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Impact of Celebrity Endorsement on Purchase Intention

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Added on  2020/10/05

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The assignment explores the influence of celebrity endorsement on consumer behavior, focusing on the factors affecting customer purchase intention. It also discusses the role of celebrity endorsement in promoting products, including the reasons companies choose to use it and its effectiveness in increasing sales and profits. The study aims to identify the most persuasive means of advertisements, value considerations when purchasing a product, and types of celebrity endorsements that influence personal purchases.

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Does celebrity endorsement
influence consumers
purchasing decisions?

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Table of Contents
CHAPTER 1: INTRODUCTION....................................................................................................1
1.1 Title...................................................................................................................................1
1.2 Introduction......................................................................................................................1
1.3 Background of research....................................................................................................2
1.4 Problem Statement............................................................................................................2
1.5 Rationale of research study..............................................................................................2
1.6 Research Aim and Objectives..........................................................................................2
1.7 Research Questions..........................................................................................................3
1.8 Dissertation structure........................................................................................................3
CHAPTER 2: LITERATURE REVIEW.........................................................................................5
2.1 Literature Review.............................................................................................................5
2.2 Celebrity endorsement and its significance to the organisations......................................5
2.3 Influence of celebrity endorsement influence consumers purchasing decisions..............7
2.4 The challenges and obstructions faced by organisation during endorsing celebrities......9
CHAPTER 3: RESEARCH METHODOLOGY...........................................................................12
3.1 Introduction....................................................................................................................12
3.2 Research philosophy.......................................................................................................12
3.3 Research approach..........................................................................................................12
3.4 Research design..............................................................................................................12
3.5 Research strategy............................................................................................................13
3.6 Data collection................................................................................................................13
3.7 Sampling.........................................................................................................................14
3.8 Data analysis...................................................................................................................14
3.9 Reliability and validity...................................................................................................14
3.10 Ethical consideration....................................................................................................15
3.11 Research limitation.......................................................................................................15
CHAPTER 4: RESULTS...............................................................................................................16
4.1 Introduction....................................................................................................................16
4.2 Results and Findings.......................................................................................................16
CHAPTER 5: DISCUSSION.........................................................................................................25
CHAPTER 6: CONCLUSION......................................................................................................28
6.1 Conclusion......................................................................................................................28
6.2 Recommendation............................................................................................................30
REFERENCES..............................................................................................................................32
APPENDIX....................................................................................................................................36
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CHAPTER 1: INTRODUCTION
1.1 Title
Influence of celebrity endorsement influence consumers purchasing decisions: A study on
Tommy Hilfiger.
1.2 Introduction
The marketing strategies used by the organisations where marketers endorse one or many
celebrities in order to advertise specific product or services manufactured or delivered by the
organisation. The motive of celebrity endorsement is to reach greater audience, represented by
the fan base of celebrity (Pradhan, Duraipandian and Sethi, 2016). Big corporations willing to
spend millions of dollars in order to cut a deal with very popular and renowned celebrity. Their
aim is to gain competitive advantage and become leader in the industries. Tommy Hilfiger is one
of the leading designer lifestyle brand and is internationally recognised organisation (Ambroise
and et.al., 2014). It was founded in 1985 and aims to deliver premium quality products to
consumers worldwide. The company is known for conducting effective marketing campaigns
that helps in enhancing the productivity and profitability of the organisation. As per recent
reports, model Hailey Baldwin and model activist Winnie Harlow have been announced as
global brand ambassadors of Tommy Hilfiger's women collection (Hailey Baldwin, Winnie
Harlow to endorse Tommy Hilfiger. 2017). Earlier, celebrities like Lewis Hamilton, Selena
Gomez, and The Chainsmokers have endorsed products of Tommy Hilfiger. Celebrity
endorsement helps in raising up the value of brand and attraction of consumers.
In this context, the focus of dissertation would be on analysing the impact of celebrity
endorsement in influencing the purchase decision making of customers. In order to carry out the
research, researcher first conduct literature review in order to educate about the term and its
implications by analysing and reviewing articles written by senior researchers and authors.
Researcher will than provide information regarding the research methodology and research
methods which will be used by him or her in the present dissertation. Researcher will than
provide analysis of collected data and its interpretation in explicit manner in order to enhance the
effectiveness of the dissertation. Eventually, some of the best recommendations will be provided
by researcher to the management of Tommy Hilfiger in order to increase their understanding
about customer purchase decision.
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1.3 Background of research
Celebrity endorsement is now becoming trend for large scale organisations who are
willing to afford celebrities which endorse their products and services (Hambali and et.al., 2015).
The motive of using celebrity for marketing is to gain attraction of customers and influence their
purchase decisions. Researchers in their past studies have examined the benefits, challenges and
cost associated with celebrity endorsement. There are limited studies which examine the
behaviour of customers and their purchase decision because of celebrity endorsement. Thus, this
study will enlighten the influence of celebrity endorsement on purchase decision making of
customers by referring to Tommy Hilfiger.
1.4 Problem Statement
In order to sustain in competitive environment, it is essential and crucial for the
management of business organisation to formulate and devise specific strategies and plans.
Marketing plays crucial and prominent role in enhancing sales and profits of the company.
Celebrity endorsement is the method of marketing where organisation makes deal celebrities
who endorse their products and services. The major problem is that management does not
explicitly understand the meaning of celebrity endorsement and how it can influence the
purchase decision making of customers. In present dissertation, researcher will examine this
problem and provide optimum solutions.
1.5 Rationale of research study
Through this research study, the researcher will be able to enhance his or her level of knowledge
and understanding by analysing the concepts and theories related with marketing and celebrity
endorsement. Furthermore, through this research study, researcher will be able to get familiar
with Tommy Hilfiger which is one of most prestigious and renowned apparel organisation.
1.6 Research Aim and Objectives
Aim
The aim of present dissertation is “To analyse the influence of celebrity endorsement
influence consumers purchasing decisions; A study on Tommy Hilfiger.”
