Essay: Pros and cons of celebrity endorsement

REFERENCE TO Q-MOBILE
Abstract
Advertisements are always been a prominent basis that is utilized by celebrities in order to alter the customer buying deeds, but nowadays a day’s customers are encircled by those advertisements that encompasses lot of clutter and because of this customers inclines to flout advertisements, specially advertisements from show mass media are endured a lot from this custom of clients, that’s why advertisers nowadays a day’s endeavor to use blend of publicizing strategies in order to gain clients attention, and amid all of these strategies utilized by the advertisers in the television across show mass media the most vital strategy is use of use of celebrities in their advertisements, but as there are countless qualities that are associated alongside the celebrity endorsement that are crafting encounter on customer buying deeds this is tough for the researchers to recognize the result of every single and every single attribute that is associated alongside the celebrity endorsement and can craft encounter on customer buying deeds, that’s why there is demand of illustrative scrutiny that can recognize the alter of disparate qualities connected alongside the celebrity on customer buying deeds. This research is intended to highlight the buying behavior of customer due to the celebrity endorsement in advertisements, and discuss the factors which affects customer’s buying behaviors positively, and to find out how important is celebrity endorsement to customer. The research conduct within the domain of Karachi city. This research is done through snow-ball sampling technique. We used close-ended questionnaires as to collect the responses of the different people from different professions. We break-down our sample of 100 respondents into service person, business person, students and other (includes house-wives, unemployed person, etc.). We have taken a sample of 100 respondent out of which 50 were males and 50 were females. For the analysis of data we have used regression model annova and correlation model and after requesting statistical instruments we analyzed all the qualities of celebrity endorsement that we have checked in our scrutiny have an encounter on customer buying deeds alongside respect to celebrity endorsement. As a result of this research we find out that celebrity endorsement has reasonable impact on customers as per their attitude and purchase intention, the most important factors associated with the celebrity endorsement are level of attractiveness of the celebrity and the level of trust which consumer have on the celebrity. Celebrity endorsement does not significantly affects brand image, but it does help in recalling the product. It affect the buying intention of the customer in a positive manner. As this research is done only in specific areas of the Karachi city, so the research result may lack generalizability. Research has no limit and there is a room for extensive research in this regard in future. Since the results of this study are positive, another area of research can be impact and efficacy of media on its viewers with respect to marketing products. This research paper is useful for marketers and advertising agencies as this piece of work deals with the impact of celebrity endorsement in advertisement on customer’s perception.
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Background:
In this evolutionary era of marketing it is difficult for a marketer to differentiate their product with those of the competitors. Now-a-days almost every company is using different tactics and strategies to win the customer. One tactic or strategy that now almost very company adopts is Celebrity Endorsement. Companies invest large sum to money to get their product and themselves associate with the celebrity. Companies does so not just because of the fame of celebrity that attracts customer towards their product but also there are greater chance for message recall of their product due to celebrity. (Explained by Ohanian 1991; O’Mahony and Meenaghan, 1997)
Celebrity refers to people who known by public, they are famous and highly recognized. Marketer as per their product’s characteristics and features chooses the celebrity, in order to create impact on the consumers. Forms of celebrities commonly used by advertiser are Sportsmen, models, film-stars, actors, etc. now-a-days mobile companies are endorsing celebrities in order to gain more attention, market share and profit too. When we talk about Pakistani mobile companies that endorse celebrity we can list Q-mobile on the top of the list. Pakistan’s leading mobile company ‘Q-Mobile’ is officially operating from 2009. Within a short period of time QMobile has gained the status of household name in the country. The mobile phone industry has flourished dramatically in Pakistan with the advent of the local giant QMobile. From simple low priced bar phones to flagship smart phone devices, QMobile has surely made competition fierce for rival brands. It has adopted celebrity endorsement strategy. The advertising strategy of Q-Mobile phone is truly captivating. They endorse number of celebrities for their product, which include; (http://hamariweb.com/mobiles/qmobile_mobile-phones10.aspx#content)
Shan noir X-90 (live every moment)
Fahad mustufa X-30 (umeedo se aagy)
Priyanka X70 L10 X100(im priyanka chopra and I am linqued’ Are you?
Sonam octa core Z6 (im sonam Kapoor I Noir, do you?)
Jacqueline Fernandez qaudcore Z8 (the world in your plam)
Aditya Roy Kapoor Noir A600 (
Kareena Kapoor Noir Quad Core Z4
Arjun Kapoor Noir Quad Core i5 (I am Arjun Kapoor I Noir, do you?)
