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Assignment on Consumer Behavior (PDF)

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LUCY COLLEGE
DIRE DAWA CAMPUS
COLLEGE OF BUSINESS AND ECONOMICS
MASTER OF BUSINESS ADMINISTRATION
POST GRADUATE PROGRAM
ARTICLE REVIEW ON THE IMPACT OF CELEBRITY
ENDORSEMENTON CONSUMERBEHAVIOR
BY:RIZWAN RAHEEM AHMED
SUMEET KUMAR SEEDANI
MANOJ KUMAR AHUJA AND
SAGARKUMARPARYANI
Coursetitle:consumerbehavior
Reviewed by
FATIYA YASIN
IDNO-PGP/223/11
Dec.2018
Submittedto:DerejeA.(Ass.prof.)
IMPACTOFCELEBRITYENDORSEMENT
ONCONSUMERBEHAVIOR
RIZWANRAHEEMAHMED
IndusUniversity,Karachi,PAKISTAN
SUMEETKUMARSEEDANI
ShaheedZulfikarAliBhuttoInstituteofScienceandTechnology
(SZABIST,Karachi,PAKISTAN)
MANOJKUMAR AHUJA
ShaheedZulfikarAliBhuttoInstituteofScienceandTechnology
(SZABIST,Karachi,PAKISTAN)
SAGARKUMARPARYANI
ShaheedZulfikarAliBhuttoInstituteofScienceandTechnology
(SZABIST,Karachi,PAKISTAN)
September27,2015
INTRODUCTION
In today’s world celebrities are being treated as a role model. People are changing their living
stylerelatedwith theirfavoritecelebrity.Thisthingcreatesagreatimpacton thebuying
behaviorofthepersons.Thisattracts thecustomersandultimatelyincreasesthecompany
productivity.
Celebrities are not always creating any kind of effect on persons mind in terms of buying. But
mostly it gives a great impact on perception of choosing any product. We are alwaysthinking
thatifourfavoritecelebrityisusingthem.Thenweshould usethat tobelikethem(Khatri2006).
From last150 years advertisingischangingin differentphasesfrom the classical to modern.
Now a day it’s the best strategy used by marketers to influence customers by showing celebrities
with their products, it includes different appeals lie, exciting, absurdity, sexual etc. Belch, G. and
Belch, M. (2008) acknowledged that the main aim of formulating such strategies is to get high
brandrevelation,longing,concentrationandcuriosity.Todoso,marketersattachfamous
personalities’withtheirproducts.
McCracken (1989) stated that these famous personalities’ had great influence on the consumer’s
buying behavior that’s why it becomes the most attractive tool of advertising now a day. The
majoraim todoadvertisingandadoptthis strategy istoinfluencecustomerstowards the
products(Ohanian 1990).
Erdogan (1999) concludes that celebrities are those people who have well known by the large
number of people. They have special uniqueness and features like magnetism, unusual standard
oflivingorspecialskills thatarecommonlyexperientialincommonpeople.
Khatri (2006) studied that the celebrity endorsement is the Promotion strategy to attract the
customers. Zafar (2009) suggested that the celebrities’ endorsements are being used to get the
attention of the customers, by involving the best models in the advertisementandmotivate
people to get attention towards the product because this will ultimately raise the customer toward
thatcompany’s product. In this process themessageof themainmotiveof the productis
explained by the well-known personalities. So they are more preferable by the companies for
developingtheawareness.
SUMMARY
Today celebrityendorsementbecomesthemulti-millionindustriesintheworld.Marketers
endorsed celebrities with their products andbrands in theadvertisementtoincrease their sales
and change the perception of the viewer’s regarding theirbrand, which positively impacts on
their buying behavior. This research focuses on the celebrity endorsement and its impact on the
customer’s buying behavior andtheir perceptionregardingtheproductorbrandofthecompany.
The study foundthatcelebrities endorsedadvertisements aremore attractive than thenon-
endorsed advertisements. Moreover the tested attributes of celebrity show positive relationship
with the buying behavior and brand perception as well. It also proved that there is a significant
impact of celebrity endorsement on the buying behavior. Finally, the results of the study further
proved that there is a significant impact of celebrity endorsement on the buying behavior of
customers.
McCracken (1989) found that celebrities endorses characterized an effectives way of transferring
meaning to brands. The common conviction of the marketers is that there is a significant and
huge impact of those advertisements, which are endorsed by the famous celebrities comparably
withthenon-endorsedcelebrities.
CONTRIBUTION/STUDYPURPOSE
The study significantly contribute to the body knowledge by in sighting the impact of celebrity
endorsementonconsumerbuyingbehavior.
Furthermore, the study also contributes as a reference or literature review for other researcher
whowanttostudy in thearea or the results of thisstudy will be useful for academicians; they
cangaininsightsandsuggestionsforfutureresearch.
Thepurposeofthispaperistoestablishtheeffectivenessorlackthereofofcelebrity
endorsements. In addition the research study sought to determine which attributes consumers pay
attention to when evaluating and selecting a brand and which factors brought about by celebrity
endorsementscontributetobuildingbrandloyaltyinthecontextoftheCompany’s
advertisements.
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