Objectives
In order to underpin aim, the summarised objectives of dissertation are described below:
To comprehend the term celebrity endorsement and its significance to organisations.
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To analyse the influence of celebrity endorsement influence consumers purchasing
decisions.
To identify the challenges and obstructions faced by organisation during endorsing
celebrities.
1.7 Research Questions
The research questions are fundamental core of research study. In order to attain the aim and
objectives of research study, it is essential for researcher to formulate precise research questions.
In this context, the researcher will answer the following questions which are mentioned below:
1. What is celebrity endorsement and what is its significance to organisations?
2. How celebrity endorsements influence consumers purchasing decisions?
3. What are the challenges and obstructions faced by organisation during endorsing
celebrities?
1.8 Dissertation structure
In order to attain the aim and objective of research study, it is important for researcher to carry
out the dissertation in systematic and structured manner. In this context, the structure of
dissertation is described below: Chapter 1: Introduction – The first chapter dissertation will introduce the topic briefly.
In introduction, the background of study, rationale and problem statement of research will
be provided. Aims and objectives along with research questions will be explained in first
chapter. Chapter 2: Literature Review - Literature review is going to be second chapter of
dissertation. In this chapter, researcher will educate about the topic in more detail
manner. The motive is to enhance the comprehension understanding of readers. Chapter 3: Research Methodology - In third chapter, researcher will describe the
research methodologies associated with the research study. The design, approach,
philosophy, way of data collection and analysis will be provided in the third chapter. Chapter 4: Results – In the fourth chapter, researcher will provide interpretation of the
data collected for research purpose. The interpretation will be provided in explicit manner
in order to enhance the effectiveness of the dissertation. Chapter 5: Discussion – In this chapter, researcher will discuss the key findings
identified in the result section in most explicit and succinct manner.
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Chapter 6: Conclusion - The sixth and last chapter will be conclusion and
recommendation where researcher will summarise the dissertation be providing
information of key findings produced in the dissertation.
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CHAPTER 2: LITERATURE REVIEW
2.1 Literature Review
Literature review is crucial part of dissertation. The motive of conducting literature
review is to establish theoretical framework in the study. In this chapter researcher will compare
and contrast on the view of authors so that robust argument can be created. Celebrity
endorsement is the marketing tactic used by marketers in order to promote the products and
services by signing contract with celebrity. In this context, researcher will provide in-depth
understanding about the subject matter by contrasting on the articles and literature done by senior
researchers and authors.
2.2 Celebrity endorsement and its significance to the organisations
According to Pradhan, Duraipandian and Sethi, (2016) celebrity endorsement is the term
used in marketing where marketer hires or make deals with celebrities in order to enhance the
promotion and marketing activities. Celebrity endorsement is a form of marketing strategy used
by brands or company to promote their products. Celebrities or well-known person help in the
launching of new products or services, even some times they are used for spreading general
awareness among public. It is commonly used to launch beauty or fashion brands. Companies
choose celebrities to promote products because they have mass communication skills, which help
to attract large audience at time. People usually listen attentively and carefully to celebrities.
Trade cards are given to audiences, this card contains picture of celebrity. Often these trade cards
are used in the products itself, this attracts customers. If a brand is launched by celebrity, the
aim of the company is to reach potential buyers.
In the words of Tzoumaka, Tsiotsou and Siomkos, 2016 this is an essential thing that is
use by various organizations to endorse their brands, health campaigns and products. It is a
special task which is conducted by many companies in order to achieve their goals and targets.
The effectiveness of this endorsement is very vast and effect on mass population with effectively
and efficiently. In the endorsement, advertising campaign and a form of brand includes by a
well-known and famous person for the promotion of such organization's products and services.
In this advertising method, clothing and manufacturing of several perfumes are the most
common example of this celebrity's endorsement. This technique is too much useful in various
business and many organizations adopt this method of publicity in order to achieve
organizational goals and attract more customers.
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According to the Lee and Koo, (2015) there are various brands look for those celebrities
who share the special qualities, ideas and values towards to create the potential synergy between
the celebrity and the organization which is adopted this technique. In addition to this context,
there are a large follower bases is the main criterion for the brand and it enables it to reach a
wider audience thanks to published clicks, tweets, pictures and shares. Further, the perceived
quality as like higher than customers are more attracting to that product and services. This will
attribute the credibility to a company that is endorsed by the special celebrity. Min and et.al.,
(2017) elucidated that it contributes the enhancement of the credibility of the particular
organization. The company who choose this technique, enjoy the enhanced credibility and
achieve the targets with the selection of right celebrities for their products and services. It also
boosts the organizational brand awareness with effectively and efficiently. A person who loves to
take pictures and this is always spread many blogs, social media, magazines and many more. So
this is a big promotional tools for those companies who choose this as the advertisement and for
attracting new customers in order to achieve their potential goals and objectives. There are
various endorsement techniques used by brands like television advertisement, inviting celebrities
in launching event of new products. Wang, Kao and Ngamsiriudom, (2017) said that celebrity’s
endorsement can benefit companies in many ways like direct sales, if a celebrity launches a
product customers get really excited and directly buy that product without any future thoughts.
Awareness about the brand.
Davies and Slater, (2017) proposed that people easily trust known personalities,
endorsement can help in building up of confidence among people about that particular product. If
a very famous personality launch product, it will attract more audience. Celebrities are person
whom we trust blindly, if they say something about the product, audience believe it to be true.
Market is dynamic in nature it always changes, future is unpredictable in this condition.
Celebrity branding can give positive response as well as negative response also, it depends upon
celebrities’ image in society. Paid endorsement is the contract between celebrity and the brand to
represent them in advertisement of product. If celebrity launch new product, it can reach to new
consumer within very short span. Younus, Rasheed and Zia, (2015) said that it has become one
of important marketing strategy. It help brand to grow and increase sale in market. It also help in
increase of followers of brand because people are very obsessed with celebrities, they want to
become like them. They make people believe, that product is used by them. Products are linked
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with the celebrity. Teenager are very impulsive there requirements or need always change to
meet requirement, they believe in product and buy it. Celebrities generally use their social
websites to promote products. They enjoy public recognition, if they support any of the brands
personally image of brand will rise. If they want to target elderly group than advertisement of the
product should be given on radio, newspaper televisions, etc. and if they wish to target s young
people then ads are given on social media or social application. Celebrity branding has positive
as well as negative effects also. Positive effect on individual behaviour can create good image.
