISE

Advertising as a tool to marketing not only reaches those who buy, but also those whose

opinions or authority is counted for example a manufacturer of marble tiles and building boards


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advertises not only to people who intend to build houses but also to architect and engineers.

While the manufacturers of pharmaceuticals products advertise to doctors as well as to the

general public. At time it is necessary for a manufacturer or a concern to advertise things which

it does not sell but which when sold stimulates the sales of its own product. There are concerns

like electric heaters, iron etc. because the use of these increases the demand for their products.

Advertising should be used only when it promises to bring good result more economically and

efficiently as compared to other means of selling.

DESIGNING ADVERTISING CAMPAIGN:

The campaign may appear in one more media. It has single theme or keynote idea and a single

objective or goal. Thus, "a unified theme of content provides psychological continuity

throughout the campaign while visual and oral similarity provides physical continuity. In short

run, all campaign want pre-determined psychological reaction in the long run, practically all

campaigns have sales goal. The series of advertisements used in the campaign must be integrated

with the sales promotional efforts and with the activities of the sales force.

Campaigns vary in length some may run only for a few days, other for weeks, yetother for a

season or the entire year. Usually a range of 3 to 6 months includes many campaigns. Many

factors influences campaign length such as competitors advertising media, policies, seasonal falls

curves of the product involved, the size of the advertising funds, campaign objectives and the

nature of the advertisers marketing programmes.

OBJECTIVES OF CAMPAIGN

The advertising campaign, especially those connected with the consumers aims at achieving

these objectives:

i) To announce a new product or improve product.ii) To hold consumers patronage against intensified campaign use.iii) To inform consumers about a new product use.iv) To teach consumers how to use product.v) To promote a contest or a premium offer.vi) To establish a new trade regional


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The institutional advertising campaigns on the other hand, have these objectives.

i) To create a corporate personality or image.ii) To build a company prestige.iii) To keep the company name before the public.iv) To emphasize company services and facilities.v) To enable company salesman to see top executive consistently when making sales

calls, and

vi) To increase friendliness and goodwill towards the company.Developing the campaign programmes.

The advertising campaigns are prepared by the advertising agencies, which work on behalf of

their clients who manufacture product or service enterprises, which have services to sell. The

word campaign is used because advertising agencies approach their task with a sumBlanca of

military fanfare in which one frequently hears words like target audience logistics, zero in and

tactics and strategy etc. The account executives co-ordinate the work, in the campaign. The

creation of an advertising campaign starts with an exploration of consumer habits and

psychology in relation to the product. This requires the services of statistical trained in survey

techniques and of others trained in social psychology. Statisticians select samples for survey

which are done by trained interviewers who visits individuals, included in the sample and ask

question to find out about their taste and habits

STAGE IN ADVERTISING CAMPAIGN

Several steps are required to develop an advertising campaign the number of stages and exact

order in which they are carried out may vary according to organizations resources, the nature of

its product and the types of audiences to be reached. The major stages/step are:

1. Identifying and analyzing the advertising.

2. Defining advertising objects.

3. Creating the advertising platform.

4. Determining the advertising appropriation.


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5. Selection media plan.

6. Creating the advertising message.

7. Evaluating the effectiveness of advertising.

8. Organizing of advertising campaign.


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Regression Analysis

SPSS findings

Coefficientsa

Model Unstandardized

Coefficients

Standardize

d

Coefficients

t Sig. 95.0% Confidence

Interval for B

B Std.

