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Essay, 16 pages (4000 words)

The multiple celebrity endorsement marketing essay

First investigation on celebrity endorsement was done by Mowen and Brown (1981), where the consequences of his analysis emphasized the impact of the promoter launch an restricted agreement with a celebrity. (Cronin, 2003). Save for uniqueness originates with an excessive price tag while the traditional advertising sources advocate the consequence of an exclusive product agreement with a celebrity. This high cost ticket has indicates to a trend of businesses sharing stars. Earlier researches suggests the fact that in succession to erode consumer’s insight of endorser’s reliability, as well as advertisement and brand assessment, by merely recognizing that the celebrity is endorsing several products.(Tripp, Jensen & Carlson, 1994).

In contrast, Hsu and McDonald (2002) determine that it might be constructive to endorse a product with multiple celebrities as it leads to engaging and connecting to the unrelated and assorted sets of target audience to the product. In reality this approach of spending a variety of celebrities is relatively high-flying between sports brands like Nike, Adidas and Reebok. (Temperley & Tangen, 2006).

According to Polly and Mittal (1993) there are different factors behind the economic activity of a country in which advertisement is one of the major factors which not only help in to increase consumption but also help in bring change in lifestyles and value orientation. Everywhere companies try to take famous celebrities in their ads and this practice is very common in advertisements. In America almost 25% ofadvertisements contain any famous celebrity and this practice is increasing day by day (Stephens & Rice, 1998). To support this practice many research indicates that celebrity endorsement has a positive impact and also very favorable advertisement ratings (Dwane & Abhijit, 2001).

Celebrity endorser always enjoy well know reputation in public and people give respect to that celebrity that whatever this celebrity say is true and this respect used by celebrity on the behalf of a product which he or she advertise (McCracken, 1989). Similarly according to Friedman (1979) celebrity endorser is that person who achieves a lot of things other than advertisements and celebrity endorser is known to the public on the behalf of their achievements not on the behalf of any product or service which he or she endorses. Celebrity endorsements advertise a product by using his or her reputation which he or she received from the audience. Celebrity endorsement is one of marketing strategy which we used to influence consumers towards specific brand. Celebrity endorsers are typically expensive and there is a risk that the celebrity and or his/her unexpected behavior over shadow the product. This suggests that the use of unknown models or even no celebrity is still an option that should be investigated seriously.

Many existing studies investigated credibility and attractiveness of celebrity endorsement separately which concluded that it is true that credibility and attractiveness of a celebrity endorsement help in to make the advertising effective (Ohanian, 1990). According to Basil (1996) we examine very closely the comparing viewers rating of several celebrities on their attitude and it was helpful for us to understand the sequencing of attitude and behavior change.

1. 2 Problem statement

This study found out the impact of multiple celebrity endorsement by using three factors celebrity product match, popularity & controversy risk on brand image through conducting an experiment. This research shows that using a multiple celebrity endorsement produces a positive impact on audience. Certain assessment shows that celebrity product match, celebrity popularity produces a satisfactory brand image and has a positive impact in customer’s minds. While celebrity controversy assesses that it produces a negative impact on the endorsed product. This expectation is reliable with earlierstudy. Most important, it had a comparison of the product match, popularity and controversyof the celebrity endorsement when a celebrity endorses a brand to see theeffecton brand image.

1. 3 Hypotheses

H1: Celebrity product match has a significant impact on brand image.

H2: Celebrity popularity has a significant impact on brand image.

H3: Celebrity controversy risk has a negative impact on brand image.

H4: Multiple celebrity endorsement has a significant impact on brand image.

1. 4 Outline of the study

This study tested the influence of celebrity endorsement’s credibility, attractiveness and meaning transfer on brand attitude. The result of this study is likely a reliable with the earlier research and this study helped us to understand in a broader area about celebrity endorsement and developed suggestions for the celebrity seeming credible, attractive and meaning transfer.

1. 5 Definitions

Brand Image

Brand image is an existing sight of the consumers about a brand. It can be well defined as an exclusive bundle of links within the thoughts of target consumers. It indicates what the brand currently positions for. It is a customary of beliefs thought about a precise brand. In brief, it is nothing but the consumers’ observation about the product. It is the way in which a precise brand is positioned in the market.

Multiple Celebrity Endorsement

Multiple Celebrities are defined as several celebrities endorse a specific brand. Multiple celebrity endorsers mayhave a mixture of presentation styles and image as the perceptions about an individual who enjoys public recognition as reflected by the celebrity associations held in consumer memory. In society these celebrities are differ from other peoples and have the benefit of public awareness.

