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Investigating Antecedents and Consequences of Celebrity Endorsement. A Case Study For FMCG Sector in Pakistan
Investigating Antecedents and Consequences of Celebrity Endorsement. A Case Study For FMCG Sector in Pakistan
Abstract:- The aim of the research was to identify the reasons exist behind Celebrity
Endorsement Strategy and to highlight its outcome for Brands of FMCG sector of Pakistan.
Celebrity Endorsement strategy is new strategy that is now being aggressively used by different
brands to promote their products. The purpose of study is to give information to those
individuals or organizations that are unaware of the emerging trend of Celebrity Endorsement
Strategy and its effects on Brands profitability. Study implied Qualitative Research design in
which 20 face to face interviews were conducted from Marketing Graduates belonging to
different universities of Lahore. Reason of choosing these particular group of individuals as
target respondents of the study was that they were easily approachable and had intense
knowledge regarding Celebrity of Endorsement strategy. Data was gathered by recording
videos of conducted interviews from respondents. Open ended questions were asked from
respondents to take their opinion regarding Celebrity Endorsement strategy. Data was analyzed
by using different Qualitative Techniques in Nvivo software to analyze and extract logical
interpretation from gathered information. Developed positions for the present study was proved
by providing theoretical and empirical evidence. The study identified 15 different factors that
can be categorized as Antecedents and Consequences of Celebrity Endorsement strategy which
includes Positive Purchase Intention , Positive Purchase Decision, Customer Loyalty, Customer
Repurchase Behavior ,Positive Customer Perception , Increased Customer Trust, Customer
Motivation , Better Customer Segmentation , Improved Communication, Improved Sales ,
Increased Profitability ,Brand Recognition , Positive Brand Image, Effective Brand Positioning,
Product Differentiation and Effective Marketing Strategy. From different Qualitative techniques
that were used in the present study it was interpreted that Positive Brand Image , Brand
Recognition , Product Differentiation are major factors of Celebrity Endorsement Strategy
where as Better Segmentation, Improved sales and Buying Motivation were interpreted as less
critical factors of Celebrity Endorsement strategy.
Key Words:- Celebrity Endorsement (CE) , Brand Image (BI) , Brand Recognition (BR),
The article written by (Chan et al , 2013) highlighted the impact of Celebrity Endorsement on
Brand Image among Chinese adolescents. The article discusses the perception of adolescents
regarding celebrity endorsement strategy. The study conducted the focus group among 76
Chinese adolescents having age between 13 to 19 to define the most appealing elements of
advertisements endorsed by a famous celebrity. Interviewees were also asked to tell that how
celebrity endorsed advertisements work. The elements which were identified by interviewees to
be the effective elements about celebrity endorsed advertisement which helps them recall the
advertisement is that how attractive , expressive and funny is the celebrity being endorsed in the
advertisements. Other elements which were highlighted by focus group participants which can
make advertisement more effective is that to what extent the celebrity being endorsed is popular,
how a good self image he has among his followers and to check the congruence between the self
image of a celebrity being endorsed with the brand. Majority of the participants agreed to the fact
that Celebrity Endorsement increases awareness of the brand , grabs the attention of celebrity’s
followers and increases the purchase confidence.
(Knight and Hurmerinta , 2010) wrote qualitative research article to study meaning transfer of
Celebrity Endorsement strategy in real life context. After detailed review of Celebrity
Endorsement and Brand Alliance articles, The study proposed that celebrity endorsement
strategy should be considered as Brand Alliance where values can be transferred from one
partner to another. The study implied exploratory research method to explore different processes
that can provide evidence to come up to the fact that Celebrity Endorsement should be
considered as Brand Alliance. There were 2 cases named Sainsbury’s Supermarket Ltd and Chef
Jamie Oliver that were deeply analyzed to carry forward this study. The article proposed the
model for meaning transfer process to establish relationship of Celebrity Endorsement strategy
with Brand Alliance.
(Bergkvist & Zhou, 2016) studied the Celebrity Endorsement strategy by using narrative
approach which focused on psychological processes and effects attached with Celebrity
Endorsement strategy. The study gave new direction and approaches to study Celebrity
Endorsement by proposing six areas of research. The key areas that were identified in the article
were Celebrity Prevalence, Campaign Management, Financial Effects, Celebrity Persuasion,
Non-evaluative meaning transfer, and brand-to-celebrity transfer.
Problem Statement:- What are the Antecedents and Consequences of Celebrity Endorsement
Research Gap:- Research Gap of the present study is that no particular research has been done
in order to investigate the Antecedents and Consequences of Celebrity Endorsement strategy for
FMCG sector of Pakistan. Research has contributed to give organizations clear evidence of the
possible outcome of Celebrity Endorsement strategy.
