Академический Документы
Профессиональный Документы
Культура Документы
KUMASI, GHANA
MTN GHANA
BY
(MARKETING OPTION)
JUNE 2018
KWAME NKRUMAH UNIVERSITY OF SCIENCE AND TECHNOLOGY, KUMASI
MTN GHANA
SARAH PEPRAH
MATILDA PAINTSIL
JANET DONKOR
JUNE 2018
DECLARATION
We declare that this work is the result of our own research and has not been presented by anyone
for any academic award in this or any other university exept other sources which were duly
7247616 SignatureDate
7224416Signature Date
7247516Signature Date
7233016Signature Date
i
CERTIFICATION
I hereby certify that this Long essay was supervised in accordance with procedures laid down by
the University
…………………………………………… …………………………...
SUPERVISOR DATE
ii
DEDICATION
We dedicate this work first and foremost to God Almighty for His goodness and mercies. We also
want to dedicate this thesis to our family, especially our mothers. Thank you for your prayers and
enormous support.
iii
ACKNOWLEDGEMENT
I am indebted to my supervisor, Mr. Andrew Ayiku for his untiring dedication during the
Special appreciation goes to him for his time, contribution and support.
iv
TABLE OF CONTENTS
DECLARATION ............................................................................................................................. i
CERTIFICATION .......................................................................................................................... ii
DEDICATION ............................................................................................................................... iii
ACKNOWLEDGEMENT ............................................................................................................. iv
LIST OF TABLES ........................................................................................................................ vii
LIST OF FIGURES ..................................................................................................................... viii
ABSTRACT ................................................................................................................................... ix
CHAPTER ONE ............................................................................................................................. 1
INTRODUCTION .......................................................................................................................... 1
1.1 Background of The Study ......................................................................................................... 1
1.2 Statement of Problem ................................................................................................................ 4
1.3 Purpose of the study .................................................................................................................. 5
1.4 Research Objective ................................................................................................................... 5
1.5 Research Question .................................................................................................................... 6
1.6 Significance of the study........................................................................................................... 6
1.7 Scope of the Study .................................................................................................................... 7
1.8 Methodological Overview ........................................................................................................ 7
1.9 Structure of the study ................................................................................................................ 8
CHAPTER TWO ............................................................................................................................ 9
LITERATURE REVIEW ............................................................................................................... 9
2.0 Introduction ............................................................................................................................... 9
2.1 Celebrity Endorsement.............................................................................................................. 9
2.2 Theoretical Framework ............................................................................................................. 9
2.3 Empirical Studies .................................................................................................................... 12
2.4 Reasons for Celebrity Endorsement........................................................................................ 13
2.5 Celebrity Endorsements as a Strategy..................................................................................... 14
2.6 Celebrity Branding and Its Effect on Consumers ................................................................... 14
CHAPTER THREE ...................................................................................................................... 16
RESEARCH METHODOLOGY.................................................................................................. 16
3.0 Introduction ............................................................................................................................. 16
3.1 Research Design...................................................................................................................... 16
v
3.2 Types and Sources of Data ..................................................................................................... 16
3.2.1 Primary Data .................................................................................................................... 17
3.2.2 Secondary Data ................................................................................................................ 17
3.3 Research Population................................................................................................................ 17
3.4 Sample Size............................................................................................................................. 17
3.5 Sampling Techniques .............................................................................................................. 18
3.7 Methods of Data Collection .................................................................................................... 18
3.7.1 Questionnaire Structure ................................................................................................... 19