Erfgen, Sattler and Villeda, (2016) said that indeed celebrity endorsement is very useful
if you want to cover large market. It influences purchase of the product, if product is launched
with the name of a famous personality then public generally buy that product. They have the
image set that if celebrity is using that product it will be good. Example if a customer has wavy
hairs and want a product for that, and celebrity having wavy hairs suggest for particular product
then they will buy that product. If product is launched by their favourite personality, people trust
that product. It helps to build awareness among people or public. Parmar and Patel, (2015) said
that brand awareness means, how much people are aware of the brand and product name. If
people are not aware of product they will not buy that product. New brand spend a lot to create
brand image. To increase sale it is very necessary to create positive image. Celebrity helps in
creation of image.
Small companies use celebrities to launch new products because it helps in positioning of
the brand. It creates strong impression in front of the public so that they can select particular
brand from various other brands available in market. Positioning is important for new or
developing brand. New product is launched by the company, it has to find new buyer for
product. Finding new buyers is not an easy task, they have to target particular segment of people
and awareness about product is spread between them. Advertisement of the product is done by
celebrity then people remember add or the product when the go for marketing. Advertisement
leaves some emotions behind, so it is not easy to forget.
2.3 Influence of celebrity endorsement influence consumers purchasing decisions
According to Lim, Cheah and Wong, (2017), Celebrity endorsement is important part of
organization to consume different commercial appliances in the other countries because most of
the customers are identified the different messages and information of product. Each and every
product are containing the information related the celebrity endorsement this celebrity
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endorsement have more values that would be purchased and the rate of value is very high. Most
of the organizations uses this celebrity endorsed in different areas or fields such as Bollywood,
sports and cricketers has specific endorse brand in the market.
Television is the best platform to promoting their product in marketplace because most of
the people are connected through this medium and all type of people see the advertisements so
that it is very for company to expanding their business with the help of technology, platform etc.
According to Kumar, (2015), In UK, the celebrities power is more important start their business
in a right direction with the use of endorsement. These celebrities are not only helpful for
promoting their product but also increasing selling in the marketplace. For example- Cad-bury is
very popular brand in market that would be promoting the product by Ferrero and Hershey. In
this way, it will increase the productivity and profitability in marketplace. Ronaldo is also
promoting the watch in the market and most of the peoples are attracted and increases their
selling in globally.
According to McCormick, (2016), celebrity endorse is very essential part to recognition
of consumer to provide an effective advertisement helpful for increasing their values in
marketplace. This is the best way to promoting their product and selling in the market. The
celebrities are earning a lot of money to introduce the product in globally. It will affect the
positive value on brand. In this way, it increases their brand value in marketplace. Market has
been expanded their business in all over the world because it increases the demand of people.
Most of the people are attracted by advertisement because the physical attraction is more
important for organization that influencing the consumer to buy a product in market. According
to Ong and Ong, (2015), it examined that the endorsement is uses celebrities because normal
people are not easily motivate the consumer.
The celebrities are product correlated to each other because both are attraction of people
to choose a particular item in the market. It is the most important way to influencing the people
towards the product and materials. Another process, it examined that two sources are directly
impact to the attitude towards the brand and advertisement (Ha and Lam, 2016). These are two
main part to understand the need of business in all over the world. Endorses celebrity motivated
to other advertisement because it will directly impact on the product details. In this way, it highly
influences to improve the product detail that would be matching to the requirement of
consumers. According to the Wu, (2015) the term celebrity enforcement is purely focuses on the
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promotion of organisations products and services by various methods and techniques so that the
customer of that particular company are influenced and attract to their products. It is very
common and useful technique that should be adopt by every company in order to achieve their
business goals and targets. Khan, (2018) Company can hire the special well known celebrity and
vouching them for promoting their products, trust, brand awareness which is an essential element
in the purchase decision making process. Many consumers who purchase that particular product
and use their services and they feel more sympathetic in order to that particular brand. This is the
simple psychological effect that people believe in purchasing the product and services that have
promoted by the well-known celebrity they admire. It will allow to them to emulate various
celebrity's wants and desired traits.
As per the view of Erfgen, Sattler and Villeda, (2016) this is an important factor for
attracting similar people into their life style. The celebrity endorsement is affect to the
consumer’s purchase intention and changes the consumer preferences. In this context, there is a
most relevant theory that linked with this technique that is, it introduces attributes such as
likeability, similarity and familiarity which are the main attributes that can effects on the
consumer buying intention. There are many brands, taking benefit of that by increasingly uses of
the social media communities of the celebrities. Bhakar and et.al., (2016) said that this technique
social media is a perfect method to reach many customers and in particular to those of younger
demographics to build and engage connections with the celebrities. It makes a special place for
these many famous person to plug with a company or their products and various services on their
personal accounts of social media. The celebrity endorsement is normally seen as the best option
for making brand image in the consumer's mind and for attracting them to reach certain stage of
success.
2.4 The challenges and obstructions faced by organisation during endorsing celebrities.
There are various challenging issues faces because of many obstructions are already
damage the market value. This will identify different challenging issues with the examples in
given below: According to Abbas and et.al., (2018), Celebrities endorsement is very successful
part of organization to do marketing on a particular product in which this is the best medium to
provide an effective information to their consumers. They also used different tool to promoting
their product in marketplace. There are many challenging phases that would be against the
business process and objective of ventures. Erfgen, Sattler and Villeda, (2016) is mainly focused
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to identifying research criteria of celebrities endorsement and many obstruction faces at the time
of marketing.
