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Celebrity Index Report of Sri Lanka 2014-2015

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Philip Kotler Centre for Advance Marketing (PKCAM) ,

University of Kelaniya,Sri Lanka

 

Publication: Celebrity Index Report ( 2014/2015)

 

1.   Overview of Celebrity Endorsement Practices of Sri Lanka

 

Sri Lanka is just around 22 million populated, multi-cultural and ethnically diversified country where its economic perspectives portray that services sector contributes at a height in the economy compared to agricultural and industrial sector contribution to GDP. Services sector organizations could be fragmented as per the sector wise and even based on scales of operations. In brief, financial, insurance, hospitality, health services, telecommunications and entertainment sectors are found to be prominent in Sri Lankan services sector.

The competitive strategies found in Sri Lankan services brands are quite head on due to the fragmentation of markets and how the differentiation is demanded unprecedented manner.  The application of Celebrity endorsement strategies in building brands in services sector has been noticed at a higher level. Further, Sri Lankan organizations, particularly services sector firms have been using celebrities for their respective brand promotional programs by spending considerably a higher portion out of Integrated Marketing Communication (IMC) budget. The Marketing Return on Investment (MROI) has not been evaluated by Sri Lankan organizations those who use celebrities to review the strategic returns gained to the respective endorsed-brands.  The initial pilot study carried out focusing corporate sector mangers followed by Delphi method revealed it has no as such a broader level index available in understanding penetration level of celebrities to consumers.

The purpose of developing celebrity endorsement Index is to provide decision making guide for the industry in strategizing band building initiatives. Usually index is developed with financially

estimated or gagged parameters. However, this index report has been developed on consumers’ assessment with reference to top of the mind recall on celebrity and brands endorsed.   It thoroughly believes that this index could provide a direction for the studies to examine how consumers have been exposed to brands endorsed by celebrities and particularly how celebrity personal brands are perceived to consumers’ cognitive memory.

This attempt of publishing an index paper on reviewing Sri Lankan celebrities along with how the respective endorsed brands positioned in consumers’ evoke set will provide a source to make brand building decisions in case of celebrities are expected to be an integral part of the IMC.


2.   Methodology in Brief

It has used the survey method since the study was carried out as large sample island wide survey for 2800 sample size. The sample was determined as per the proportioned density of population on district base. The proportionated weight has been determined accordingly and random selection has been followed to choose the respondents as per the methodological framework stated in stratified random sampling technique.  It has employed 140 enumerators for the field survey under the supervision of four academic faculty members. It has used only descriptive statistics to analyze consumers’ evaluation toward most preferred celebrity personal brands, recall level on product categories and brand endorsed by celebrities, media preferences to be exposed to celebrity endorsements and the preferred category of celebrities.

The results of the survey have been given below in this report on descriptive statistical bases as statistical indexes followed by the respective tables of statistics.

 

1.  Statistical Index : Top of The Mind Awareness (TOMA) levels of Brands


Endorsed by Celebrities

The top twenty brands have been ranked in Table 1 according to the top of the mind awareness levels perceived by the consumers on celebrity-endorsed brands.


Table 1: Top Twenty Brands Endorsed by Celebrities in Sri Lanka : 2014/2015

Rank

Firm /Brand

Sector

1

Dialog

Services: Telecom

2

Mobitel

Services: Telecom

3

Keels Super Market Chain

Retails: Modern Trade

4

NTB

Services:  Financial

5

Ceylinco

Services: Insurance

6

Prima Kotthumee

FMCG: Foods

7

Coca Cola

FMCG: Beverage

8

Milo

FMCG: Beverage

9

Janashakthi

Services: Insurance

10

Tokyo Cements

Building Materials

11

HNB

Services:  Financial

12

Sampath Bank

Services:  Financial

13

Pepsi

FMCG; Beverage

14

Airtel

Services: Telecom

15

Hutch

Services: Telecom

16

SLT Peo TV

Services: Telecom

17

HNB Assurance

Services: Insurance

18

CDB Leasing

Services:  Financial

19

Singer Mega

Consumer Durable

20

NSB Savings Habits

Services:  Financial

Source: Working Paper: Sri Lankan Celebrity Index Report: 2014/2015

Note: It has considered only local celebrities in indexing the report according the level of TOMA.


2.  Statistical  Index  :  Top  of  The  Mind  Awareness  Levels  on  Celebrity

Characters

It has summarized the ranks of most popular and recalled celebrity names those who engaged in product endorsements in Sri Lanka.   The results have been obtained based on ranked value calculations in the given ranking scale of 1-10.


Table 2: Top Ten Celebrity Personal Brands in Sri Lanka

Name of the Celebrity

Rank

Sector

Kumar Sangakkara

1

Sports

Mahela Jayawardane

2

Sports

Lasith Malinga

3

Sports

Bathiya & Santhus

4

Music & Entertainment

Podi Malli & Chooti Malli

5

TV & Entertainment

Angelo Mathews

6

Sports

Sunil Perera

7

Music & Entertainment

Wijaya Nandasiri

8

TV & Cinema

Muththaiyah Muralitharan

9

Sports

T.M.Dilshan

10

Sports

Source: Celebrity Index Survey, 2014/2015


3.  Statistical Index : Most Preferred Communication Mode to be Exposed on


Celebrity Endorsements


The statistical analysis has been done on the ranking options given to respondents in rating the different media options for this purpose. Table 3 exhibits the results of the survey.


Table 3: Media Preferences towards Getting Exposed to Celebrity Endorsements

Rank

Media Option

Percentage

1

TV Channels

62%

2

Radio

11%

3

News Papers/Magazines

09%

4

Online Methods

08%

5

Outdoors

06%

6

Events & Experience

04%

Source: Celebrity Index Survey, 2014/2015


4.  Statistical Index : Most Recalled Product Categories Endorsed by Celebrities

& Testimonials

It has analyzed the consumers’ recall on product categories which have been endorsed by celebrities and any testimonial source. The calculated results of ranked values have been exhibited in Table 4.

Table 4: Top Ten Most Recalled Product Categories Endorsed by Local Celebrities & Testimonials

Product Category

Rank

Telecommunication Services

1

Financial Services

2

Insurance Services

3

Milk Powder & Molt Powder

4

Super Market & Retails

5

Soft Drinks

6

Consumer Electronics

7

Tea

8

Beauty/Toiletry Soaps

9

Washing Powder

10

Source: Celebrity Index Survey, 2014/2015

 

Master of Business Management in Marketing

 

 

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