Dissertation 1

INSTITUTE OF BUSINESS ADMINISTRATION, KARACHI BUSINESS MBA
THESIS

“Comparative study of Impact of Celebrity
Endorsements on the Purchasing Behaviour
of UK and Pakistani
college/university students.”
MBA THESIS

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THESIS

ABSTRACT

Celebrity brand endorsements are believed to influence the purchasing behaviour of consumers
all around the world. It is relationship between the two variables i.e. buying behaviour of
college students and the celebrity brand endorsement is what this study embarks to fathom.
Celebrity endorsements have always been considered worthwhile since organizations get
substantial return by the campaigns for promotions backed by the celebrities. Huge amounts of
money are poured into such campaigns and the results are in shape of the buying patterns that
consumers portray through their shopping visits. The students from prestigious universities are
brought in to the research through ample representation from the student body of both the
institutions from Pakistan and UK. Karachi University in Pakistan is a state university with a
rich history and a sample of twenty has been analyzed through quantitative methods so as to
how much they are influenced by the discussed phenomenon.

The university with which the comparison is drawn and analyzed is London School of Business
and Finance that parallels Karachi University in many aspects. The study encompasses all the
motivations and stimulus, related to the buying behaviour, which the organizations capitalize
upon with celebrities in their advertisements. The questionnaire has taken care of including all
the areas that address the relevant issues with the youth of both the countries regarding
celebrity brand endorsements. Research methodology is based upon the quantitative analysis of
the questionnaire responses by different statistical tools further explained in the methodology
and findings are thus listed in order to come up with substantial conclusions and
recommendations.

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ACKNOWLEDGEMENT

I would like to acknowledge the support of my research supervisor Mr. Muhammad Ishaque
Shaikh, whose valuable feedback has always helped me in keeping up with the best ways
possible to complete this dissertation since it’s so far my biggest achievement in academic life as
this is for every other student also. This piece of work is what I take pride in since I have been
able to explore an area of my interest and this couldn’t have been imagined that I would be able
to accomplish such a mammoth task since it is all because of the support from the administration
of The Institute of Business Administration, Karachi

This phase was rigorous and I contacted the supervisor whenever I felt the need and I am glad
that I always got a positive response that to my delight had also been productive as it can be seen
throughout this thesis.

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TABLE OF CONTENTS

CHAPTER 1: INTRODUCTION ………..7
1.1 Backdrop and reason behind the study........................................7

1.2 Purpose or objective of the study..................................................10

1.3 Problem Statement.........................................................................11

1.4 Significance of the study.................................................................12

CHAPTER 2: LITERATURE REVIEW
2.1 Concerns regarding Brands...............................................................14
2.1.1 Definition of Brand...............................14

2.1.2 Brand Strategy.......................................16

2.1.3 Brand Identity........................................17

2.1.4 Brand Management................................18

2.1.5 Brand Audit............................................19

2.1.6 Brand Equity...........................................21

2.1.7 The Brand Equity Pyramid.....................22

2.1.8 Brand Strategy Development..................23

2.1.9 Brand Communications Plan..................24

2.1.10 Brand Experience....................................25
2.2 Celebrity Aspects..................................................................................25
2.2.1 Definition of Celebrity...........................25

2.2.2 Celebrity as stars.....................................27

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2.2.3 All-seeing, All-knowing, All-powerful..............27

2.2.4 Aspects related to Celebrity...............................28
2.2.4.1 Celebrity Values (Celebrity –Product Match).....................28

2.2.4.2 Costs related to celebrity......................................................28
2.2.4.3 Celebrity controversy risks, popularity and availability.......29

2.2.4.4 Physical appeal to the celebrity............................................30
2.2.4.5 Celebrity – A brand user......................................................30

2.3 What endorsements entail?.............................................................31
2.4 Celebrity Brand Endorsements in both the countries..................31

CHAPTER 3: METHODOLOGY 33
3.1 Research Strategy.............................................................................33
3.1.1 Sampling Technique................................34
3.2 Objectives behind every research question....................................35
3.3 Choosing web based survey methodology......................................37
3.4 Reasons behind not choosing other methodologies.......................39
3.4.1 Disadvantages of telephonic surveys................40
3.4.2 Disadvantages of one to one surveys................40
3.5 Validity, Reliability, and generalisibility..........................................41
3.6 Statistical Methodology......................................................................41

CHAPTER 4: FINDINGS 43
4.1 Buying Motivation...............................................................................43
4.2 Reasons for celebrities endorsing brands..........................................46
4.3 Preference of Celebrity Attributes.....................................................48
4.4 Celebrity Personality influencing Brand Image................................52
4.5 Price Premium for celebrity endorsements........................................54
4.6 Brand Recall with Leonardo Dicaprio………………………………57
4.7 Respondents’ Profile.............................................................................60

CHAPTER 5: ANALYSIS AND DISCUSSION61
5.1 Hypothesis 1...........................................................................................61
5.2 Hypothesis 2...........................................................................................65
5.3 Analysis of open ended responses.........................................................68

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CHAPTER 6: CONCLUSION & RECOMMENDATIONS 73

CHAPTER 7: REFERENCES 77

CHAPTER 8: APPENDICES 81

TABLE OF CHARTS
Buying Motivation Page 43
For UK students 43
For Pakistani students 44
Reasons for celebrities endorsing brands Page 46
For UK students 46
Preference of celebrity attributes Page 48
For UK students 48
Celebrity personality influencing brand image Page 52
For UK students 52
Price premium for celebrity endorsement Page 54
For UK students 54
Brand recall with Leonardo Dicaprio Page 57
For UK students 57
Analysis of open ended questions Page 68

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For UK students 68

CHAPTER 1: INTRODUCTION

The area of my research is specified by the topic: Comparative study of Impact of Celebrity
Endorsement on the Purchasing Behaviour of UK and Pakistani college/university students. The
study is based upon my personal assumption that celebrity endorsements in advertising
campaigns exercise a considerable influence on dictating and influencing mindsets of target
segment. Being an international student, I believe that there’s a difference between the extents to
which the students are influenced by such campaigns having different backgrounds in terms of
nationality. CIA World Fact Book (2011) lists UK at 32nd position and Pakistan at 135th position
as far as the GDP per capita of both the countries is concerned, the difference is evidently
yawning and gives credence to the case that I intend to make in this study. UK is a developed
country that belongs to Europe. UK’s youth population, according to Grundy & Jamieson (2002)
is composed of 12.1% (age 18 to 24).

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On the other hand, Pakistan is a country that belongs to Asia and is a third world country which
has been struggling with its economic standing regionally as well as worldwide. World
Population Foundation (2011) states that Pakistan’s population is composed of 64% youth (under
age 25) which is a sign of vibrant nation. It’s a major chunk from the whole population which is
believed to be more receptive and impressionable to the advertisements’ communication. So the
students from a reputed university in both the countries would be taken into the sample of 40 in
order to compare their motivations regarding celebrity endorsements in the advertisements
prevalent in every medium we come across with in today’s world. The difference in the youth
population and economic backgrounds paves the way for undertaking the study with a goal in
mind.

1.1 Backdrop and reason behind the study

The reason why this topic is of interest is based on the most prevalent phenomenon throughout
the globe lately – the power of media, that I intend to gauge across the globe between the
students of UK and Pakistan. The 20th century ushered in the advent of media that had not been
as vibrant and ubiquitous in previous era as they are today. O'Guinn, Allen & Semenik (2009)
explain that all the media networks are the tools which organizations employ to churn out profits
through creative advertising tactics. They go to the extent of declaring all the relevant gimmicks
as branded entertainment. They portray the evolution of advertising till date and eventually hail
the first decade of the 21st century, i.e. 2000 onwards, as “consumer empowerment and branded
entertainment” era. Television and radio ruled the media landscape and the advertising embarked
on the journey to evolution that till date have been indispensible aspects of any business. The
competition has been fierce among the firms who have always been trying to assume major

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market share and for this very reason, they always intend to grab and hold the attention of
consumer. One of the many cogent gimmicks that advertising utilizes is celebrity endorsements
for their respective products and services.