Not only in advertises but Q-Mobile come-up with another strategy. They market their products via Ramazan transmission, free hampers are given to large number of people with a tagline of ‘Ye Q-Mobile apka howa’. If rumors are to be believe then according to them Angelina Jolie will be the next brand endorser of Q-Mobile. Celebrity Endorsement helps to portray a product in positive image and Q-Mobile succeed to win huge amount customer in Pakistan along with a strong brand name.
Research Aim:
This research is aimed to find out the pros and cons of celebrity endorsement. This research paper will help out readers to determine the factors that affects customer’s intension to buy a particular brand (Q-Mobile). This research paper is intended to create a positive correlation between celebrity compatibility with the brand.
Research Objective:
To analyze effect of celebrity personality on effective of endorsement on product.
To analyze the impact of celebrity endorsement on purchase intention of customer.
To find out how important is celebrity endorsement to customer.
To determine the question, how does celebrity endorsement affect customer’s awareness and responsiveness towards brand?
Hypothesis:
H0- Higher the celebrity products/ brand congruence will not effective celebrity endorsement.
H1- Higher the celebrity products/ brand congruence will be the effective celebrity endorsement.
H0- Higher the effective celebrity endorsement not will be the purchase intensions of the customers.
H1-Higher the effective celebrity endorsement higher will be the purchase intensions of the customers.
H0- Celebrity Endorsement does not significantly impact Brand Image.
H1- Celebrity Endorsement does significantly impact Brand Image.
H0- Celebrity endorsement has no effect on recalling the product.
H1- Celebrity endorsement helps in recalling the product.
Problem Statement
In early era of advertising, marketer hire advertising models for their product. But now marketers uses celebrity endorsement for their product. It has been observed that now-a-days almost every company uses celebrity endorsement strategy to make their product stand out. It help in positioning the product in a positive manner. Celebrity is consider as spokesperson for the company. It also help customer to recall messages associate with the product, and eventually affects positively in the buying behavior of customer. But finding a celebrity that matches the characteristic and attributes of a product is not an easy task for a marketer. A celebrity compactible with a product may help in increase in sales but a celebrity not compatible with product may decrease the sales too. Moreover if a celebrity creates negative image for him or herself it will affect the company’s image too. Its hard job for marketer to find a celebrity that ‘fits’ to the product. A marketer before designing marketing strategy for celebrity endorsement must kept few consideration;
Celebrity and it compatibility with the product.
The connection of celebrity with the targeted audience.
Image of celebrity with the product
Hiring cost of celebrity.
Significance of research:
This research is focus on the impact of celebrity endorsement in advertisements that leaves an effect on the customer’s perception and their buying behavior. This research will highlight the points on how celebrity endorsement helps in recalling the brand, how does celebrity endorsement effect brand image and the purchase intention of customer due to celebrity endorsement.
Literature Review:
This research paper is intended to encounter the factors that influence consumer’s buying attitudes and perception towards the brand. Companies should always focus on building the brands not the celebrities. Traditional explanations of celebrity endorsement persuasion effects are based on the source effects, literature and find that;
1) Attention: Celebrity endorsement helps in increasing the consumer’s attention paid to an advertisement. (Buttle, Raymond, and Danziger 2000);
2) Attractiveness: Celebrities are generally attractive, which helps persuasion when consumers are worried about social acceptance and others’ opinions (DeBono and Harnish 1988) or when the product is attractiveness-related (Kahle and Homer 1985, Kamins 1990);
3) Credibility: Celebrities may be credible sources if they have expertise in a particular area, such as an athlete endorsing shoes (Ratneshwar and Chiaken 1991) or a beautiful model endorsing make-up (Baker and Churchill 1983); and
4) Congruence: Celebrities are often well-liked, possibly leading to identification and consumer persuasion in an attempt to seek some type of relationship with the celebrity (Belch and Belch 2007). (Debiprasnd Mukherjee August 2009)
Now a days it’s unlikely that a single celebrity endorse a single brand only, but now a days in this competitive market there is a concept of multiple celebrity endorsement. This concept has two dimensions. One is that one celebrity endorses multiple brands, for example Fawad Khan, he endorses Tuc biscuit, Head and Shoulder shampoo, samsung mobile phones, Q-mobile phones, etc. On the other hand multiple celebrities endorses single brand, for example Q-Mobile. Q-mobile uses multiple brand endorsement strategy. So far Q-mobile is endorse by following celebrities for their following products.
Shan noir for X-90 with a tagline of live every moment
Fahad mustufa for X-30 with a tagline of umeedo se aagy
Priyanka for X70, L10, and X100 with a tagline of im priyanka chopra and I am linqued’ Are you?
Sonam Kapoor for octa core Z6 with a tagline of I am sonam Kapoor I Noir, do you?
