FINAL PROJECT REPORT ON

EFFECTIVENESS ENDORSEMENT

OF CELEBRITY

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UNDER THE GUIDANCE OF PROF.HARDEEP SINGH TO THE UNIVERSITY OF MUMBAI IN PARTIAL FULFILMENT OF TWO YEAR FULL TIME DEGREE OF MASTER OF MANAGEMENT STUDIES(MMS) GURU NANAK INSTITUTE OF MANAGEMENT STUDIES MATUNGA, MUMBAI !! !"#. SUBMITTED BY ALOK NAIK ROLL NO $ %& MMS-MARKETING '!!#-'!"" ------------------------------------------------------------------------------------------

CERTIFICATE This is to certify that the study presented by A()* N+,* to the University of Mumbai in part completion of the two year full time degree of M+-./0 )1 2+3+4/2/3. -.56,/- (2+0*/.,34) under the title of E11/7.,8/3/-- )1 7/(/90,.: /36)0-/2/3. has been done under my guidance. To the best of my knowledge this project is in the nature of original work that has not been submitted for any degree of this University or any other University.

ignature of the !uide #$%&. '($)**# +,!'

ignature of the "andidate

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ACKNOWLEDGEMENT

+ would like to take this opportunity to e0press my sincere thanks to all those who e0tended their whole1hearted and unreserved help to me throughout this project and enabled me to give it it2s present shape. + would like to thank my project guide Mr. 'ardeep ingh for helping me throughout my entire project without which + wouldn2t have been able to complete my project. (lso a very special thanks to all the respondents to my survey.

TABLE OF CONTENTS
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C;+<./0+ntroduction %bjectives $esearch Methodology -iterature $eview "elebrity *ndorsements 7 ( brief introduction "ultural meaning and the endorser *ndorsement as a promotional strategy *ndorsement "elebrity endorsement for the brand "haracteristics of celebrity endorsement +mplications of celebrity endorsement #ros and "ons of "elebrity *ndorsement trategy electing the ;right2 celebrity "elebrity credibility "elebrity match up "elebrity attractiveness *ssentials of celebrity endorsements "elebrity endorsements 7 )o2s and )on2ts +s it smart to use celebrity *ndorsements= Uses of "elebrity *ndorsements $isks associated with "elebrity *ndorsements "onsumer behavior towards "elebrity *ndorsement> (ttitude toward the (dvertisement (ttitude toward the ?rand @uestionnaire Tabulation and (nalysis "onclusion A $ecommendation ?ibliography

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INTRODUCTION
A9-.0+7.
+n a world filled with facesB how many do you remember= (dmittedly the ones that evoke some kind of feeling in youB whether it2s humorB acceptanceB appreciation or recognition. These are the faces you2d turn to look atB the ones that would stop you in your tracks. (nd that2s when you have more than just a face. Cou have personality. #ersonality that2s reflective of your brand and promises to take it that e0tra mile. (s e0isting media get increasingly clutteredB the need to stand out has become paramount D and celebrities have proved to be the ideal way to ensure brand prominence. ynergiEing personality with product and message can create an instant breakthrough resultB ?rand buEEB #eople begin to noticeB and opportunities come about. #eople want to be a part of the brand. Touch +t. &eel it. *0perience it. ;"elebrities as ?rands2 is a concept1selling challengeB as the current notion of celebrity management is far from ideal D it2s perceived as a business that merely attaches the celebrity to the brand to get that added advantage. 'oweverB the actual job is not mere brokerage D it2s about selecting a spokesperson whose characteristics are congruent with the brand image. "ommercial companies use celebrities with target customer segments to increase the appeal of their offerings. The instrument of celebrity endorsement has nowadays become a pervasive element in advertising and communication management. Fhilst many strategic as well as tactical aspects of celebrity endorsement effectiveness have come under scrutiny from a manufacturing product marketing perspectiveB the concept of celebrity endorsement for hedonic consumptionB in particular destinations is an often overlooked and under1researched strategy.

A,2 +36 )9=/7.,8/The overall aim of this study is to analyEeB if celebrity endorsement is an effective marketing tool in order to attract consumers. The steps to achieve the aim are formulated into several objectives. To gain an understanding into the subject of celebrity endorsement in order to identify the characteristics and issues concerning the subject.

To identify attitudes of consumersB e0perts concerning the characteristics and issues of celebrity endorsement in order to provide new and deeper data. To identify the effectiveness of celebrity endorsement. To check scale impact of celebrity endorsement on consumers mind. Fill the physical attractiveness of the celebrity endorserB source credibility and celebrityGbrand congruency generate higher intent to purchase the advertised product=

A--52<.,)3The following assumptions were made> That the sample measured will know the celebrity in the advertisement used. That the respondents will answer the Huestions with honestyB completelyB and without intentional bias. That the respondents will understand the Huestions asked and the scales used. That the respondents do not use prior opinionsB attitudes or feelings about the product or celebrity when answering the Huestions.

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tep + > "ollection of primary data and secondary data tep ++ > Tabulation and presentation of data collected. tep +++> (nalysis of tabulated dataB using statistical A financial tools. tep +I> "onclusion and uggestions

The study will demonstrate two different methods that were used to gather information. &irstB a vast body of data was reviewed and secondlyB various consumers were consulted in order to provide new and deeper data regarding the aim and overall objectives. The literature review comprised of academic work and other published sources related to the theories in consumer behaviorB endorsementB and marketing. The main focus of the primary data is on the views of the urvey relating to aspects of celebrity endorsement within a framework of celebrity endorsement for fashion lu0ury brands.

A D/1,3,.,)3 )1 >C/(/90,.:?
"elebrities are people who enjoy public recognition by a large share of a certain group of people. Fhereas attributes like attractivenessB e0traordinary lifestyle or special skills are just e0amples and specific common characteristics cannot be observedB it can be said that within a corresponding social group celebrities generally differ from the social norm and enjoy a high degree of public awareness. This is true for classic forms of celebritiesB like actors Je.g. (ishwarya $ai.B 'rithik $oshanKB models Je.g. ,aomi "ampbellKB sports athletes Je.g. achin TendulkarB $oger &edrerB Michael chumacherKB entertainers Je.g. %prah FinfreyB "onan %2?rienK and pop stars Je.g. MadonnaB )avid ?owieK 7 but also for less obvious groups like businessmen Je.g. Iijay MallyaB (nil (mbaniK or politicians Je.g. onia !andhiB Manmohan inghK. "elebrities appear in public in different ways. &irstB they appear in public when fulfilling their professionB e.g. achin TendulkarB who plays cricket in front of an audience. &urthermoreB celebrities appear in public by attending special celebrity eventsB e.g. the (cademy (wardsB or world premieres of movies. +n additionB they are present in newsB fashion magaEinesB and tabloidsB which provide second source information on events and the ;private life2 of celebrities through mass1media channels. -ast but not leastB celebrities act as spokespeople in advertising to promote products and services.

C/(/90,.,/- +- S<)*/-</0-)3"ompanies freHuently use spokespersons to deliver their advertising message and convince consumers of their brands. ( widely used and very popular type of spokesperson is the celebrity endorser. "elebrity endorser is an individual who is known by the public for his or her achievements in areas other than that of the product class endorsed. The cosmetics manufacturer *liEabeth (rdenB for e0ampleB uses the actress "atherine Leta1Mones to endorse its perfume. The reason for using celebrities as spokespersons goes back to their huge potential influence. "ompared to other endorser typesB famous people achieve a higher degree of attention and recall. They increase awareness of a company2s advertisingB create positive feelings towards brands and are perceived by consumers as more entertaining. Using a celebrity in advertising is therefore likely to positively affect consumers2 brand attitudes and purchase intentions. To ensure positive 5

resultsB howeverB it is critical for advertisers to have a clear understanding of the ;black bo02 of celebrity endorsement.

S)507/ C0/6,9,(,.: +36 A..0+7.,8/3/-( central goal of advertising is the persuasion of customersB i.e.B the active attempt to change or modify consumers2 attitude towards brands. +n this respectB the credibility of an advertisement plays an important role in convincing the target audience of the attractiveness of the company2s brand. #ursuing a celebrity endorsement strategy enables advertisers to project a credible image in terms of e0pertiseB persuasivenessB trustworthinessB and objectiveness. To create effective messagesB celebrity advertisers also have to consider the attractiveness of the spokesperson. ource attractiveness refers to the endorser2s physical appearanceB personalityB likeabilityB and similarity to the receiverB thus to the perceived social value of the source. The use of Jby corresponding standardsK attractive people is common practice in television and print advertisingB with physically attractive communicators having proved to be more successful in influencing customers2 attitudes and beliefs than unattractive spokespersons. This behavior mainly goes back to a halo effectB whereby persons who perform well on one dimensionB e.g. physical attractivenessB are assumed to e0cel on others as wellB e.g. happiness and coolness.

T;/ M+.7;-5< H:<).;/-,-iterature reveals that a spokesperson interacts with the type of brand being advertised. (ccording to research studyB a famous relative to a ;normal2 spokesperson is more effective for products high in psychological or social riskB involving such elements as good tasteB self1imageB and opinion of others. everal research studies have e0amined the congruency between celebrity endorsers and brands to e0plain the effectiveness of using famous persons to promote brands Je.g. unil !awaskar and )ineshK. $esults show that a number of celebrity endorsements proved very successfulB whereas others completely failedB resulting in the ;termination2 of the respective celebrity communicator. imply assuming that a person just has to be famous to represent a successful pokespersonB howeverB would be incorrectB with a considerable number of failures proving the opposite. Iery well accepted and attractive super stars like ?ruce Fillis and Fhitney 'ouston failed in turning their endorsements into success. 8

(mong the possible reasons identified by several authorsB including overe0posure and identificationB the ;match1up hypothesis2 specifically suggests that the effectiveness depends on the e0istence of a ;fit2 between the celebrity spokesperson and endorsed brand. *mpirical work on the congruency theory often has concentrated on the physical attractiveness of the endorser Je.g. Mohn (braham and CamahaK. (ccording to study attractive spokespersons are more effective in terms of attitude change when promoting brands that enhance one2s attractiveness. +t acknowledges a popular person2s ability to create awareness and initial interest for an advertisementB she concludes that this may not necessarily change consumer2s attitude toward the endorsed brand. The study rather statesB that for celebrity spokespersons to be truly effectiveB they should be knowledgeableB e0periencedB and Hualified to talk about the product. ( deeper insight in the comple0 process of celebrity endorsement is provided by the meaning transfer model.