According to the Jamil and Rameez ul Hassan, (2014), Most of the celebrities are fit for
promoting the product in market while some times, celebrities are always making mistake at the
time of marketing and promotions that would be wrong impact on the consumers. They would be
directly affect the brand value and their image. For Example- In 2009, the Tiger Woods
published the photos of pornstar that would be negative impact on the advertisement.
According to Ranasinghe and Wanninayake, (2016), Sometimes, the celebrities would be
exposed in very bad way and they can be affected the whole organization other companies would
be taking advantages and promoting same product in marketplace. This is not helpful for
increasing their brand value in the global market. In this way, it can be decreases the value and
degrade the images. Another important issues is that when the same celebrities are working with
other companies that would be putting a bad impact on it. Customers are mainly focused on the
stars and celebrities. It is not focus on product so that it is very disadvantages for celebrities not
to be promoted harmful product in the market.
Celebrities are mainly focused on the money and they do not know about the product
safety and development. For Example- David Beckham is very famous personality and they have
done work in many companies. They are always seen in advertisement so that the consumer
noticed again and again in every advertisement. It will be directly affected the business
operations and their publicity. This author is also focused on the celebrities marketing because
they face many challenging issues at the time of promoting and marketing. Most of the
organizations are reducing their productivity in marketplace. In this way, they face many
challenging issues by celebrities' endorsement such as it becoming exposed at that time of
marketing and promotions, the brand value should be affected because of dual shadows in front
of consumers.
In celebrities endorsement, there are many issues and challenges which are facing by the
companies for example if a celebrity makes sure and support the brand then it should be
complete by some extent, though these products not giving any results but it should harmful for
the purchasers. There are many problems raising in choosing this method, these are as follows:
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Over exposure – there is a point that is over exposure of celebrity's in multiple companies
advertisements and it makes the unidentifiable impacts in the minds of some consumers. This
situations cannot occupy a district element position for target customers
High investment – this is a high investment procedure and it is one of the most expensive
advertisement planning. Every famous person is takes more and more appearing in commercials.
Brand switching – many times the celebrity endorsement can generates brand switching in the
consumer's mind and several consumers change the brand and it is a negative point for the
company. It is one of the biggest challenge to the marketers to find better solutions and
developing many marketing techniques.
Revolutionary thinking – there are a thinking make in the customers mind that is revolutionary
thinking. It can develop in the entire population and also makes the marketers change their
perceptions in order to purchase that product.
Negative image of celebrity – for the company, the negative of that particular celebrity can spoil
the brand image of that particular organisation and their brand reputation, goodwill and their
credibility (Parmar and Patel, 2015). It can diminish the super fame of the celebrities overnight
and such uncertain condition can become the reason of high damage for that brand.
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CHAPTER 3: RESEARCH METHODOLOGY
3.1 Introduction
The research methodology refers as the structures of the dissertation. In this aspect, it is
considered as the real structure of the research that shows the framework of related study. This is
third topic of that covered in the dissertation by the investigator (Taylor, Bogdan and DeVault,
2015). It is an essential for the researcher to select right method of research in order to get
objectives of that particular research. In this point of view, the researcher presents the research
design, philosophy, approaches, several strategies which will used in this study. The different
ethical norms which have been followed by that investigator along with the limitations will be
discussed in this study.
3.2 Research philosophy.
It is an idea and concept, which helps to the researcher to collect and analyse the data
correctly and systematically. It is first stage of the research project. It has basically four types
such as pragmatism, interpretivism, realism and positivism. To attend the goals and objectives of
dissertation the investigator must use the interpretivism research philosophy approach (Mackey
and Gass, 2015). This approach is multiple understandings and socially constructed. This theory
used the primary data collection and then analyse it for assessment of the dissertation effectively
and efficiently. So for this reason, this will help in aid researcher to receive at the aims of that
particular study.
3.3 Research approach.
This topic is use in the justifying the connection of hypotheses to the study. In this
research approach, there are two methods that are fundamentally used by the investigator in
accomplishment of the study (Lewis, 2015). Such methods are inductive and deductive research
approaches. The inductive research approach is contributes to the emergence of new
generalisation and theories and deductive research approach tests the availability of assumptions
in hand. The researcher should select the inductive approach of the research in order to manage
the emerged theories. It turns out the effectiveness of the research.
3.4 Research design.
Research design is a plan that assists the researcher in solution of the research problems.
This is done because it helps to the researcher to get the picture about all research related
problems otherwise it is not mandatory in the dissertation (Flick, 2015). The descriptive research
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method is use for the casting the light on the current problems and issues through a process that
enables the data collection to describe the situation more completely and then it is possible
without applying this method. It is related to the fact that is, it can employ a number of variables
but only one variable is required to conduct a descriptive study. So for this reason the descriptive
research design helps in attaining the aim of current dissertation.
3.5 Research strategy
The researcher makes a special plan in order to achieving the major goals and objectives
of that research, this plan is called the research strategy. It has two types, qualitative and
quantitative research strategy. The quantitative research method proves to be appropriate and the
primary data has been collected from the questionnaire form (Silverman, 2016). In this context,
the investigator is able to calculate the responses of the managers and also able to analyse these
data in the right way. So this quantitative research strategy will be used as it is helping to
conclude the actual nature of problems that are been faced by humans. While qualitative is not
used as this will only be based on subjectivity of research that is been taking place Quantitative
research will be included to as strategy in order to find out results from the thematic analysis of
the questions that need to get them all answered.
3.6 Data collection
It is a special process of collecting and analysing vital and relevant information in order
to proceed the study. The investigator has two ways for collecting these data, these are primary
data resources and secondary data resources. In addition to this, the primary data resources is
collects from various sources like questionnaire, survey, different interviews, focus group and
many more (Ledford and Gast, 2018). The current strategy, states that the researcher should use
the questionnaire method to collect the data in the right way. The secondary sources will be
collects from the books, articles, journals and various websites and the investigator can analyse
these data for conduct the research in the best manner. Both the methods are helping researchers
to find out what is been concluded in the following coming parts. In order to study the impact of
celebrity endorsement on buying decision of customers. It will be including that whether
customers prefer to buy that product which is been endorsed by their favourite celebrity or not
purchasing that product which is not been endorsed by their favourite celebrity.