Celebrity endorsement is effectively defined by the branding strategy insider (2010) as the way
of communication with respect to the brands, in which the celebrity speaks about the benefits and
attributes of the brand relating it to his or her personal life experiences so as to render originality
in the messages communicated by organization to the consumers through different media. There
are so many aspects which are prominent among the celebrities like reputation, name, lifestyle
and personality that are also the elements of a brand, so the connection between the reputation
and personality of the two can do wonders for the brand recall if the match is up to the mark.

The celebrity brand endorsements, in view of Majumdar (2010), are effective and result oriented
and he associates few aspects with the discussed technique of endorsements such as rapid recall
and mass awareness, brand positioning, credibility of the advertisement’s message, and many
more. Majumdar (2010) believes in the sheer ability of brand endorsements to create a deep
impact on consumers’ thoughts so as to elicit purchases from them against something grandiose
promised by the reputed celebrities. The level of impact that the celebrities have on the
consumers’ mindsets has been established as a universal fact. Organizations start with
positioning their proposition and then targeting the consumer section that eventually prompt the
firms to come up with a creative strategy to communicate the message effectively to the
consumers. Tolani (n.d.) states that contemporary trends in advertising have been influenced by
the choices that the consumer is bombarded with now. He mentions internet marketing as the
foremost concern in this part of the century that include viral marketing campaigns, social
marketing, etc in which the role of celebrities could be used to the best interests of organizational
motives to get the message across by in social terms as well.

Young people have always been prone to the behavioural antics of the celebrities they admire
since their impressionable minds hold them in high esteem. This is the reason they emulate them
and do whatever they perceive their favourite celebrities do to appear socially famous and
acceptable. The case in point is of Australian Department of Health’s deregulation campaign of

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nicotine replacement therapy (NRT) products in 1997 as quoted by Chapman & Leask (2001).
The campaign was backed by the advertisements in which the famous Australian cricketer was
signed in as the endorser. The case is a testimony to the celebrity endorsements’ impact on
young population of the nation that mostly include the students. The case study says that Shane
Warn couldn’t keep up with the terms of not smoking. The act of public smoking by Warne had
a huge impact on the nation’s young section of population since he was looked up to as an ideal
athlete and the impression was being made in the minds of youth that smoking did wonders to
the athletic performance if it is done by Shane Warne. The excerpt from the Australian
Department of Health’s deregulation campaign of nicotine replacement therapy (NRT) case is as
follows:

“But if he accepted an approach from a company wanting to make money out of helping smokers
to quit, he was equally reprehensible. It would seem that, based on public reaction, the only
morally acceptable path for Warne to have taken would be to have refused to have taken the
money.”

I am of the view, in conjunction to the above mentioned, that youngsters take more of the
impression from celebrity brand endorsements. Advertising is overall an interesting phenomenon
to delve deeper into but my research area is based upon analysing the difference, if there is any,
between the buying behaviour or preferences of youth from both the countries so that we could
establish the degree of contrast through an independent study.

1.2 Purpose of the study

The purpose of the research is to establish whether there’s a difference between the extents of
impact that the consumers, from two very different countries, have on their purchasing
behaviour. This behaviour is measured in terms of the influence of advertising campaigns that
boast celebrities, who are well known in their respective spheres, endorsing the brands. The
difference is emphasized on the basis of nationality keeping in perspective the age bracket of 18
to 30 years that include both the graduate and post graduate students in the sampling frame. The
students are specified to be included in the sample owing to the fact that they are the most

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impressionable individuals who make extensive use of media through digital and social means.
The study is independent in a sense that the personal observation is unique in this regard since
the researcher has himself observed considerable impact on students in UK as well as in
Pakistan.

The purpose of the study is justified in a sense that organizations worldwide spend major chunk
of their marketing and advertising communications, and the impact that is created has always
been of more concern to the firms. Researcher intends to gauge the impact across the globe on
the students to make it clear for the interested stakeholders to get glimpse of a big picture
through this modest initiative. As Taleja (2010) quotes numerous factors that the organizations
need to reign in for the celebrity incorporation in their advertisements. The costs are not only
related to the fee that the celebrities charge to act in the advertisements or for endorsing the
brands but also to the concerns that products and celebrities have to be matched in reputation,
availability of the celebrity, and many other considerations.

The study also serves its purpose in exploring positive aspects of brand celebrity endorsements
by recognising the legible impacts on the youth which is supposed to be the most receptive and
mentally agile section of society. As far as the negative perceptions of celebrity brand
endorsements are concerned, Bhandari (2009), in his article regarding endorsements’ worth,
defines the celebrity brand endorsements as “nothing but lazy advertisement”. What caused this
critique from Bhandari are the varied costs related to such endorsements as he states that the
brands are associated with the celebrities to communicate the message in best possible way
consuming fraction of the time against the advertisements with no prominent celebrity, but what
turns this phenomenon ugly is the fact that most of the times the brands themselves could have
been worked upon before endorsing them through any celebrity.

These links and missing links are what this study has to consider, keeping in perspectives, the
younger generation’s motivations to purchase the brand with a celebrity’s endorsement.

1.3 Problem statement

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The problem is related to the degree of difference between the level of impact that the celebrity
brand endorsements has on the students’ buying behaviours from different national and cultural
backgrounds. The questions that this research work sets out to address are related to the
motivations of consumers in relation to the celebrity appeal used in the advertisements:

-In what ways do the students get influenced by the celebrity brand endorsements in the
advertising campaigns worldwide?
-What is the level of attention that the celebrity brand endorsements grasp from the student
section of a society?
-Does the country’s economic and social setup practice the influence over the celebrity brand
endorsements campaigns’ objectives?

The underlying assumption is the study is that the difference is not there since the youth from
both the countries have got ample access to the global media and they are always subjected to the
same kinds of celebrity brand endorsements most of the times. The study furthers this hypothesis
in the best way possible through quantitative methods entailed by administering close-end
questionnaires among all the respondents. Questionnaire includes all the areas addressed related
to the celebrity brand endorsements so the results and analysis do possess substance.

Aim of the research and its objectives:

The hypotheses or assumptions that are assessed through this research work are:
Assumption 1:
Ho
Consumer perception about the influence of Celebrity's Personality to a Brand Personality in
both the countries is the same i.e. P1 - P2 = 0
Ha
both the countries is not the same i.e. P1 - P2 ≠ 0

Assumption 2:

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Ho
Same proportion of Consumer will pay extra money for the brand endorsed by their favourite
celebrity in both countries

Ha
Same proportion of Consumer will not pay extra money for the brand endorsed by their
favourite celebrity in both countries

1.4 Significance of the study

The endeavor is significant in the light of the magnitude of efforts that the firms put into
realizing profits from their marketing communications, advertisements, promotional campaign,
etc. Brands have always been significant as far as the marketing communication goes. The brand
is emotionally oriented phenomenon that, in words of Herman (2003), is reoriented in
accordance with today’s competitive dynamism. Herman (2003) opines that brand is the
expectation and anticipation of how the consumers would be feeling through the experiences of
availing the product or services.

The sphere of branding is as vast as the landscape of marketing communications, and in addition
to the brand, every other element in the topic possesses significance in a sense that celebrity
itself has a legitimate definition and Haywood (2011) affirms this by portraying the relationship
between the celebrities and brands on the basis of reputation that they both mutually possess.
Haywood states that firms have been successful in identifying the celebrity characteristics that
match with the characteristics of their proposition that include both products and services and
sign those celebrities in the promotional campaigns to add glamour and emotional appeal in the
advertising message.