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Mc"racken J1989K e0plains the effectiveness of celebrity spokespersons by assessing the meanings consumers associate with the endorser and eventually transfer to the brand. This perspective is shared by .ambitsisB who found the athletes2 personality as being an important factor in influencing specific target groupsB to which such personalities are easily recogniEable and much admired. Mc"racken suggests a meaning transfer model that is composed of three subseHuent stages. &irstB the meaning associated with the famous person moves from the endorser to the product or brand. ThusB meanings attributed to the celebrity become associated with the brand in the consumer2s mind. &inallyB in the consumption processB the brand2s meaning is acHuired by the customer. The third stage of the model e0plicitly shows the importance of the consumer2s role in the process of endorsing brands with famous persons. The meaning transfer process is shown in &igure.

Mc"racken2s model is based on the concept of meanings. "elebrities contain a broad range of meaningsB involving demographic categories Je.g. ageB genderB and statusKB personality and lifestyle types. MadonnaB for e0ampleB is perceived as toughB intense and modern womenB and is associated with the lower middle class JFalker et al. 199/K. The personality of #ierce ?rosnan is best characteriEed as the perfect gentlemenB whereas Mennifer (niston has the image of the ;good girl from ne0t door2. Mc"racken J1989K emphasiEes that a famous person represents not one single meaningB but e0presses a number and variety of different meanings. (ccording to Martin J199:B p./9KB celebrity spokespersons are useful in marketing because they provide a set of characteristics that supports consumers in evaluating the presented brand. +n contrast to anonymous endorsersB celebrities add value to the image transfer process by offering meanings of e0tra depth and powerB what is complemented by their lifestyles and personalities JMc"racken 1989K. 'aving determined the brand2s symbolic features by considering consumers2 needsB the advertising company has to select the celebrity who contains the appropriate set of characteristicsB and who will best be able to produce the most favorable response from consumers. -2%real decided to promote its lip color brand ; hine )Nlice2 as sheerB sumptuousB and sensualwithjuicy shadesOfor luscious lips. J-2%real U ( /<</K &rench model and actress -aetitia "asta with her fresh and se0y look best matched the cosmetic brand2s properties and was therefore selected to portray this brand line of -2%real. #airing the model and the beauty product in an advertisement allows the transfer of "asta2s meanings to the consumer goodB thus her meanings Je.g. youthfulB freshB appealingK become associated with the -2%real brand ; hine )Nlice2 in the mind of the female consumer.

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Using a different characterB for e0ample the actress (ndie Mc)owellB to endorse ; hine )Nlice2B would affect the meaning of the brand in the minds of consumers JFalker et al. 199/K. The meanings associated with herB like sophisticatedB moralB mature womanB and family1typeB are completely different to those of "astaB thusB when transferredB resulting in different associations with -2%real2s lip color brandB for e0ampleB less youthfulB more introvertedB and safe. These findings proveB that it is crucial to select the appropriate celebrity endorserB i.e. a spokesperson that is able to promote the desired attributes of the brand.

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*ndorsement is a channel of brand communication in which a celebrity acts as the brand2s spokesperson and certifies the brand2s claim and position by e0tending hisGher personalityB popularityB stature in the society or e0pertise in the field to the brand. +n a market with a very high proliferation of localB regional and international brandsB celebrity endorsement was thought to provide a distinct differentiation. ?ut over the yearsB many aspiring brands in (sia have jumped on to this celebrity endorsement bandwagon. *ven though endorsements have taken on a

Huasi1industry statureB there is hardly any hugely successful collaboration as those of ,ike2s. There are many reasons for such a happening. The ne0t section addresses this issue.

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%ne freHuently used advertising tool to transfer cultural values to a product is endorsement. )yer J1988K suggests that endorsers can communicate cultural values such as feelingsB social meanings and values like powerB authorityB subordinationB se0uality and so on. The author believes some e0pressions can be read and understood cross1culturallyB but in order to 11

understand fully the function and meaning of affective displays one needs to refer to a particular conte0t or social situation within a culture. ?ecause advertisements need to communicate swiftlyB clearly and economicallyB the consumer is confronted with devices like facial e0pressionsB poses and movement that tend towards styliEation and generaliEation. !offman J1959K refers to ;hyperritualiEation2B tendencies which contribute towards the stereotyping of peopleB activities and situations. ThusB endorsement in advertising can be considered as an effective marketing device in order to transfer cultural meaningsB although it is part of the cause towards stereotyping of individuals.

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+n an attempt to communicate the merits of their products or brandB advertisers have often chosen to use endorsement as a promotional strategy. &riedman and &riedman J1959K note that endorsers can be of many typesB including the typical consumerB the product class e0pert and the celebrity. +n additionB )aneshvary and chwer J/<<<K point out to endorsements by an association. The study of &riedman et al. J195:K concludes that it is perhaps useful for a promoter to use an endorser for his productB rather than employ a comparable advertisement without an endorsement. &urthermoreB the paper indicates that the endorserB no matter what typeB effected somewhat higher taste e0pectationsB intent1to1purchase and believability than the control advertisementB which was not endorsed. %n the other handB &riedman and &riedman J1959K found that ads using a celebrity spokesperson led to higher ratings of the adB attitude toward the productB and purchase intention for products involving image or tasteB and led to better ad and brand name recall regardless of the product. (tkin and ?lock J1983KP #etty et al. J1983K and %hanian J1991K suggest that celebrity endorsers produced more positive attitudes towards advertising and greater purchase intentions than a non1celebrity endorser. %n the contraryB Mehta J1994K found that there were no statistically significant differences in attitudes towards advertisingB brand and intentions to purchase endorsed brand between celebrity and non1celebrity endorsement situations. 'oweverB Mc"racken J1989K argues that celebrities are different from the anonymous personB because celebrities deliver meanings of e0tra subtletyB depthB and power. The writer puts forward that celebrities offer a range of personality and lifestyle meanings that the anonymous person cannot provide. The writer refers to the meaning that the celebrity endorser could give to the product that was generated in distant movieB music performances or athletic achievements. 1 /

,everthelessB celebrities are still human beings which are in fact highly individualiEed and comple0 bundles of cultural values and meanings. +n a similar veinB Mc"racken J1989K contends that even the most heavily stereotyped celebrity represents not a single meaningB but an interconnected set of meanings. The results generally indicate that a celebrity is more effective than a non1celebrity. 'oweverB the effectiveness of the celebrity endorser dependsB partlyB upon the meanings he or she brings to the endorsement process. 'enceB celebrity endorsement can be considered as an effective marketing device to transfer cultural meanings to products. %n the other handB some of the most difficult aspects of global marketing to grasp are host countries2 cultural ;roadblocks2 such as timeB spaceB languageB relationshipsB powerB riskB masculinityB femininity and many others JMooij 1994P 'ofstede 1984K. Then againB .aikati J1985 in *rdogan 1999K believes that celebrities with world1wide popularity can help companies break through many such roadblocks. ThusB celebrity endorsement can be a useful marketing device to enter foreign markets. &urthermoreB research suggests that the type of endorser may interact with the type of product endorsed and found that celebrity endorsers are more appropriate where products involve high social and psychological risk. +n additionB #ackard J1991K believes that celebrity endorsement strategy is effective in selling productsB and services as status symbols since celebrities are individuals of indisputably high status and in endorsements. %n the other handB "allcoat and #hillips J199:K found that consumers are generally influenced by spokespersons if products are ine0pensiveB low1involving and few differences are perceived among available brands. Falker et al. J199/K conclude that consistency between the endorser2s image and the desired product image may be more crucial for a technicalB comple0 and information1dependent product than for a non1technicalB simpleB commodity1type product. (lthough academic conclusions are variedB one can infer that an association must be fashioned between the cultural meanings of the celebrity2s world and the endorsed product. The ne0t section will describe the subject of celebrity endorsement in more detail.