Error

Beta Lower

Bound

Upper

Bound

1

(Constant) 5.715 1.964 2.910 .006 1.748 9.681

Gender .298 .372 .126 .801 .428 -.453 1.049

Age .031 .144 .035 .214 .831 -.260 .321

Qalification .046 .138 .053 .332 .741 -.233 .325

Do you take cold

drink-.422 .862 -.072 -.489 .627 -2.163 1.319

Advertisement

required-1.142 .760 -.238 -1.503 .140 -2.677 .392

Medium .110 .139 .149 .789 .435 -.171 .391

ADseen -.109 .156 -.102 -.697 .490 -.425 .207

Favorite Slogan -.059 .130 -.097 -.454 .652 -.322 .204

Advertisement liked

bcoz-.174 .116 -.236 -1.508 .139 -.408 .059

Ad affects the

cosumption-.455 .190 -.345 -2.388 .022 -.839 -.070

NecessacityofAD -.274 .196 -.204 -1.397 .170 -.669 .122

INCOME -.038 .246 -.024 -.154 .878 -.535 .459

2(Constant) 5.545 1.608 3.448 .001 2.300 8.790

Gender .302 .367 .127 .822 .415 -.438 1.042


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Age .035 .139 .040 .254 .801 -.246 .316

Qalification .050 .134 .058 .372 .712 -.221 .321

Do you take cold

drink-.412 .850 -.071 -.485 .630 -2.127 1.303

Advertisement

required-1.138 .750 -.237 -1.516 .137 -2.652 .377

Medium .110 .138 .149 .797 .430 -.168 .388

ADseen -.108 .154 -.101 -.697 .489 -.419 .204

Favorite Slogan -.055 .126 -.090 -.437 .664 -.310 .199

Advertisement liked

bcoz-.175 .114 -.237 -1.541 .131 -.405 .054

Ad affects the

cosumption

-.455 .188 -.344 -2.415 .020 -.834 -.075


3

(Constant) 5.575 1.586 3.515 .001 2.376 8.774

Gender .273 .345 .115 .791 .433 -.423 .968

Qalification .049 .133 .056 .367 .715 -.219 .316

Do you take cold

drink-.367 .822 -.063 -.447 .657 -2.024 1.290

Advertisement

required

-1.161 .737 -.242 -1.577 .122 -2.647 .324

Medium .108 .136 .147 .795 .431 -.166 .383

ADseen -.102 .151 -.096 -.677 .502 -.408 .203

Favorite Slogan -.046 .119 -.075 -.385 .702 -.287 .195

Advertisement liked

bcoz-.166 .106 -.224 -1.561 .126 -.380 .048

Ad affects the

cosumption-.453 .186 -.343 -2.434 .019 -.828 -.078


4

(Constant) 5.854 1.379 4.246 .000 3.075 8.633

Gender .290 .338 .123 .858 .396 -.392 .972

Do you take cold

drink-.353 .813 -.061 -.434 .666 -1.991 1.285


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Advertisement

required-1.279 .656 -.266 -1.949 .058 -2.602 .043

Medium .115 .133 .156 .863 .393 -.154 .384

ADseen -.105 .150 -.099 -.703 .486 -.407 .196

Favorite Slogan -.047 .118 -.076 -.395 .695 -.285 .192

Advertisement liked

bcoz-.164 .105 -.222 -1.564 .125 -.376 .047

Ad affects the

cosumption-.443 .182 -.336 -2.430 .019 -.811 -.076


5

(Constant) 5.839 1.365 4.277 .000 3.089 8.589

Gender .261 .327 .110 .798 .429 -.398 .920

Do you take cold

drink-.346 .805 -.059 -.430 .669 -1.967 1.275

Advertisement

required-1.310 .645 -.273 -2.030 .048 -2.610 -.011

Medium .079 .097 .108 .819 .417 -.116 .275

ADseen -.094 .145 -.088 -.644 .523 -.386 .199

Advertisement liked

bcoz-.156 .102 -.211 -1.529 .133 -.361 .049

Ad affects the

cosumption-.436 .180 -.331 -2.426 .019 -.799 -.074


6

(Constant) 5.525 1.143 4.833 .000 3.224 7.826

Gender .224 .313 .095 .717 .477 -.405 .854

Advertisement

required-1.289 .638 -.268 -2.021 .049 -2.573 -.005

Medium .082 .096 .111 .850 .400 -.112 .275

ADseen -.090 .144 -.085 -.628 .533 -.380 .199

Advertisement liked

bcoz-.163 .099 -.221 -1.639 .108 -.363 .037

Ad affects the

cosumption-.445 .177 -.337 -2.511 .016 -.802 -.088



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1) H0: There is no effect of Advertisement on consumption of soft drink2) H1: There is effect of Advertisement on consumption of soft drink