Jacqueline Fernandez for qaudcore Z8 with a tagline of the world in your plam
Aditya Roy Kapoor for Noir A600
Kareena Kapoor for Noir Quad Core Z4 with a tagline of I am kareena Kapoor I Noir, do you?
Arjun Kapoor for Noir Quad Core i5 with a tagline of I am Arjun Kapoor I Noir, do you?
Currently Mahira Khan for Noir S1 with a tagline of captures the best moments.
And the list goes on’
A research study on impact of celebrity endorsement on brand image purposed to find out the factors that are involved in the success or failure of celebrity endorsement was conducted through the questionnaire survey, telephonic interviews and face to face interview with their targeted sample. This research study result in that the important factors of celebrity endorsement that leaves an impact on consumers are; Credibility of celebrity, appeal factors of celebrity, popularity of celebrity, attractiveness of celebrity, and image of the celebrity. It also discover that multiple endorsement may create cluttering in consumer’s mind. Whereas ill-behavior of celebrity or if celebrity may fall into some controversy then along with the celebrity image brand image will also be effect. (Debiprasnd Mukherjee August 2009)
20 attributes of effective celebrity endorsement or 20 point model prescribed by Neha Talreja (2005). This model can be used as a criteria that should be set by the brand managers and advertiser in order to hire any celebrity for endorsement.
These points are;
Celebrity product match: celebrity match-up is a correlation effect on the celebrity and the compatibility of celebrity with the product or brand (Kahle and Homer 1985). And the level of compatibility with determine the effectiveness of the celebrity endorsement.
Celebrity target Audience: according to Zafer, Baker, 1999, celebrity is the mouthpiece for a brand in communicating messages to targeted audience rather more effectively than any other voice. Celebrity endorsers with certain demographic characteristics similar to those of the targeted audience are viewed as more influential (Kamins, 1994).
celebrity popularity: celebrities positively effect on both attitudes toward advertisements and brands (Ohanian,1990) as they are widely recognize and perceived to be more credible in result they produce greater influence on the buying decision of the consumer.
Celebrity credibility: credibility is the most important criteria in celebrity endorsement. Credibility is interconnected with different factors that are trustworthiness and expertise. Moreover it is also connected with the celebrity endorser’s personal traits that are education, personality etc.
Celebrity value: creating brand through celebrity endorsement is a process of transferring the value of celebrity to the product or brand. For this there are two concerns how long person maintain his popularity and second is his personal integrity. If he fall into any scandal the negative value will also added to the brand or product with whom he or she will be currently associated.
Celebrity physical attractiveness: physical attractiveness is the most important criteria while hiring celebrity endorser. Physical attractiveness is the central point that affect the behavior of the consumer. Attractive endorsers are more likely to affect positively that those of unattractive celebrities (Miciak and Shanklin, 1994).
Celebrity regional and international appeal factor: celebrity endorsement relay on the product or brand and its targeted market. If brand is having a certain demographic limit then brand manager should hire any celebrity that is recognized with respect to the region and its targeted consumer. Whereas while going globally, celebrities should be chosen in such a way that they create a greater impact and in this regard celebrity should be globally recognize.
Fits with advertising idea: marketers now adopt 360 degree brand stewardship in which the brand sees no limit on the number of contact point possible with a targeted consumer, which mean designing every piece of work to do its particular job. Celebrity endorsement decisions are made through these strategic motives.
Celebrity should be brand user: for a successful endorsement consumer should believe in the endorsement. If endorser is not using endorsed brand or using different brand in an advertisement then it will create a nonsense image in consumer’s mind.
Previous endorsement: celebrity’s pervious endorsement should be carefully monitored as it will help in the determination of the celebrity’s credibility, professionalism and dedication as well as it will help in calculating the overall impact that the expected celebrity endorsement will leave.
Interest of endorser: endorsement is more successful when endorser himself is willing for endorsement not only for financial benefits he will have but also for the own image building.
Unique idea of promotion: unique ideas at right time are the key ingredients for the successful brand endorsement. Brand should express uniqueness in order to position brand to all internal and external audience.
Endorsement management team: Global brand endorsement required a global brand management team. It easy for regional endorsement management team to manage. Companies with large brand portfolios tends to have separate managers for each brand and for its promotion.
Brand image formation capability: celebrity product- congruent has a positive impact on brand image, the more celebrity and product are compatible with one another the more trustworthy it will be. This turn positive impact on brand equality.
Proper use of promotional medium: usually television is consider as a perfect medium for celebrity endorsement. Other mediums are also helpful with includes radio, hoarding, posters, newspaper etc. Now a days marketers uses all communication mix for the promotion. And when marketers uses all the promotional tools they make sure that they must be integrated marketing communication (IMC) process.