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3.7 Sampling.
Sampling is the special technique in which the raw data uses the large information and
consolidate in small proportionate for getting the best results of the research. It is an important
process that helps to the researcher to interprets and analyse the collected data adequately and
effectively (Brinkmann, 2014). In normal situation, it is complicated for the researcher to analyse
large data so for this reason the researcher use sampling such as short data in his or her research
project. This will help in order to achieve the aims and goals of that particular research study.
Under this dissertation which is including the effect of endorsement by celebrity and how will it
be impacting or influencing purchasing decision of consumers. So what is the impact which
these types of endorsement been done by celebrity on purchasing decision of customers will be
laying on. So customers of Tommy Hilfiger will be included within questionnaire collection who
will be helping researchers to know what impact celebrity endorsement is causing on purchasing
decision of customers. Size of sampling will be about 50 customers of Tommy Hilfiger.
3.8 Data analysis
Data analysis is a special process that is finalised the basic data and converts it into the
meaningful information. In this context, in the research perceptive the data analysis is more
considers as the complicated and an important process that help to the researcher in increasing
the effectiveness of the particular research (Humphries, 2017). Thematic analysis will be used in
order to analyse the collected data in more effective and explicit manner. This will be helping
researchers to understand the relationship between celebrity endorsement and that of purchasing
decision of customers.
3.9 Reliability and validity
These are two most important parts of any kind of dissertation or research paper which
will be containing how much reliable and valid data is that is helping to conclude results and lay
down recommendations towards the end. Reliability will be known to as how much depended
other researchers could be on this particular research and its results or interpretation which is
been taken out. The data which is collected and then it is been interpreted should be reliable on
the part of others researchers if they are also undertaking research through same topic. They
should not be using immaterial sources like that of Wikipedia and Investopedia as they both are
not been regarded to as valid or reliable on part of researching or studying particular areas of
study (Panneerselvam, 2014). There are many sources like these only which are not generally
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preferred by researchers to take out their researches as they consider that results that are
generated with the use of these sources will not appropriate.
Whereas validity will be known to as the extent or degree at which collected data is valid
or for how much time it will remain fruitful for researchers (Bauer, 2014). There is one set
duration or time limit that is been defined to as degree to which the data could be made valid or
conclusions could be made valid.
3.10 Ethical consideration
These are the models which is including which type of ethical or morals that are need to
be included within this researches. Like there are some duties and responsibilities of researchers
towards various things including that of not disclosing information regarding participants who is
included within and taking their prior constant before conducting the researches (Billig and
Waterman, 2014). Other than these there are certain more things or points that need to be
considered by them like that of information should be collected from valid and reliable sources,
data regarding participants should be kept secret, data which is interpreted must be secure and
safe. All cost and time which is incurred at time of taking out research also must be kept in full
track of so that there are no further implications onto the researchers or scholar.
3.11 Research limitation
Every research which is been undertaken are having certain limitations which are not
been allowing researchers to take out clear and specified results and conclusion as well. So this
current research is also having limitations like that of use of insufficient respondents which are
limited to 50 only. So researchers must be including more number of participants who will be
helping them to take out correct and proper researchers. Other than this use of qualitative
methods of data analysis like that of thematic analysis will also not be appropriate to make valid
conclusions.
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CHAPTER 4: RESULTS
4.1 Introduction
Results chapter in dissertation is crucial as here the analysis of data will be made. In
order to carry out the research study researcher provides questionnaire to the participants of the
study. In this chapter analysis of filled questionnaire will be made. To analyse the data, thematic
analysis will be used by researcher. The data will be demonstrated with the help of themes and
charts.
4.2 Results and Findings
Theme 1: Means of advertisements
What means of advertisements persuade you
the most to purchase the product?
No of respondents
Television 20
Radio 5
Internet 15
Others 10
16
Television Radio Internet Others
0
2
4
6
8
10
12
14
16
18
20
Column B
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Interpretation: The above questionnaire was developed in order to identify what is the most
effective means of advertisement encourage the customers to purchase a product. 20 out of 50
customers said that television, 15 customers said internet can be most effective means of
advertising, 5 customers said that radio is useful and other 10 said that there are many other
means of advertising that influence them to purchase a product. This concluded that Tommy
hilfiger can use television to promote their products in the market to attract more customers.
Theme 2: Celebrity endorsement valuable while purchasing product
What will you value most when purchasing
product?
No of respondents
Value of money 15
Celebrity endorsement 20
Price of product 5
Quality of product 10
Interpretation: This theme or questionnaire was developed to determine what customers value
the most while purchasing a particular product. 20 customers said that celebrity endorsement
17
Value of money
Celebrity endorsement
Price of product
Quality of product
0
2
4
6
8
10
12
14
16
18
20
Column B

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influence them mostly when they purchase a product. 15 customer said that worth of the product
influence them, 10 customers said that they have quality concerns and 5 customers said that price
of product is considered while purchasing a product. This theme concluded that celebrity
endorsement is a most influencing factor that affects purchasing decisions of the customers.
Theme 3: Type of celebrities motivating to purchase products
What type of celebrity endorsement persuades
you personally to purchase products?
No of respondents
Cricketer and sports persons 15
Common man as brand ambassador 10
Film star 20
Famous personalities (like musicians) 5
Interpretation: The above questionnaire was developed to identify which type of celebrity
motivates customers to buy a product. 20 customers said that Film stars, actors and actresses
motivates them to purchase a product. 15 customers said they get encouraged by cricketers and
sport personalities. 10 customers said that common man as a brand ambassador influence them
and 5 customers said that they are attracted by famous personalities such as musicians,
18
Cricketer and sports
persons
Common man as brand
ambassador
Film star
Famous personalities (like
musicians)
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comedians etc. This theme concluded that Tommy hilfiger can use film stars to promote their
products and attract maximum number of customers.