3.7.2 Distribution of Questionnaire .......................................................................................... 19
3.8 Data Analysis and Presentation .............................................................................................. 19
CHAPTER FOUR ......................................................................................................................... 21
DATA PRESENTATION AND ANALYSIS OF DATA OF RESULTS.................................... 21
4.0 Overview ................................................................................................................................. 21
4.1 Demographics of Respondents ............................................................................................... 21
4.1.1 Gender of Respondents .................................................................................................... 21
4.1.2 Age Distribution of Respondents ..................................................................................... 22
4.1.3 Educational Status of Respondents .................................................................................. 23
4.1.4 Occupation of Respondents ............................................................................................. 24
4.2 The Relationship Between of Celebrity Endorsements on Brand Image of MTN ................. 25
4.3 Important Celebrity Endorsement is to Consumers and Does It Affect Their Awareness and
Responsiveness Towards the Brands. ........................................................................................... 27
4.4 Effectiveness of Celebrity endorsement is an effective advertising strategy for MTN .......... 29
CHAPTER FIVE .......................................................................................................................... 32
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS................................................. 32
5.0 Introduction ............................................................................................................................. 32
5.2 Summary of Findings .............................................................................................................. 32
5.3 Conclusions ............................................................................................................................. 33
5.4 Recommendations ................................................................................................................... 34
APPENDIX ................................................................................................................................... 40
vi
LIST OF TABLES
Table 4.1: Sex Distribution of Respondents………………………………………………...26
Table 4.4: Frequency of how important celebrity endorsement is to consumers and does it affect
vii
LIST OF FIGURES
viii
ABSTRACT
In today’s era of marketing, the endorsement by celebrity has grown into a multiple billion-dollar
industry. To effectively establish a unique and significant position in consumers’ minds in the
market, most companies signs deals with renowned celebrities to serve as the company’s brand
ambassador. Endorsement of celebrity is prominently being used across various industries
irrespective of the type of product or service involved. Celebrity endorsement essentially plays a
major role in signaling the firms marketing strategy. Celebrity endorsement gives a sort of a
glamour touch to the advertised brand. The use of celebrity endorsement as a strategy to market a
brand and a products and its subsequent effects on the brand image of the firm has been researched
moderately in the last few decades. The study is an exploratory study which also seeks to expand
on the limited study done on the use of celebrity to promote brand image. Both primary and
secondary source of data will be gathered, the primary data would be specific to the study, whilst
the secondary data will be taken from previous literature and study. Questionnaires was
administered personally by the researcher to the respondents. For this research, samples of 110 of
staffs and subscribers was selected. The data collected will be analyzed with the use of frequencies,
percentages and means in analyzing and processing most of the data that will be obtained through
the surveys. This will be done with assistance of Statistical Package for Social Sciences (SPSS)
software. The results will be then analyzed on the possible relations within the different variables
to arrive at the findings using Chi square tests and descriptive statistics. According to the analysis,
the study revealed that the use of celebrity endorsers as a marketing strategy helps to impact on
the brand image of the products of MTN. From the data, it was revealed that a total of 76.3% of
the respondents agreed that celebrity endorsement helps to improve the brand image. The data
analysis further revealed 60.0% of the respondents stated the use of celebrity popularize the brand
of the company. The use of celebrity to endorse a brand of a company helps customers to avoid
difficulty in the selection of products and brand as it offers credibility to the consumers and
influence them to accept what has been promoted by their stars. The results of the analysis implied
that majority of 66.3% respondents stated that celebrity endorsement influences consumer loyalty.
The reason for the study was to offer compressive insight into the influence of celebrity on the
brand image of Mobile Telecommunication Network (MTN). The study concluded that consumers
are likely to shift or switch to another brand that is favored or endorsed by their favorite stars. The
study concluded that the use of celebrity to endorse brand helps to generate enormous publicity
for the said brand. It also creates a positive image for the brand and the company at large. The
research recommended that the company should monitor the conduct, public image and behavior
of the celebrity endorser should scrutinize and analyze constantly during the time of endorsement
to minimize the negative effects on the brand of the company. This can be achieved through clause
in the contract that would also help in easy review and other actions. The company is advised to
also include clauses that would persuade the celebrity and his/her behavior to the advantage of
MTN in the signed contracts.