The last thing, but not the least, is endorsement that can ideally be regarded as ethical benchmark
for communications in advertising. Whether they are by celebrities or previous patrons of a
product or services, endorsements do entail ethical responsibility and this is what makes this part
very significant. Thus the research as a whole is significant indeed as it will add value to the

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knowledge base of the concerned segment by parallels in order to make the connection crisp,
between the celebrity brand endorsements, being an integrally important part of marketing
communications, and the buying behaviour of consumers who are the main focus of the firms.

CHAPTER 2: LITERATURE REVIEW

The theoretical framework for this research work entails the detailed analysis of all the
components that make up the phenomenon of celebrity brand endorsements. The various factors
that make up the whole concept are discussed in detail in accordance with relevant literature and
researches. The brand is the part which makes up the major chunk in this regard since everything
is exclusively attached to the brand recognition and personality makeup while celebrity makes
himself available for the brand for various reasons behind that relates to his or her own interests
and personality and other motivations. The research work has got two nationalities involved, i.e.
Britain and Pakistanis, so the comparative analysis precede a considerable account of what they

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both differ in their knowledge of the subject and how are they projected to the media, i.e. to what
extent they are exposed to the celebrity brand endorsements. In this way the underlying
phenomenon of consumer buying behavior will also be discussed with respect to the literature.

2.1 Concerns regarding Brand:

2.1.1 Definition of Brand

The very important aspect in the phenomenon that this study has assessed is brand. Middleton
(2010) regards brand as the other word for meaning and he defines the term in equivalent manner
by associating the brand with all the meanings that reside in hearts and minds of the consumers
regarding a certain experience or product. The brand is highlighted as everything that the
customers and potential customers think and feel about a particular product or service. The
Persuasive Brands (2011) defines the brand as a perception that consumer garners in his mind
regarding the product or service and the collection of all the relevant perceptions and images
make up a set that is called brand. The consumers generally respond to the brands in connection
to the different aspects like logo, jingle in the ad, tagline or something of the same proportion but
the scope of brand is more that these factors and brand is regarded principally by the professional
as the promise or essence for the delivery of required experience or product quality to the
consumer. The brand management is an aspect that the businesses strives the most at. The
branding per se is a vast subject professionally as well as academically. There are plethora of
area and dimensions associated with the term that are discussed ahead in this literature review so
as to create a substantial background of the study.

Hahn (2007) is of the view that ever since the birth of man branding has made choices easy for
the customers and performance measurement easy for the organizations. It is now a common
perception that business performance is bolstered to a great extent by strong brands. Brands have
the power to elevate the image of company in the eyes of informed buyers as well as for
uninformed buyers since brand makes the product prominent in the market place and makes it
stand out of the lot. Hahn states that brand is ideally defined as the connection which is formed

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on emotional and personal basis that it becomes very intimate with the customers who then.
There’s a mention of accumulate experience in the texts that relate to the various aspects of
branding.

Hahn (2007) endorses the value of brand to appear positively before the consumers’ eyes since
this is the tactic through which the virtues of loyalty, trust and satisfaction could be cultivated
between the brand and the end consumers. The credibility gives organization the benefit of
enhanced shareholder value and consequently the long run acceptance and growth in the market.
Brand exudes a feeling and conviction that is believed to be a practice for business integration
and success. Hahn (2007) believes that brand should be communicated through every procedure
that the organization take part in and through every action and inaction that the company takes.
Branding is an unstoppable phenomenon that needs to be weaved across all the organizational
elements in order to enhance the services and image at every customer contact point so as to
create customer loyalty and advocacy.

The branding is composed of few exhaustive disciplines that Hahn (2007) elaborates and those
disciplines further have their own elements that contribute to the development and sustainability
of a brand. What Hahn mentions as the disciplines are: Brand Strategy, Brand Identity, Brand
Management, and Brand Experience. The detailed discussion of theses disciplines, with relevant
sources is as follows:

2.1.2 Brand Strategy

Ahmad & Clifton (2009) states the importance of branding as a strategic tool in a sense that he
equates brands with a lot more than devising logo and other communication gimmicks. The
authors condemn the perception of early organizational managers who took branding as merely a
cosmetic approach to tinker with the logo and this was tantamount to saying bluntly that the
customers are not of their concern. The branding is all about generating sustainable wealth that is
the core element of the strategy devised at strategic levels of all the companies worldwide. In the
decision making process of organizations, the brand adds the most valuable inputs so as to make
organizations able to cut costs where necessary and to invest where needed. The major benefits

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that commonly are generated out of branding are the loyal customers and some extent of security
with respect to the patterns of demand. Ahmad & Clifton (2009) cites one of the chief executives
as he attributes ultimate success to all those organizations where the brand is not only regarded
as something to advertise and market but also is permeated throughout the modus operandi of
organizations at all hierarchical levels. Each and everything that the organizational member does
should exude the brand as a holistic and universal phenomenon that should span over the whole
entity.

Brand is strategized by the factors that Nissim (2005) enumerates as perception, value and
differentiation. He elaborates the logic behind the connection between all of them by stating that
perception is the starting point in building a brand since whatever organization does, however
small or big, eventually becomes the part of the brand. The perceptions relate to the customers
who observe the behaviour of all the members of organization. Nissim exemplifies McDonald’s
restaurants in the discussion and says that everything from the taste of meal to the behaviour of
employee in the parking lot with a customer represents brand. The value is ingrained in the
product and services that the organization offers amidst tough and dynamic competition in which
the alternatives are abounding. What makes one stand out of others is the value that a certain
brand can offer without any parallel. Differentiation is an extended aspect of value in which the
customers actually recognize the difference between the product offerings of various players in
the field or industry. Nissim emphasizes on creating a compelling story that could help the brand
evolve and sore heights. Merely following suit with the industry trends is not an option to build a
brand but what the branding entails as a strategy is some daring action to lodge a specialized
corner in consumers’ minds and hearts and this is where differentiation gets the wonders done.

2.1.3 Brand Identity

Temporal (2002) defines and differentiates among various identities that the organization strives
with throughout its life span. He opines that it is very crucial to tell such identities apart from
each other since they make up the reason for the organizational existence. Corporate identity is
defined by Temporal (2002) as an area related to the visuals of the company’s existence. The
exercises for corporate identity are undertaken by various companies on frequent basis. These

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exercises bring innovation and changes in to the designs, logos and collaterals that are
instrumental to the image of the organizational brand. These endeavours are directed towards
modernizing the aspects of branding but the core essence of brand remains intact. The brand is
always regarded with what it stands for making its personality perpetually recognizable. The
identity is most of the time mistaken by the corporate entities to be changeable by these actions
but the fact remains that changing logos and imagery do not change the brand itself as the
agencies and consultancies. The quality is an aspect which is most primarily related to the image
of organization that ultimately make the brand identifiable so the quality remains at the heart of
all the functions in the organization and it needs overhauling not the logos and signage alone.

Brand identity or personality is therefore defined in terms of entire notion that an organization
carried with itself in its operations and deeds. The brand identity reins in the various components
of quality, service, values, and the benefits that the product of a particular brand promises.
Identity of a brand is what consumers perceive about the brand so that it personifies before them
in a certain manner, for example charismatic in case of Mont Blanc. Brand identity is ultimately
everything that the company wants to be before the eyes of customers. Brand image is most of
the times confused with the phenomenon of brand identity. Both the terms are different in a
sense that image is what customers actually perceive about the organization and this perception
doesn’t have to be in line with what organization wants it to be seen so there can be some gap
between the communications that causes image to be different from actual brand identity
cultivated by the organization.