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"elebrity endorsement is a ubiHuitous characteristic of modern marketing JMc"racken 1989K. "orporations invest significant amounts of money to align themselves and their products with big name celebrities in the belief that they will JaK draw attention to the endorsed 1 3

productsGservices and JbK transfer image values to these productsGservices by virtue of their celebrity profile and engaging attributes. MoreoverB ,ewsom et al. J/<<<K believe that celebrities can increase recognition and their presence almost guarantees publicity. tudies findings by (grawal and .amakura J1996K and Mathur et al. J1995K emphasised the effectiveness of use of celebrity endorsement. ?ecause of their fameB celebrities serve not only to create and maintain attentionB but also achieve high recall rates for marketing communications messages in today2s highly cluttered environment suggests that the use of a celebrity is one of the most successful ways of gaining the consumer2s attention and getting him or her to infer the right message in a limited amount of space and time. #revailing literature indicates thatB millions of dollars are spent on celebrity endorsers each year notes that around /6Q of all U 1based commercials utiliEe celebritiesB and according to .amins J199<KB today this advertising approach appears to be on the increase across all media types. &rom a U. perspective one in five marketing communications campaigns featured celebrities. +n terms of monetary value of celebrity endorsementsB (dvertising (ge J/<<3K estimated that celebrity income from endorsements can be substantialB for e0ampleB Tiger Foods made in the order of U R 5< million in /<</ from endorsements and appearancesB Michael Mordan earned U R 6< million in the same period from endorsements alone. +n additionB ?uck J1993K suggests that dependence on celebrity endorsements has grown. Fith the significant amount of money companies invest in celebrity endorsement in order to promote the companyB their products and by creating a certain imageB it is vital for the industry to be interested in the actual effect of brands using celebrity endorsement. 'oweverB who or what is considered to be a celebrity= The following sections will give a theoretical perspective and starts by proposing a comprehensive definition about the topic being discussedB Mc"racken2s J1989K definition has been used as a basis and is to some e0tent modified to correspond with the objectives of this studyP ;any person who enjoys public recognition and who uses this recognition to endorse a consumer good or service by appearing with it in an advertisement2. This definition is deliberately broad to encompass not only the usual movie and television starsB but also individuals from the world of journalismB sportB politicsB businessB art and the military. &urthermoreB in line with Mc"racken J1989K the term ;celebrity2 is also meant in this study to cover a variety of endorsementsB including those in the e0plicit mode J;+ endorse this product2KB the implicit mode J;+ use this product2KB and the imperative mode J;Cou should use this product2KB 1 4

and the co present mode Ji.e.B in which the celebrity merely appears with the product2K. MoreoverB it includes a range of endorsement rolesB such as cases in which the celebrity is also an e0pertB is associated with the product in some long term capacityB or has no special knowledge ofB or association withB the product in Huestion.

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$esearch indicates when consumers make brand choices about productsP they are making lifestyle statements since they are buying into not only an image but also an emotional relationship. (ccording to de "hernatony J1993> 158KB have consumers their own ;brand wardrobes2 from which they make selections to communicateB reflect and reinforce associationsB statements and membershipsP in effectB ;consumers enrobe themselves with brandsB partly for what they doB but more for what they help e0press about their emotionsB personalities and roles2. "larke J/<<<K suggests as style and status indicatorsB destinations can offer the same consumer benefits as other more highly branded lifestyle accoutrements such as carsB perfumesB watches and clothes. +n additionB the author indicates that destinations are used to communicateB reflect and reinforce associationsB statements and group memberships andB in the same wayB tourists use their trips as e0pressive devices to communicate messages about themselves to peers and observers. ThereforeB chiffman and .anuk J/<<4K suggest that brand managers should differentiate their product by stressing attributes they claim will match their target markets2 needs more closely than other brands and then they create a product image consistent with the perceived self1image of the targeted consumer segment. +t is essential for a company to create a brand identity in order for them to build a relationship with the consumers and also create an image of the product or brand. ,ewsom et al. J/<<<K argue that celebrities can increase recognitionB but they cannot rescue a productB and an inappropriate celebrityB may actually harm it. %n the other handB *rdogan J1999K suggests that if a product image has been damagedP hiring a popular celebrity is one potential solution. Falker et al. J199/K suggest that is may be easier to establish a product image with an initial celebrity endorsement than it is to change a product image that is already associated with a celebrity or is well1established through some other means. +n a similar vein )ickenson J199:K 1 6

notes thatB celebrity endorsers tended in particularB to pass on their images to product that had somewhat undefined images. +n other wordsB companies can hire celebrities who have necessary meanings to establish new positioning for e0isting products J*rdogan 1999K. +n additionB $atneshwar and "haiken put forward that a credible source can be particularly persuasive when the consumer has not yet learned much about a product or formed an opinion of it. $eynolds J/<<<K takes the view that celebrity endorsement can even give a brand a touch of glamour. %n the other handB if a celebrity2s image ties in with many brandsB impact and identity with each product may lessen since the relationship between the celebrity and a particular brand is not distinctive. MoreoverB Tripp et al. J1994K believe it can make consumers overly aware of the true nature of endorsementB which has less to do with brandGproduct attributesB and more to do with generous compensation for the celebrityB leading consumers to overt cynicism about their motives. 'enceB when a brand lacks a well1defined image it may have one created for it through use of an endorser whose image reflects the image an advertiser wants for the brand. This is important because customers may perceive a brand as a representation of what the whole brand or destination stands for. 'oweverB the celebrity should not tie in with too many brandsB because it will lessen his or hers credibility.

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?oth ?uck J1993K and Tripp et al. J1994K indicate that importance of an e0clusive agreement with the celebrity and the more e0clusivityB the bigger the pulling powers of the starB the greater the risk. +n a similar viewB -eventhal suggests that celebrity endorsements are always a high1riskB high1reward situation and there is always a human element that you never knowB and you have to weigh the potential risks vs. the potential rewards. Mc"racken J1989K suggests that endorsement is successfulB when the properties of the celebrity are made the properties of the endorsed product. 'oweverB the study by Falker et al. J199/K found that the endorserB which may have certain attributes that are desirable for endorsing the productB then againB he or she might also have otherB even more closely associated attributes that are inappropriate for a specific product. The paper indicates that in the selection of a celebrity endorserB one has to consider not only the product attributes that are to be establishedB but also the broader meanings associated with an endorser. &urthermoreB ,ewsom et al. J/<<<K take the view that it is vital that any prior promotion campaign endorsed by a celebrity should not conflict with the preferred image. 1 :

ThusB before implementationB the totality of the celebrity endorser2s symbolic meaning should be carefully investigated. 'oweverB in line with Falker et al. J199/K investigating the symbolic meanings of the celebrity may be fine in theory but difficult in practiceB due to comple0 collection of cultural values and meanings a celebrity can incorporate. &urthermoreB *rdogan J1999K suggests that companies have limited control overt the celebrity2s persona as they have created their own public persona over the years. The author e0plains that a linkage is strong in created spokespersons by the companyB as it is uniHueB whereas the linkage is weak in the case of celebrity endorsement because of other associations. %n the other handB a research review may provide a clue to some of the failed endorsements of the past. 'enceB it will be significant for the marketing manager to perform with great analytical skills allowing him or her to decipher information from several sources prior to selecting the appropriate attributes of the celebrity for the endorsed product.

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ometimes celebrity endorsement can result in negative publicity that has nothing to do with the product or brand. &or e0ampleB the celebrity2s private life may make the news in a way that damages the promotion campaignB such as when the celebrity is engaging in ;bad2 behaviors or performance and as a result end the contract. ?uck J1993K claims that celebrities lead lives of unimaginable temptations and awesome pressures and there is always a vast discrepancy between the images they project and the live they actually lead. 'olloway and $obinson J1996K take the view that there is a risk with personality based advertisingB because when a personality suffers adverse public relations e0posureB the credibility of the advertising suffers too. +n additionB *rdogan2s J1999K study found that negative information about the celebrity endorser not only influences consumers2 perception of the celebrityB but also the endorsed product. ?uck J1993K denotes that more and more marketing managers have seen their brand2s reputation threatened by inadeHuate relationships. The author argues that this is due to the combination of aggression and ine0perience that brand1marketers throw at endorsement deals nowadays.

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15

Potential Advantages Increased attention

Potential Hazard Overshadow

Preventive tactics Pre-testing and careful planning

Image polishing

Public controversy

Buying insurance and putting clauses in contracts E plaining what is their role and putting clause to restrict endorsements for other brands E amining what life-cycle stage the celebrity is in and how long this stage is li!ely to continue #electing celebrities who are appropriate for global target audience$ not because they are %hot& in all mar!et audiences'

Brand introduction

Image change and overe posure

Brand repositioning

Image change and loss of public recognition

"nderpin global campaigns

E pensive

&urthermoreB research point out to the ;vampire2 effectB this means that in the non1endorsed advertisementB receivers focused more on the brand and its features whereas in the endorsed situation receivers concentrated on the celebrity in advertising J'olloway and $obinson 1996P *vans 1988P Mehta 1994P ,ewsom et al. /<<<P $ossiter and #ercy 1985K. ?uck J1993K believes that if a company eHuates their brand with a personality to detriment of its other HualitiesB the brand will rise and fall according to the appeal of that star. (ccording to the authorB there are no ;win1win2 situations in marketing anymore and claims that celebrity endorsement is the shortest1term strategy of allB because celebritiesB by definitionB are perishableB and so is the aftertaste left behind by a celebrity deal. %n the other handB an interesting alternative that might avoid these implications is given by himpP he suggests using endorsements of celebrities who are no longer living. (ccording to the authorB deceased celebrities are well known and respected by consumers in the target audiencesB to whom they appeal and best of allB their use in advertising is virtually risk free inasmuch as they cannot engage in behaviors that will sully their reputations and resonate adversely to brands they posthumously endorse. Marketing ,ews J1993K gives an e0ample of Marilyn Monroe and she 1 8

appeared in an advertisement for the (laska Iisitors (ssociation sayingB The picture may have changed but her beauty hasnSt. The same is true of (laska. This study proposed this alternative to the marketing e0perts and in their opinion the dead celebrity was not considered to be a good match with a destinationB unless the celebrity was the main reason to visit the destinationB e.g. in the case of !racelandB *lvisSs home. (nother endorsement alternative is given by )ean and ?iswas J/<<1K and )aneshvary and chwer J/<<<K they point out to a third party endorsement. )aneshvary and chwer J/<<<K suggest that consumers are more likely to adopt behavior advocated by an association if they identify with the organiEation JidentificationK. &urthermoreB if they perceive the source as credible and as an e0pert in the productsB which it endorsesB consumers is likely to purchase the product JinternaliEationK. &or e0ampleB TThe +ndependentT rated the ,orwegian south coast as the best holiday area in the world in addition T,ational !eographicT rated the ,orwegian coast as the ,o.1 tourist target in the world. &urthermoreB consumers have the opportunity to interact with the source Jthrough their travel reportsK and there is a fit or congruency Jthe match1up hypothesis by .amins 1989B 199<K between the source and the product.

