CHAPTER TWO

LITERATURE REVIEW Commented [AMK1]: Your literature review is incomplete. You

only discussed celebrity endorsement. You have left out the
discussing on consumer buying behaviour.

Please, complete the literature review by discussing consumer

2.0 Introduction buying behaviour and then linking it to celerity endorsement.

This aspect of the study deals with the literature in connection with the study areas. The chapter

covers the research theoretical foundation, celebrity endorsement and its impact on brand image.

This chapter of the study deals with the relevant of celebrity endorsement and the how it is used

as a marketing communication strategy to enhance the products and brand of the company.

2.1 Celebrity Endorsement

Over the years, endorsement of celebrity has become a great phenomenon. Khatri (2006) gave a

good definition of the term celebrity endorsement; he stated that„ celebrities mostly lend their

brand name to the companies they signed the endorsement deal with for the advertisement of

products which they may be the experts or not. Moreover, one of the most famous ways that

marketers promote various products and services is through celebrity endorsement (Halonen-

Knight &Hurmerinta 2010). Byrne et al. (2003) stated that, marketers who try to build a unique

and eye-catching image between the consumer and the brand usually engage in celebrity

endorsement to serve as a communication tool or strategy. Even though it is normal that a

product or brand is identified with just a celebrity endorser over a particular period of time, some

marketers sign and use two or more celebrities in their advertisement campaigns (Hsu &

McDonald, 2002). According to Friedman and Friedman (1979) a “an individual whose

achievements in a particular area or field of life other than the product endorsed makes him or

her renowned can be describe as a celebrity endorser. According to Meijer (2010), endorsers
have been categorized into three main types by the literature and they are: regular consumers,

experts and celebrities. The major difference between the endorser types has been attributed to

the distinguishing traits that each possesses.

There exists a similarity in the characteristic of regular consumers; they do not desire any

distinctive knowledge about the advertised product or brand. The only knowledge obtained is

through the normal use of the products and most often nothing more. The name and profession of

a “regular” consumer as an endorser is mostly used in the advertising message. Since consumers

viewed similarities between them and “regular” consumer endorsers, it influences them to feel

attracted to the celebrity endorser (Meijer, 2010). Experts as the name stands, possesses the

needed know-how which is a major element of the trait ‘credibility’. The special characteristic of

an expert is that he or she has a vast superior knowledge about the brand or product, mainly

acquired through experience, study or training and the said knowledge of an expert precisely add

value to products as compared to ‘regular’ consumer endorser. Professions and sometimes names

are used together when employing an expert as an endorser of a brand (Meijer, 2010). Target

audience are much more familiar with celebrity endorsers than the aforementioned types of

endorsers (an element of the trait ‘attractiveness’), and they are famous for success achieved in a

peculiar area other than the brand advertised. Some various types of celebrities are; politicians

pop stars, politicians, film and TV stars, writers, sportsmen or women, politicians, and scientists

(Meijer, 2010).

2.2 Theoretical Framework

Hovland & Weissin formulated the source credibility theory in 1951. According to the theory,

the reaction of an audience to a message depends on the perceived credibility of the sender. This

means that the reaction that the receiver exhibit when they receive a message to a larger extent
depends on the credibility of the message source; what and how they see and acknowledge

source to be. It is briefly explained as the receiver’s acceptance of a message that is affected by

the positive traits of the communicator, (Ohanian, 1990: 41). Factors that characterized the

communicators perceived credibility was analyzed by the model of source credibility. The link

between change of attitude and the very source of a message is the bedrock of the source

credibility model, Asemah (2011:204). Using the right channel of channel to disseminate a

message, increases the possibilities of getting effective response but a used wrong source will

result into a poor feedback.

