“the Impact of Celebrity Endorsement on a Customer’s Buying Behaviour”

Topics: Advertising, Brand, Marketing Pages: 6 (2559 words) Published: January 22, 2010
“The Impact of Celebrity Endorsement On A Customer’s Buying Behaviour”

Reviewing The Literature:
This literature review aims to provide a comprehensive account of the different theories which will provide frameworks for answering market research questions relating to “The impact of celebrity endorsement on a customer’s buying behavior” and using celebrities in advertising and endorsing different products. Various Theories selected within this literature review are those which constitute a core of consumer buying behavior theory in relation with the marketing principles. In particular, the literature is also reviewed which genuinely examines the influence and impact of celebrities in advertising and endorsing various consumer products. McCracken's (1989) defines a celebrity as, "any person who enjoys a public recognition and who utilises this recognition on behalf of any consumer product by coming along with it in an advert.” As per (Friedman and Friedman, 1979), a celebrity is an individual who is a ‘Globally famous and renowned icon’ among populace in cosmopolitan societies. He can be an entertainer to the public, a movie superstar, a television actor or a sportsman, etc owning special entertaining qualities respectively. Friedman and Friedman also found empirical evidences that, in advertising and promotion of products which are high in psychological and/or social risk, use of celebrity endorser can lead to an authentic believability and a more favourable assessment of the product and the advertisement, which can significantly lead to a more positive purchase intention by the customer. (Cool Avenues, 2005). Various studies suggests that the overall cost of attracting new customers in the market is much higher as compared to retaining existing ones, thus companies must both seek to develop an effective and efficient communication with their existing consumers along with attracting potential customers utilizing its marketing mix. As an outcome ‘below-the-line' promotional models have very well established themselves as an integral component of marketing mixes with advertisings being the main dominant communication tool for the companies with their customers. (Lanman, 2003). Unsurprisingly modern marketers conduct an intense consumer buying behavior research. Researches conducted along with these lines are in order to interpret and understand their base target customers better than their competitors and as a result allowing strategic marketing mixes to work more effectively and efficiently for the companies, (Jobber, 2001). Advertisers for promoting their respected product gather mileage and attention awareness among their consumers through unique product launch, high profile inauguration ceremonies. AD agencies uplift the product with all hyped celebrity endorsement for easy and quick sale, ensuring the promptness of their product supply in the domestic as well as in the international markets. Celebrities also help in generating extensive PR leverage for the brands. In the fashion business, celebrity endorsement for endorsing any product is often used for fashion goods, as fashion items rely heavily on a strong brand image from a cultural perspective. Celebrities are considered to be more useful in expressing a fashion idea to the customers in a more direct way, (Bohdanowicz & Clamp, 1994). On a contrary, Solomon (2003) argues that a consumer buying behavior is dynamic, which means that the entire buying behavior or purchasing decision process of the customers is complex which can be influenced by many factors viz. reference groups, product loyalty along with other social and cultural factors. (Oxbridge Writers, 2010). Advertising or endorsing a product through a celebrity has consumed almost more than the double of the market in Japan as compared to America. Various Celebrities in United States of America occupy approx. 25% of the product advertisements (Stephens and Rice, 1998), where as in Japan the figure just...
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