S/(/7.,34 .;/ >0,4;.? 7/(/90,.:

P/01)02/0 A-0+.,34(s earlier indicatedB the selection of the celebrity endorser should be carried out with great care by the marketing manager. %ne tool to assist him or her in this selection is called the T#erformer @1$atingsT. himp J/<<<K notes that this selection method is commercially available from himp J/<<<KB Marketing *valuations and this firm evaluates appro0imately 1B6<< public figures by mailing Huestionnaires to a representative national panel of individuals. (ccording to individuals are asked to answer two simple Huestions in these surveys> J1K 'ave you heard of this person= J/K +f you haveB do you rate himGherB poorB fairB goodB very good or one of your favorites= ( celebrity2s @1 JHuotientK rating is calculated by dividing the percentage of the total sample rating the celebrity as ;one of their favorites2 by the percentage of sample who know the celebrity J himp /<<<K. The author e0plains this with the following e0ampleB ?ill "osby was known by 96Q of the peopleB of which 46Q considered him a favorite. 'is @1rating was 45 J46 divided by 96K $osanne ?arr was known by 93QB but favorite of only 16Q. 'er @1rating was 1:. ?asicallyB the @1rating reflects a celebrity2s popularity among those who recogniEe the celebrity. $ossiter and #ercy J1985K believe that knowing a celebrity2s @1rating may not only be beneficial 1 9

in cases where particular audiences are targetedB but it may also enable companies to save on the cost of hiring a big celebrity name who might not be popular among target audiences. 'enceB the @1rating of celebrities could be an initial filtering layer in selecting celebrity endorsers. himp J/<<<K put forward factors that are considered by advertising e0ecutives when making their celebrity1selection decisions. The author refers to the following major considerationsP in order of decreasing importance are J1K celebrity credibilityB J/K celebrity and audience match upB J3K celebrity and brand match upB J4K celebrity attractivenessB and J6K miscellaneous considerations. +n additionB many scholars have attempted to construct models addressing these considerations to aid in selecting celebrity endorsers. *rdogan J1999K identified four modelsP one of the earliest models is the J1K ource "redibility Model by 'ovland et al. J1963KB J/K the Match1up 'ypothesis by &orkan J198<K and .amins J1989B 199<KB J3K the ource (ttractiveness Model by Mc!uire J1986KB and J4K the Meaning Transfer Model by Mc"racken J1989K. The following part will have a closer look at the considerations and the associated models.

C/(/90,.: 70/6,9,(,.:
ource credibility refers to a source2s perceived e0pertiseB objectivity or trustworthiness J$atneshwar and "haiken 1991K. $esearch conducted by social psychologists over the past 3< years demonstrates that a source perceived as highly credible is more persuasive than a low credibility sender. This is also reflected in the source credibility modelB which contends that the effectiveness of a message depends on perceived level of e0pertise and trustworthiness in an endorser. +nformation from a credible source Je.g. celebrityK can influence beliefsB opinionsB attitudes andGor behavior through a process called internaliEationB which occurs when receivers accept a source influence in terms of their personal attitude and value structures J*rdogan 1999K. &urther research indicates that if consumers perceive the source as trustworthy and as an e0pert in the productsB which it endorsesB consumers are likely to purchase the product. +n a similar veinB %hanian J1991K investigated the relationship of attractivenessB trustworthinessB and e0pertise to intention to purchase and found that only the perceived e0pertise of a celebrity was a significant factor in generating more intentions to buy the brand. The author suggests that for a celebrity spokespersons to be truly effectiveB they should be knowledgeableB e0perienced and Hualified to talk about the product. +n additionB Till and ?usler J1998K showed that an / <

endorserSs e0pertise is more important than physical attractiveness in affecting attitude toward an endorsed brand. MoreoverB &riedman and &riedman J1959KB using the internaliEation processB suggest that consumers are more likely to purchase comple0 andGor e0pensive products which are endorsed by e0perts rather than by typical consumers. 'olloway and $obinson J1996K refer to travel writersB who commend on a destination in the ?ritish ?roadcasting "orporation J??"K program ;'oliday2 which are immensely credible both because of their perceived e0pertise and objectivityB because the message is delivered by the ??" itself. &urthermoreB *vans J1998K contends thatB someone who is seen to be unconnected with the company and its productsB coming from an impartial and objective sourceB is likely to be believed. ThusB the independency and the e0pertise of the celebrity endorser can be considered more important than the trustworthiness of the celebrity spokesperson in changing consumer attitudes. This brings us to another issueB nearly two decades before major stars were perceived trustworthyB because they did not really work for the endorsement feeB but were motivated by a genuine affection for the productB however times have changed. (s indicated earlierB nowadays celebrities receive very generous compensationsB leading consumers to overt distrust about their motives. &urthermoreB olomon et al. J1999K refers to the ;credibility gap2B the lack of credibility is aggravated by incidences where celebrities endorse products that they do not really believe inB or in some cases do not use. The author found that the greatest erosion of confidence was found in young consumersB :4 per cent of whom thought that celebrities appeared in ads just for the money. %n the other handB 'olloway and $obinson J1996K suggest that trustworthiness can be achieved by using someone closely associated with the product.

C/(/90,.: 2+.7; 5<

(ccording to .amins J199<KB there has to be a meaningful relationshipB or match upB between the celebrityB the audience and the product. &urthermoreB research points out that advertising a product via a celebrity who has a relatively high product congruent image leads to a greater advertiser and celebrity believability relative to an advertisement with a less congruent productGspokesperson image. The #roduct Match1Up 'ypothesisB which maintains that messages conveyed by celebrity image and the product message should be congruent of effective advertisement J.amins 199<K. (n e0pected fit or congruency should e0ist between an association and a productB ?asil J199:K illustrates this with an e0ampleB a top model endorsing / 1

make1up is goodB but a football player endorsing soap powder less good. +n additionB *vans J1988K gives notice that without a distinct and specific relationship between the celebrity and the product there is the danger of the ;vampire effect2. +n additionB there should also be a relationship between the audience and the celebrityB ?asil J199:K also found that identification also plays a significant role in determining message effects. $esearch suggests that identification occurs when an individual adopts an attitude or behavior from another person when that attitude or behavior is associated with a satisfying self1defining relationship with that person. +t suggests that a spokesperson with which the audience identifies insures the greatest likelihood of achieving lasting attitude or behavior change. ThusB a consumer who identifies with a famous spokesperson is more likely to copy behaviors that are represented by the celebrity. MoreoverB ?asil J199:K suggests that the greater the identificationB the more likely the viewer will see important attributes in the celebrity. Filliams and @ualls J1989 in ?asil 199:KB for e0ampleB found that black consumers have high levels of identification with black celebrities.

(dditionallyB )esphande and

tayman J1994 in ?asil 199:K hypothesis confirmed that the

endorser2s ethnic status would affect endorser trustworthiness and as a result brand attitudes. MoreoverB )aneshvary and chwer J/<<<K suggest that the respondentsS identification with the endorser and their perception of its credibility will positively affect purchase intention. ?asil J199:K takes the view that when targeting particular ethnic groupsB the ethnic background should be carefully evaluatedB because consumers assess celebrities according to their own cultural meanings. &urthermoreB )e?ongo and 'arnish J1988 in olomon et al. 1999K believe consumers who tend to be sensitive about social acceptance and the opinions of othersB for e0ampleB are more persuaded by an attractive sourceB while those who are more internally orientated are swayed by a credibleB e0pert source. &or e0ampleB )aneshvary and chwer J/<<<K refer to individuals with higher levels of education might be less influenced by any form of advertising than those with less educationB because education provides individuals with analytical skills allowing them to decipher information from several sources prior to making a purchasing decisionB making them less likely to purchase a product based on one source. &rom these findingsB one can infer that celebrity endorsement is most effective when consumers have the chance to interrelate with the celebrity. / /

C/(/90,.: +..0+7.,8/3/-$esearch point out that consumers tend to form positive stereotypes about attractive individuals and found that physically attractive communicators are more successful at changing beliefs J?aker and "hurchill 1955K and generating purchase intentions than their unattractive counterparts. (ccording to *rdogan J1999KB attractiveness does not mean simply physical attractivenessB but includes any number of attributes that consumers might perceive in a celebrity endorser> for e0ampleB intellectual skillB personality propertiesB lifestylesB or athletic prowess. (long with respondents in .ahle and 'omerSs study J1986KB they were more likely to buy an *dge raEor after seeing an attractive celebrity in a magaEine advertisement than an unattractive celebrity. 'oweverB as indicated earlier by both Till and ?usler J1998K and %hanian J1991K the endorserSs e0pertise is more important than physical attractiveness in affecting attitude toward an endorsed brand. MoreoverB himp J/<<<K believes that attractiveness alone is subordinate in importance to credibility and matches up with the audience and brand. Till and ?usler J1998K refer to Michael Mordan Jbasketball playerKB who is an attractive endorserB but his effectiveness is likely to be greater when endorsing products related to his athletic prowess such as ,ike or !atoradeB rather than products that are unrelated to athletic performance such as Forld"om communications. Mohnson and 'arrington J1998K point out those without doubt attractive celebrity endorsers positively improve attitudes towards advertising and brandsB but whether they are able to create purchase intentions is uncertain. Mc"racken J1989K suggests that a celebrity brings its own symbolic meanings to the endorsement process and proposes an alternative model.