7

(Constant) 5.127 .945 5.427 .000 3.226 7.027

Gender .243 .309 .103 .785 .436 -.380 .865

Advertisement

required-1.184 .612 -.247 -1.936 .059 -2.415 .046

Medium .083 .095 .112 .870 .389 -.109 .275

Advertisement liked

bcoz-.157 .098 -.212 -1.592 .118 -.354 .041

Ad affects the

consumption-.432 .175 -.328 -2.472 .017 -.784 -.081


8

(Constant) 5.451 .846 6.443 .000 3.750 7.152

Advertisement

required

-1.185 .609 -.247 -1.946 .058 -2.410 .040

Medium .077 .095 .104 .810 .422 -.114 .267

Advertisement liked

bcoz-.156 .098 -.212 -1.598 .117 -.353 .040

Ad affects the

consumption-.410 .172 -.311 -2.385 .021 -.755 -.064


9

(Constant) 5.651 .806 7.007 .000 4.030 7.271

Advertisement

required-1.199 .607 -.250 -1.975 .054 -2.418 .021

Advertisement liked

bcoz-.167 .097 -.226 -1.732 .090 -.362 .027

Ad affects the

consumption-.408 .171 -.309 -2.380 .021 -.752 -.063


a. Dependent Variable: Frequency of drinking


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Observations

Regression equations are used for finding the dependency of Dependent variable w.r.t

Independent variables. (Refer Annexure 2for data collection)

In this case,

Frequency of Drinking is Dependent variable.

Independent variables are Advertisements required, Consumer liked

advertisement because of some reason (Favorite film star, slogan, etc.), and

Advertisement affects the consumption.

From SPSS, we can find out dependency between such variables.

So for that reason I used Regression Analysis.

Data collected from the questionnaire was filled to excel sheet and then regression

analysis in done.

Coefficient table is referred from the output given by SPSS to get regression analysis.

From Model column last row is referred. In that I observe that Independent variables like

Advertisements required, Consumer liked advertisement because of some reason (Favorite film

star, slogan, etc.), Advertisement affects the consumption. So I need to find out regression

equation from data.

So for this, unstandardise coefficient column is referred and B column is analyzed in bottom of

the output.

Let us assume

Y= Frequency of Drinking (Dependent Variable)

X1= Advertisements required

X2= Consumer liked advertisement becauseX3= Advertisement affects the consumption

X4=Necessity of advertisement

a1, a2, a3, a4 are constants of independent variables

From Regression analysis, I got regression equation


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Y= C+a1x1+a2x2+a3x3+a4x4

Hence,

Y= 5.651+ (-1.199) x1 + (-0.167) x2 + (-0.408) x3 + (-0.304) x4

Conclusion though regression analysis

It is found that

Y= 5.651+ (-1.199) x1 + (-0.167) x2 + (-0.408) x3 + (-0.304) x4

In which, it is found that

Y= Frequency of Drinking (Dependent Variable) which is dependent on

independent variables like Advertisements required (x1), Consumer liked advertisement

because (x2), Advertisement affects the consumption (x3), Necessity of advertisement

(x4).

Hence we reject H0 which was There is no effect of Advertisement on consumption of

soft drink and Frequency of consumption is dependent on advertisement.


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Findings from Questionnaire

It is observed that 53% respondents are not regular drinkers. That means they takesoft drinks occasionally. Only 4% are regular drinkers.

From above graph Maaza is most popular drinks and after that sprite and coca- cola.

4%

27%

16%

53%

Frequency of Drinking

Once a day

once a week

Twice a week

Not regular drunker

0 10 20 30 40 50

Coca cola

Pepsi

Fanta

Limca

Mirinda

Thums-up

Sprite

Maaza

Dew

Series1


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TVis best medium of advertisement for soft drinks.