Airey (2010) further simplifies the aspect of brand identity and says that brand identity is the
identity that customers think of when the brand name is mentioned rather than thinking of the
product or service related to the brand. He enumerates various brands, including TIME,
Microsoft, Ford, Apple etc that appeared positively before customers’ eyes. Brand identity is
therefore related to the way that customers look at the brands and this has been of huge concern
for the organizational heads ever since the emergence of dynamic competition since creating a
brand identity has to do a lot with the investments necessary for achieving recognition rates but
nevertheless organizations always try to put their best façade before the customers. Montoya &

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Vandehey (2009) puts the phenomenon of brand identity is disciplinary manner by declaring
some crucial elements that make up the official identity that is then communicated consistently
to the target audience. The elements included company name, slogan and an icon which all make
up the organizational brand identity.

2.1.4 Brand Management

Brand management is a discipline that takes care of everything mentioned above and all the
aspects that relate to the overall branding of the organization. Phillips (2004) elaborates the
brand management as the way to build brands by putting customer needs at the centre of the
organizational spectrum. The brand management is about differentiating the brand and
inculcating emotional connections with them so as to benefit the organization in the very long
run.

Developing a brand entails rigor and persistence over a period of time so that the endeavours
could bear fruits. Entrepreneur.com (2011) represents branding as a fully fledged discipline that
possesses concrete decisions regarding:
- Mission of the organization

- The benefits that products and services offer to the target market

- Prevalent image and perception of the customers from the very beginning

- Aspirations of the company regarding the level of quality they want to be associated with

The process of developing a brand starts after realizing the above mentioned and recognizing the
need of modern times. Phillips (2004) has further expatiated upon the brand management and
says that the customers are the base of understanding the brand whether it’s the essence or
anything related remotely to it. The other customers are the internal stakeholders that specially
make up the employees of the organization. All the perceptions and concepts that all the

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stakeholders garner in their mind about the image, reputation and reliability of the stakeholders
can be exploited in order to add more appeal and value to the branding aspect.

The factors and images are abounding and can be explained as the level of familiarity of
customers regarding the market competition in the relevant industry with the company or
organization, the extent to which the perceptions are positive or negative regarding the brand, the
level of depth with which the views regarding the organizational brands are held by the
consumers – which is something very important regarding the creation of emotional appeal with
the brand. The perception also is counted regarding the chance of brand strength afforded to it
through barriers and existent opportunities. The management of the branding aspect requires
rigorous work on the part of relevant managers who have to make sure that the brand has
considerably positive impact on the consumers, their decisions and lifestyles, and ultimately how
profound the impact is there on the organizational financial position.

Brand Management has come up with different concepts of branding that helps to evolve and
sustain the brand over a long period of time. Few of the concepts are described below:

2.1.5 Brand Audit

Brand audit is entirely a customer based phenomenon that is basically the assessment of brand’s
health and hygiene. The brand audit is different from the normal audit that has financial
underpinnings since it’s carried out internally, as Phillips (2004) quotes. In the audit, managers
and relevant workforce strive to unearth what sources have been adding to the brand equity and
consequently ways to capitalize upon those to enhance and leverage equity. Brand audit is all
about exploring the current trends and information regarding a particular brand and this audit
does entail a primary research. This brand audit serves the organization In a way that whole
brand strategy is then predicated upon its findings. The relationships between brand and
stakeholders are of importance and audit connects information of such relationships with the
development of brand on strategic levels.

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Phillips (2004) enumerates the following steps that make up the whole brand audit which are
explained as follows:

- The perusal and analysis of the data both of primary and secondary nature, through which
the trends and impacts of the brand could be elicited on the industry as well as on the
consumer.

- The reviews and analysis also are carried out in order to know the impact of the
competition prevalent in the industry. This entails the data collection on the crucial
competitors and the market dominating firms with their own brands.

- The internal stakeholders are assessed through different techniques of interviewing in
order to know what the managers and sales force think of the business and the brand
being assigned with the huge responsibilities to manage it.

- The impact is very important with regard to the influence of media, analysts and other
constituencies that are constantly in touch with the internal and external stakeholders
involved in building up the brand.

- The customers, as mentioned before, are crucial for the branding decisions by the
organizations so they are to be researched rigorously time to time in order to disclose
what thoughts and perceptions the customers keep with them related to the particular
brand. For this very purpose, the customer research is regarded most important as the
primary data on which the future actions could be predicated upon.
- The research is also thoroughly carried out regarding the connection of sales revenues
with the past trends. The factors are recognized that drive the revenues and point out the
potential sources of danger in line with the analysis. Each and every aspect of consumer
demographics is also researched in this regard to minimize the risks as much as possible.

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- The analysis of strengths and weaknesses is carried out along with that of opportunities
and threats so that the marketing 4 Ps could be brought in sync with the extracted. The
brand is strong with such vigorous research behind to bolster its actions.

- The impact is really important to be analyzed with the consistency levels of the brand and
this is carried out through assessing the attributes related to the product’s strengths and
weaknesses, the strategy of pricing and positioning in the competitive environment, the
strategy related to the distribution, and the factors related to brand personality and
characteristics.

2.1.6 Brand Equity

Phillips hails the differentiated bond as brand equity, an area that relates to the customers’
loyalty, profitability, and shield against negative word of mouth or competitive abuse. These all
the aspects are in terms of original and valuable asset with financial and tangible outcomes.
LePla, et al (2003) expands upon the concept of brand equity and says that brand equity
measurements do allow the quantification of the nature of relationship the consumers have with a
brand. The most common perception in this regard is that the returns on the company’s
investments are highest when the deep relationship is created. Hansen & Christensen (2007)
categorizes the brand equity into three:

- What consumers think and feel i.e. consumer based.
- What’s the behavioural response that brand is getting.
- Market based equity that is gauged in financial investments and returns. But this study is
related to the mental brand equity since the buying behaviour is to be gauged against the
emotions and feelings associated with different brands.

2.1.7 The Brand Equity Pyramid

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The diagram shows CBBE (Customer Based Brand Equity) that Keller (n.d.) defines as:
“The differential effect that brand knowledge has on consumer response to the marketing of that
brand”

From the diagram, it can easily be conceived that the pyramid assess the level of equity that
brand possesses. It starts with mere identity and familiarity with any aspect of the brand then if is
followed by the discovery phase where consumer actually explores the brand. The response after
the exploration determines the fate of relationship that is cultivated between brand and the
consumer.

2.1.8 Brand Strategy Development

An aspect that is actually developed under brand management discipline, according to Phillips
(2004), it includes the following factors:

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- The brand vision is the essence that could be elaborated as having the connection with the
company’s very mission and objective. The brand pyramid is also the product of such
factors according to which the organization decides up on its brand positioning keeping
in perspectives, the relevance and remembrance.

- The brand’s positioning and target is to be carried through a fine tailored channel of
communication to reach to the particular audience that is targeted for the communication
of the brand. The desired level and pattern of imagery and perception in the minds of
consumers is the name of the game that has to be in sync with the organizational over all
and long term aspirations. The endeavours behind positioning are very much crucial since
the next and subsequent messages and branding area are predicated up on this
positioning. The uniqueness renders appeal to the brand which attracts the target
consumers through the messages spread all over the targeted audience. The positioning
area has the direct influence of the research carried out regarding the stakeholders. All the
concerns related to the SWOT analysis for brand are duly addressed by the design of the
research herein.

- The systems related to brand elements and identity draw their substance from the vision
and positioning once accentuated by the organization for its brand. The recommendations
for these systems include the overall imagery and look of the brand, the signage and
different colors used on the packaging, the material pattern that is distributed for
consumers’ information and knowledge, the web pages and related web based application
and a comprehensive guide for the consumers regarding the style that the brand possesses
and all of these elements are required to make the identity and elements worthwhile.