E--/3.,+(- )1 7/(/90,.: /36)0-/2/3.*ven though to an observer it may seem that ,ike2s success is totally based on Tiger Food2s association with the brandB nothing can be far from the truth. (s a brandB ,ike has established a very strong brand identity and a brand personality over the years. Fhat ,ike did was to use celebrity endorsement as one of the main channels of communicating its brand to a highly focused set of customers. oB ,ike2s association with Tiger Foods was one of the parts of an entire branding process that ,ike has been practicing consistently. "ontrary to thisB most of the /3

brands in (sia that have used celebrity endorsements have used it as the main brand building tool. ?efore any brand signs on a celebrityB they should consider three main aspects. A..0+7.,8/3/-- )1 .;/ 7/(/90,.:$ This principle states that an attractive endorser will have a positive impact on the endorsement. The endorser should be attractive to the target audience in certain aspects like physical appearanceB intellectual capabilitiesB athletic competenceB and lifestyle. +t has been proved that an endorser that appears attractive as defined above has a grater chance of enhancing the memory of the brand that heGshe endorses. C0/6,9,(,.: )1 .;/ 7/(/90,.:$ This principle states that for any brand1celebrity collaboration to be successfulB the personal credibility of the celebrity is crucial. "redibility is defined here as the celebrities2 perceived e0pertise and trustworthiness. (s celebrity endorsements act as an e0ternal cue that enable consumers to sift through the tremendous brand clutter in the marketB the credibility factor of the celebrity greatly influences the acceptance with consumers. M/+3,34 .0+3-1/0 9/.B//3 .;/ 7/(/90,.: +36 .;/ 90+36$ This principle states that the success of the brand1celebrity collaboration heavily depends on the compatibility between the brand and the celebrity in terms of identityB personalityB positioning in the market vis1U1vis competitorsB and lifestyle. Fhen a brand signs on a celebrityB these are some of the compatibility factors that have to e0ist for the brand to leverage the ma0imum from that collaboration. *ven though these three major principles must be adhered to by companiesB practically it might be difficult to find celebrities that satisfy all these three conditions. )epending on the nature of the brand and the kind of product being usedB companies can selectively emphasiEe one factor over the other.

C/(/90,.: /36)0-/2/3.- @ D)?- +36 D)3?.(ll brands must be aware of some of the important aspects of celebrity branding as discussed below>

C)3-,-./37: +36 ()34-./02 7)22,.2/3.$ (s with brandingB companies should try to maintain consistency between the endorser and the brand to establish a strong personality and identity. More importantlyB companies should view celebrity endorsements as long1term strategic decisions affecting the brand. / 4

T;0// <0/0/C5,-,./- .) -/(/7.,34 7/(/90,.,/-$ ?efore signing on celebrities to endorse their brandsB companies need to ensure that they meet three basic prereHuisitesB namely the endorser should be attractiveB have a positive image in the societyB and be perceived as having the necessary knowledge Jalthough it might be difficult for a celebrity to meet all three prereHuisitesK C/(/90,.:@90+36 2+.7;$ "onsistent with the principles discussed earlierB companies should ensure a match between the brand being endorsed and the endorser so that the endorsements are able to strongly influence the thought processes of consumers and create a positive perception of the brand. C)3-.+3. 2)3,.)0,34$ "ompanies should monitor the behaviorB conduct and public image of the endorser continuously to minimiEe any potential negative publicity. %ne of the most effective ways to do this is to ensure that celebrity endorsement contracts are effectively draftedB keeping in mind any such negative events. S/(/7.,34 53,C5/ /36)0-/0-$ "ompanies should try to bring on board those celebrities who do not endorse competitors2 products or other Huite different productsB so that there is a clear transfer of personality and identity between the endorser and the brand. T,2,34$ (s celebrities command a high price tagB companies should be on the constant lookout for emerging celebrities who show some promise and potential and sign them on in their formative years if possible to ensure a win7win situation. B0+36 )8/0 /36)0-/0$ Fhen celebrities are used to endorse brandsB one obvious result could be the potential overshadowing of the brand by the celebrity. "ompanies should ensure that this does not happen by formulating advertising collaterals and other communications. C/(/90,.: /36)0-/2/3. ,- =5-. + 7;+33/($ "ompanies must realiEe that having a celebrity endorsing a brand is not a goal in itselfP rather it is one part of the communication mi0 that falls under the broader category of sponsorship marketing. C/(/90,.: ROI$ *ven though it is challenging to measure the effects of celebrity endorsements on companies2 brandsB companies should have a system combining Huantitative and Hualitative measures to measure the overall effect of celebrity endorsements on their brands. T0+6/2+0* +36 (/4+( 7)3.0+7.-$ "ompanies should ensure that the celebrities they hire are on proper legal terms so that they don2t endorse competitors2 products in the same product categoryB thereby creating confusion in the minds of the consumers. / 6

These guidelines are intended to provide companies a useful framework that they can use while deciding on the celebrities to endorse their brand. B5,(6,34 )3 .;/ ,2+4/ Understanding that they have a following in their field of pursuitB celebrities can and do sell products or services clearly linked with them. Fe have seen arah Ullmer promote sports clothing and *lle Macpherson sell lingerie. "elebrities can use their brand to e0tend their profile beyond their immediate area of interest. #aul ,ewman and salad dressings is an e0ample as is Marc *llis and orange juice. ( celebrity can ring fence the e0clusive rights to their nameB nicknamesB signature and likeness by trade mark registration. Many have done this. M%,(' -%MUB *--* M("#'*$ %,B ($(' U--M*$ and .($*, F(-.*$ are e0amples. Trade mark registrations can be secured for all goods and services the celebrity sells. ( celebrity can license the use of his or her nameB nicknameB signatureB or likeness to any business that is prepared to pay for the privilege. G),34 /8/3 150.;/0 ?ut it can be difficult for a celebrity to leverage their brand using products and services they produce. "elebrities realise that if they gain public acceptanceB their image can be used as a way to increase their profile. That profile can then potentially be e0tended to other brands. +ncreasingly businesses are looking at ways to associate their products and services with customers. ome say celebrities can help.

"elebrities e0ist in the minds of their audience in precisely the same way that corporate or &M"! brands do. The way customers perceive a celebrity is similar to the way they respond to other kinds of brand. The mention of a celebrity name conjures up a mental image. That image can be goodB bad or ugly but as long as it fits with the product or service being promotedB the synergy can work.

W;: 6) 95-,3/--/- 5-/ 7/(/90,.,/-D

( celebrity can help a business market itself in several ways. "elebrity endorsements help to distinguish a productB service or business in a crowded marketplace. "elebrity backing is especially effective with commodity type products or services 7where there is often little / :

difference between various offerings. "elebrity branding is also a way to build instant name recognition. ?y associating your product or service with a person whose name and face are already well1knownB you can Huickly achieve an awareness that might otherwise take many years of marketing. %ther benefits include brand e0tension> using a celebrity brand can open new revenue streams for your business. +t also enables the core business brand to introduce new features. T;/ 5<-,6/ "redibility is perhaps the most powerful contribution a celebrity can make to your marketing efforts. (t the coreB the appeal of a celebrity is his or her ability to influence what consumers buy. ?ecause of the celebrity2s image and valuesB instant credibility can be transferred to the products or services. omething you would have been hard1pressed to build on your own. ( customer is more likely to see a well1known face using your product in marketing campaign and think if it2s good enough for himB it2s good enough for me. K/: C5+(,.,/- ())*/6 1)0 ,3 + 7/(/90,.: +0/$ (ttractiveness "redibility
uccess *0pertise

%verall likeability ( celebrity must be identifiedB believedB liked and aspired to by the target audience. There must be an overlap of interests between the celebrityB his or her audience and the brand 1 otherwise the relationship won2t work. ,ot every celebrity fits every product or service. The brand must fit the name it represents and the name must represent the brand it endorses. !etting this right is critical. "lear winners are !*%$!* &%$*M(,. %nce known as a champion bo0erB &oreman was employed to endorse a grill sold by alton +nc. o successful was !eorge &oreman in selling the grillB other related products were add to the range. +n the end the &oreman fever led to alton +nc buying the name !*%$!* &%$*M(, and his likeness in /<<1 for U R135.6M. The business couldn2t live without him. / 5

ophisticated celebrity ranking inde0es now e0ist Jin some countriesK designed to help businesses looking for a ;celebrity2 to help them promote their goods or services. uch inde0es evaluate the sensed worth of a celebrity through a systematic and controlled method that resembles financial brand valuation and forecasting. The aim is to remove the ambiguity that surrounds celebrity appeal. The inde0 acts as a guideline for brand managers and advertising agencies to assess celebrities and calculate their relevance for a specific productB service or brand image before selecting them. ometimes reality differs from perception. T;/ 6)B3-,6/ Must as it offers uniHue potentialB celebrity marketing also carries some special risks. "elebrity endorsement is not all rosy. The biggest risk is the celebrity. "elebrities are peopleB and people are unpredictable. They have foibles and make mistakes 1 these could be badly associated with you and your brand. (s fame comes and goesB so goes the brand. #rompted by the concern that their own brand could be tarnishedB companies are sometimes Huick to drop celebrity endorsers if they come under fire. !uilt by association in a customer2s eyes describes it best. "hannel and ?urberry Huickly dropped .(T* M% snapped snorting cocaine. +f a business continues with the celebrity it may adversely affect the image of the brandB and thus sales. +f distance is put between the celebrity and the brandB huge costs can be spent on roping in the celebrity and changing or dropping advertisements and promotional material featuring the celebrity. (nother risk can arise when a celebrity decides to change their image resulting in a contradicting image to that of the brand they support. To work the celebrity brand must fit the demographic of your target market. (nother potential downside is the celebrity overshadows the brand they are promoting. "are should be taken to ensure that it is product or service brand that has the greater e0posure rather than the celebrity brand. T;/ <(+.1)02 / 8 after she was

-ike any relationshipB it works if it results in a win1win situation. Two brands are at issue. Cour brand and the celebrity brand. ?oth of you should be interested in making it successful. The basis of the relationship must be clearly worked out at the beginning. The business gains star or cult statusP the celebrity gets money and product or services. +n additionB the celebrity can use the e0posure to build their own brandsB increasing their own ranking as a desired brand. ?ut overe0posure of a celebrity can be an issue and this is something a business looking for a celebrity needs to be aware of. .nown as celebrity vamping the overuse of a celebrity in selling goods and services can harm a business. The public don2t like it. They become suspicious if the same celebrity is used to endorse multiple goods and services. The celebrity brand runs the risk of lacking the credibility it was picked for in the first place. (lsoB there are regulatory limits on using celebrities to promote certain products. ( new advertising code has been written setting guidelines about the use of celebrities to promote food in a way that undermines a healthy diet. +n today2s world of preoccupation with the lives and loves of celebritiesB one thing is clear. "elebrities can help promote your business. "elebrities can and do work as brands 1 and brands like celebrities. (lthough the short term results can be difficult to measureB use of a celebrity can yield long term benefits. +ncreased brand loyalty and brand eHuity from celebrity backing can eventually lead to higher sales turnover and brand value.