Research Objectives:-
Research Design:- Case Study Research design has been implied to carry forward study as
Case Study Method is helpful to investigate a real life phenomena by taking benefit from
multiple source of evidence. It is in depth analysis of individual unit and helpful in answering
“What” and “How” Questions. The major aim of research was to explore antecedents and
consequences of implementing Celebrity Endorsement strategy for FMCG sector in Pakistan.
The aim of research was to explore and address the real facts behind implementation of
Questions:-
Propositions:-
Unit of Analysis:-
Unit of Analysis for present study is “Organization” belonging from FMCG sector of Pakistan.
Those organizations who are implementing Celebrity Endorsement strategy are being taken into
consideration to explore the general facts regarding Celebrity Endorsement strategy. The aim of
research is to explore the reasons that Why companies use Celebrity Endorsement strategy and
What are its outcome ? Unit of Analysis would be known as Organization because they are being
Data Collection:- Data has been collected for this research by conducting 20 Face to Face
interviews were recorded to analyze the information gathered from different respondents. The
purpose of study was to investigate Antecedents and Consequences of Celebrity Endorsement
Strategy so for that purpose Marketing Graduates were selected as target respondents because
they have better knowledge regarding Celebrity Endorsement strategy, they were easily
approachable for conducting interviews and also the fact that most of them are the target
audience of major brands so they identified the real facts behind celebrity endorsement strategy
which no other individual could be able to do. Face to Face interviews were helpful to gather as
many information as possible from each individual which gave each individual maximum
opportunity to express his own opinion and ideas by feeling comfortable sitting alone in front of
an interviewer rather than focus groups where majority of respondents are hesitant to express
their opinions. Time duration for each interview was around 10 to 15 minutes. Open ended
questions were asked from target respondents which were quite helpful in extracting different
Sample Characteristics:-
42.86% 17.41 %
10.50 %
29.23 %
Interviews were conducted from respondents belonging from different universities of Lahore. All
the respondents were Marketing Graduates and have been characterized according to gender,
colleagues and general population who were being interviewed to gather information to carry
Data Analysis:- Data was analyzed by using Nvivo software as it is quite helpful for data
arrangement and analysis. Nvivo software was used to conduct different Qualitative Analysis
techniques which included Word Frequency Analysis Techniques , Cluster Analysis, Thematic
Analysis and Transcribing Video Recorded Interviews. These techniques were quite helpful to
observe and analyze the different opinions gathered from target respondents. Visualization can
clearly express the complex information into organized form that was the reason of applying
different techniques in Nvivo software to analyze data visually and observe its relationship with
other factors. Word Tag Cloud was quite helpful to explore and analyze the factors and
outcomes of Celebrity Endorsement strategy by observing the repetition and frequency of word
being spoken in recorded interview. Different graphs including Tree map were used to analyze
Conceptual Model:-
Antecedents Consequences
Celebrity Endorsement
Differentiation of
Brand Recognition
Substitute Products
Increased
were made to conduct the present study after reviewing different literature available on Celebrity
Endorsement strategy. The conceptual model is added to clarify the direction in which present
research is being done. According to our assumptions we have categorized different factors into
companies implement this strategy. First of all the most basic reason or factor due to which
companies implement Celebrity Endorsement strategy is to create awareness among masses and
they do it by using self image of famous personalities of the society so “Brand Awareness” is
one of the factor due to which companies implement Celebrity Endorsement strategy. Other
has launched new product and they want to introduce it in the market they would endorse
Celebrity to advertise their product to give a feeling to their consumers that after using this
particular product they would be able to increase their self image in the market and would get
new brands which have to introduce themselves in the market against so many competitors they
build up their recognition through the famous personalities of the society as they have major fan
following in the market. Other part of Conceptual model is the consequences which includes the
possible outcome of Celebrity Endorsement strategy. Through different theoretical and empirical
evidence we have come up to the fact that Celebrity Endorsement helps organization to build up
a positive brand image in the market because Celebrities are the people who are famous and
people trust them, love them and follow their life styles so Organization endorse them in their
advertisement to build up positive Band Image. Celebrities help brands to increase their
profitability because people gets motivated to purchase that product which is being endorsed by
the Celebrity as they perceive that Celebrities also use this product and they would look good
just like Celebrity after buying that product. Celebrities also help Brands to differentiate their
product from other brand after building up a certain image for the brand that is completely
Results:-
Word Tag cloud basically depicts the words that were being spoken repetitively according to
their font size. In Figure 1 it is clearly evident that Brand Recognition , Positive Brand Image,
Communication, Celebrity Values are perceived to be factors or reasons due to which Celebrity
Endorsement Strategy is implemented by different brands. Larger text font shows that word has
been spoken repetitively which depicts that majority of respondents agrees to the fact that this
Analysis:-
According to our target respondent’s opinion Celebrity Endorsement strategy helps brands to
build positive Brand Image in the market. Consumers can easily recognize brands after Celebrity
is being endorsed. Substitute Products can easily be differentiated after implementing Celebrity
Endorsement strategy. Brands can be able to improve their sales and increase their profits after
endorsing Celebrity. All above mentioned factors are considered to be the possible reasons and
Analysis:-
Positive Brand Image, Product Differentiation , Better Segmentation , Life Matters and Celebrity
Values are considered to be the critical factors of Celebrity Endorsement Strategy where as
improved sales, Buying Motivation and Brand Recognition are less critical factors of Celebrity
Endorsement Strategy. From above data it can be interpreted that majority of the respondents
believe that Celebrity Endorsement strategy help Brands to maintain positive Brand Image in the
market and it is considered to be the major factor that has a greater impact on Brand’s image.
