MKT 4229: Consumer Behavior Report: Internet Celebrity Economy

This report delves into the internet celebrity economy within the Malaysian context, examining its potential for development and impact on consumer behavior. It begins with a background of the internet celebrity economy, followed by a problem statement addressing the need and development opportunities in Malaysia. A literature review synthesizes key academic journals on the topic, providing a foundation for the analysis. The report then applies a consumer behavior model to assess the effectiveness of the internet celebrity economy, offering insights into how it influences consumer decisions. Finally, the report concludes with recommendations for retail businesses on how to effectively utilize the internet celebrity economy, drawing on the findings of the analysis and literature review. The report covers the evolution of online celebrities, the consumer behavior model, and provides recommendations for future research and business applications in Malaysia's retail sector.

CONSUMER MARKETING
BEHAVIOR
Running Head: CONSUMER MARKETING BEHAVIOR 0

CONSUMER MARKETING BEHAVIOR 1
Table of Contents
Background...........................................................................................................................................2
Problem statement.................................................................................................................................2
Development of online celebrity............................................................................................................2
The era of literature...........................................................................................................................3
The era of image................................................................................................................................3
The era of opinion leaders.................................................................................................................3
The era of intellectual property..........................................................................................................3
Consumer behavior model.....................................................................................................................3
Recommendations.................................................................................................................................4
Conclusion.............................................................................................................................................5
References.............................................................................................................................................6

CONSUMER MARKETING BEHAVIOR 2
Background
The internet celebrity is known as an influencer, key opinion leader, cyber star, internet
personality, micro-celebrity, and blogebrity. Celebrity has acquired and developed frame and
notability by the internet. Social media has raised globally and support outreach to the
audience. The economy of internet celebrity converts fans into buying power through
targeted marketing that takes fashionable internet celebrities as image spokespeople and its
aesthetic taste according to leading factors. According to Buhr, et al., 2017, economy has
experienced significant growth in Malaysia by a boost in the capital. The most popular
internet celebrity in Malaysia is Marion Caunter. There are many issues has arisen by a new
phenomenon. Internet celebrities through more followers get more opportunities and money.
A large number of people are motivated to fake the number of fans and vie. Plagiarism,
evasion of tax and supervision lack are problems that hurt the development of the industry.
To guide and regulate internet celebrity economy to a pattern of sustainable development is
the main issue in which internet celebrities, commercial platforms, and regulators concerned
to make concerted efforts to find solutions.
Problem statement
There is a need for an internet celebrity economy in Malaysia as it is a newly industrialized
market economy. (AoPeng, 2016) discussed that the economy of the nation is diversified and
strong. Malaysia is the second-largest exporting nation in the globe of palm oil products. The
government of Malaysia has been coming up with policies through the objective of increasing
the income per capita by the development of high-income nations in 2020. Many factors are
causing internet celebrity phenomenon. Traditional KOLs are losing trust from the society of
Malaysia. Professionalists and professors present unsuitable and ridiculous opinions to
academic reports, news interviews on the TV show that impact negatively on the audience.
International celebrities in today's time have taken over the traditional e-commerce industry
and innovating in a celebrity-driven online retail business by fans and followers are primarily
targeting customers and generate an enormous profit based on popularity.
Development of online celebrity
(Jing & Yon, 2018) Referred that the online celebrity refers to an individual that becomes
well known among netizens for experience or behaviors by the internet. Behaviors or
experience will be exaggerated in the procedure of spread. Traditional stars and online
celebrities have a ground due to its fans and different from each other sharply. Stars are

CONSUMER MARKETING BEHAVIOR 3
called as arts and cultural workers that belong to professionals and need a training and
vocational study. Vocational development of online celebrity is linked to fans likeability that
presents the number of gain fans. Online celebrities’ emergency is ascribed to the internet.
This develops according to the development of the internet. This got by four phases.
The era of literature
According to Xiaoying, 2016, individual becomes famous to the masses by its popular
literature. By the limitation of broadband, Malaysia netizens can share and read literature
works on the internet. The popularity of the literature forum rose. Writers and their works
emerged. Representative. The work of celebrities has been shot in TV films and series.
The era of image
(Xiaofang, 2016) Elaborated that individual is brave and distinctive to post a photograph on
websites and become online celebrities. Netizens give warm welcome to an individual that is
known for exaggerated pictures. There is a large number of internet in Malaysia ushered in
rapid development. Images can be transmitted and post online that stepped in the era of an
image from the era of literature.
The era of opinion leaders
As per (GuoJia 2018) in this stage celebrities are a group of new online celebrities called
opinion leaders. Opinion leaders present to an influential individual that plays an effective
role to offer information to others via the internet. Many other products come out and
individual share and comment opinions. An individual that crucially have their different and
unique view are especially welcomed. Many individuals often post a comment on day to day
life in a reader-oriented style.
The era of intellectual property
According to Chenwei, 2018, intellectual property is also known as a final stage. This change
improves and varied online celebrity capability. Online celebrities attract followers through
purposefully pleasing or entertain them. Many of them do illegitimate at the risk of being
arrested to get more gifts from fans. This kind of pattern in today’s time not work. Hosts
require to share the experience of life and impart professional knowledge. A large number of
people become an online celebrity by creating a self-made characteristic short video.