*ndorsements by celebrities have started since a long time. The very fact that their use has continued for so long is proof enough of its immense advantagesB but they have several disadvantages too. Fhen it comes to celebrity endorsementB the first brand that comes to the +ndian mind is that of -u0B the ?eauty ?ar of the tars. ince its inceptionB -u0 the brand has grown positioning itself thus. 'oweverB recently -u0 has tried to change its positioning from being a woman2s soap to being soap for men as well. ticking to its strategy of using celebrities to appeal to its target audienceB this time around it has used hah $ukh .han to endorse -u0. ?ut this time the response has been confusing. This paper attempts to find out if this strategy of -u0 has been successful or not. Fhat is celebrity endorsement= The use of celebrities in order to increase the sales andG or the recall value of a brand is called celebrity endorsements. The late S8<s saw the beginning of celebrity endorsements in advertising in +ndia. 'indi film and TI stars as well as sportspersons began encroaching on a territory that wasB until thenB the e0clusive domain of models. There was a spurt of advertisingB featuring stars like Tabassum J#restige pressure cookersKB Malal (gha J#an #aragKB .apil )ev J#almolive having "reamK and unil !avaskar J)inesh uitingsK. %f courseB probably the first ad to cash in on star power in a strategicB long1termB mission statement kind of way was for -u0 soapB a brand which hasB perhaps as a result of thisB been among the top three in the country for much of its lifetime. )etergents on the other hand ran the whole gamut from -alitaji 1 the antithesis of celebrity 1 to hekhar uman stepping into the lives of ordinary housewives.

I- ,. -2+0. .) 5-/ 7/(/90,.: E36)0-/2/3.-D

tarsB who are known to shape destiniesB cast an enormous influence. ,oB we2re not talking about astrology here. Fe2re referring to the powerful effect of celebrities on destinies of brands. %ne approving nod from a famous face can translate into millions in brand sales. #erhaps that2s why 3<

the world overB companies have been using stars to endorse everythingB from food to food chainsB from soft and hard drinks to health drinksB from clothes and accessories to cars Jand the tyres on which they runK. *ven political parties are awestruck by the charisma of stars. uch is the magnetism of celebrities in this country that in the recent general electionsB major political parties fielded a record number of film stars and cricketers to contest from important constituencies around the country. "elebrity endorsements are very e0pensive. Therefore their use in an ad should be justified. +n other wordsB the message strategy for a brand should strongly warrant the use a known face in an idea. adlyB very often the celebrity is hired first and an idea is then weaved around his or her presence. ( celebrity2s presence in the ad should be conte0tual. Fhen cricket player achin Tendulkar declaresB ?oost is the secret of my energyB it doesn2t seem out of conte0t. +nternationallyB ,ike2s association with Michael Mordan is legendary and also logical. "elebrity endorsements work best when the celebrity is not introducing the brand. Fhen the product already has a strong identity and a U # that is well establishedB then a celebrity can come in and give the brand an added fillip and generate some more interest value. 'oweverB what is of paramount importance is to find a complete fit between the values of the brand and the values of the celebrity. %ne needs to create a uniHue situation or story that links the celebrity to the product. "elebrity *ndorsements as a strategy igning up stars for endorsements is a time1tested strategy and has been effectively used by some of the top brands in the world including ,ike and #epsi. +n +ndia tooB '-- has used 'indi film stars to endorse their beauty soap -u0 since the fifties. IimalB Thums UpB !walior and )inesh are some of the other brands that used star1appeal in the early days of mass advertising. (nd who can forget .apil ;#almolive2 )ev= tar endorsements have several benefitsB key among them being building credibilityB fostering trust and drawing attentionO any or all of which can translate into higher brand sales. o how does one decide whether to put a celebrity in an ad= +deallyB this should be dictated by the communication idea. "elebrity endorsements should be used when the case is justified. There are many cases where you need to use the celebrity to break out of a category clutter. (t times celebrity endorsement is used to build credibility to the brand offer. Most e0perts concur thatB when used judiciouslyB celebrity endorsements can be an effective strategy. (nd there are many e0amples of good and bad use of celebrities. (ctor (mitabh 3 1

?achchanB who has been used by some companies like #arker #ens and +"+"+ 'ome -oans remarkably well while some others have been unable to e0ploit his ?ig ? status too well. hah $ukh .han2s endorsement of 'yundai antro too seems to have worked well. +n a test of the match up hypothesisB .amins J199<K demonstrated that the positive impact of a celebrity endorser depends in part on proper fit between the celebrity and the product. ome evidence even suggests that Fall treet values the use of celebrity endorsers 1 (grawal and .amakuraSs J1996K analysis of stock price movements showed that press releases announcing celebrity endorsement contracts resultedB on averageB in a .44Q e0cess return. CetB there are some who don2t have much conviction in star endorsements. ome people think that to be really successfulB a brand needs to have a strong identity of its own. +t should ideally not piggyback on the identity of a celebrity and hope to achieve success. "elebrity endorsements are capable of manifesting both favorable and adverse effects for the brands with which they associate. -et2s analyEe both.

S,E 5-/- )1 C/(/90,.: E36)0-/2/3.-

E-.+9(,-;/- C0/6,9,(,.:$ (pproval of a brand by a star fosters a sense of trust for that brand among the target audience1 this is especially true in case of new products A..0+7.- A../3.,)3$ "elebrities ensure attention of the target group by breaking the clutter of advertisements and making the ad and the brand more noticeable A--)7,+.,8/ B/3/1,.$ ( celebrity2s preference for a brand gives out a persuasive message 1 because the celebrity is benefiting from the brandB the consumer will also benefit. P-:7;)40+<;,7 C)33/7.$ tars are loved and adored by their fans and advertisers use stars to capitaliEe on these feelings to sway the fans towards their brand. )emographic "onnect> )ifferent stars appeal differently to various demographic segments JageB genderB classB geography etc.K. M+-- A<</+($ ome stars have a universal appeal and therefore prove to be a good bet to generate interest among the masses. 3 /

(ssociating a brand with a top1notch celebrity can do more than perk up brand recall. +t can create linkages with the star2s appealB thereby adding refreshing and new dimensions to the brand image. +t can also create media and promotion opportunities that sweep the consumer off her feet. $esearch conducted by .atherine *ckelB professor of economics at U. . Iirginia TechB has revealed that celebrities or ;higher status agents2 can get people to make a better choice but cannot influence ;people to make a foolish choice2. +n +ndia todayB the use of celebrity advertising for companies has become a trend and a perceived winning formula of corporate image1building and product marketing. This phenomenon is reflected in the recent market research finding that 8 out of 1< TI commercials scoring the highest recall were those with celebrity appearances. ( few e0amples> achin Tendulkar1(didasB ourav !anguly1?ritanniaB -eander #aes and Mahesh ?hupati1M. 'ampsteadB hah $ukh .han1 #epsiB ushmita en1*pson and (ishwarya $ai1"oke. The effectiveness of the endorser depends upon the meaning he or she brings to the endorsement process. There is a three1stage process of meaning transfer which involves the formation of the celebrity imageB transfer of meaning from celebrity to brand and finally from brand to consumer. This is what leads to effective celebrity advertising. The selection of a celebrity for a brand is done primarily on the basis of a marketing brief prepared either by the corporate or the advertising agency. %nce the relationship between the briefB the brand and the celebrity is establishedB the association is accomplished. &or e0ampleB when . .umar was to launch its new range of readymade garmentsB TamariindB there was the realiEation that one brand of apparel couldn2t be very different from the othersB and what would make the difference was the packaging. o in came teen heartthrob 'rithik $oshan. The brand personality of Tamariind matches that of 'rithik D Tamariind being a new brand and 'rithik the new heartthrob. The idea behind Tamariind is the ;flavour you wear2 D a brand catering to the fun1loving and adventurous youth. (nd the ambassador chosen is a successful and e0tremely e0citing personality D a youth icon of today2s times. o the marriage is apt and justified. The best advertising comes from a deep understanding of the consumer and how heGshe connects with your brands. ThereforeB the jhatka of Mirinda needs a personality with a sense of humour. That2s !ovinda and (mitabh for you. 'oweverB there2s one fact that advertisers using celebrity endorsements need to keep in mind D never let the celebrity become your brand. +n doing soB one runs the risk of killing the brand no sooner has the hype and hoopla around the celebrity 3 3

faded. ( classic e0ample of the above is )inesh

uitingsB where

unil !avaskarB the brand

spokespersonB was allowed to rule the brandB thus becoming bigger than it. ,o sooner had the association ceased than the brand lost its identityB thereby creating confusion in people2s minds. ThereforeB the use of a celebrity must be proportionate to the objective. +t is also important for one to be completely clear about why a brand should use a celebrity. +s it to boost sales or to boost image= %r is it just to keep the brand alive= +f the objective is increase of salesB the celebrity should be used for short1term promotions and brand activities. J( classic e0ample is the $ani Mukherjee campaign for ?ata which is believed to have helped boost sales for the ladies2 footwear brandB undropB by a whopping 6<< per cent.K +n the event of an image1 building e0erciseB the celebrity can be used for a longer period of timeB so that the brand can derive the benefit of the celebrity2s image on its own. The association of ushmita enB e01Miss UniverseB helped the brand *pson achieve instant recognition in the computer printer categoryB even with established giants like 'ewlett #ackard and Fipro in the running. To concludeB one must not rely too heavily on the fame of the celebrity. %ne must look more for the genre of consumer that heGshe representsB as eventually all celebrities are what they are because of a set of consumers thinks they are that way. These celebrities represent the aspirational values that the consumer wants to articulate. -astB but not leastB one must build the brand not on a transient celebrity but an enduring one.