ix
CHAPTER ONE
INTRODUCTION
Marketers are believed to have spent huge sum of money yearly to promote their products and
brand by engaging celebrities to endorse and act as spoke persons based on the assumptions that
they are effective in marketing the company (Katyal, 2007). In today’s era of marketing, the
Harahousou, Theodorakis & Chatzibeis, 2002). To effectively establish a unique and significant
position in consumers’ minds in the market, most companies signs deals with renowned celebrities
the type of product or service involved. Celebrity endorsement essentially plays a major role in
signaling the firms marketing strategy (Mustafa, 2005). Reynolds (2000) also stated that, celebrity
In the quest to win the hearts of customers or consumers, organizations or firms has
prioritized their advertisement strategy making the marketing environment very competitive.
According to Sager, (2011) creating and maintaining the brand image amongst customers is major
influence on advertising, recognition of brand and brand recall, it as well influences the purchase
intentions of customers and follow through (Spry, Pappu, & Cornwell, 2011).
1
The celebrity endorsement strategy is reckoned as an essential marketing tool that
marketers used to articulate the companies brand images and other relevant related information to
consumers. Celebrity endorsement helps companies to gain brand loyalty which reflects in the total
sales revenue increment, as well as create brand awareness, build strong brand image, brand equity
which maximizes shareholders’ return on investment (White, Goddard, & Wilbur, 2009; Dean &
Biswas 2001).
Newspapers, television and radio exposed consumers and customers to numerous images
and voices on regular basis. An advertised product draws the attention of a person at least a fraction
of his or her time to inform him or her of the significant features about the brand of product at
brand is a widely used marketing strategy that helped to curb or combat this challenge (Kotler &
Keller 2006).
In recent years the use of celebrity to endorse a brand as an advertising instrument has
increased drastically (Belch & Belch, 2001); all different kinds of products and services are
promoted using celebrities. Spokespeoplewho are greatly admired by the public such as actors and
actresses, musicians, athletes and other famous public figure are used by advertisers to
communicate or position their brand images because of their value. Various multi-national
organizations around the world including Ghana employs celebrities to promote their products or
services since the general public familiar with their personalities. Organizations and companies
signs endorsement deals and contracts with celebrities to become the brand ambassador who will
help articulate and promote the company’s interest in terms of awareness creation and attracting
more customers to increase profit making. In Ghana, celebrities such as Stonebowy, Samini, Jackie
2
Appiah, VanVicker, Kalybos, Funny Face and many others have at one time acted or are acting as
brand ambassadors in the telecommunication industry. The needs and expectations of a consumer
influence his or her product brand purchase to fulfill the needs, when his or her expectations are
met, the consumer becomes satisfied or delighted and he or she develops loyalty to the brand.
According to Drake and Miah, (2010) Endorsement of celebrity has been reckon as one of the
generally accepted way ofbuilding brand in different market contexts and product contexts as per
Martin Roll (2014) also stated that celebrity endorsement serves as a means of providing a
unique differentiation and strengthen the brand image in a market with intense competition, of
local, regional and international brands. Furthermore, the existence of positive correlation between
the brand image and the celebrity image or personalities would make it very effective.
(Tantiseneepong, Gorton & White, 2012). The personality of the endorser must have a symbolic
match to the objectives of relevance, esteem, unique differentiation and above all familiarity.
Familiarity shows that the celebrity is easily recognized by the target audience and that
they find the personality likeable and trustworthy. The relation between the endorser, the product
brand and its target audience is mainly the relevance in celebrity endorsement. The Esteem means
the credibility the celebrity possesses and offers and the differentiation depicts how the celebrity
The essence of employing a celebrity as an endorser is that, it helps to catch the attention
of the public irrespective of the type of product. Greater fraction of the public easily recognizes
and identifies these renowned personalities. Mostly the goodwill and admiration associated with
the celebrities can be transferred to the product. These famous peoples help to make advert
believable which ensures consumers overcome mental impalpability, enhance advert recall,
3
increase brand awareness and even influence consumers to patronized the endorsed brand.