Other major factor identified by the respondents was that the Celebrities help Brands to
Differentiate their products from substitute brands because after watching the celebrity in the
advertisement customers start recognizing the brand after watching advertisement repetitively.
Respondents also highlighted that Celebrity Endorsement strategy can motivate customers to
make a purchase, improve sales of the company and can build up Brand Recognition in the
Findings:-
(Chan et al, 2013) studied the impact of Celebrity Endorsement on Brand Image among Chinese
adolescents. The study conducted focus group among 76 Chinese adolescents to gather data and
examine their perception regarding Celebrity Endorsement strategy. The majority of the
participants in that study agreed to the fact that Celebrity Endorsement strategy increases Brand
Awareness among the masses and can easily grab the attention of Celebrity’s followers. Majority
of the participants in the present study also stated that the major reason of implementing
Celebrity Endorsement strategy is to create Brand Awareness among the target audience and the
chances of Brand being remembered for longer time period increases due to Celebrity
Endorsement strategy . On the basis of empirical and theoretical evidence it is proved that Brand
Awareness is one of the possible reason of implementing Celebrity Endorsement strategy.
(Zipporah & Mberia , 2014) wrote article on The Effects of Celebrity Endorsement on Product
Advertisements. The data was collected from the respondents by conducting face to face
interviews. The article discussed different factors of Celebrity Endorsement strategy which has
several effects in advertising products. Participants of the research stated that advertisers endorse
Celebrities in their advertisements to increase the credibility and trustworthiness of their product
introduced in the commercial which means that Celebrity Endorsement strategy is not only used
for advertising product but also increases the credibility and trustworthiness of the product. In
the present study one of the participant stated that Celebrity Endorsement strategy is an effective
tool to advertise new product in the market because consumers are hesitant to try new products
introduced in the market due to risk attached of money being wasted after not getting the desired
results so Celebrities gives a sense of security that product is safe to use. Based on this theory the
participant of present study believed that Advertisers of different organizations use Celebrity
Endorsement strategy for Product Advertisement. Keeping in view empirical and theoretical
evidence it is proved that Product Advertisement is the factor of implementation of Celebrity
Endorsement strategy.
(Nkansah , 2017) studied the role of celebrity endorsement on brand image in the
Telecommunication Industry. The purpose of the research article was to highlight the role of
celebrity endorsement strategy on brand image. Research implied Qualitative method to gather
data from the respondents. The respondents of the study said that credibility and trustworthiness
have a major influence on the brand however they agreed to the fact that Celebrity Endorsement
strategy can generates lot of publicity and exposure of the Brands which can help brands
building up positive Brand Image in the market with the self image of the Celebrity endorsed.
The participants of the present study also gave logical reasons that how celebrities can build up
positive brand image. As described by the participants of the present study the appearance of
Celebrities in the Brand’s Advertisements make it more interesting and appealing for the
consumers to watch and it is perceived like these famous celebrities are also the user of the
advertised products so due to huge fan following and personal liking factor their followers
become the consumer of the product that is being endorsed by their favorite celebrity.
Considering the logical and empirical evidence it is safely to say that Celebrity Endorsement
strategy makes positive Brand Image.