2.1.9 Brand communications (Plan)

The organization, according to Phillips (2004), has always been subjected to the vagaries of
communication with the customers. The events and instances of such communication are
abounding and it is the concern for the company to get its message across in the most efficient

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THESIS

and effective manner that could reach to the target consumers. There is a huge number of
customers and stakeholders that the company wants to address but what they should keep in
perspective is that every interaction with the customer is an opportunity to make him or her
fascinated with the message and communicate it in an agreeable manner. Brand communications
are decided by the strategic people in the firm since it follows a strategy in order to cut through
the clutter and reach the target market.

A comprehensive strategy for the brands communication is composed of step by step procedures
that include:

- Identification and prioritization of opportunities that the “touch points” provides
regarding their ability to enhance brand relationships and brand equity.

- Recommendation as to which messages should be communicated at every touch point
and the most appropriate and important steps to communicate.

- Identification of key touch points can be carried out at the following instances:

• Pre-purchase
• Post-purchase
• During-purchase

This is done through IMC (Integrated Marketing Communication) that coordinates all the
aspects of brand and enables concrete brand strategy development.

2.1.10 Brand Experience

Johnston (n.d.) writes that brand experience can be evaluated with respect to the queries related
to the expectations of the customers, their experiences with the brand in actual, the emotional
connection between customers and brands, the stories that they can tell each other and the ways
through which more stories and interaction levels can be created through the prevalent culture

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THESIS

associated with the brand. This approach has been holistic in a sense that it engulfs all the
feelings, emotions, and perceptions that the customers have for a brand. Clifton & Ahmad (2009)
defines the brand experience very clearly as they state that customer should be able to experience
the brand in each and every move of the organizations’ elements.

They are of the view that brand experience should not be regarded something inferior to the
fundamental organizational experience of the customers and other stakeholders. Clifton &
Ahmad (2009) ideally quote ANA (All Nippon Airways) as saying that we do not any attention
to the details just because it’s written in the training manuals but it is in our DNA.

The discussion over brands and branding has enabled us to understand how grand the
phenomenon is and what resources are spent in order to build a brand let alone sustaining it in
the long run. The brand celebrity endorsements can be understood more deeply through an
equivalent discussion regarding celebrities who play crucial roles in such endorsements on
different media.

2.2 Celebrity Aspects:
2.2.1 Definition of Celebrity

Leslie (2011) defines the celebrity with a contemporary touch since the world has now stepped in
to the 21st century which has revolutionized all the aspects related to brand, celebrity and every
other relevant factor. He writes that celebrity leads a public life and is always involved in some
work or activity with the common people present all around. Celebrity appeals to the public since
he has accomplished what the public regards as sublime or extraordinary. Those
accomplishments actually make him famous and his personality is carved out in the public’s
minds and hearts. He appears very frequently on the media and sustains a considerable presence
before the eyes of public. Celebrity has the power to connect with the public or individuals
specifically since he or she caters to their desires and fantasies, so there is an emotional
connection on conscious as well as subconscious levels.

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Taleja (2010) defines celebrity in broader terms as he says that these are the people who are
popular with the common people. The celebrities have something in common with the people
that former have the knack to capitalize upon reaching more to the people with certain level of
emotional touch and attractiveness. The people aspire to become one that they admire in the
show business and keep themselves updated with everything going on in the industry with
particular celebrity of choice so the celebrities enjoy high level of awareness against those who
do not appear on the screen of the TV or cinema.

Celebrity is the term that relates to any individual who is famous among the common citizens or
populace. They could be actors for example Tom Cruise, Ashwariya Rai Bachan, Jet li etc. they
all are recognized by the people worldwide because of their work rather than only the products
that they endorse. Models and supermodels are there who, most of the times are, the people from
sports industry, for example Sania Mirza, Maria Sherapova and Tiger Woods. Entertainers are
there with the famous names of Oprah Winfrey, Conan O'Brien and Omer Sharif. Singers are the
celebrities who enjoy higher recognition among the audience like Madonna, U2 and Green day.
The list doesn’t stop here but there are plethora of businessmen and politicians who have
garnered the status of celebrity and they do dictate minds and hearts of their fans to a great
extent, for example Ambani Brothers from India and Obama, the President of U.S.

Taleja explains the moments and frequency of celebrity’s appearance and says that the celebrities
interact with the people in several ways through various platforms available in different media.
They appear before the general public, they appear on the screen in different shows and in their
residential areas with the people residing in the vicinity. The inauguration ceremonies are the
domain for the celebrities as far as gigantic multinational and corporations are concerned which
also get the celebrities on board for endorsements. Celebrities are there in print media and
sometimes they spill the beans about their lifestyle that the common people frequently look
forward to receiving by hook or by crook. So the level of fondness is there with the celebrities,
which is above normal proportions most of the time in this whole world.

2.2.2 Celebrity as stars

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Leslie (2011) elaborates the fact that there is a subtle difference between what people commonly
refer to as celebrity. He is of the view that the terms famous, well-known, celebrity and star
should not be confused with each other since the celebrity is someone who has achieved fame
through merit, accident or even through noxious elements. But the stars are people who have
excelled in the fields of arts and entertainment only. Leslie (2011) has attempted to make people
aware of how to look at the individuals in order to regard them as celebrity:
Eight categories of Celebrity:

Politics and government Rulers, politicians
Arts Writers, artists , musicians
Science and medicine Scientists and physicians
Entertainment Film and television
Academic Teachers, philosophers and scholars
Business Entrepreneurs and industrialists
Religion Religious figures and leaders
General Public Newsmakers and reality show participants

2.2.3 All-seeing, All-knowing, All-powerful

Lawrence (2009) refers to the celebrity in a manner that borders on deity since he states that they
influence a great power over all the aspects in a common man’s life. The celebrity has literally
permeated into every part of the culture we live in and we breathe and feel celebrity in the things
we normally do thanks to the powerful media. People look up to the celebrity as their favourite
stars who exude an aura of magic and charisma. Celebrities are set apart from us just due to the
quality they possess as distinct individuals having unique personalities that common people most
of the times try to emulate through different actions.

2.2.4 Aspects related to the celebrity

Taleja (2010) identifies few of the factors that should be counted in regarding the appearance of
a celebrity in brand endorsements. Those areas are:

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THESIS

2.2.4.1 Celebrity Values (Celebrity-Product match)

Using celebrity in the brand advertisements is related to the transformation of the product in
accordance with the values that the celebrity endears with. Because of this value factor, one can
throw a question to the firm regarding the guarantee the firm has about positive impression of the
celebrity to last for long term in the future. The worry is whether the level of popularity of the
particular celebrity would sustain for the long time. The other concern that could appear
detrimental for the brand’s own integrity is the blemish on the integrity of the celebrity who
endorses it. The private life is not before the public eye as much as the professional life is so the
scandalous deeds could make the brand run for life. The question can be asked with a tinge of
sarcasm if any company would pay Michael Jackson to endorse its brand after knowing him as a
paedophile? Celebrity values are surely transferred to the products, services and causes that they
endorse with zeal. Now Public (2010) states that the pop star Alicia Keys has been active in the
campaign titled “dying digital” for the awareness of AIDS. So the celebrities participate in the
campaigns to lend the product, services or cause their values to induce recall and create tangible
impacts.

2.2.4.2 Costs related to the Celebrity

Celebrities charge handsome amount of money to the firms for product endorsements that is why
the phenomenon of celebrity brand endorsements enjoys a crucial place in over all integrated
marketing communications. The great companies like Coca Cola can afford to use famous
celebrities but the small companies run the risks if they use any celebrity whose following is
massive. If the celebrity doesn’t help the buying behaviour of buyers to enhance then the small
companies could easily go bankrupt. Jagdish & Wagner (1995) writes in the same vein that the
tactics related to the branding with celebrity are costly to the organization since the high status
and reputation of the celebrity calls for high incentives from the organizations. In exact words of
Jagdish & Wagner (1995) regarding the brand celebrity endorsement:

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“A contract may also include a profit sharing plan. Firms often build special and costly
advertising campaigns around celebrities.”