W;/3 ,. 6)/-3?. B)0*D

+n the last decade or soB there has been a spurt in the use of celebrity endorsements. (nd with itB there has been an increase in the number of instances of brands failing to take off in spite of the biggest and brightest stars endorsing it and conseHuently leading to speculation about the soundness of celebrity endorsements as a communication strategy. Many celebrity endorsements fail because they identify a celebrity they like in an emotive and un1researched mannerB and then try to create advertising to force1fit the celebrity into the creative concept. %ftenB the finished advertising is at best contrivedB and oftenB simply laughable. +n the endB the brand suffers from a mismatched concept and celebrityB and millions of dollars are flushed away There are several reasons why celebrity endorsements fail to produce the desired effectB and each of them has to more to do with the core communication strategy and less with the celebrity2s pull. "elebrities cannot really be blamed if their endorsements fail to push up the brand sales. +ndeedB for it is 3 4

important to recogniEe that celebrities can create interest 1 whether that interest converts into sales depends on various factors such as brand1celebrity disconnectB improper positioningB clutter of celebritiesB or even product life1cycle. (s advertisers pour crores of rupees every year into celebrity advertisingB the Huestion arisesO is it worth all the money and the headaches of coordinating stars and managing their tantrums. Think of achin Tendulkar. 'e means #epsi in soft drinksB ?oost in malted beveragesB M$& in tyresB &iat #alio in carsB TI Iictor in two1wheelersB "olgate Total in toothpastesB ?ritannia in biscuitsB Iisa in credit cardsB (irtel in mobile services and ?and1aid. "learlyB an overload of brands and categories associated with one star.

S) B;+. /E+7.(: ,- .;/ 0,4;. </0-)3+(,.:D

+t2s one that can personaliEe your brandB is in sync with the productGservice and is the perfect match for it. "elebrity endorsement is a serious businessB and if used effectively could have a lasting impression on the brandB its activities and its image. $ight from .apil )ev2s ;#almolive ka jawaab nahin2 to the most recent sensational association of 'rithik $oshan with TamariindB celebrities have done wonders for brand recall.

F,8/ 7+5-/- )1 (/.6)B3

+t2s worth going over some of the reasons why celebrity endorsements may not work> I2<0)</0 <)-,.,)3,34$ (ssociating with a starB however big he or she may beB in itself does not guarantee sales. The most it can do is generate interest in the product or create a buEE around it. Take the case of Maruti IersaB which was launched amidst a lot of fanfare about three years ago. +n spite of Maruti signing up superstar (mitabh ?achchan and his son (bhishek ?achchan as brand ambassadors for IersaB the brand2s sales remained sluggish. To be fairB the ?ig ? magic did work and the ads created significant interestB drawing people into the showroom. ?ut perhaps the positioning itself was faulty as people were e0pecting a larger than life carB just like the brand2s ambassador. -ast yearB we saw Iersa being re1positioned as a family carB with the core proposition beingB the joy of traveling together. MarutiB Iersa has started doing well and has witnessed an upswing since the new positioning. -ast yearB the average sales were 8<11<< vehicles a month. ,ow they are selling 46< vehicles a month. 3 6

B0+36-7/(/90,.: 6,-7)33/7.$ +f the celebrity used represents values that conflict with the brand values and positioningB the advertising will create a conflict in the minds of the target audience who may reject the proposition. Take for instance ToyotaB one of world2s leading auto companies. Toyota chose teeny1pop singer ?ritney pears for its brand oluna IiosB a family sedanB which is preferred by married men and women with children.

C(5../0 F(5../0$ +n recent timesB there has been such a deluge of celebrity endorsements that it has led to the very clutter that it aimed to break. &or instanceB (mitabh ?achchan endorses or has endorsed #epsiB +"+"+B ?#-B #arker pensB ,erolacB )aburB $eid A TaylorB Maruti IersaB "adbury and a few social messages too. ?ollywood badshah hah $ukh .han endorses %megaB Tag 'euerB #epsiB 'yundaiB "linic (ll "lear and (irtel among other brands has to his credit more television commercials than feature films since 199/. This over1e0posure can be bad for the brand. *ach celebrity is called upon to push maybe a doEen brands or so. Fhich is great for the celebrity but it is pretty daft for the brand because the impact of the celebrity reduces as the number of brands him endorses increases. Unfortunately in +ndiaB we have too many brands chasing too few celebrities. (nd the recall value drops by a huge margin when you move from an ( "lass celebrity to a ? "lass.

D,--+.,-1+7.,)3 B,.; <0)657. </01)02+37/$ Cou cannot sell an ordinary product just by making a celebrity endorse it. +n factB if anythingB the product will fail faster because the presence of the celebrity will create a buEE and more people will know about the ordinariness of the product. Unfortunately using a celebrity seems to be the easy way out of a parity product situation. achin Tendulkar2s endorsement of &iat #alio was Huite a success initially. ?ut as word about the poor fuel efficiency of #alio spreadB its sales took a beating. +n this caseB achin2s presence could2ve worked wonders but for the poor performance of the car in a market that is highly performance conscious.

C)315-,)3F S*/<.,7,-2$ The use of celebrities can be confusing. ome viewers forget brand that a celebrity is approving. %thers are so spellbound by the personality of the celebrity that they completely fail to notice the productGbrand being advertised. The brand is overshadowed in the overwhelming presence of the star. +n some casesB a celebrity can give rise to skepticism because 3 :

it might be a bit too much for the masses to believe that the celebrities who are rich and can afford the best in the world are actually using a mass product being advertised on television. %n the contraryB people might speculate about such things as how much did the brand pay to rope himG her in as the brand ambassador=

Theres one fact that advertisers using celebrity endorsements need to keep in mind never let the celebrity become your brand. In doing so, one runs the risk of killing the brand no sooner has the hype and hoopla around the celebrity faded.

R,-*- +--)7,+./6 B,.; C/(/90,.: E36)0-/2/3.&ame is a fickle and fleeting companion and can ditch the famous at the slightest provocation. "elebritiesB being humanB make mistakes. ?ut their mistakes get as much attention as their celebrity status and this can adversely affect the brands that they are endorsing. There are a number of e0amplesB both +ndian and +nternationalB where scandals and scams involving celebrity endorsers have caused embarrassment to the brands they endorse. "ompanies have to make Huick decisions when one of their endorsers comes under fire or their own image could be tarnished. !uilty by association in a consumer2s eyes describes it best. +f a brand continues with the celebrityB it may adversely affect the image of the brand and conseHuentlyB brand sales. +f the brand chooses to distance itself with the tainted celebrityB the huge costs spent on roping in the celebrity and making of the ads may go down the drain and even then the association of the brand with the celebrity might by then be so ingrained that the damage is already done.

C)3-52/0 9/;+8,)0 .)B+06- C/(/90,.: E36)0-/2/3.$

"onsumer behavior can be defined as activities people undertake when obtainingB consumingB and disposing of products and services. imply stated consumer behavior is the study of why people buy. tudying this behavior is important because when more is known about why people shop and buy certain productsP the easier it becomes to develop strategies to influence consumers 3 5

to buy. More recentlyB researchers are e0panding their scope of research from why people buy= (nd how people consume= (nalysis of consumption behavior represents a broader conceptual framework than buyer behavior does because it includes factors that arise after the purchase process occurs J?lackwell et al.B /<<1K. UltimatelyB consumers decide with their money which companies will be successful and which ones will fail. "onsumes have the power to make or break products. #roducts and services are accepted or rejected on the basis of the e0tent to which they are perceived as relevant to needs and lifestyles. +ndividuals are fully capable of ignoring everything the market has to sayB they are also capable of buying everything they like. "onsumer behavior is an applied science drawing from economicsB psychologyB sociologyB anthropologyB statisticsB and other discipline. To understand consumer behaviorB researchers must learn what is going on in consumers2 heads. They must understand not only why consumers behave the way they doB but also apply that knowledge to product developmentB advertisingB retailingB and other areas of marketing. There are several ways in which researcher2s measure consumer behavior. ome conduct

e0periments to determine changes in buyer behavior using focus groupsB conducting interviewsB or administering HuestionnairesB others might e0plore store settings or people2s home to better understand how consumers use products or invent ways to solve problems. (ll studies have one goal in mind and that is to learn more about the consumer and how their mind works. There are many variables that affect consumer behaviorB such as ageB incomeB genderB geography and personality. *very consumer is different and because of thatB marketers and advertisers must get consumers to think about their productB so they will go out and buy it. The more comfortable a consumer feels towards the advertiser and Gor the marketerB the more likely the consumer is to buy that specific product. There are also many ways to measure consumer behavior. 'ow is this done= Measuring attitudesB purchase intentions and product beliefs are the most common. (ttitude research in consumer behavior field traditionally assumed that attitudes were learned in a fi0ed seHuenceB consisting first of the formation of beliefs JcognitionK regarding an attitude objectB followed by some evaluation of that object JaffectK and then some action JbehaviorK. The consumer2s level of involvement in the object also plays a key role on how they form their attitudes. Multi attribute models are very popular among researchers to measure attitudes because they help break down the comple0ity of attitudes. 3 8

A..,.56/ .)B+06 .;/ A68/0.,-/2/3.