Theme 4:Reason for companies to choose celebrity endorsement
What is the reason for companies to choose
celebrity endorsement for promoting their
products?
No of respondents
To compete strongly 15
Cannot generate new ideas 5
Easy recognition of products 20
To be able to increase sales and profits 10
Interpretation: From the above table, it is identifies that 15 customers gave the reasons that
company will complete strongly if they will choose celebrity endorsement for promotion, 5
customers are not able to generate ideas regarding there questions and 20 customers said that it
19
To compete strongly
Cannot generate new ideas
Easy recognition of products
To be able to increase sales and profits
0 2 4 6 8 10 12 14 16 18 20
Column B
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will become easy to recognize the product of company. Beside this all, 10 customers are there
who said that choosing celebrity endorsement for promotion of products. By this data, company
will likely to move towards selection of promoting there products by celebrity as there are more
customers attracted towards that products which is promoted by a known celebrity.
Theme 5: Impact of celebrity endorser while purchasing product
Will you be influenced by celebrity endorser
when you purchase celebrity endorsed brand?
No of respondents
Yes 35
No 10
No sure 5
Interpretation:From the above table, researcher ask question to customers that will they be
influenced by celebrity endorser when they purchase celebrity endorsed brand which is identified
that about 35 customers are agreed that they will be influenced by celebrity endorsed brand and
10 customers are not agreed on the question. Beside this, 5 customers are not sure about there
answer. With the above information, company will more likely to promote there products and
services by celebrity.
Theme 6:Indicating your opinion for dealing with celebrity image or appeal
I think that celebrity endorsement is helping in
strong brand promotion
No of respondents
Strongly agree 20
20
Yes No No sure
0
5
10
15
20
25
30
35
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Agree 15
Neutral 5
Strongly disagree 5
Disagree 5
Don’t believe that products are specifically
advertised by celebrity are good quality
No of respondents
Strongly agree 10
Agree 10
Neutral 15
Strongly disagree 15
Disagree 0
21
Strongly agree
Agree
Neutral
Strongly disagree
Disagree
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Interpretation:The above theme included two questionnaires first was to identify whether
customers believe that products are specifically advertised by celebrity are good quality. 15
customers agreed, 10 customers strongly agreed, 15 were neutral, 10 disagreed. Therefore, it can
be concluded that customers highly get influenced by celebrity endorsement. The next question
asked to customers was whether they think celebrity endorsement helps organisation to develop
strong brand image 20 strongly agreed with this statement, 15 agreed, 5 were neutral and rest
disagreed. It concluded that celebrity endorsement plays an important role in the purchasing
decisions of the customers.
Theme 7:Indicating your opinion for determining purchase of celebrity endorsed products.
I buy product just because of celebrity endorsing it. No of
respondents
Strongly agree 10
Agree 15
Neutral 15
Strongly disagree 5
Disagree 5
22
Strongly agree
Agree
Neutral
Strongly disagree
Disagree
0
2
4
6
8
10
12
14
16
Column B
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Always want to buy brand if favourite celebrity
is endorsing it.
No of respondents
Strongly agree 20
Agree 15
Neutral 5
Strongly disagree 5
Disagree 5
23
Strongly agree Agree Neutral Strongly disagreeDisagree
0
2
4
6
8
10
12
14
16
Column B

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Interpretation: The above theme included two questionnaires first was to identify whether
customers buy products only because they are endorsed by celebrities. 15 customers agreed, 10
customers strongly agreed, 15 were neutral, 10 disagreed. Therefore, it can be concluded that
customers highly get influenced by celebrity endorsement. The next question asked to customers
was whether customers always wants to by products endorsed by celebrities. 20 strongly agreed
with this statement, 15 agreed, 5 were neutral and rest disagreed. It concluded that celebrity
endorsement plays an important role in the purchasing decisions of the customers.
Theme 8: Favourite celebrity
among customers
Name your favourite celebrity No of respondents
Ronaldo endorsing Nike 15
David Beckham endorsing Adidas, Coty,
H&M
15
Selena Gomez endorsing Puma 20
24
Strongly agree
Agree
Neutral
Strongly disagree
Disagree
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Interpretation: The above theme was developed to identify which is the favourite celebrity of the
customers. The questions had 3 options Ronaldo, David Beckham and Selena Gomez, all three
are celebrities with a good image in the market. 20 customers said that Selena is their favourite,
15 customers chosen Ronaldo and 15 customers said David Beckham. This concluded that
customers are more attracted towards female celebrities. Therefore, Tommy hilfiger can use
female endorser to promote their products.
25
15
15
20 Ronaldo endorsing Nike
David Beckham endorsing
Adidas, Coty, H&M
Selena Gomez endorsing
Puma
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CHAPTER 5: DISCUSSION
From the above questionnaire and literature review it could be included that
endorsements made by celebrities will be impacting and influencing purchasing decision of
customers. They are very much and highly influenced by celebrities who are endorsing products
and brands of specified companies. Customers are also been persuading by many advertisements
means like that of radio, internet or television as they are known to watch promotional ads of
their favourite celebrities. Among all the means of advertisements customers mostly prefer
television and internet as they look at these products so that they could decide over what to
purchase and what not. The customer is affected by those products or brands that are been
frequently endorsed by celebrities whether they are film star or sports person. So this celebrity
endorsement will be important part of organisation as they could be gaining more and higher
level of profits and revenue. This marks that companies are also earning more brand loyalty if
they are allowing best celebrities to endorse their products and services but only those who are
good image among people or customers.
The celebrities are not only helping companies to earn more number of loyal customers
but they are also increasing sales within marketplace. It was included that at the time when
customers are purchasing products there are certain things which they need to look for certain
points. These will be like that of price of products, quality, value of money and celebrity
endorsements as well. While the maximum participants agreed that endorsements made by
celebrities will be considered to be the most important factor at the time when they are making
purchase of products. There are various celebrities who are endorsing products which are the
most rated and highest grossing products and brands of world. Like that of Cristiano Ronaldo
who is endorsing Nike which is regarded to as most profitable company and highly rate brand of
world. Cristiano Ronaldo who is the highest paid celebrity sports person who is famous for his
play sprite and charity work so Nike thinks that if they are endorsing Ronaldo into their
advertisements then they will be getting more attention from customers.