11%

18%

11%

7%

42%

11%

Slogan like the most

Taste the thunder

Change the game

Yeh dil mange more

Thanda matalab coca-cola

Aaj kuch yufani kartye hai

Darr ke aage jeet hai

81%

7%5%

7%

Best media of Advertisement

TV

Newspaper

Magazine

Billboards


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49% respondents said that theme of advertisement is appealable. Following byslogan.

Yes. AD effects the consumption of soft drinks.

49%

16%

6%

7%

22%

Reson for liking the AD

Its theme and making is

appealable

It has film stars

Because of good music

Favorite Sports person

Slogan

74%

6%

20%

Effect of AD on consumption

Yes

No

Cann't say


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Fromabove observation I can say that, as 53% of total respondents are Not Regular drinker.

Also 49% said that Advertisement of their favorite cold drinks Theme and its making

appealable. So from this we can conclude that as many people are not regular drinkers, and they

are aware of their favorite cold drinks advertisement. Also 95% of total respondents said that

advertising of soft drink is required, and most effective media is TV, as 81% said that TV is most

effective medium. Because of they know their favorite soft drink via TV advertisement.

There is need for advertisement as consumer needs something to recall about that product or

brand. And from advertisement there are certain factors like Its theme is appealable or It has

there consumers favorite Film star or it has best music or Slogan. Maximum respondents said

that its theme and making is appealable. Then effect of film stars is 2ndmost popular for recall of

that brand.

95%

5%

AD Requ.

Yes

No


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Conclusion

Therefore, Advertisements are the back bone for this Industry, they act as a glue to retain their

consumers and target the prospects.

Also the consumers preferences and the attitudes change with the passage of the time and age,

their income, Mediums of Advertisements also play an important role in promoting the products

among the masses.

Advertisements play a pivotal role in changing the consumers perception. Television is an

important and effective medium used for communication with the consumers, and nowadays

Internet has emerged one of the strongest medium that youngsters use to gather the information.

Also celebrities affect the consumer perception and buying behavior, and celebrities are one of

the most remembered aspects of the advertisement. Companies should use those celebrities that

have the greater credibility and fan following.

At last we can say that there might be a direct relation between Advertisements and the consumer

buying behavior.


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Recommendations

1. Companies should aggressively go for Internet marketing as there is a great scope for itbecause youngsters are in close contact round the clock with Internet.

2. Companies should come up with new and effective advertisement campaigns.

3. Companies should focus on creative advertisements, because people want somethingdifferent, something new that will attract their attention.

4.

Companies should make use of different mediums of Advertisements.

5. Advertisements should be made according to the taste of people.

6. Companies should go for Sponsorships of different events.

7. Companies should select the celebrities that have greater credibility and fan following.

8. Companies should promote their product through FM Radio stations and almosteverybody listen to FM radio Stations on their cell phones so there is a great scope for

this.

:


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Learning from the project

This project helped me to understand consumer buying behavior. Different consumers have

different perceptions about their favorite brand. Some like advertisement, some may like brand

itself, as they are brand loyal.

So there are many factors that should be considered while advertising. Selection of most

effective media, from my findings TV is most effective medium. Also attention grabbing and

appealable theme is most important. Celebrities also have somewhat impact on brand recall and

consumers different perception about particular brand. Marketing people might know about

effective media and factor related to thatsuch as celebrities slogan are of them. Because many

are not regular drinker so what are the factors that make their purchase that need to identify.

Marketing people must use effective slogan.

From this project I learn that how difficult is to make consumer to purchase particular brand.