So the investments in this area have to be huge and the yearning is also high as far as the sales
revenue projections are concerned.

2.2.4.3 Celebrity Controversy Risk, Popularity, and Availability

The controversy risks linger around the celebrities’ personal and professional lives. Taleja (2011)
mentions an appropriate example of Salman Khan who crushed a man to death under his Pajero
since he was drunk and unconscious. This created a controversy around the celebrity and people
condemned this act of him in very harsh words and actions. The brands that he endorsed at that
time got the bashing just because they were proudly associated with Salman Khan so the
behaviour of celebrity directly translated into the expectations that people had with the particular
brands. Tiger Woods, in view of Sridhar (2010), had been an ideal guy whom the households
like as much as the professional from every corner of the world. A good man having an ideal
happy family he was an asset for the companies who used him for their brand endorsements and
invested heavily in the related advertising campaigns and compensating Woods decently well.
Sridhar (2010) now comments that the issues of infidelity issues change the image upside down
of the celebrities since the victimized celebrities are not considered to be unerring now and are
regarded as the individual who can make their mistakes being a normal human being.

This is the perception’s volatility. The image of the celebrity changes and therefore hurts the
people but that damage is very less since it is only influenced by the collapse of emotional
connection. But the companies who use Tiger Woods as their brand endorser got the kick in
stomach that was harder than what people felt just because companies had their major
investments at the back of this celebrity to endorse their brands. The popularity engenders brand
recall as the ratings for the celebrity are higher and they get transferred to the brands as well. The
availability of the celebrity is also of the concern to the companies since it’s very difficult to get
a perfect match between a brand and a celebrity so the idiosyncratic demands of brands call for

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THESIS

higher involvement of the relevant people in defining the brand and linking it to the brands’
attributes.

2.2.4.4 Physical Appeal of the celebrity

Taleja (2011) comments that there’s an established brand of Levi’s have the celebrity named
Bipasha Basu from Indian film industry so the attractiveness of her makes an appropriate
connection with the brand Levi’s. There are many other brands that Taleja (2011) mentions like
Wrangler and Timex Sunglasses which get approved by the celebrities who are famous for their
physical attractiveness and the link between the brands for physical wearing makes those
celebrity click.

2.2.4.5 Celebrity - a Brand User

Katyal (n.d.) says that the celebrity has to be cautious about what he endorses and what he uses
in his daily life especially before the public for whom he was used to carve a brand image. He
writes that there once emerged an issue with Sainsbury’s and Catherina Zeta Jones who was
signed to endorse the recipe product of the company. Catherina Zeta Jones was unluckily spotted
at Tesco shopping for her daily chores. The same thing happened with Britney Spears and cola
drink when she once was noticed with another cola in her hand and was photographed.

2.3 What endorsements entail?

Venture Republic (n.d.) lists out the few very important concerns that relate the celebrity with
the brand through proper means. There are the essential components of endorsements that are as
follows:

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THESIS

- Celebrity’s appeal and attractiveness: The impact of the celebrity is positive on the
brand endorsed by him if the celebrity’s own image is immaculate in the eyes of
consumers. The brand recall can be increased through using the appropriate celebrity for
the brand.

- Celebrity’s acceptance and credibility: The level of trust that the celebrities have
among the consumers is an important factor to consider since the trustworthiness and
brand appeal by relevant celebrity are directly proportional. The branding is the essence
that stands out in the clutter and the endorsement by a publically amenable celebrity can
have positive impact on that essence so as to increase the level of recall.

- The transfer of meaning: there is a certain level of compatibility required between both
the celebrities and brands so that the meaning could easily be rendered to the brand. The
celebrities possess personalities that ultimately have some meanings and these meanings
are aspired by the organization to be transferred to what they have to provide to the
consumers.

2.4 Celebrity Brand Endorsements in both the countries:

The celebrity brand endorsements in UK and Pakistan are through same measures and media.
Pakistani population and students are more swayed or influenced by the actors and actresses that
belong to the neighbouring country of India. The influence is so much so that people in Pakistan
can recall Shahrukh Khan more frequently than any other actor belonging to Pakistan’s own film
industry. The level of recall in UK is related to Hollywood actors mostly since the actors and

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actresses are noticed and followed fervently by the people there specially the students who are
usually awe struck by whatever the celebrities of their choices do and like to do.

CHAPTER 3: METHODOLOGY

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THESIS

The secondary data collected and review in the previous section of introduction and literature
review provides an ample platform for the development of a cogent methodology.

3.1 Research Strategy:

The methodology for this research study is based on the survey which will be conducted through
a questionnaire that includes questions relevant to the literature review. The features of survey
methodology are defined by Enanoria (n.d.) as he says that the survey methodology is the
method for gathering information as scientifically as possible. The respondents in the survey
belong to a sample that is drawn in accordance with the objectives of the particular research
study and they all are representative of the bigger population that they reside with as social
members. The tools that this research will employ to get the responses required is the
questionnaire which is defined by Key (1997) as the tool for extracting out various factors form
the respondents’ mindsets which ultimately are related to the attitudes and behaviours of
consumers towards the particular topic. The questionnaire is able to elicit the responses in either
the structured manner with specific and close ended questions or in an unstructured way through
open ended questionnaire in which the sequence of the questions might be variable. The people
from whom responses are extracted are relevant to the topic since the efforts are made to
approach the target people in the sample with the questionnaire.

The questionnaire is designed in accordance with the various factors that play their role in the
area of celebrity brand endorsements. The approach to the data collection is bases upon
administering the questionnaire through the internet, i.e. through Survey Monkey and Facebook.
The sampling will be based on convenience of the respondents since they are all university
students who always have an access to the internet facilities in the campus or their homes and
they will fill the questionnaire in accordance with their convenience. The sampling technique is
based on the stipulated sample of 20 from each of the two universities in UK and Pakistan who
will be approached on line in accordance with their availability at particular time.

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The questionnaire will be posted on line with the help of Survey Monkey, an online or web based
application to help researchers collect and analyze the data collected through questionnaires, and
Alto (2011) describes Survey Monkey as the leader in the industry of on line survey solutions.
The history behind the web based Survey Monkey is based on many success stories that have
been born since its inception in 1999. The benefits are multifarious since millions of respondents
can be approached and elicited the responses from. The application is substantially considerable
for the researchers who want to approach the people from any corner of the world. The insights
collected through the web based questionnaires on Survey Monkey enable the researcher to make
informed decisions. The significance level of Survey Monkey can be gauged with the fact that
Fortune 100 companies have availed this facility for their research work spanning over a long
time now based over the decades. The common and ordinary entities and organizations are
evenly served by this web based application along with the university students who could reach
the respondents automatically in accordance with the convenience of the respondents.

3.1.1 Sampling Technique

The sampling is based on the phenomenon of convenience since the students have always been
busy on and off campus so the time preferences couldn’t be matched for meeting for the
questionnaire administration physically so the online survey is bases on the phenomenon of
convenience sampling. The sampling technique is based on the stipulated sample of 20
respondents from the Karachi University in Pakistan and London School of Business and
Finance in United Kingdom each. The sampling is also based on snowball sampling since the
respondents are asked to refer the on line survey to all those who are knowledgeable and savvy
about brand celebrity endorsements.

3.2 Objectives behind every research question:

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The survey is conducted through the question sheet that includes both close and open ended
questions so as to elicit insightful responses of sample students in the universities from both the
countries. Same questions will be asked of all the respondents whether from UK or Pakistan in
order to keep the comparison up to the mark. Following is the explanation behind every question:

Question 1: What motivate you to buy a particular product?

The question is simple in terms of understanding what factors influence buyers or consumers for
a decision to purchase a particular brand. The connection of the factors is there with the decision
since the consumer behavior is believed to respond to a certain stimulus offered by the brand.
This question draws out the very innate habit of the respondents regarding their motivation for
purchasing a brand. The options include the factors of “discounts”, “value for money”, “product
innovation”, “attractive advertisement”, celebrity endorsing the product” and “past experiences
with the brand. So the aspect of celebrity endorsement will gather due response rate accordingly.