Consumer influencing advertisement: advertisement should be well designed and should convey the message it intended to convey to the targeted audience. On the other hand celebrity endorser should be a good actor and convey message as advertising agency and brand manager want it to be transferred to the targeted audience. It should be more like a team work by advertisers and celebrity endorser and brand manager.
Celebrity availability: In order to not create any confusion due to multiple endorsement, brand manager should first check the availability of the celebrity. Due to multiple endorsement of multiple brand by single celebrity creates confusion and dilution of single brand image.
Cost of acquiring celebrity: companies invest a large amount of money to get their product associate with the celebrity who fits the best. Large firms can afford that sum of money for celebrity endorsement but for small firms it’s risky. Every celebrity is paid as per their Q-score card. Nobody exactly knows the amount of money=y demanded for endorsement.
Multiple endorsement: Multiple endorsement in both terms; single celebrity endorsing multiple brands, or multiple celebrities endorses single brand creates confusion to the consumer. Multiple endorsements in both terms reduces the chances of recall of the product and creates confusions in same respect. Q-mobile uses multiple endorsement as in term of using multiple celebrities for their products.
Celebrity controversy risk: Ill-behavior of celebrities or if they may fall into any controversy that affect a great deal on the image of brand. As brand and celebrity endorse are associated with one and other any act on the part of endorser that gives him negative image among the audience will affect the brand endorsed.
(Source: Debiprasnd Mukherjee, 2009)
McCracken (1986) states that celebrities add value to a brand through the process of meaning transfer. This is where consumers who feel they have a particular connection to a celebrity will transfer that positive or negative connection to the brand. According to McCracken there are three stages of this process; meaning acquisition, endorsement and consumption.
1st Stage Meaning Acquisition: In this stage the meaning or message associated with the celebrity is transferred to the product or brand. In other word it is called as celebrity-product congruent.
2nd Stage Endorsement: Personal attributes of celebrity will be consider as brand attributes in consumer’s mind. As celebrity portrays the image of brand by using his own attributes.
3rd Stage Consumption: Finally brand’s meaning is acquired by the consumer.
McCracken model is based on transfer of meaning. According to him a celebrity does not contain one meaning or message but a broad variety of meanings and messages including demographic, personality and lifestyle. Thus celebrity does not express single meaning but a number of different meaning at a time.
It is difficult for brand managers to find a celebrity that fits best with their product along with everything else familiarity of the celebrity with those of the targeted audience is another very curial thing. Brand managers and advertisers tackle this problem with the help of Celebrity Q-Score model. Jack Landis began the service in 1963, under the company Marketing Evaluations Inc. Q-Scores have expanded to surveying consumers on fictional characters, newsmakers, and even dead celebrities. Q-Score help in the measurement of the familiarity of the celebrity with the population. The higher the Q-Score the more highly regarded the person is among the group familiar to them. Q-score model is important as it determine the effective of advertising campaign by the endorser. Q-score’s calculation is collected by the help of surveys twice a year through e-mails send to representative sample. The surveys may include demographic questions so that it will help to judge in which area, city, region or country celerity is highly familiar to the representative sample or unfamiliar to the representative sample. It may include following kind of questions:
Respondent’s familiarity with a celebrity, and what their opinion of them is.
One of their favorites
Very good
Good
Fair
Poor.
The ‘Q’ in the Q-score stands for quotient; the percentage of people who opt for (a) will be divided by the percentage of respondents who are familiar with the celebrity multiplied by 100. This number is the Q-Score. The information provided by Q-Score model provide tools for decision making. In other words Q-score model is value as advertising vehicle for marketers.
Keyword; Q rating, Q factor or simply Q
Another model that plays vital role in the term of consumer perception is ELM. The Elaboration Likelihood Model (ELM) of persuasion is a dual process theory describing how attitudes form and change. Richard E. Petty and John Cacioppo are pioneers of ELM model. The model aims to explain different ways of processing stimuli, why they are used, and their outcomes on attitude change. Attitudes cannot be measure statically. Attitude can be shaped and changed due to social influences of other people. Attitudes are unique to each person. Advertisements also affects greatly on the changing behavior and attitudes of people. Models says that sometime we pays more attention to what a person is says in the advertisement and other times we pay less attention to what a person is saying but pays more attention on the person’s presences in the advertisement. According to the model there are two routes to persuasion that is; central route and peripheral route. Central route to persuasion is paying attention to what a person is saying and understanding the logic behind the message in the advertisement or an on-going argument. It is when we are moved by what the person is saying. If a person finds a number of benefits for him in the message of advertise it means that the person is convince or influenced. The influence due to the central persuasion is long-lasting. Peripheral persuasion route is when a person is not motivated by facts but pays more attention on the superficial characteristics of the advertisement, which may include the fame, attractive of the person delivering the message. In peripheral persuasion route person is paying more attention to the person delivering the message and then accepting or rejecting the message based on the superficial characteristic in the message rather than thinking actively on the issue. The influence due to peripheral route is temporary and can be change in near future. Peripheral route can be called as a mental shortcut to determine the likability of things. Models say that, a person with motivation and ability to pay attention is influences due to central persuasion route on the other hand a person either with ability or motivation or even in absences of both will influences by the peripheral persuasion route.