According to Seema (2013), companies used celebrities to make their brands popular. To create
better brand image among customers, advertisers must be able to take some important steps such
as matching a particular celebrity with the target audience and the product/service brand, the
overall image of the celebrity, trustworthiness, celebrity’s familiarity and likeness among the target
audience.
beverages, cars, cosmetics and the telecommunication service as well. It should be remembered
that celebrity endorsement is not an end to means but rather a means to an end (Redenbacher,
2000). The extensive use of credible celebrities has several manifold reasons. To begin with,
celebrities mostly help advertising campaign or message stand out among various surrounding
clutter due to the high profile nature of these personalities, thus enhancing their communication
skills and ability. Also, the companies brand receives broad public relations leverage as a result of
celebrity endorsement (Alonso; 2006). It has been started that if the brand loyalty strategy is being
used effectively it can make the brand to facilitate quick awareness and also help the brand to stand
out. This means that the choice of celebrity for a product must be carefully done to give an edge
Choi (2002) defined “endorsement is a channel of brand communication in which a celebrity acts
as the brand’s spokesperson and certifies the brand’s claim and position by extending his/her
The use of celebrity endorsement as a strategy to market a brand and a products and its
subsequent effects on the brand image of the firm has been researched moderately in the last few
4
decades (Erdogan, 1999). Research has found that the use of celebrity to endorse a brand and a
product is an effective advertising tool as it helps the firm to increase the brands recognition and
create attention and awareness for the products of the firm as well as the brand. The use of celebrity
to endorse a product is one of the common strategy in marketing communication to help companies
and firms build their brand image. The use of celebrity by advertisers helps to affect and improve
the effectiveness of an advert and as well help in brand recall and recognition (Spry et al., 2011).
Celebrity endorsement also help in global advertisement, brand repositioning, helps the company
to simplify the potential of the brand image as well as makes the company’s service and products
to be accepted and believed by consumers (Erdogan, 1999; Spry, Pappu & Bettina, 2011). In spite
of this, the most broadly and completed study conducted is currently outdated and (Hunter, 2010)
Therefore, the researchers want to ascertain how a modern company like Mobile
Telecommunication Network (MTN) today might be able to improve its brand image by using
celebrity endorsement as their advertising in its marketing strategy. One other reason for the
selection or choice of MTN Ghana is the lack of existing study conducted on this subject in Ghana.
2. To find out how important celebrity endorsement is to consumers and does it affect their
5
1.5 Research Question
1. What is the relationship between celebrity endorsements on the brand image of MTN?
2. What is the important celebrity endorsement to consumers and does it affect their
will help policy makers, the organization (MTN) and other telecommunication industry as well as
other stakeholders to design the best communication and marketing activities that can help
encourage the development and to sustain the brand image MTN Ghana. It will also help policy
makers to encourage, support and promote the establishment of appropriate strategies guide the
The outcome of the study would also help the mangers of the various telecommunication
industries in Ghana to acquire knowledge into how the effective use of celebrity advertising can
make them very competitive in the business environment. This study will provide an understanding
on the impacts of celebrity endorsement on sales and revenue on the MTN Ghana. A lot more
practices and the use of celebrity endorsement on the general performance of the
The study outcome will also offer the information on the background of other scholarly
research to any researcher or student who would like to study further on the impact of celebrity
endorsement. The outcome will also seek to help individual researchers to come up gaps that might
come up in the current study and research on those areas to fill them. The study will also be useful
to the academic environment especially students of Kwame Nkrumah University of Science and
6
Technology(KNUST) business school and also to broaden the understanding of the researchers on
The study area will be MTN Ghana limited with its head office located within the capital city of
Ghana with a customer population of about 2.07 million (Ghana statistical service report, 2010).