(Nyarko et al , 2015) discussed the influence of Celebrity Endorsement on the buying behavior
of Ghanian Youth. In the article the author has explained that marketers use celebrity
endorsement strategy to influence the purchase behavior of customers. The qualitative research
method was used to collect data in which youth of Ghana was taken as the respondents of the
study. Face to face interviews were conducted from youth of Ghana to take their point of view
that how celebrity endorsement strategy influence their buying behavior. Participants of the
study explained that after watching Celebrities in advertisement they feel quite motivated to
make a purchase. In the present study the participants were asked about their preference of
buying celebrity endorsed products over non celebrity endorsed products in which majority of
the respondents agreed that they prefer Celebrity Endorsed products because it gives them a
feeling that after using celebrity endorsed products they would get appreciated by their social
circle. Based on theoretical and empirical evidence we can interpret that Celebrity Endorsement
strategy increases profitability of Brands.
(Busler, 2005) wrote thesis on Product Differentiation, Celebrity Endorsements and the
Consumer Perception of Quality. In the article the author has discussed that for longer period of
time the marketers where continuously thinking of ways to explore that what motivates
consumers to demand a certain product or what drives them to eventually make a purchase of
specific products. The author explained that marketers researched after conducting focus group
of around 150 consumers and came up to the logical fact that after getting exposed to a Brand
Advertisement which is being endorsed by Celebrities, the consumer unintentionally gathers
information about a Brand’s product which becomes a part of its memory and through gathered
information consumer can easily differentiate products of substitute brands. In the present study
the respondents clearly stated that they can easily differentiate substitute products from their
competitors if it is being endorsed by celebrity. One of the respondent also gave an example that
He is able to differentiate between Coca Cola and Pepsi as both are being endorsed by different
celebrities. From theoretical and empirical evidence it can be interpreted that Celebrity
Endorsement strategy can differentiate the substitute products being offered by different brands.
Recommendations:-
1. Brands that does not have positive image or reputation in the market should implement
builds positive brand image because consumers start associating the Brand Image
implement Celebrity Endorsement strategy as study came up to the logical fact that
Celebrities creates awareness among the masses and positions the brands in an effective
way.
3. Brands that have substitute products as compared to the competitors should also
that they are able to recognize and remember the brands for longer period of time which
4. Study proved the fact that Celebrity Endorsement increases the profitability of Brands
and motivates the customer to make a purchase so Brands that have limited sales should
The present study was conducted to investigate the antecedents and consequences of Celebrity
Endorsement strategy for FMCG sector of Pakistan. Although research would be quite useful for
the individuals who does not have any knowledge about Celebrity Endorsement strategy and its
possible effects on brands but there were limitations due to which research was done by keeping
respondents and area of research narrow. Research can be done by taking into consideration the
auto mobile sector of Pakistan along with the wide range of respondents to explore more real
facts regarding Celebrity Endorsement strategy and also the fact that no research has been done
up till now to check the impact of Celebrity Endorsement strategy in auto mobile sector of
Pakistan. Broadening the research area and respondents would identify more factors that make
this strategy useful for Brands and wide range of opinions would be recorded after gathering data
In the era of increased competition and substitute products it is quite challenging to conduct
business without having unique idea or strategy. Celebrity Endorsement strategy is a new
phenomena in Pakistani Market as many companies are implementing this strategy knowingly or
unknowingly the factors and possible outcome of this strategy. The purpose of this research
paper was to explore and highlight the possible reasons and outcome of Celebrity Endorsement
strategy to educate masses that to what extent this strategy is helpful for organizations and in
what particular areas it is beneficial for companies. The aim of research was also to test the
developed propositions thorough logical and empirical evidence and identify several new factors
that can be categorized as antecedents and consequences of Celebrity Endorsement Strategy. The
respondents of the present research identified 15 factors that possibly come under antecedents
and consequences of Celebrity Endorsement strategy that includes Positive Purchase Intention ,
Recognition , Positive Brand Image, Effective Brand Positioning, Product Differentiation and
Effective Marketing Strategy. These are the possible reasons and possible outcome of Celebrity
Endorsement strategy identified by the target respondents of the present study. This research is
quite useful for the individuals or companies who want to implement celebrity Endorsement
strategy in their business but have got no idea of the possible factors and outcome of this
strategy. This research also gives a clear understanding of different areas of Business that can be
quite useful for Companies to improve their Profitability , build up positive Brand Image and to
Interview Protocol :-
Strategy?
2. Do Celebrities have a positive influence on the consumer when they endorse a product?
consumers ?
6. To what extent Celebrity Endorsement strategy can be useful in increasing profits for
companies ?
8. How useful it is to implement Celebrity Endorsement strategy for low quality products ?