Which type of celebrity is endorsing products and brands will be affecting the purchasing
decision of customers like whether they are sports person or film star. As they are regarded to as
public figures who represent one particular company and endorsing two similar products of rival
companies. Sports person and film stars are the most common celebrities who are likely to
influence people to buy products endorsed by them all. While it was noted that common man as
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brand ambassador and famous person like those musicians will not be more influencing factors
as people are not getting attracted towards them all. As per the above stated literature review
there are people who are attracted towards many celebrities due to attributes like that of
similarity, likeability and familiarity as they are impacting buying intention of consumers. So
there are many factors or reason for companies as why they should choose celebrity in order to
promote their products and brands. The reasons which are mostly agreed with participants in
order to give companies importance of choosing celebrities as their brand endorsement power
could be that of able to increase the sales and profits. Other than these there are also other
reasons which they think as to be that company is choosing celebrities into their promotional
activities like that of to be able to compete within markets. Then easy recognition of products
will also be other reason and if they are not having specified idea how to promote their products
then also they use these celebrities.
It was most likely include that customers will be influenced by celebrities endorsed
brands at time when they are purchasing products. So the conclusion could be drawn that
customers are been affected by those brands which are been endorsed by celebrities rather than
with those who are not been done. Most of the customers think that celebrity endorsement will
be helping company in building up of more stronger image at time of promoting their products.
While there are also those customer’s who are thinking that all products which are been endorsed
by celebrities are that of good quality. Like Tiger Woods who is regarded to as star Golf Player
of world once endorsed a product with the photographs of Pornstar which got negative response
with his own fans. So not all time it is possible that if brands are been endorsed by celebrities
will be getting positive response from customers. Due to wrong public image of some celebrities
would also be impacting company and their profits as if they are taking them into their
promotional campaign. As customers most of time are more focused on products which their
favourite celebrities are endorsing and not on the quality or use or misuse of those products
which is causing ill effect on the health of customers. So it is the duty of celebrities as they are
regarded to as public figures that they are not advertising products like that of Tobacco or
alcohol which are harmful for the health of customers. These things must always avoid by
celebrities as this will be influencing customer to buy them which is regarded to as harmful.
So there are many other customers who do not buy products not just because their
favourite celebrity is endorsing them. Rather, they are more sensible and logical customers who
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are purchasing the product due to they like that product or quality and price are good not just
because that celebrity is endorsing the product. The people or customers could be many times
easily trusting their celebrities to whom they are fan of as they start trusting them blindly and
then started purchasing those products which they are endorsing. Customers do not even know
that whether celebrities themselves are using the product or not but they only use them. But they
rather make the customers believe that they themselves are using it so they should also be. There
are chance of celebrity to become over exposed at time when they are endorsing more than one
company at same time. While some times there are chance when celebrities are overshadowing
brands with their presence in particular advertisements. Like David Backham will be endorsing
several brands at same time and his stardom will sometimes be dangerous for those companies as
well.
It is included that companies rather than only laying stress on celebrities for their
endorsement they must be looking out for new methods of promoting like that of social media or
content marketing. These will also be laying greater impact
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CHAPTER 6: CONCLUSION
6.1 Conclusion
In the conclusion it can be said that celebrity endorsement refers to a marketing strategy
whose purpose is to use one or multiple celebrities to advertise a specific product or service. The
primary goal, in this case, is to reach a greater audience, represented by the celebrity's fan base.
Celebrity endorsement is now becoming trend for large scale organisations who are willing to
afford celebrities which endorse their products and services. The motive of using celebrity for
marketing is to gain attraction of customers and influence their purchase decisions. Researchers
in their past studies have examined the benefits, challenges and cost associated with celebrity
endorsement. Tommy Hilfiger is one of the leading designer lifestyle brand and is internationally
recognised organisation. The company is known for conducting effective marketing campaigns
that helps in enhancing the productivity and profitability of the organisation. The aim of the
study was to analyse the influence of celebrity endorsement influence consumers purchasing
decisions by analysing the case of Tommy Hilfiger. The objectives were established accordingly.
The first objective of the research study was to comprehend the term celebrity endorsement and
its significance to organisations. Celebrity endorsement is the marketing terminology and activity
which are used by the marketers to promote organisational products and services by using
renowned celebrities. Consumers decisions influenced through celebrity endorsement and it is
considered to be one of the successful method of marketing. The second objective of the study
was to analyse the influence of celebrity endorsement influence consumers purchasing decisions.
Market has been expanded their business in all over the world because it increases the demand of
people. Most of the people are attracted by advertisement because the physical attraction is more
important for organization that influencing the consumer to buy a product in market. With the
help of literature review, the influence of celebrity endorsement on purchase decision of
consumer has been assessed in the study. It is very common and useful technique that should be
adopt by every company in order to achieve their business goals and targets.
Though there are many factors which affects the purchase decision making of the
consumers, celebrity endorsement can be considers as crucial factor which affects the purchase
decision making of consumers. In the dissertation, researcher carried out research with the
customers who tends to purchase from Tommy Hilfiger in order to gather their views regarding
impact of celebrity on their purchase decisions. In the introduction section, researcher introduce
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the topic briefly so that understanding of readers can be increased effectively. In first chapter
researcher discussed the background of the study where elaboration of term celebrity
endorsement has been made. In introduction researcher further shows the blueprint of the whole
dissertation in succinct manner which can be easily understandable by readers. In the second
chapter, researcher conducts literature review where the aim was to provide in-depth
understanding of the research topic. It was identified that authors believed that celebrity
endorsement is important part of organization to consume different commercial appliances in the
other countries because most of the customers are identified the different messages and
information of product. The third objective of the study was to identify the challenges and
obstructions faced by organisation during endorsing celebrities. Each and every product contains
the information related the celebrity endorsement this celebrity endorsement have more values
that would be purchased and the rate of value is very high. It was identified that senior
researchers argued that celebrities would be exposed in very bad way and they can be affected
the whole organization other companies would be taking advantages and promoting same
product in marketplace. This is not helpful for increasing their brand value in the global market.