The decision to use this scope for the study is because of the vibrancy, convenience and the
accessibility of the city of Accra in relation to business activities. There are many businesses in
the district and being the district capital the study would capture exactly what other part of the
metropolis is doing in relation to the use of information system. The study will use 150
of one specific method toapplyto a field of study. Typically encompasses concepts in the form of
The study is an exploratory study which also seeks to expand on the limited study done on
the use of celebrity to promote brand image. Both primary and secondary source of data will be
gathered, the primary data would be specific to the study, whilst the secondary data will be taken
from previous literature and study. Questionnaires was administered personally by the researcher
to the respondents.
The data collected will be analyzed with the use of frequencies, percentages and means in
analyzing and processing most of the data that will be obtained through the surveys. This will be
done with assistance of Statistical Package for Social Sciences (SPSS) software.
7
The results will be then analyzed on the possible relations within the different variables to arrive
the problem of the study and the evidence to support the study as well as the relevance of the study.
The study also looks the study objectives and the research questions.
Chapter two: This chapter analysis the various works that has been carried on the field of
celebrity endorsement in promoting brand image and the problem review thereof.
telecommunication, theoretical model, the concept of brand image and more concerning the
objectives set.
Chapter three: The third chapter of this study provides details on the methodology of the
study. The study also defined the methodology choices like the process of gathering data, the
criteria of sampling, the data analysis method and the limitation of the study.
Chapter four: This chapter addresses the findings and the analysis as well as the result
Chapter five: This chapter discuss the results and gives answers to the various research
questions and address the objectives in the chapter one. The chapter also provide accurate
conclusion to the study and give needed recommendation necessary to the study.
It also discusses into details the limitations and provides areas future studies.
8
CHAPTER TWO
LITERATURE REVIEW
2.0 Introduction
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.
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
9
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).
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
10
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
11
these popular personalities more charming when they perceive them (celebrities) as similar to them
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
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
12
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
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
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
13
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.
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
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
14
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
15
CHAPTER THREE
RESEARCH METHODOLOGY
3.0 Introduction
This chapter discusses the detailed research methodology adopted for the achievement of the
objectives of the study. The chapter discusses the research design, types and sources of data,
sampling techniques, methods of data collection and data analysis. It provides detailed
explanations to each of the methods employed and how the methods adopted are appropriate for
the study.
As noted by Ghauri and Gronhaug (2005), “a research design is the overall plan for relating the
conceptual research problem to relevant and practicable empirical research”. According to Orodho
(2002), descriptive survey design is used in studies to allow a researcher to gather, summarize,
This study employed the use of data obtained from both primary and secondary sources to meet
the objectives of the study. Primary data obtained from the respondents were necessary in order to
gain first-hand information on the key themes captured in the study. Secondary information also
gave an insight into the study and enabled the thorough examination of the various views and
16
3.2.1 Primary Data
Primary data sourced from the staff of MTN and selected subscribers of MTN were mainly used
by the researchers. This assisted the researchers to get first-hand information from the various
Secondary information was employed to supplement the primary data. Secondary information was
obtained through a review of existing literature from published books, journals as well as policy
documents and existing reports about the topic under study. Secondary information provided an
insight into the study and enabled the thorough examinations of the various views and works of
A research population refers to the universe of units from which a sample is selected. The
population for this research consists of MTN and some subscribers of the company. Since there is
no authoritative number of registered and actual subscribers, 110 selected subscribers are used.
Sampling design refers to the procedure a researcher adopts in selecting items for the sample
(Kothari, 2004). A sample is a sub-group of the population which is an ideal representative of the
entire population. For this research, samples of 110 of staffs and subscribers will be selected. The
sample size for this study was obtained with the following formula:
Z 2 * ( p) * 1 p
ss
C2
17
Where:
ss=sample size
p=percentage picking a choice, expressed as decimal (0.5 used for this study)
ss=108.692
In order to take care of all the issues under consideration in the research objectives, this study
employed probability sampling. A probability sampling scheme is one in which every unit in the
population has a chance (greater than zero) of being selected in the sample, and this probability
can be accurately determined (Kothari, 2004).Under the probability sampling, the study used
stratified sampling. This was used to ensure that there is a proportionate representation of the
different mobile phone service providers and their customers in the sample.