CHAPTER 2: LITERATURE REVIEW

Multiple celebrity endorsement mentions to the practice of several celebrities in a promotion (Hsu & McDonald 2002). Hsu and McDonald (2002) initiate that it might be useful to endorse a product with multiple celebrities as it leashes to appealing and linking to the changed and dissimilar sets of target audience to the product. In fact this approach of using an variety of celebrities is relatively high-flying with the sports brands like Nike, Adidas and Reebok (Temperley & Tangen, 2006). Generally, celebrity endorsers require performers (such as film actors, singers, and models), sportspersons, policymakers, and business people. Once marketers adopt to employ multiple celebrities, they can select from the aforementioned categories of celebrity endorsers to demand to their target audiences.

According to the ascription concept by Kelley (1967), people allocate interconnection to events on the base of either their own actions or the actions of others. In the framework of celebrity endorsement advertising, customers might ask whether an endorser commends a product as he/she truly believes the optimistic features of the product (an internal attribution) or since he/she is rewarded for endorsing it (a marginal acknowledgment). Indefinite, cooperation is one of the attribution indicates, which in an advertising frame expresses to the customer’s perception of whether other entities, comprising other endorsers, view the product likewise to the endorser. Thus, using multiple celebrities to endorse a product may build an agreement and help advertisers to definitely affect consumer awareness (Mowen & Brown, 1981).

Marketers usually assume that a representative, as a reference group, must ” be like” the target audience (e. g. same gender, same age) to empower the target audience to relate to the ad (Wells, 1989). ” a brand has a inclusive range of consumers and from time to time the use of multiple celebrities is required to cover the entire target audience, however it must be made sure that each celebrity’s standard simitates core brand values” (Erdogan & Baker, 1999). Furthermore, multiple celebrities may value marketers decline audience boredom which may be affected by a single celebrity. ” Each and every celebrity holds compatible significances that are required for brands,” (Erdogan & Baker, 1999).

2. 1 Celebrity Product Match

The match-up hypothesis suggests that the effectiveness depends on the existence of a ‘ fit’ between the endorsing celebrity and the endorsed brand (Till & Busler 1998). For a celebrity endorsement to be effective, the appearances of the celebrity must match up with the features of the product. The apparent fit among the celebrity-product groupings can be interconnected to physical attractiveness, capability or other highly significant features. Observed studies have revealed that endorser-product congruity absolutely affects consumers’ views of spokesman credibility, attitudes, recall, recognition, purchase intention, and willingness to pay higher prices (Kahle & Homer, 1985; Kalra and Goodstein, 1998; Kamins and Gupta, 1994; Misra and Beatty, 1990; Sengupta, 1997; Till and Busler, 1998). While these studies have scanned the congruency dispute in the framework of a single endorser, we believe that the fit factor is also vigorous for the success of multiple-celebrity endorsements. Thus, when engaging a number of celebrities to be endorsers, marketers must wisely assess the match-up between each of the celebrities and their product

In addition, the degree of customers’ perceived ‘ fit’ between a promoted brand and a celebrity endorser’s image plays an important role in product and ad-based appraisals. Kamins (1990) found that attitudes toward ads and products became favorable as celebrity endorser’s attractiveness increased. In contrast, other researchers found that although a number of celebrity endorsements turned out to be very successful, other attractive celebrities did not (Till & Busler, 1998; Till & Shimp 1998). This finding belies the general assumption that using celebrity endorsement is always effective.

In 1980 and 1990 both Forkan and Kamins respectively performed several experiments in order to test out the Product Match-up Hypothesis. It states that communication portrayed by a celebrity image and the product’s message must go hand in hand for the endorsement to work. The match between the celebrity and brand image showed by Misra in 1990 is dependent upon the degree of expected ‘ fit’ between these two factors. Advertising a product through a viable celebrity figure with a high product fit creates a higher level of believability (Kamins & Gupta, 1994; Kotler, 1997).

Kahle and Homer (1985) emphasized the fact that physical attraction of the celebrity has a great influence on the consumers’ attitude towards purchase decision and brand or advertisement recall. Till and Busler (1998) gave yet another example where the celebrity and the product were a perfect fit; Cindy Crawford in the Revlon advertisement. Their approach was to prove that rather than physical attractiveness, product expertise is a more important factor that affects consumer buy-in.

Consistent with the ideologies discussed previous, corporations should certify a match among the brand existence endorsed and the endorser so that the endorsements are able to strongly impact the supposed processes of consumers and generate an optimistic understanding of the brand. Example (Tiger Woods endorsing the Buick brand creates no logic at all. There is just no acceptability that Tiger is fading to drive a Buick. And deprived of acceptability a celebrity endorsement is worthless. The $40 million General Motors apparently paid Tiger for his 5-year agreement ending in 2009 is not money sound spent).