Marketers also focus on consumer Perception theory in order to develop marketing campaigns and strategies to retain their current customer and to attract more customer. It is a process of how human perceive and process sensory stimuli through their five senses. Theory has three perceptions, that is; self-perception, price perception and benefit perception. Self-perception is relates to the values and motivations that drive the buying behavior of customers. Price perception is whether a customer is being fairly charged on what the value he drives from the product or service. Two factors that shaped price perception are the perceived quality of the product or service in question and price comparisons with producers offering similar product or services. In benefits perception a customer analyze and evaluate the benefits he may drives from the product or service against the price he is paying for, and how those benefits motivates him to but such product and service. (Chris Blank)
According to a research paper on analyzing the effect of celebrity endorsement thought television advertisement on consumer buying behavior is that the buying behavior of consumer is the crucial element which must be analyzed by the organizations in order to market their offerings properly. According to this research paper reference group, expertise, trustworthiness and attractiveness of celebrity in television advertisement has a positive impact on the buying behavior of consumers. (Muhammad Faisal Sultan and Mohammad Adeel Manna, May, 2015). Another research paper on celebrity endorsement thought TV medium says that the attractive of celebrity plays a vital part and perception of customer on celebrity attractiveness varies form age to age, as customers aged between 21-25 uses peripheral persuasion route rather than central persuasion route. (N.Muthukumar, January, 2014). Research paper on effectiveness of celebrity endorsement on brand recognition says the celebrity endorsement can be used as a powerful tool to alter and influence the behavior of consumers. The brand image and celebrity advertisements are outmoded when the customer is not contented, whereas pleased customer may recommend the product or service to his relatives and friends, by recalling the celebrity advertisements of the brand which leads to the enhancement of sale of the particular branded product or service. (Sajana .K. V, 7th International Business Research Conference). A research paper on celebrity endorsement says that advertisement can be to manipulate the attitudes of customer. Research also suggest that marketers should accumulate a positive recall of the product from the celebrity endorsed. Successful recall of product from celebrity endorsed can contribute in the sales volume of the product and income of the company as well. Brand association with celebrity must be careful strategize in consumer’s mind, as it affect to brand image and to overall business as well. (Debiprasad Mukherjee, August, 2009).
Research design and methodology:
A research can be positivism realism or interpretive in nature. This research paradigm or research philosophy is interpretivism in nature, as it is related to social sciences. The approach adopted of this research is deductive approach as it follows a specific pattern of research, that is, theory, hypothesis, observation and conformation. It is also known as top-down approach. As impact of celebrity endorsement in advertisement on customer’s perception- with special reference to Q-Mobile is narrow down to with the special reference to Q-Mobile. The research purpose is explanatory in nature as it study the cause and effect relationship between the celebrity endorsements with the customer’s perception. The research strategy adopted in this research is amalgamation of case study and survey, as data is collected with special reference of Q-Mobile and is collected through survey in with questionnaires were used as a tool of collecting data. This research is a qualitative research as it is a social science research.
Sample selection: the population for this research was the citizens of Karachi city. The population that was targeted as the sample population was based on the demographic characteristic, that is, gender, age, occupation and income
Sample size: The sample size of this research is 100. 100 close ended questionnaires were floated in Karachi city for the collection of data.
Sample Technique: The research technique used for this research is non-probability sampling technique. Data is collected through Snow-ball sampling. Non-probability sampling is often used because the procedures used to select units for inclusion in a sample are much easier, quicker and cheaper when compared with probability sampling. This is also known as convenience sampling.
Data collection:
The type of experiment used in this research is field experiment as data is collected through questionnaire survey and visiting different location of Karachi city. The researcher interference was moderate in nature as responded were asked to fill a closed ended questionnaire. The time horizon for this research is cross sectional as data is not collected in intervals of time, once data was collect then it is analyzed through Statistical packages of social sciences (SPSS) software. The tools use to collect data is close ended questionnaires in order to evaluate the response of our respondent effectively and efficiently.
The data is collected through secondary and primary tools. As for primary data collection questionnaires were drafted and floated in different location of Karachi city by using snow ball sampling method. Respondent were asked to fill close ended questionnaires. As questionnaires are more reliable source of collecting data as all response dents were asked same questions in pre-set order. Whereas, for secondary data, data is collected through already existing research reports and journals related to the topic and through different websites.