Primary data were collected mainly through a questionnaire survey. Kothari (2003) defines a
respondents that accomplish research objectives. According to Naoum (1998), the questionnaire
is probably the most widely used data collection technique for conducting surveys to find out facts,
opinions andviews. For this research, a questionnaire was selected because it enhances the
18
reliability of observations and improves replications because of the inherent standardized
design and administered separately to both subscribers and the staff to obtain the required data
The questionnaire was developed with brevity as an intended goal. The questionnaire was
structured into separate sections based on the objectives of the study. The questionnaire comprised
open-ended and Likert type questions. The closed-ended and Likert type questions were used for
their advantages of being quick to answer and requiring no writing by the respondent (Naoum,
1998). The open-ended questions were used to obtain in-depth responses on the issues. The various
questions were obtained with the help of a detailed literature review and were simple, easy,
unambiguous and void of technical terms to minimize potential errors from respondents.
The researchers personally administered the questionnaire to the respondents in order to ensure a
high return rate and to ensure that the questionnaire got to the right people. The researchers used
both the self-administered and the interviewer administered questionnaire in order to elicit
The data collected were analysed with the use of frequencies, percentages and means in analysing
and processing most of the data that were obtained through the surveys. This was done with the
Statistical Package for Social Sciences (SPSS) software. The results were then analysed on the
possible relations within the different variables to arrive at the findings using Chi square tests. The
19
data analysis was in the form of comprehensive statements and analytical descriptions based on
the primary data as well as the secondary information. Microsoft Excel was used to create visual
20
CHAPTER FOUR
4.0 Introduction
This section of the study offers the presentation of the results from the data collected. The result
will be discussed each research questions or objective to provide enough understanding of the topic
under review. It starts with the respondent’s profile or background and followed with the various
research objectives. This includes the relationship between celebrity endorsement on the brand
image of MTN; the important celebrity endorsement is to consumers and does it affect their
awareness and responsiveness towards the Brands and whether celebrity endorsement is an
With the quest to get well acquainted with the respondents, the researchers discuss background
information like the gender of the respondents. Others include their age, their level of education
as well as their occupation. The analysis of the respondent’s profile is presented below.
With regards to the gender of the respondents. Majority of the respondents 57.3% are males while
the remaining of the 42.7 of the respondents were females. This shows that more males are involve
21
Male 63 57.3
Female 47 42.7
Total 110 100.0
covered respondents from a wide range of ages. The respondents’ ages areshown in Figure 4.1.
35
30(27.3%)
30
26(23.6%)
Number of Respondents
25
22(20.0%)
20 19(17.3%)
15
10 9(8.2%)
5 4(3.6%)
0
18-25 26-35 36-45 46-55 56-65 65+
Age Groups
The figure above shows that the 36-45 age brackets contained the most of the respondents
representing 27.3% of the total sample size. This was followed by the 26–35and 46-55 age
brackets, representing 23.6%and 20.0% respectively of the total sample size. Also, another8.2%
of the respondents was captured within the 56-65 age brackets as against only 3.6% in the above
65 years’ age bracket. This result implies that a large number of the respondents were in their
22
youthful ages and still fell within the labour force. This is consistent with the general age structure
of Ghana’s population, where many people are in their youth with a considerable decrease in size
With the educational status of the respondents, only 5% of the respondents had never had any
formal education with the remaining 95% found to have formal education of primary level and
above. Majority of the respondents (32%)had completed junior high school level education. This
was followed by another 27% of the respondents who had completed senior high school, vocational
or technical education levels. Approximately 19% of the respondents had primary level
educationwith another 17% of the respondents having had tertiary level education. Figure 4.2
17% 5%
19%
No formal schooling
Primary
27% JHS
32% SHS/VOC/TECH
Tertiary
23
4.1.4 Occupation of Respondents
With regard to occupation of the respondents, it was found that the respondents had varied
occupations. The data on the occupation of the respondents is presented in Table 4.2.