2. 2 Celebrity Controversy risk

Just like two sides of a coin all has decent as well as immoral elements to it. Newsom (2000) claim that celebrities can rise recognition, but an unsuitable celebrity, has the ability of actually destroying it. Connection of the celebrity with a controversy or ill-behavior can cause an adverse effect to the endorsements. Any act on the part of the endorser that leaps an adverse image amongst the audience and goes on to affect the brands endorsed. The brand, in utmost illustrations, takes a bashing. Siyaram Silk Mills Ltd. (Siyaram), one of India’s leading textile companies, was also posh badly by South African Cricket Captain Hansie Cronje match fixing controversy. Ann Green (2009), senior vice president at Millward Brown, said, “ In the previous years, we have seen an insignificant decline in the use of celebrity endorsements and that is in part due to the risk related as well as the obligatory speculation. “ Another impeccable example here is of Salman Khan and the controversy in which he crushed a man to death with his Pajero while he was driving beneath the influence of alcohol. Similarly, any act on the part of the endorser that gives him an adverse image among the audience and goes on to affect the brands endorsed. The brand, in most instances, takes a bashing.

2. 3 Popularity

Experimental finding support the element that celebrities have an optimistic effect on both approach toward ad and brand (Ohanian, 1990). These consequences are in favor of celebrity endorsers as they are extensively recognized, are apparent to be more credible and establish huge impact on valuation of brand and its purchase intents (Cohoi and Rifon, 2007; Atkin and Block, 1983; Ohanian, 1991). The selection of celebrity is important for the sensation of the advertisement. The celebrity should have excessive recognition, high definite affect, and the image of the celebrity essential match with that of the product. For this purpose, recognized sportsmen are used to endorse sporting goods: Michael Jordan& Nike, Tiger Woods and Nike, David Beckham endorses Adidas, etc. Whereas it is absolutely inappropriate for film celebrities to endorse a sports products. Celebrity endorsements must be used wisely. If the celebrity is too prominent or too admired, then the celebrity will overwhelm the product – i. e., people will recall seeing only the celebrity and neglect the product. This happened when Britney Spears came in a Pepsi Commercial in 2001. Britney Spears was at the height of her popularity – audience saw the advertisement to see Britney Spears and neglected all about Pepsi (Ohanian, 1991). The lifespan of celebrity popularity fluctuates a lot. People manage to adequate the personalities of the celebrity with the brand thus aggregate the recall value Celebrity. Brand connotation like Garnier endorsed Tara Sharma & Simone Singh, Agni Diamonds & Riama Sen don’t grow much brand recall. On In contrast other hand, HPCL has had boosted popularity and share of voice due to the endorsement of the brand through Tennis star Sania Mirza.

2. 4 Brand Image

The customers now look at the Brand image in their current search about a brand. The image is defined as a definite integration of a bundle of associations within the respective minds of target customers. The present stand of a brand is signified by brand image. In other words, the brand image is described as a set of beliefs a customer holds about a specific brand within him or her.

This must include the organization’s vision and mission clearly visible to all. Some of the prominent factors for a brand image are their specialized logo that shows off the organization’s image, their slogan that would describe the organization’s core business and key values that would substantiate their identity. Brand image is the image that is derived from different sources set in the mind of a consumer. There are brand associations made up by the consumer. This is how they develop the brand image in their minds. These images that are developed in the minds of the consumers are subjective opinions. For example Volvo is often equated with safety while Toyota is often referred to as a reliable car. Very often consumers are not buying just a product or a service but they are actually buying the image that the brand is linked with. These brand images are unique and one of a kind and usually highlighted in their advertisements and other promotional strategies.

Koo (2003), Kandampully and Suhartanto (2000) showed some empirical findings and research that confirmed that a desirable brand image would also increase the loyalty of the customers. In 1965, Reynolds claims that images are formed through an intricate process in the mind that involves constructing a unique image that stands out, out of the many images that the mind views. Meanwhile Keller (1993) regards brand image as the view and perception of a brand that reminds the consumer of a brand association. Similarly Aaker (1991) claims that brand image is a referral to the relationship consumers have with the brand by way of brand association. In 1992, Biel also claims that brand image is a group of characteristics and features that link the consumer with the brand.