In this way, it can be decreases the value and degrade the images. Literature review is considered
as essential chapter in the dissertation as it enhances the understanding of subject matter
efficiently. In the third chapter, researcher elaborated about the research methodology where the
research methods used by researcher in order to accomplish the aim and objectives of the study
has been described explicitly. The data has been collected through questionnaire format and the
participants of the research study were customers who prefers to purchase products of Tommy
Hilfiger. Researcher provided the questionnaire to the participants on the store of Tommy
Hilfiger United Kingdom in order to know about their response regarding celebrity endorsement.
A sample of 50 participants selected randomly and researcher approached them personally in
order to provide them questionnaire. Each participant filled questionnaire completely thus
generating 100% response rate. In the discussion section of the study, researcher discussed about
the response of customers. From the analysis it was identified that customers are very much and
highly influenced by celebrities who are endorsing products and brands of specified companies.
Customers are also been persuading by many advertisements means like that of radio, internet or
television as they are known to watch promotional ads of their favourite celebrities.
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6.2 Recommendation
In order to enhance the productivity and profitability of the organisation marketers utilised
numerous tactics so that attraction of customers got increased. Celebrity endorsement is
marketing tactics which are used by the management of business organisations where they make
deal with celebrity or celebrities for promotional activities and marketing campaign. Customers
purchase decisions has been greatly influenced through celebrity endorsement. Business
organisations could enhance their methods of celebrity endorsing and below are the
recommendations provided to the organisation through which they can enhance their marketing
through endorsing celebrity effectively. Endorsement have to be target accurately: In order to gather the attraction of customers,
it is essential for the business organisations especially reputed organisation like Tommy
Hilfiger to target the advertisement accurately. The advertisement and content must
match with the ongoing situation (Pradhan, Duraipandian and Sethi, 2016). It must be
coherent and efficient which does not hamper the reputation of celebrity and brand. From
the celebrity perspective, it should fits their image and personality. In this manner, the
precise advertisement can be displayed to the consumers. Respect the dignity of celebrity: Celebrity carry a brand of their own. Their dignity must
be maintained and brands must approach them with efficient and quality advertising
concept. For instance, one major U.K. eye-wear retail brand who decided to help its
customers who have a penchant for British royalty (Lim, Cheah and Wong, 2017). It's not
that the Queen and her ilk have come right out and endorsed this particular brand, but
they are smartly piggybacking on the strong brand of the royal family. Thus, it is
recommended to the management of Tommy Hilfiger to maintain the dignity of celebrity
so that enhancement of customer attraction and brand value can be made. Words of Caution: It is important to remember to not forgo other marketing channels to
focus on endorsements. As impactful as the presence of influencers is, it still needs to
remain just a portion of a multi-channel approach in order to maximize its impact on the
audience of a particular brand (Erfgen, Sattler and Villeda, 2016). It is equally significant
to note that celebrity endorsement alone does guarantee success. Thus, it is recommended
to the management of Tommy Hilfiger to make deal with celebrity who are presently
trending and whose fan following is immense.
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Maintaining consistency between endorser: Maintaining consistency is very crucial
especially between endorser and the brand. The marketer should take it series as it helps
in development of strong personality and identity of brand ultimately (Parmar and Patel,
2015). It is being advised to the management of Tommy Hilfiger to maintain consistency
between endorser and brand value Maintaining Long term commitment: Maintaining long term commitment between
endorser and brand will leave a deep impact on the audience because it believes that
endorser himself is not committed to the brand (Ha and Lam, 2016). It is crucial and
important for the marketers to maintain long term commitment to the celebrity and
organisation so that the enhancement of customer base can be occurred. In this context, it
is recommended to the management of Tommy Hilfiger to maintain long term
commitment to celebrity and brand.
Correctly selection of celebrity: Most marketing campaign fail due to mismatch between
celebrity and brand (Khan, 2018). It is essential and important for the management of
business organisations to carefully make deal with precise celebrity which suits the brand
image. This is often difficult and marketers needs to wait patiently for that. It is
recommended to the management of Tommy Hilfiger to carefully select the celebrity
which suits brand image.
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Online
Hailey Baldwin, Winnie Harlow to endorse Tommy Hilfiger. 2017. [Online]. Available
through:<https://brandequity.economictimes.indiatimes.com/news/advertising/hailey-
baldwin-winnie-harlow-to-endorse-tommy-hilfiger/64300919>
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APPENDIX
Research Questionnaire
Name: _____________
Age: _______________
Occupation: ________
Position: ___________
Q1 What means of advertisements persuade you the most to purchase the product?
Television
Radio
Internet
Others
Q2 What will you value most when purchasing product?
Value of money
Celebrity endorsement
Price of product
Quality of product
Q3 What type of celebrity endorsement persuades you personally to purchase products?
Cricketer and sports persons
Common man as brand ambassador
Film star
Famous personalities (like musicians)
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Q4 What is the reason for companies to choose celebrity endorsement for promoting their
products?
To compete strongly
Cannot generate new ideas
Easy recognition of products
To be able to increase sales and profits
Q5 Will you be influenced by celebrity endorser when you purchase celebrity endorsed brand?
Yes
No
Not sure
Q6 Indicating your opinion for dealing with celebrity image or appeal
Where SA (Strongly agree) A (Agree), N (Neutral), SD (Strongly disagree) and D (Disagree)
Strongly
agree
Agree Neutral Strongly
disagree
Disagree
I think that
celebrity
endorsement
is helping in
strong brand
promotion
Don’t believe
that products
are
specifically
advertise by
celebrity are
38
1 out of 40
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