From Table 4.2.3, it can be observed that most of the respondents were traders representing 21.8%
of the total respondents. Civil/Public servants constituted 18.2% of the respondents. Also, 16.4%
of the respondents were in formal occupations such as nursing, teaching and banking. Another
16.4% of the respondents were artisans such as masons, carpenters and electricians. Furthermore,
9.1% of the respondents were students with another 6.4% of the respondents being unemployed.
The results of the analysis indicate that majority of the respondents were spread between formal
24
4.2 The Relationship Between of Celebrity Endorsements on Brand Image of MTN
In this section, the study explores the impact of celebrity endorsement and brand image.
Empirically, the respondents were asked to rate their extent of agreement to the various factors. A
representing ‘Uncertain, 4 representing ‘Agree’ and 5 representing ‘Strongly Agree’ was used.
The data was analyzed using percentage shares of the respondents for each rating and their mean
25
From Table 4.3, it can be seen that 34.5% and 41.8% respectively agreed and disagreed to the
notion that “Tool for communicating the company’s brand” was an important factor for celebrity
endorsement of MTN as against only 7.3% of the respondents who disagreed. ‘Tool for
communicating the company’s brand’ had the value of 3.96 as its mean, which happens to be the
highest among the mean. This variable also had a 4.94 as its standard deviation. This position
clearly shows that majority of the respondent thinks that celebrity endorsement is a tool for
‘Promoter for the company’s brand’ had a mean value of 3.85 and standard deviation of 4.67 that
a large number of the respondents generally agreed to it as being an important factor in celebrity
endorsement as compared to the respondents who generally disagreed. From the data, 30.9% and
40.0% of the respondents respectively agreed and strongly agreed to this factor that the use your
celebrity to endorse a product helps to promote the brand of the company as against only 7.3% and
Likewise, the mean values obtained for the ‘Cheaper than the other method’, ‘Ease of
registration/activation’, ‘Ease of use’ and ‘Secure to use’ statements were 3.82, 3.81, 3.67 and 3.56
The results show that all the statements had mean values above 3.50 which is indicative of general
agreement to the given factors with the exception of the ‘Faster than the other method’ statement
which had a mean of 3.38 indicating general neutrality of their response. The standard deviations
were found to be high across all the factors indicating a large range between the responses from
the respondents who generally agreed and the respondents who generally disagreed to the factors.
26
4.3 Important Celebrity Endorsement is to Consumers and Does It Affect Their Awareness
In this section, the study explores the how important celebrity endorsement is to consumers and
does it affect their awareness and responsiveness towards the brands by the respondents.
Empirically, the respondents were asked to rate how often they used mobile money transfer
services for various uses. A five-point Likert scale with 1 representing ‘Strongly Disagree’, 2
‘Strongly Agree’ was used. The table below constitute The result of the analysis is presented in
Table 4.4.
Table 4.4 Frequency of important of celebrity endorsement is to consumers and does it affects
their awareness and responsiveness towards the brands.