In Keller’s (1993) definition of brand image, he claims that brand is reflective of associations consumers attach to a certain brand and this includes the brand’s features and overall benefits. In general, the brand image can instigate certain feedback such as helping the customer understand the information given, differentiating the brand from other brands, giving reasons to buy the product, encouraging a positive feeling and providing a basis for future purchase (Aaker, 1991). The underlying aspects of a company’s marketing strategy described by Roth in 1995 and branding strategy illustrated by Keller (1993) and Aaker (1991) are the creation and maintenance of the image of the brand. This is the reason for the study of image formation which is closely tied to satisfaction and loyalty.

CHAPTER 3: RESEARCH METHODS

3. 1 Method of data collection

The respondents were randomly selected from Iqra University, Shopping malls (Atrium, Dolman Mall, and Forum). Questionnaire was designed for conducting this research to understand consumer’s views on brand image by measuring celebrity product match, celebrity popularity and celebrity endorsement controversy risk. Each respondent filled questionnaire to share their views on brand image of any company which is endorsing by any celebrity. A five point likert type scale from “ 0% (1)” to “ 100% (5)” was used to measure respondent views on brand image. To attain a higher rate of response from the participants, face to face method was used to gain information from the respondents.

3. 2 Sample technique

This research was experimental convenience sampling techniquewhich was used in which data &was collected from the students of Iqra university and different malls. In order to collect the data set respondents were asked to share their views on Multiple celebrity endorsement and then finally asked their views on brand image which is endorsed by multiple celebrity.

3. 3 Sample size

A self-administeredquestionnaire was developed and then pretested with a selected group of respondents to augment its overall design. Results of the pretest revealed minor instances of ambiguous wording (which were subsequently changed) and confirmed the expected completion time for the questionnaire. A sample size of 200 respondents was selected.

3. 4 Instrument of data collection

The instrument used in this questionnaire entails almost questions to measure celebrity product match, celebrity popularity, celebrity controversy risk and brand image.

3. 4. 1 Validity and Reliability test

Case Processing Summary

N

%

Cases

Valid

25

100. 0

Excludeda

0

. 0

Total

25

100. 0

a. Listwise deletion based on all variables in the procedure.

Reliability Statistics

Cronbach’s Alpha

N of Items

. 675

7

Reliability result shows Cronbach’s Alpha is 0. 675 which means that questionnaire is almost 68 percent reliable for the research.

CHAPTER 4: RESULTS

4. 1 Findings and Interpretation of the results

In order to test the hypotheses of this research, One-Sample Test has been applied. Questionnaire options have been taken on likert scale from highly disagree to highly agree i. e. from 1 to 5. T-value 4 has been taken for analysis to test the significance of hypotheses with confidence interval 95 percent, if significance value (²) is greater than or equals to 0. 05 (²â‰¥0. 05), it means that hypothesis has been accepted.

Table 4. 1

One-Sample Statistics

N

Mean

Std. Deviation

Std. Error Mean

Recall Rate & The Popularity of Brand(Multiple Celebrity Endorsement)

200

4. 07

. 988

. 070

Celebrity Product Match

200

3. 87

. 984

. 070

Celebrity Popularity

200

3. 88

1. 000

. 071

Celebrity Controversy Risk

200

3. 49

1. 032

. 073

Celebrity Product Match allows you to relate to a brand & build trust in the company

200

3. 89

1. 102

. 078

popularity of the celebrity has a significant impact on the success of the endorsement

200

3. 85

1. 088

. 077

controversy of a celebrity affect attitude towards the brand

200

3. 19

1. 244

. 088

Table 4. 2

One-Sample Test

Test Value = 4

95% Confidence Interval of the Difference

T

df

Sig. (2-tailed)

Mean Difference

Lower

Upper

Recall Rate & The Popularity of Brand (Multiple Celebrity Endorsement)

. 931

199

. 353

. 065

-. 07

. 20

Celebrity Product Match

-1. 869

199

. 063

-. 130

-. 27

. 01

Celebrity Popularity

-1. 697

199

. 091

-. 120

-. 26

. 02

Celebrity Controversy Risk

-6. 988

199

. 000

-. 510

-. 65

-. 37

Celebrity Product Match allows you to relate to a brand & build trust in the company

-1. 412

199

. 160

-. 110

-. 26

. 04

popularity of the celebrity has a significant impact on the success of the endorsement

-1. 950

199

. 053

-. 150

-. 30

. 00

controversy of a celebrity affect attitude towards the brand

-9. 262

199

. 000

-. 815

-. 99

-. 64

Table 4. 2 shows result of One-Sample Test analyzed with t-value 4.

H1: Celebrity product match has a significant impact on brand image.