Question 2: Why does a celebrity endorse a brand?

This question is in relation to the various factors of celebrity brand endorsements mentioned in
the previous section of literature review. The motives behind the celebrity brand endorsement
campaigns range from the first option to the last mentioned with the question and the perception
of respondent of consumer will be gauged in accordance with those factors. The respondents are
given a chance to substantiate why they think the particular way in the following lines. This
question sets the tone for further questions in the interview and the respondent will get an idea of
what and how he or she is going to respond. The options include “to create appeal”, “to motivate
purchase”, “celebrity uses the brand”, “to create an image for the brand”, so it can be noticed that
all the connection points between the celebrity and brand are taken care of with the customer’s
attitudes in perspectives. The area is also specified for the responses other than the provided
options so that further connections could be explored.

Question 3: Rank the following attributes of a celebrity on the scale of 1 to 6
in accordance with their influence over your purchasing

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Celebrity endorses a brand and transfers his attributes to that product or brand but there are
several factors that work behind the formation of consumer behavior regarding the purchase
decisions. This question will be able to equip the researcher with the information related to the
aspects that the respondents think influence their decision on a defined scale. The options with
this question include the factors like “name”, “message”, “lifestyle”, “reputation”, “credibility”
and “personality” and these all are ranked by the consumers so that the researcher could infer
what is the most and the least considered attribute related to the celebrity which makes them
attend to the advertisement containing a celebrity for endorsement.

Question 4: Does the celebrity’s personality always influence the brand
personality and create a match?

This question may touch upon the intrinsic value of celebrity brand endorsements in the eyes of
observers, the respondents or consumers herein. Respondents can elaborate upon the choice they
mark for this question. This is a question structured with the options of “yes” and “no” and for
those who are unclear might go with the option of “don’t know”.

Question 5: Will you pay extra money to buy the product endorsed by your
favourite celebrity?

The question draws out a response which relates to the choice of the celebrity regardless of what
the brand or product is. This will gauge the motivation levels of the respondents to pay more than
the original amount for a product just because of the celebrity that he or she likes the most or
emulates. This question also is a simple one with three options of “yes”, “no” and “don’t know”.

Question 6: Which is your most favorite advertisement with a celebrity
endorsing a product in it?

An open ended question that will elicit the very exact response related to a brand endorsed by a
celebrity. The most favorite advertisement will be able to give an impression to why the

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THESIS

respondent remember the campaign whether the celebrity is of choice, the brand is of choice or
the respondents got impressed by the connection between brand’s and celebrity’s personality.

Question 7: Mark the common brands that you can recall with the celebrities
mentioned below?

The question will have the same impact over the students’ response from both the universities
(countries) involved since Leonardo Dicaprio and Amitabh Bachan have certain recognition
levels worldwide both in the east and west. This question will extract a response related to both
the celebrities’ endorsement contracts that people exactly recall or have observed around in the
media and market place. The options with the name of Leonardo Dicaprio are “Hybrid-
limousine”, “Krieger Watches”, “Emporio Armani” and “Tag Heuer” while with the name of
Amitabh Bachan the name of the brands are “Cadbury”, “ICICI Bank”, “Dabur” and “Parker
pens”

Question 8: Which celebrity(s) does this brand remind you of?

The brand Tag Heuer is intentionally mentioned since both countries’ consumers are well aware
of the brand in connection with the celebrities from both the regions (Pakistani students being
influenced heavily with the Indian Bollywood celebrities – Shahrukh Khan with respect to Tag
Heuer). It’s an open ended question and will be attempted promptly by the respondents if the
recall of brand with the celebrity is high.

3.3 Choosing web based survey methodology:

The online methodology for survey through on line questionnaire is in sync with the sampling
technique that is convenience sampling. The method is chosen in relation to the fact that the
university students both in Karachi University and London School of Business and Finance are
not able to be approached with convenience of both the researchers and students. The survey will
be uploaded on internet i.e. Facebook and other social media sites with the help of Survey
Monkey. The internet is a medium that makes the efficient research possible through various

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websites offering their corporate services for example Survey Monkey in our case. The online
surveys have definite benefits that are, in accordance with UTexas (2008), described below:

- The data collection process is efficient and the aspect of quality is taken care of.

The strengths are related to the ease and facility of the data collection with small period of
time and from anywhere in the world through the internet access. The researcher is absolved
of the responsibility to enter and process the data manually after creating the questionnaire.
The efforts from the researcher are enough till the time he creates the questionnaire, recruit
the respondents and distribute or administer the questionnaire electronically. The facility of
web base surveys is that there is almost no time spent in filling the questionnaires and
millions of responses could be collected in the matter of days only. After the completion of
the data collection period the data could easily be extracted and processed through different
computer softwares, i.e. Microsoft Excel in this thesis’ case. The validity is also the factor
that web based questionnaires also obviate from the agenda of problems listed by the
researcher since the data is validated automatically. The format and pattern of the responses
could be spotted it they go awry and the respondent is notified accordingly so that no
questionnaire and no question is filled in accordance with the respondent’s whims. The error
message is generated by Survey Monkey when the response gets out of the defined or
prescribed range and the respondents are asked to resubmit the responses. The only concerns
that should make the researcher worrisome are missing responses before the analysis of data
could be carried out.

- The questionnaire provides the level of required flexibility on internet.

The data collection through web based applications can offer a lot to be flexible. The
questions can be made keeping in perspectives, the respondents whom the researcher draws
in to the sample. The flexibility approach cab be best used when the information is required
by the researcher to be collected in stages where the first stage or the screens of the
questionnaire could collect the background information over a subject and then the same
information is used in making of graphs in the next pages or screens so that the responses
could be analyzed in compliance with the concepts and perceptions that the respondent might

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THESIS

hold prematurely. The variety in responsive nature of online survey adds on to the appeal for
its usage in the research areas and the efficiency and quality of the responses are enhanced.

- The date can be gathered on deviant or rare phenomena.

The population can be reached even if the sections are targeted keeping in mind the special
interest and specific subjects. The sample size can be aggrandized and the responses could be
elicited from all over the world in few days only. This facility is not afforded to the
researcher through traditional survey methods since the respondents are required to be
approached physically or by phone both of which are comparatively restrictive in nature. The
deviant phenomenon can be assessed by web based questionnaires and these subjects may
include those which require privacy for the respondents to answer. The people addicted or
abused can be provided this privacy through web based survey and they could answer
comfortably to the questions asked about the happenings they have encountered or whatever
the topic entails.

3.4 Reasons behind not choosing other methodologies:

The alternate techniques for data collection are:

1) Approaching the University students directly at campuses with the questionnaires

2) Surveying students on the telephone

The techniques are described by Direct Opinions (2011) as it is stated that the telephonic surveys
reach to the customer effectively and proactively. The control over the sample is considerably
high owing to the proactive nature of survey. The factor of randomness is present with surety
while the data gathering stage is in process and randomness in telephonic survey’s case is
important since the results may be projected according to the needs of researcher to a larger

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population. The data is ensured to be accurate in order to evaluate them in a manner which is fair
as well as consistent.

3.4.1 Disadvantages of the telephonic surveys

American Business (n.d.) opines that the limitations are obvious with regard to the collection of
data for the survey through telephone. The respondents are reluctant most of the times to answer
questions on the phone since they consider this to be the violation of their privacy or leisure time.
Various telephone numbers are usually found to be unlisted and most of the times the caller ID
and message machines are used by the potential respondents to keep the telephonic surveys at
bay. The telephonic survey usually happens to collect information and data from the elderly
population so that the representativeness of the sample could be threatened in case of telephonic
surveys.