(d is defined as a predisposition to respond in a favorable or unfavorable manner to a particular advertising stimulus during a particular e0posure situation. (ccording to ?aker and -utE J1988KB (d may contain both affective reactions Jad1created feelings of happinessK and evaluations Jan ad2s credibility or informative nessK. The advertising function for (d is not directed at specific products2 attributesGbenefitsB and the objective is not to influence consumers2 beliefs toward the brand per se. The direction is instead directed towards creating a favorable attitude toward the advertisement in order to leave consumers with a positive feeling after processing the ad. There are two distinct dimensions of (dB one cognitive and the other emotional. *motionallyB consumers form attitudes toward the ads by consciously processing e0ecution elements Jcomponents found in advertisementsB such as the endorserB presentation styleB color useB and titleGfont presentationK. "ognitivelyB consumers form attitudes resulting from the conscious processing of specific e0ecution elements in the adB such as the endorserB the copyB the presentation style etc. imply statedB (d may result because the ad evokes an emotional responseB such as a feeling of loveB joyB nostalgiaB or sorrowB without any conscious processing of e0ecution elements. These two dimensions may have different impacts on consumers2 attitudes. Mitchell and %lson J1981K conducted an innovative study that posed the Huestion are product attributes the only mediator of brand attitude= They found that brand attitudes are not solely a function of the attribute beliefs that are formed about the brandB but also may be influenced by consumers2 general liking for the ad itself or the visual stimulus presented in the advertisement.

A..,.56/ .)B+06 .;/ B0+36

(ttitude toward the brand J(?KB attempts to influence brand choice by engendering favorable consumer attitudes toward the advertised brand. This concept is achieved by structuring ads to influence consumer2s beliefs and evaluations regarding the favorable conseHuences of consuming the brand. (? includes beliefs formed from the ad brand attribute information and inferences based on ad picture content. (? mediates the impact of the (d on intentions in two waysB indirectly or directly. +ndirectly (d has an impact on (?P thereforeB (? affects the consumers2 intentions. ThusB (?B which includes beliefs formed from brand attribute information and inferences based on ad picture contentB mediates the impact of (d on 39

intentionD there is no direct (d1intention link. )irectlyB (d and (? have separate influences on consumers2 intentions. &orming overall brand evaluationsGintentions may be relatively more time consuming and effortful for the consumer to do than making a choice. "hoices may be formed for one or for several alternatives without a decision actually being made from any of the consumers2 attitudes toward the brand. To make choicesB consumers may use many types of processes to eliminate certain brands early in their processing by simply comparing the brands. The consumer could choose a brand without differentiating between different brands on the basis of (? or even without ever forming an overall brand attitude. This concept implies that (? formation may not necessarily be a precursor of brand choice. )irect (d effects toward brand choice may occur in other ways. Fhen one brand is clearly superior to the other brand based on this processingB (d may not directly affect brand choice. (ny influence the brand choice has may be indirect via its impact on the acceptance of ad information and the formation of brand beliefsB which are then incorporated in (?. 'oweverB if two brands are perceived to be very similar overallB it may be difficult for the consumer to discriminate between them. +f consumers wish to choose the best brandB they may possibly consider other relevantB brand1related informationB such as advertisement reactions. ThusB ad liking may have a direct effect on swaying the consumer2s choice between two or more similar brands. Iery little research has been done that e0amines (d and its effects either directly or indirectly on brand choice.

4 <

4 /

4 3

4 4

TABU LATION AND ANALYSIS

". Y)50 +4/ ,-

'. I <+: 2)0/ +../3.,)3 .) .;/ +68/0.,-,34 )0 <0)2).,)3 )1 + 90+36 .;+. 1/+.50/- 7/(/90,.,/-

1 10 17 A 7 B C D E 66

(1 trongly agree J1<K ?1 (gree J::K "1 ,ot sure J5K )1 )isagree J15K

4 6

*1 trongly disagree J1K

%. C/(/90,.:F90+36 7)3405/37: (1,.F2+.7;-5<) ,- ,2<)0.+3. 1)0 7/(/90,.: /3 6)0-/0- )1 + <0)657.

11

11

A B C D E 76

(1 trongly agree J11K ?1 (gree J5:K "1 ,ot sure J3K )1 )isagree J11K *1 trongly disagree J<K

. A..0+7.,8/3/-- (<;:-,7+( +.. 0+7.,8/3/--, (,*/+9,(,.:, </0-)3+( <0)</0.,/-, (,1/-.:(/ 7;+0+7./0,-.,7, </07/,8/6 ,3./((/7.5+( -*,(() ,- ,2<)0.+3. 1)0 7/(/90,.: /36)0-/0- ) 1 + <0)657.

4 :

3
19

7
A

B C
12

D 60 E

(1 trongly agree J5K ?1 (gree J:<K "1 ,ot sure J1/K )1 )isagree J19K *1 trongly disagree J3K G. I .;,3* + 7/(/90,.: 7+3 ;/(< 6/(,8/0 .;/ 2/--+4/ 9/../0 .) ,.- .+04/. 75-.)2/0

1 1 8
20

B C D E 71

(1 trongly agree J/<K ?1 (gree J51K "1 ,ot sure J1K )1 )isagree J8K 4 5

*1 trongly disagree J1K H. W;/3 .;/ <0)657.- 10)2 .B) 90+36- +0/ -,2,(+0, I <0/1/0 .) 95: .;/ )3/ B,.; 7/(/90,.: /36)0-/0(-)

6 3 A
35 B

C 42 D E 15

(1 trongly agree J3K ?1 (gree J36K "1 ,ot sure J16K )1 )isagree J4/K

*1 trongly disagree J:K

&. I <0/1/0 7/(/90,.:-/36)0-/6 <0)6 57.-

4 8

14 5
A B 42 38 C D E

12

(1 trongly agree J6K ?1 (gree J38K "1 trongly disagree J1/K )1 disagree J4/K *1 (gree J4K I. T;/ 3/4+.,8/ ,31)02+.,)3 )1 .;/ 7/(/90,.: /36)0-/0 B,(( +11/7. 2: +..,.56/ +36F)0 </07/<.,)3 .)B+06 .;/ 90+36 9/,34 /36)0-/6

2 A 26 B C D

53

13 E

4 9

(1 trongly agree J/K ?1 (gree J/:K "1 ,ot sure J13K )1 )isagree J63K *1 trongly disagree J5K #. C/(/90,.: /36)0-/2/3. 7+3 ;/(< 6/1,3/ .;/ 90+36 ,2+4/

2 10 6 A B C D E

10

73

(1 trongly agree J1<K ?1 agree J53K "1 ,ot sure J:K )1 )isagree J1<K *1 trongly disagree J/K "!. W;,7; )1 .;/ 1)(()B,34 6) :)5 .;,3* 7/(/90,.: /36)0-/2/3. 7+3 9/ MOST /11/7.,8/D

6<

18 8
19
A B

65

( ? " ) * 1 7

15

61

*1 trongly disagree J:K "'. I1 6,-(,*/ .;/ 7/(/90,.:, 2: </07/,8/6 +..,.56/ .)B+06 .;/ 90+36(-) /36)0-/ 6 B,(( ;+8/ + 3/4+.,8/ ,31(5/37/

5 27
22

A B C 4 D E 43

(1 trongly agree J6K ?1 agree J//K "1 ,ot sure J4K )1 )isagree J43K *1 trongly disagree J/5K

6 /

C)37(5-,)3 J R/7)22/36+.,)3$
+n broad terms one can conclude that endorsement does workB consumers do respond to an endorsement of a product by a celebrity. The fact of associating a product with a well1known individual acts to increase the positive view of the consumer. The potential benefits from endorsement for the brand owner are clearB so long as the links are indisputable and match links in the consumerSs mind. tudy says that endorsement is successfulB when the properties of the celebrity are made the properties of the endorsed product. +n additionB research suggests that simple attractiveness is insufficientB since an endorserSs e0pertise is more important than physical attractiveness in affecting attitude toward an endorsed brand. MoreoverB e0pertise has been proved to have a significant and direct effect on attitudes and behavioral intentions. 'oweverB celebrity endorsement is a high1riskB high1reward strategy and the risks of celebrity endorsement are well documented. The celebrity may lose their public appeal or do something that undermines the endorsement. This study tried to propose alternatives to avoid the implications. ThereforeB both the brand owner and the endorser need to be clear about the objectives of the endorsementB the risks associated with that endorsement and the promotional needs of both parties to the deal. %n the other handB nowadays due to theseB sometimes e0clusive agreements can lead consumers to overt distrust about their motives. The main constraint on the effectiveness of endorsement is the e0tent to which the customers have the opportunity to interact with the endorser and the degree to which those consumers see the product advertised as connected to the activities of that endorser. +n additionB if the constraint is mirrored by the largest part of the target market then one has to Huestion whether endorsement is appropriate. 'oweverB the opposite situation suggests clear benefits from celebrity endorsement. The consulted marketing e0perts stress the importance to obtain a sympathetic fit between the product and the personality so that the celebrity can represent the brand2s valuesB attributes and Hualities. &urthermoreB they take the view that for celebrities to be effective in advertisingP their selection must be based on their familiarity to the marketB the nature of their appeal and the credibility of the celebrity in the consumers2 eyes. +n additionB the majority note that the celebrity endorser is most effective when recogniEed attributes of the endorser match up with the attributes of the product. +t was also believed that this would minimiEe inappropriate attributes of the endorser and avoid that product attributes are not overshadowed by the celebrity. (lthoughB the 6 3

celebrity was seen as biased due to close connections with the productGbrand and perceived as less trustworthy and less objective. +t is proposed that the celebrities will favorably influence consumerSs attitudes and behaviours toward the products they endorse. &urthermoreB the study states thatB attitudes and perceptions of products are enhanced by celebrity endorsersB though not all brands or all celebrities effectively complement each other.

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