Celebrity Product Match and Celebrity Product Match allows you to relate to a brand and build trust in the company, both have significance value greater than 0. 05 which is 0. 063 and 0. 160, respectively. This shows that celebrity product match has impact on brand image and this hypothesis has been accepted.

H2: Celebrity popularity has a significant impact on brand image.

Celebrity Popularity has significance value 0. 091 and popularity of the celebrity has a significant impact on the success of the endorsement as significance value 0. 53. Both variables have significance value greater than 0. 05 it means that celebrity popularity has a significant impact on brand image. Therefore, hypothesis has been accepted.

H3: Celebrity controversy risk has a negative impact on brand image.

Celebrity controversy risk has significance value 0. 000 and controversy of a celebrity affect attitude towards the brand also has significance value 0. 000 which is less than 0. 05. Therefore, this hypothesis cannot be accepted and it shows that controversy risk of celebrity does not have negative impact on brand image of the product.

H4: Multiple celebrity endorsement has a significant impact on brand image.

Recall Rate and the popularity of Brand have significance value 0. 353 which is greater than 0. 05 it means that recall rate and the popularity of brand have significance impact on brand image. Therefore, hypothesis has not been rejected.

4. 3 Hypotheses Assessment Summary

Hypothesis

t

Value

Sig

Value

Empirical

Result

H1

Celebrity Product Match

-1. 869

. 063

Accepted

Celebrity Popularity

Celebrity Controversy

Multiple Celebrity endorsement impact

Chapter 5: Conclusion, Discussion and Future Research

5. 1 Conclusion

Using Celebrity as an endorser is becoming trend these days due to its essential advantages and the success of a celebrity-endorsed advertisement indicates the establishment objective of differentiation from the rivals. The aim of this study is to investicate the impact of multiple celebrity endorsement on brand image. Factors that were used to measure the impact were like Multiple celebrity endorsement, celebrity product match, celebrity popularity & celebrity controversy risk on brand image. Data was collected from overall consumers who aware of the term multiple celebrity endorsements. Based on this research we found out that advertisment in which multiple celebrities are involved enhances the image of the brand. Secondly for an effective appeal to the segment there must be a perfect fit between the endorsed product and each of the endorsers, Similarly popularity of a celebrity also plays a vital role in increaseing the interest of the conusmers towards a brand and celebrity controversy doesn’t effect the image of the brand.

5. 2 Discussion

Today’s world is the era of competition with every passing day, it is become difficult for the marketing managers to retain, sustain and provide growth to their products or brands. For this marketing managers of larger and smaller companies use various marketing tools and practices to make their brand more preferreable among the consumers. Celebrity endorsement is also one of the technique that is highly preferrable by the marketing managers these days, celebrity endorsement includes the process in which companies associate their brand with any particular celebrity.

The research also provides an insight on the effect of celebrity endorsement on the product and most importantly its effect on the brand attitude, do people find it positive to associate the brand that the using with any celebrity. For getting the answer data was collected with the help of questionnaire in which the attitude of the brand were identified that are endorsed by any particular celebrity. Based on result it has been identified that the celebrity endorsement has a positive impact on the brand attitude. General consumers find this practice feasible and with open arms accept this. The beta positive value explain that the more the companies endorsed their products with celebrities the brand attitude of the particular product will also goes up. People prefer those products which is endorsed by any particular celebrity. In order to get results more in detail the celebrity endorsement was furture classify in to three more categories these are; celebrity credibility, celebrity meaning transfer and celebrity attractiveness. All of the dimension shows the positive relationship with the brand attitude. Based on results it is concluded that celebrity endorsement is a practice that help managers in increasing their image and share of the product the more focused they are in choosing the celebrity that is endorsed particular brand would help them in getting the maximum benefits from the practice.

5. 3 Future Research

In this research only three dimesion of celebrity involvement was studied on brand image, if some more dimensions would be studied it would make the anlaysis more detailed. Secondly, the data has been collected from the genral consumers, in future if the data has been collected from the marketing managers of the companies too it helps in building the connection that what outcome they want from the involvement of celebrity endorsement for their particular brand and what perception they have created in the mind of consumer through celebrity endorsement practice. Furthermore in future there are some more varibales that can be included in this study in order to make more meaningful for example from where the celebrity belongs to it is from television, film, politics or sports personality and with this the managers will identify that which background personality has more positive impact on the brand attitude and with the help of it they can plan accordingly and get the maximum benfits form their promotional campaigns. Celebrity endorsement is some thing that is increasing day by day and with the help of these researches the marketing managers are in better position to identify what celbrity shopuld choose that provides the maximum benefits to the particular brand.

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