CONSUMER MARKETING BEHAVIOR 4
Consumer behavior model
(Yuhua, 2011) discussed that the psychoanalytic model presents that customers show that
products get greater recall that has been endorsed by celebrities. This model takes
consideration that affects customer behavior. This is influenced by the subconscious and
conscious mind. These all influence customers buying behaviors and decisions. According to
Chunyao, 2016, promotion by internet celebrity has more effect than the organization logo or
name on an individual subconscious mind and affects to purchase that product in place of
similar from other organization. The people recognize the brand as they are a fan of
celebrities. An organization that produces products charge higher values for the product by
endorsing through internet celebrities. In Malaysia, the promotion of a product through
internet celebrity brands can increase trust, awareness, and familiarity that are important
variables in the process of making a purchase decision. Customers in Malaysia will feel
sympathetic to a brand as promoted by a celebrity they relate to or admire. This will be a very
simple psychological effect. People think that buying a product that is promoted by a
celebrity they like will allow them to emulate the celebrity desired characteristics. Online
celebrity makes effective use of popularity, reputation, and strong influence to move fans in
profits by all means of business. The online celebrity economy essence is a combination of
capital and online celebrity. For example, supply and demand with the higher cost of real
state and labor are in lesser demand by the development of cyberspace.
(Yang, 2019) elaborated that industries of manufacturing are lacking in innovation due to a
breakthrough that is critical and urgent. Online celebrities fit in entire requirements. They all
have a specific number of fans and sufficient capital. Manufacturers have mature supply
chains and production. Collaborate for its profits and form the economy of online celebrity.
The economy of online celebrity is a new driving force for the Malaysia economy that is now
going in rapid development. The industry of online celebrity is the main integration of online
celebrities, their products, and services. In this industry, it is more than training online
celebrity, social platform, marketing, supply chain management, and promotion. These
relevant components consist of organizations of brokerage, the supply chain of the product,
and online celebrity. This is mainly linked to the platform for online shopping. Organizations
like to advertise on life. Online celebrities operate like a We- media, and capability that rise
more fans cast attention. There are also many advantages to the online celebrity economy.
This has a strong capability. Online celebrity attention is growing. They get more attention
compare to traditional singers or movie stars. The economy of online celebrity is precise

CONSUMER MARKETING BEHAVIOR 5
marketing. Online celebrities focus on expertise and try to attract potential spectators that
interest in the field. Information spread by online celebrities is accepted at a higher level. The
economy of online celebrity is people-oriented.
Recommendations
Malaysia will get the benefit from internet development as the pattern of profit model of
online celebrity economy varies. Organizations in the retail sector can use more effectively
the internet celebrity economy. Many of the scholars have investigated and discussed it. Four
patterns should be used as the first pattern is online celebrity and E-retailer. This model will
generate more profit by introducing online stores of celebrities. For example, a platform for
fans will obtain a more social platform. Second is advertising by soft-text. A message post on
the context of a microblog, the retail organization can put their advertisement in it or pictures,
or short clips. Online celebrities put their transmissibility and influence on the income of
advertising. One of the reports has found that online celebrities make 25 percent profit by
advertisement. Third, is a virtual exchange of currency on live platforms. This kind of
phenomenon booms by the appearing of live platform Douyu TV, Panda TV, etc. The
audience is capable enough to exchange real currency for virtual currencies and purchase
gifts to send to favorite ones. The benefits are shared by both the platform and hosts at the
rate. Fourth is branding IP. With the inflow of capital online celebrities and its contents starts
to brand and generate value.
Conclusion
The following discussion covers the background of the internet celebrity economy in
Malaysia. This discussion covers the problem statement by the potential to develop the
internet celebrity economy in Malaysia. Further discussion covers the literature review on the
potential development of the internet celebrity economy in Malaysia. This report uses the
consumer behavior model to discuss that the internet celebrity economy affected in Malaysia.
In the end, discussion refers to four recommendations that the industry of retail business can
use internet celebrity economy in future research and business.

CONSUMER MARKETING BEHAVIOR 6
References
Buhr, T. A., Simpson, T. L., & Pryor, B. (2017). Celebrity Endorsers' Expertise and
Perceptions of Attractiveness, Likability, and Familiarity. Journal of Psychological Reports,
60, 1307-1309
AoPeng. (2016). Why Online Celebrity Is So Popular--- Analysis and Thinking for Online
Celebrity. Journal of Contemporary Communication, 4, 40-44.
Chen Jing & Tao Yon. (2018). Analysis of live marketing Under the Age of Big Data.
Journal of Economic & Trade, 13, 237-240.
Cheng Xiaoying. (2016) Analysis of Marketing Methods of Online Celebrity Economy.
Journal of Science & Technology Economy Market, 03: 58-59.
Cao Xiaofang. (2016). Development of Business Models of Online Celebrity Influenced by
Fan Economy. Journal of Business, 23, 147-148.
GuoJia. (2018). Thinking for Model of Online Celebrity Economy. Journal of Northern
Economy & Trade, 01, 41-43.
Jiang Chenwei. (2018). Discussion on Creative Products of New Media & Its development in
China Taking Online Celebrity Economy as An Example. Journal of New Media Research,
06, 45-46.
Wang Yuhua. (2011). Study on Theory Analysis & Countermeasures of Brand Marketing.
Journal of Economy & Management, 25, 54-57.
Yang Chunyao. (2016). Analysis of Online Celebrity & Online Celebrity Economy. Journal
of Modern Business, 31, 99-101.
Yi Yang. (2019). the IP Marketing Should Do in This Way. Journal of Guang Cai, 05, 38-39.