This chapter is highly beneficial for the readers in order to gain detailed knowledge about the procedure and pattern through which we have carried out our research work. It also help readers to have a knowledge about the methods of data collection and techniques that we have used to compile this research within allowed period of time.
Ethical Considerations: In ethical consideration researcher should consider following points during their and after their research work.
Ensure quality and integrity of your research.
Inform consent.
Respect the confidentiality and anonymity of your research respondent.
Participants will participate in your study voluntary.
Avoid to harm your research participate.
Research should be independent and impartial.
Questionnaires of this research contain an ethical research statement that say, ‘This questionnaire is intended to help BsPA final year student in preparation of final report on ‘impact of celebrity endorsement on consumer’s perception- with special reference to Q-Mobile’. Your response will be strictly confidential.’
Data analysis and findings
Of the 100 respondents (50%) surveyed respondents were male and (50%) were female. Of all (74%) of the people surveyed were between the age of 20 ‘ 30 age group; (6%) were in between the age group of 13 ‘ 19; (11%) of the people surveyed were in between 31 ‘ 40 age group; only (4%) of the people surveyed were in between the age of 41 -50;(5%) of the people surveyed were aged between 51 and above. More than half of the people surveyed (52%) were students; (35%) of the people surveyed were the people who are employee of private or government firms; only (8%) from that of 100% were the people who owns a business; (5%) of the people surveyed were the other people that may fall into house ‘ wife or unemployed person. As of the income only 74 of the 100 people surveyed had given their response. Out of 74 people surveyed more than half (64%) of the people had an in come in between 25,000 or less; (24%) had an income in between 26,000 ‘ 50,000; (8%) of the 74 respondent had an income in between 51,000 ‘ 75,000; only (1%) of the respondent had an income in between 76,000 ‘ 100,000; whereas only (3%) of 74 respondents has an income in between 101,000 or more.
Table 1: Gender
Gender frequency Percentage
Male 50 50%
Female 50 50%
Total 100 100%
Table 2: Age
Age frequency Percentage
13-19 6 6%
20-30 74 74%
31-40 11 11%
41-50 4 4%
51 and above 5 5%
Total 100 100%
Table 3: Occupation
Occupation frequency Percentage
Service person 35 35%
Business person 8 8%
Student 52 52%
Others 5 5%
Total 100 100%
Table 4: income
Income frequency Percentage
25,000 or less 47 64%
26,000 ‘ 50,000 18 24%
51,000 ‘ 75,000 6 8%
76,000 ‘ 100,000 1 1%
101,000 or more 2 3%
Total 74 100%
The fifth question in the questionnaire was an open-ended question, as to check the current position of the brands within the survey sample. Nine major brands were the response of 91 people surveyed. According to the survey Nokia is the market leader, Samsung has second highest market share whereas Q-Mobile stands 3rd in the race.
Table 5: Currently using brand (open-ended question)
Brands frequency Percentage
Samsung 25 28%
Nokia 29 32%
Sony Experia 4 3%
LG 2 2%
Motorola 3 3%
IPhone 7 8%
Oppo 2 2%
HTC 6 7%
Q-Mobile 13 14%
Total 91 99%
According to the survey, Nokia is the most frequent response of the people surveyed, 28% of the respondents uses Samsung, only 3% of the people surveyed uses Sony Experia, 2% of 91 respondents uses LG, Motorola is used by 3% of the 91 respondents, whereas Q-Mobile has 14% users out of 91 respondents, 8% respondents uses IPhone, 2% of the people surveyed uses Oppo smart phones, and 7% of the 91 people surveyed uses HTC.
Table 6: Publicity
Publicity Frequency Percentage
Strongly agree 11 11%
Agree 46 46%
Neutral 23 23%
Disagree 17 17%
Strongly disagree 3 3%
Total 100 100%
Of all 100 people surveyed 11% of the respondents strongly agree that celebrity endorsement generates lot of publicity about the brand; 46% of the 100 people surveyed agree that celebrity endorsement generates lot of publicity about the brand; 23% of the people surveyed out of 100 people surveyed were at neutral point at this statement; 17% of the people surveyed were disagree on the statement that celebrity endorsement generates lot of publicity about the brand; whereas only 3% of the people surveyed strongly disagree on the statement that celebrity endorsement generates lot of publicity about the brand.
Model summary analysis, anova analysis and co-efficient analysis were done by statistical package for social sciences (SPSS) software, each and every hypothesis were tested on SPSS software, and the results are as under.
Hypothesis 1:
H0 Higher the celebrity endorsement will have no effect on purchasing intention of customers.