As far as the One-on-one interviews or surveys are concerned, they require great deal of hard
work and commitment since the respondents are to be approached physically through rigorous
traveling and following the respondents wherever they ask to come. The one to one surveys can
be a hurdle in the research where the sample of respondents is much larger and the respondents
are to be approached at a particular place. This methodology can be very effective with other
ways of data collection and the larger groups could be handled with this methodology in addition
to other methods. The approaches were not chosen against online survey technique since both the
methods have their own part of demerits. The validity over the telephonic survey couldn’t be
possible to consider since the respondent’s identity would be difficult to assess and one to one
interview could make the process cumbersome both for the researcher and respondents.

3.4.2 Disadvantages of the one-to-one or oral surveys

Writing at CSU (2011) mentions various demerits of one to one survey methodology. The factors
that are not in favour of using this methodology are cost, bias, attitudes, and types of questions
which are possible to be covered. The costs are high for one to one surveys since travelling and
pursuing respondents incur both the financial as well as opportunity costs. Bias is there in the
methodology since the interaction between the interviewer and the respondents could originate a

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THESIS

kind of relationship that results in bias of favouritism. The types of questions are also determined
with respect to the questionnaire that is administered physically by the researcher. The
instructions could not easily be understood or the pattern might not be perceived properly while
the online or web based surveys obviate the need of researcher to explain the pattern of the
questions to the respondents. The attitudes are also not in sync with the researcher’s aspirations
since the respondents might be busy or having multiple thoughts in mind at the particular time of
meeting and the responses could be filled in compulsion.

3.5 Validity, reliability and generalisability:

The data collection method of online survey will be made in accordance with the validity
required for the response and for this vary reason the first few questions will be related to
personal bio data which will ensure that the students of certain age and educational background
are allowed to go to further questions in the survey and the name of university will be important
to assess whether the student is from Karachi University or London School of Business and
Finance. The first questions related to the personal details will be made compulsory to answer by
the respondents so that they could be given permission to go to further questions. The data could
be made reliable through the endeavours regarding the assurance of validity of data collection.
The data found will be able to be generalized among the student bodies of both the countries
since the sampling is made representative of the population.

3.6 Statistical Methodology
The data collected through the web based survey questionnaire are then analyzed and assessed
through different techniques of statistics in which charts, percentages and proportion tests are
used and association test is defined by Changing Minds (2011) as: “Test statistics can also be
calculated as a proportion of a whole, which gives a result that lies between 0 and 1 (or -1 and
+1). Correlation coefficients typically use proportion. The Pearson r-value, for example is
calculated: r = SQRT( explained variation / total variation ). Proportions are often easier to
interpret than signal-to-noise numbers, which can be very high or low.”
The research is based on the assumptions that are listed as follows:

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THESIS

Assumption 1:
Ho
both the countries is the same i.e. P1 - P2 = 0
Ha
both the countries is not the same i.e. P1 - P2 ≠ 0

Assumption 2:
Ho
Same proportion of Consumer will pay extra money for the brand endorsed by their favourite
celebrity in both countries

Ha
Same proportion of Consumer will not pay extra money for the brand endorsed by their
favourite celebrity in both countries

All of the above mentioned assumptions are analyzed through different statistical tools that are
expanded further in the coming sections of findings and analysis.

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THESIS

CHAPTER 4: FINDINGS

The data collection stage provided much to be analysed and several findings are established
through statistical methods. The findings are listed in this section as far as the primary data are
concerned and each and every question’s response are found and listed as follows:

4.1 Buying Motivation

For UK students:
1. What motivate you to buy a particular product?
Response Response
Percent Count
Discounts 25.00% 4
Value for money 41.70% 6
Product Innovation 33.30% 5
Attractive advertisement 25.00% 4
Celebrity endorsing the product 16.70% 10
Past experiences with the brand 66.70% 3
32

The buying motivation of the students can be found in the chart above as far as university
students from UK are concerned. The findings are based on the percentages that are assessed
through the count of responses along with each option given in the question. The discounts are
the source of motivation for 25% students or respondents. As far as the value for money is
concerned this factor is marked by many of the respondents and the response rate for this option
is 41%. The product innovation was ranked important by 33% of the respondents while attractive
advertisement got the response positively by 25% people. Celebrity endorsements do not rank
high enough against other factors in fact this motivational factor is the least thought of as an
important element in their decision making. The most important and the most preferred
motivational factor behind the buying behavior is the past experience with particular brands. The
findings for UK students herein show that they are not very much influenced by the celebrity
endorsing the products in advertising campaigns. The students are shrewd enough to give second

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THESIS

thought to their purchasing decision when they have had a kind of experience with particular
brand. As far as the results from Pakistani university are concerned, they are as follows:

For Pakistani students:

1. What motivate you to buy a particular product?
Response Response
Percent Count
Discounts 6.52% 3
Value for money 15.22% 7
Product Innovation 19.57% 9
Attractive advertisement 2.17% 1
Celebrity endorsing the product 21.74% 10
Past experiences with the brand 34.78% 16
46

The results show that the discounts are considered very less for buying decisions and only 6.5%
of people have responded to this option while attractive advertisement is something that
Pakistani students consider the least for this area and only 2.1% of respondents went with this
option which is a revelation in itself since advertisements are not regarded important to influence
their buying behaviour. Pakistani students are also very much influenced by the experiences with
the brand only that consists of everything they experienced for previous years with the brand.
35% of respondents went for this option which is the most against other factors mentioned in the
choices. Value for money is also considered important but only by 15% people responded to it
from Pakistan. Product innovation ranks considerably high with 19% but not higher than the
factor of celebrity endorsements which is composed of 21% of the responses from the sample.
The graphical presentation of the results from both the countries is as follows:

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THESIS

There’s a difference between the levels by which the consumers are influenced by the celebrity
brand endorsements. The graphs above suffice the fact that past experiences are worth more than
anything else as far as the buying motivation of respondents from both the countries is
concerned.

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THESIS

4.2 Reasons for Celebrities Endorsing Brands

For UK students:

2. Why does a celebrity endorse a brand?
Response Response
Percent Count
To creates appeal 25.00% 5
To motivate purchase 40.00% 8
Celebrity uses that brand 10.00% 2
To create an image for brand 25.00% 5
20

The perceptions of students in UK are reflected in the chart above since it shows what they really
think about the phenomenon of brand celebrity endorsements. 5 of the respondents think that
celebrities create appeal for the brand to be purchased by the consumers and the count is equal to
25% of the respondents. The creation of image for the brand is the purpose that is served by
celebrity endorsement is something that is considered reasonable by 5 out of 20 respondents that
make 25% of the total and the people who think that the celebrity personally uses what he
endorses for money are there in the respondents and there count is 2 out of 20 which make
up10% of the total which is the least scoring factor herein. As far as the motivation behind
purchasing decision is concerned, 40% that is 8 out of 20 respondents think that celebrities are
used to serve this purpose and celebrities motivate the consumer to purchase the products they
endorse. As far as Pakistani results are concerned, they are as follows:

For Pakistani students:

2. Why does a celebrity endorse a brand?
Response Response
Percent Count
To creates appeal 25.00% 5
To motivate purchase 35.00% 7
Celebrity uses that brand 10.00% 2
To create an image for
brand 30.00% 6
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THESIS

The results from Pakistan show that people think that celebrities create appeal for the brands
when they endorse particular products. The count is 5 out of 20 which makes 25% of the
respondents saying yes to this option. The motivating factor of celebrities to buy a particular
brand is marked by 35% of the respondents which is the total count of 7 out of 20 and this is also
the highest ranked factor from Pakistan related to this question. 6 out of 20 respondents believe
that there is an image formation in their minds regarding brands when some celebrity endorses it,
so 30% of the respondents think this way. The graphical representation shows the following:

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Dissertation 1

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