According to Anaeto & Anaeto (2010) in Asemah (2011:168), the theory of source credibility

has been divided into three different models. The factor models are, the constructivist and the

functional model. Anaeto & Anaeto (2010) stated that, the factor model shows the extent to

which the audience adjudicates the credibility of the source of the message; the factor model of

constructivist determines what the audience does with the channel proposal while the functional

model analyses the extent to which the individual needs of the receiver are satisfied by a

perceived source of credibility. Based on that, right channels must be use to communicate the

appropriate messages to the target audience. The source credibility theory proposed that the

proficiency and reliability of a message source determines the effectiveness of a message. To

capture the attention of the target audience, the theory of source credibility says that any message

of advertisement must be convincing enough to snare the receiver’s attention and that is the

relevance of the theory to this research work. Some major attribute that makes the recipient

perceived a source as having a significant knowledge is the credibility of the channel, trusts and

the expertise source. More reason why celebrities are used for the advertisement strategy is to

propagate unbiased, equitable or objective information. The source of celebrity used for the
purpose of advertising should be efficacious, honest, trustworthy, ethical and credible. A well

designed advertising message draws the recipient’s attention which propels the receiver to

positively react and the presence of celebrities in an advert can capture and maintain audience

attention. Therefore, customers find these popular personalities more charming when they

perceive them (celebrities) as similar to them and they adore the celebrities.

2.3 Empirical Studies

Advertisement in the last few years has been used as a random to create and bring awareness

about products to consumers by organizations. However, since the advancement in the

technology and the increasing usage in social media, most companies and industries have resort

to the use of celebrities instead of the usual random models. In the early part of 2013, one of the

biggest beverages producer pepsi used pop star Beyonce to advertised and market their products.

Alicia keys was also engaged by blackberry to launched their BB10 range. Automobile producer

Honda used Nick Cannon among others. Mobile telecommunication network (MTN) in used

celebrities like Oyetoro Hafeez to advertised their products. The competitor of MTN, Glo

communication network company also used the like of P-square. These celebrities were used by

their respective companies as they have huge followers and their influence is expected to pushed

their fans to stay glued to them and the products they had endorsed. According to Taiwo (2013),

these celebrities are engaged as they are expected to use their popularity to increase the products

presence in the market as well as to give the products exposure.

Kamakura (1995) stated that in the sphere of influence of the impact of the celebrity is supposed

to lay up distinctive identity as well as offer “effective audio- visual communication to the brand,

the celebrity does not have any power to improve or debilitate the efficiency and features of the

product or brand”. To some extent the purchase of the brand can be increased by the use of
celebrity endorsement. As McCraken (1998:16) revealed that celebrity endorser who is mostly

seen as a brand ambassador is “any individual who enjoys public recognition on behalf of a

consumer by appearing with an advertisement”. According to Okorie et al (2012:145), stated that

studies has clearly showed that the endorsement by celebrity affects customers ‟feelings in

general and it could affect the attitude of customers towards the advertisement and brands too

which could result in enhancing of purchase intentions and as a result in enhancing of sales”.

Many organizations select celebrities as ambassadors of their brand for a number of reason. The

life experience of the celebrity that fits an advertising message is one if the major reason for the

selection of the celebrity as well as the high appeal of the celebrity. According to an online

article published by Desmond Ekeh (2009) “companies now eagerly part with cash to ensure that

celebrities are effectively used to promote their brands especially through the electronic media”.

2.3.1 Celebrity versus Non‐celebrity endorsement effectiveness

The prevalent utilization of celebrity endorsement in marketing program is not an accident.

Research has found that as compared to the other genre of endorsers such as the company

manager, typical consumer and the professional expert, by far the celebrities are the most

effective. (Seno & Lukas, 2007) According to Tom et al (1992) results endorsers were more

effective in creating a link to the product than celebrity endorsers based on the classical

conditioning paradigm. This argument was based on the fact that companies had more

controlling power over created endorsers and they build these characters in such a manner that

they are fitting with the brand and target audience and also that these characters were not allowed

to endorse more than one brand. The celebrity endorsers on the other hand had created a persona

of their own over time and the company lacked control over them. Differences were found in the
cognitive responses, but there was no statistically significant difference in attitudes towards

advertising and the intention to purchase the endorsed brand in the celebrity and non-celebrity

endorsed situations (Mehta 1994). On the contrary Atkin and Block 1983 and Petty et. al 1983

found that as compared to the non-celebrity endorsers, the celebrity endorsers produced more

positive attitudes towards advertising and greater purchase intentions. McCraken (1989) found

that the use of celebrity endorsers stand for an effective way of transferring meaning to brands as

it is believed that celebrity endorsers bring their own emblematic meaning to the endorsement

process and that this cultural meaning residing in the celebrity is passed on to the product which

in turn is passed on to the consumer..McCraken (1989) argued there lays a difference between

celebrities and anonymous person as it is assumed by him that celebrities have the capability of

delivering meanings of extra depth, power and subtlety and also offers a range of lifestyle and

personality which cannot be matched by anonymous people.