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Bibliography

1. Books:i) Consumer Behavior: Buying, Having and BeingMichael R. Solomonii) Marketing Management Kotler, Keller, Koshi & Jha14th edition - Pearsoniii)Advertising and Promotion: An Integrated Marketing Communications Perspective,iv)Marketing ResearchAaker, Kumar, Day (7th edition John Wiley & Sons)

2. Newspapers: Economics Times3. Journals: Management Guru: Journal of Management Research, Vol.1, Issue

no.3

4. Websites http://economictimes.indiatimes.com/articleshow/27763500.cms?utm_sou

rce=contentofinterest&utm_medium=text&utm_campaign=cppst

http://maharashtratimes.indiatimes.com/lifestyle/ladies/Celebrity/articleshow/30019768.cms

http://www.taglineguru.com/sloganlist.html
http://economictimes.indiatimes.com/articleshow/27763500.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppsthttp://economictimes.indiatimes.com/articleshow/27763500.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppsthttp://economictimes.indiatimes.com/articleshow/27763500.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppsthttp://economictimes.indiatimes.com/articleshow/27763500.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppsthttp://economictimes.indiatimes.com/articleshow/27763500.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppsthttp://maharashtratimes.indiatimes.com/lifestyle/ladies/Celebrity/articleshow/30019768.cmshttp://maharashtratimes.indiatimes.com/lifestyle/ladies/Celebrity/articleshow/30019768.cmshttp://maharashtratimes.indiatimes.com/lifestyle/ladies/Celebrity/articleshow/30019768.cmshttp://maharashtratimes.indiatimes.com/lifestyle/ladies/Celebrity/articleshow/30019768.cmshttp://maharashtratimes.indiatimes.com/lifestyle/ladies/Celebrity/articleshow/30019768.cmshttp://www.taglineguru.com/sloganlist.htmlhttp://www.taglineguru.com/sloganlist.htmlhttp://www.taglineguru.com/sloganlist.htmlhttp://maharashtratimes.indiatimes.com/lifestyle/ladies/Celebrity/articleshow/30019768.cmshttp://maharashtratimes.indiatimes.com/lifestyle/ladies/Celebrity/articleshow/30019768.cmshttp://economictimes.indiatimes.com/articleshow/27763500.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppsthttp://economictimes.indiatimes.com/articleshow/27763500.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst


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Annexure: 1

Questionnaire for Soft drinks

1. Gendero Maleo Female

2 Which of the following best describes your age?o 16-25o 26-30o 31-40o 40+

3

Qualificationo Illiterateo SSCo HSCo Graduateo Post Graduate

4 What is your family annual income?o Below 1 lac.o 1-2 lacso 2-3 lacso 3-4 lacso Above 4 lacs

5 Do you take cold drinks?o Yeso No

6 How frequently you drink?o Once a dayo Once a weeko More than twice a weeko Not a regular drinker


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7 Name of cold drinks you know (multiple coding )o Coca colao Pepsio Fantao Limcao Mirindao Thumps upo Canada dryo Maazao Dewo All of the above

8 Which cold drink you like most?o Coca colao Pepsio Fantao Limcao Mirindao Thumps upo Canada dryo Maazao Dew

9 Through which media you know it?o TVo News papero Magazineo Radioo Other

10 Do you think advertisement of cold drink is required?o Yeso No


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11 How many advertisements you seen are of the most likely cold drink by you frompast 1 year?

o 1o 2o 3o 4o More than 4

12 Slogan of cold drink which you like the mosto Taste the thundero Change the gameo Ye dil mange moreo Thanda matalab coca-colao Aaj kuch tufani kartye haio Darr kea age jeet hai

13 Why you like advertisement?o Its theme and marking is appealableo It has my favorite film starso Because of good musico Favorite Sports persono Slogan

14 Do you think advertisement effect the consumption of cold drink?o Yeso Noo Cant say

15 Which Media Presently Is More Effective?o TVo Newspapero Magazineo Billboards


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16 Do you think the Advertisement is necessary for COLD DRINKS?o Necessaryo Very necessaryo Cant sayo Not necessary


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1 1 5 1 1 1 3 2 1 1 1 4

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1 2 1 1 4 1 1 2 5 2 1 1

1 4 5 1 1 1 3 2 2 4 3 3

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