H1 Higher the celebrity endorsement higher will the purchase intention of customers.
Table 1: MODEL SUMMARY
R square Sig. F Change
0.52 .004
a. Predictors: (constant), celebrity endorsement
b. Dependent variable: Buying intention.
According to the model summary our R SQUARE value is 0.52 which indicates that the percentage of variance explained by our statistical model is 52%, which means that our relationship between our dependent variable and independent variable, that is, buying or purchasing intention of customers and celebrity endorsement respectively, has a positive relation.
Table 2: ANOVA
Model significant
Regression .004a
a. Predictors: (constant), celebrity endorsement
b. Dependent variable: Buying intention.
Celebrity endorsement as an independent variable and buying intention as a dependent variable shows that the analysis run by ANOVA is significant i.e. .004a this shows the credibility of the relationship between the variables.
Table 3: CO-EFFICIENT
model Unstandardized Coefficients
” Std. Error t Significance
(constant) 0.589 0.054 10.947 0.000
Celebrity endorsement 0.275 0.093 2.952 0.004
a. Dependent variable: Buying intention.
Constant variable (dependent variable): Our constant value is 0.0589 which indicates that there is no change or very minor change in our variable that our variable is 0, and our buying or purchasing intention will remain constant by 0.589.
Celebrity endorsement (independent variable): As for our independent variable that is celebrity endorsement, our independent variable is significant that is 0.004, it is a good indicator for our dependent variable that is constant variable and for ” Coefficient for celebrity endorsement, despite that our buying or purchasing intention will improve by 0.275 per unit increase in celebrity endorsement.
Simple Regression Equation:
y=”+”X
Buying Intention=0.589+0.275(celebrity endorsement)
Hypothesis 2:
H0- Celebrity products/ brand congruence will have no effect on celebrity endorsement.
H1- Higher the celebrity products/ brand congruence will be the effective celebrity endorsement.
Table 1: MODEL SUMMARY
R Square Significance Change
.047 .032
Predictors: (constant), any of these celebrities who has endorse Q- Mobile would use this brand?
Dependent variable: celebrity endorsement (without congruency)
According to the model summary our R SQUARE value is 0.047 which indicates that the percentage of variance explained by our statistical model is 4%, which means that our relationship between our dependent variable and independent variable, that is, celebrity endorsement (excluding congruence) and Predictors (question: any of these celebrities who has endorse Q-Mobile would use this brand?) respectively, has a positive relation.
Table 2: ANNOVA
Model Significance
Regression 0.032a
Predictors: (constant), any of these celebrities who has endorse Q- Mobile would use this brand?
Dependent variable: celebrity endorsement (without congruency)
Predictors as an independent variable and celebrity endorsement (excluding congruence) as a dependent variable shows that the analysis run by ANOVA is significant i.e. .032a this shows the credibility of the relationship between the variables.
Table 3: CO-EFFICIENTS
Model Unstandardized Coefficients
” Std. Error t Significance
constant 0.373 0.063 5.950 0.000
Any of these celebrities who has endorse Q-mobile would use this brand? 0.039 0.018 2.1881 0.032
Dependent variable: celebrity endorsement (without congruency)
Celebrity endorsement (excluding congruence) (dependent variable): Our constant value is 0.373 which indicates that there is no change or very minor change in our variable that our variable is 0, and our buying or purchasing intention will remain constant by 0.373.
predictors (independent variable): As for our independent variable that is predictors, our independent variable is significant that is 0.032, it is a good indicator for our dependent variable that is constant variable and for ” Coefficient for celebrity endorsement, despite that our buying or purchasing intention will improve by 0.039 per unit increase in celebrity endorsement.
Simple Regression Equation:
Celebrity endorsement (excluding congruence)=0.373+0.039(Brand usage by celebrity)
Hypothesis 3:
H0- Celebrity Endorsement does not significantly impact Brand Image.
H1- Celebrity Endorsement does significantly impact Brand Image.
Frequency table 1:
Of the 100 respondents (41%) of the surveyed people were motivated due to the discounts and offers when they devise to buy a mobile; (16%) of the surveyed people were motivated due to fewer prices of mobile phones; latest model and trends motivates (40%) of the people surveyed; whereas only (3%) of the people surveyed were motivated by celebrity endorsement.
What have been motivating factor when you devise to buy mobile?
frequency percent Valid percent Cumulative percent
Discounts and offers 41 41% 41% 41%
Fewer prices 16 16% 16% 57%
Latest models as well as trends 40 40% 40% 97%
Celebrity endorsement 3 3% 3% 100%
Total 100 100% 100%
Frequency table 2:
Of the 100 respondents the highest motivating factor that respondents response to was the cost factor, 36% of the people surveyed opted for cost factor that motivate them to buy clothes; 27% of the people surveyed opted for the brand name as for the motivating factor when they devise to but clothes; 29% to the 100 people surveyed were status conscious, as they opted for status factor; whereas only 8% of the people surveyed out of 100% opted for celebrity endorsement.