2.4 Reasons for Celebrity Endorsement

The endorsement of celebrity is seen to be reliable ways of “money is burning”, Kirma Sharma

and Shashi (2013: 76), “this is because there is a world of products the value of which customer

obtains purchase of any given variety which could be the reason for social standing”. It is often

said that people want to look good by wearing the “right” dresses as well as use products they

think are right for them. Companies mostly used celebrities to endorsed their products with very

high margin of production as well as huge customer base. Celebrities are often use to market

products like soft drinks, shoes and telecommunication companies among others per their huge

cost margin. Marketers of some products need co-ordination over a number consumer groups

such income, age different, different geographical location as well as educational groups.

Products of this kind and the kind of advertising messages they communicate is seen to be very
effective as well as co-ordinate mechanism. According to Clark and Horstman (2003) reasoned

celebrities are recognized publicly and are used to achieve low cost across the co-ordination of

group. When people are told that a service or product can be of help to them, they are likely not

to believe, and because the companies have the interest to sell their products and services they

have to engage the services of those they think can be of great service to them in marketing their

service and products. Rawtani (2012) stated that celebrities have the trust of their followers they

believe what comes from their stars, so in that case the companies engage the services of the

celebrities to help them to sell them.

2.4.1 Positive Effects of Celebrity Endorsement

(R. Croft) cited that as competition is increasing between the firms to attract more consumers

towards their brands, celebrities are increasingly used by the marketers to endorse their products.

(Kulkarni and Gaulkar 2005) mentions that featuring a famous personality helps markers in

solving the problem of over communication.

Celebrities because of their well knowness can assist advertisements to become more popular

and stand out from the clutter and increase communicative ability. Celebrity endorsement helps

in improving the brand’s image and also polishes the company’s image.

Celebrity endorsement can also prove to be a powerful tool in entering foreign markets, it helps

the company to overcome numerous issues. For instance, L,Oreal uses Ashwariya Rai and

Sonam Kapoor in their White Perfect range, Kareena Kapoor in Lakme Eye conic kajal and

Kajol in Olay aging cream are all considered popular in India and Pakistan.

It is also seen that those products which are endorsed by celebrities’ standout from other

competing products because of their high level of recall and celebrities also create an impact in
consumers’ mind by making the advertisement memorable so it can be easily retrieved at the

time of shopping.

Lastly, celebrities who appear in any advertisement for endorsing a product, they are actually

capable of breathing life in a falling brand and can help that falling brand to rise, in order words,

they create new interest and excitement in consumers.

All these arguments points to one conclusion that celebrity endorsement creates a positive impact

on consumers buying behavior (Goldsmith, Lafferty and Newell 2000).

2.4.2 Negative Effects of Celebrity Endorsement

However, celebrity endorsement has countless benefits but there are also certain risk factors that

are associated with celebrity endorsement as a marketing strategy. Negative publicity regarding

the celebrity is a major risk with endorsing a celebrity and there are other factors that can lead to

serious consequences like:

• Popularity starts decreasing

• Moral issues

• Over endorsing can lead losing credibility

• Overshadowing of endorsed products.

Negative publicity about a celebrity endorsing a brand can change the perception of the

consumer about that celebrity and it may also damage the brand reputation resulting marketers to

pay a big price over the celebrity’s misdeeds and face serious humiliation and embarrassment.

(Kumar 2010) mentions that there are times when consumers actually only noticed the celebrity

appearing rather than the product, hence this idea to promote that brand fails miserably. (Cooper

1984) says that “the product not the celebrity must be the star.”
This overshadowing is also called “vampire effect” because there is lack of clarity for the

consumers because they are found to take more notice and interest in the celerity rather than the

interest. Another issue that arises is of overexposure when marketers employ well recognized

celebrities to endorse their brands and it ultimately confuses the consumers and they are unable

to correctly recall about that brand which celebrity stands for.

2.5 Celebrity Endorsements as a Strategy

The signing of celebrities to endorsed brands and products is a “time-tested strategy”, and has

been used effectively by many top companies worldwide to promote their brands and products.

The likes of Nike, Pepsi, Hill Lux soap Gwalior, Dinesh as well as Vimal used celebrities to

promote their brands. It is believed marketers used celebrities to endorsed their products for

many reasons and benefits and key among the benefits are the idea of building credibility,

drawing of attentions, trust fostering which leads high sale of products and brand. The companies

decide to engage the stars based on the idea to communicate to their consumers. MG

Parmeswaran, Executive Director of FCB Ulka says, “As advertising professionals, we

recommend celebrity endorsements when the case is justified. There are many cases where you

need to use the celebrity to break out of a category clutter. At times celebrity endorsement is

used to build credibility to the brand offer.” Many scholars indicated that judicious use of the

celebrities to endorse a brand is an effective marketing strategy. According to Mohammed Khan,

Chairman of Enterprise Nexus, “Using a celebrity by itself is not a bad idea provided it is done

intelligently.”
2.6 Celebrity Branding and Its Effect on Consumers

The strategy to use celebrities to endorse a brand and a product can at least guarantee a company

an attention to their brand or products. And once a firm decides of engage “celebrity

endorsement strategy”, one thing people always ask is, “Which celebrity to select”? a lot of

scholars have indicated that it is insufficient for a celebrity to have a positive effect on brands

and products, since they have to offer a very high appropriateness their products and brands.

Sylvester Stallone stated that“high recognition and reputation, but he still would not be good

choice for advertising World Peace Conference”. One thing marketers always ask or are worried

of is if the use of celebrity endorser will bring more sale to the organization and as well increase

their sales revenue. Scholars have also indicated that is usually not good for one celebrity to

endorse and promote a lot of products at one particular time. Kotler 1991 stated that just as hiring

of celebrity endorser to promote is a good and perfect idea as if have yielded more benefits, the

company always pray for scandal free from their star endorsers like involving themselves in

immoral acts that would bring the name of the company into disrepute.

You have to provide a synthesis of the literature review in the form of a conceptual
framework. The conceptual framework is a summary of the literature review in the
form of a figure. The conceptual framework depicts the various constructs of
celebrity endorsement and consumer buying behaviour. The conceptual framework
forms the basis for developing your interview guide which you take to the field. Commented [AMK2]: Please address this comment
Reference

Asemah, E.S, Gujbawu, M, Ekhareafo, D.O and Okpanichi, R.A (2012). Research Methods and

Procedures in Mass Communication’s : Great Future Press

Cooper, ( 1984), “Can celebrities really sell products marketing and media decision”

Friedman, H. & Friedman L. (1979). Endorser effectiveness by product type. Journal of

Advertising Research, 19, 63-71.

Ghauri P, Gronhaug K (2005). Research methods in business studies – A practical guide. 3rd

edition.

Goldsmith, Lafferty and Newell, (2000), “The impact of corporate credibility and celebrity

credibility on consumer’s reaction to advertisement and brands.”

Heinemann, Oxford, UK Ohanian, Roobina (1990). Construction and validation of a scale to

measure celebrity endorser’s perceived expertise, trustworthiness and attractiveness. Journal of

Advertising, 19, 3, 39-52.

Hsu, Chung-Kue and McDonald Daniella, (2002), “An examination on multiple celebrity

endorsers in advertising”, Journal of Product & Brand Management, Vol. 11 No. 1 pp. 19-29.

Mccraken, G. (1989).Who is the celebrity endorsement? Cultural Foundations of the

Endorsement Process. Journal of Consumer Research. No 16(3), 310-321. University of Chicago

Press: Chicago.

Ohanian, R. (1990). Construction and validation of a scale to measure celebrity endorsers’

perceived expertise, trustworthiness and attractiveness. Journal of Advertising, 19(3), 39–52.

Google Scholar, Crossref, ISI

Okorie, N., Oyedepo, T. And Akhidenor,G.(2012). The Dysfunctional and Functional Effect of

Celebrity Endorsement on Brand Patronage. An online journal of communication and media

technology. Vol. 2(2). Eastern Mediterranaen University Press

Rawtani, P. (2012).Celebrity Endorsement and Brand Building. A dissertation Report

Taiwo, O. (2013). Celebrity endorsement: a plus for Advertisers or a big risk?