What have been motivating factor when you devise to buy clothes?
frequency percent Valid percent Cumulative percent
Brand name 27 27% 27.3 27.3%
Celebrity 8 8% 8.1 35.4%
Status 29 29% 29.3% 64.6%
Cost 36 36% 36.4% 100%
Total 100 100% 100%
Frequency table 3:
Of the 100 people surveyed the highest motivating factor that drives the motivation of the buyers to but any food product is the quality factor, 90% of the people opted for the quality factor when they but food product; 7% of the people surveyed opted for the attractive packaging; only 3% of the people surveyed opted for the brand name; whereas none out of 100 people surveyed opted for the celebrity endorsement.
What have been motivating factor when you devise to buy food product?
frequency percent Valid percent Cumulative percent
Attractive package 7 7% 7% 7%
Quality 90 90% 90% 97%
Brand name 3 3% 3% 100%
Total 100 100% 100%
Descriptive Statistics: According to the above statistics there is no impact on celebrity endorsement on brand image. Survey shows the least responses for the celebrity endorsement. When people devise to buy mobile they look for the best discounts and offers. Discounts and offers are their first priority. Celebrity endorsement for mobile phones does not matter that much, as only 3% of the people opted for celebrity endorsement. When people devise to buy clothes they look for the cost effective factor. Good product at good price is the main motto of the customer. Again celebrity endorsement does not play vital role in buying clothes, only 8% out of 100 respondents opted for celebrity endorsement. When people devise to buy food product they opted for the best quality available regardless the cost. Quality is the main factor that drives customer satisfactory. Celebrity endorsement again does not play a vital role in buying food product, as none of the 100 respondents opted for the celebrity endorsement. Hence celebrity endorsement does not impact on the brand image.
Hypothesis 4:
H0- Celebrity endorsement does not help in recalling the product.
H1- Celebrity endorsement helps in recalling the product.
One-Sample Statistics
N Mean Std. Deviation Std. Error Mean
Celebrity endorsement refreshes memory of a brand? 100 2.50 .937 .094
One-Sample Test
Test Value= 2
t df Sig. (2 ‘ tailed) Mean Difference 95% confidence Interval of the Difference
lower upper
Celebrity endorsement refreshes memory of a brand? 5.334 99 .000 .500 .31 .69
There is a favorable to neutral effect in recalling the product with respect to celebrity endorsement. According to the observations, mean difference is equal to .500 which shows a neutral relationship. Hence celebrity endorsement helps in recalling the product.
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Conclusion:
Advertising is a vast area for research and study. Advertising through celebrity endorsement advertisement is widely prevalent today. In marketing, celebrity endorsers have a high positive impact on consumers. In the past, many advertising models have appeared in various media advertisements. But nowadays, movie stars appear mostly as celebrity endorsers. So, marketers rely heavily on movie stars to promote their product and services in advertisements. From the above statistical testing it has been concluded that consumer buying behavior is the crucial element which must be analyzed. This paper has identified the factors and proposed the model regarding celebrity endorsement from an extensive literature review which may have managerial importance. This study specially identified the area of the Q-Mobile and celebrity endorsement in the positioning of brand especially. It was concluded that none of the model can be applied directly without some modification of the terms and definitions. As can be interpreted from the results that, celebrity endorsement has reasonable impact on customers as per their attitude and purchase intention. Moreover all the variables which we have checked related with the celebrity endorsement have a positive impact on consumer buying behavior but especially important factors associated with the celebrity endorsement are level of attractiveness of the celebrity and the level of trust which consumer have on the celebrity. Celebrity endorsement does not significantly affects brand image, but it does help in recalling the product. It affect the buying intention of the customer in a positive manner. Through the observation it is also observed that higher the brand congruence, effective will be the celebrity endorsement. Hence Celebrity endorsement slightly effect the variables discuss.
Limitation:
There are few limitation with this research which are discuss below;
A limitation of this research is that the data has been taken from students mainly.
Although 100 (respondents) is a significant number of respondents but since majority were the students as respondents, so the results may represent a certain sect of society. The results might be different or diversified, had the study been conducted group wise equally, as on, students, business class, working class, etc.
However, research has no limit and there is a room for extensive research in this regard in future. Since the results of this study are positive, another area of research can be impact and efficacy of media on its viewers with respect to marketing products.
Research is only conducted in Karachi city and the area and the findings of research cannot be implemented on the entire population of Pakistan