Frequency (%)
Stron Mean SD
Strongl
gly Uncerta
Uses Disagreed Agree y
disagr in
agreed
eed
Celebrity
endorsement
3.13
influences
consumer loyalty 15.5 11.8 16.4 22.7 33.6 4.16
Celebrity
endorsement
enhances product 3.12
information and
create awareness 12.7 16.4 10.9 31.8 28.2 4.24
Create an impact in
the brand
2.87
preference attitude
of consumers 6.4 7.3 14.5 42.7 29.1 4.97
Celebrity inspire the
choice of brand and 2.83
product 6.4 16.4 6.4 33.6 37.3 4.87
27
The trustworthiness
of the celebrity
influence purchase 2.81
decision of
consumers 9.1 18.2 20.9 22.7 29.1 4.13
The sense of
similarity with
2.79
celebrity influences
my purchase 16.4 6.4 34.5 20.9 21.8 4.37
Source: Field survey, 2018
From Table 4.4, it is noticeable that responses from the respondents on the various impact of
celebrity endorsement on the awareness and responsiveness of customers towards the brands. The
statement with the highest mean values were ‘Celebrity endorsement influences consumer loyalty’
and ‘Celebrity endorsement enhances product information and create awareness’ with respective
mean values of 3.13 and 3.12.With regard to ‘Celebrity endorsement influences consumer loyalty’,
majority of the respondents (56.3%) indicated using celebrity to endorse a brand influences
consumers loyalty s service at least once monthly as against 27.3% of the respondents who
indicated that celebrity endorsement that does not influence the loyalty of the consumers. With
regard to ‘Celebrity endorsement enhances product information and create awareness’, majority
of the respondents (60.0%) indicated using the celebrity endorsement enhances product
information and create awareness as against a minimum of 40% of the respondents who disagreed
that the usage celebrity endorsement enhances products information and create awareness.
‘Celebrity inspires the choice of brand and product’ and ‘the trustworthiness of the celebrity
influence purchase decision of consumers’ were followed with respective mean values of 2.87 and
2.83. For instance, majority of the respondents (70.9%) indicated the use celebrity endorsement is
an effectively affects the awareness and responsiveness of consumers towards the brand as against
28
22.8% of the respondents who disagreed that celebrity endorsement is an effectively affects the
Likewise, 51.8% of the respondents indicated the use of celebrity endorsement affects consumer
awareness and their responsiveness to the brand of the company while 27.3% of the respondents
disagreed to the fact that using the celebrity endorsement affects consumer’s awareness and
responsiveness. The results imply that the respondents use sees celebrity endorsement as a tool to
In this section, the study explores whether celebrity endorsement is an effective advertising
strategy for MTN. Empirically, the respondents were asked to rate their extent of agreement to the
various effects. A five-point Likert scale with 1 representing ‘Strongly Disagree’, 2 representing
was used. The data was analysed using percentage shares of the respondents for each rating and
their mean values. The result of the analysis is presented in Table 4.5.
29
It enhances brand
3.56
image 14.5 10.0 15.5 25.5 34.5 4.20
It helps to create
purchase 3.77
confidence 10.9 10.9 9.1 28.2 40.9 4.61
It communicates
very well the
3.86
products of the
company 10.0 9.1 13.6 29.1 38.2 4.49
Internationalize the
3.76
brand 8.2 10.9 14.5 30.0 36.4 4.43
Enlarge the youth
3.66
market 12.7 7.3 13.6 33.6 32.7 4.42
Renew brand image 12.7 10.0 5.5 36.4 35.5 3.68 4.91
Attract people to
3.81
the watch the ad 10.0 8.2 11.8 30.9 39.1 4.61
Source: Field survey, 2018
The results of the analysis of data on whether celebrity endorsement is an effective advertising
strategy for MTN’ activities reveal a trend where few respondents disagree or strongly disagree to
the various effects as against many respondents agreeing or strongly agreeing to the statements.
All the effects had mean values above 3.50 indicating a general sense of agreement that celebrity
endorsement is an effective advertising strategy. The high values for the standard deviations
indicate that a large number of the respondents generally agreed that celebrity endorsement is an
effective advertising strategy as compared to the respondents who generally disagreed to the
statement.
From Table 4.5, it is noticeable that the highly rated strategies for using celebrity endorsement
were the ‘Celebrity endorsement increase brand awareness’, ‘it encourages trial’ and ‘Celebrity
endorsement attracts fans to try the brand’ with respective means of 4.00, 3.98 and 3.94. With
regard to the strategy of increasing awareness, only 5.5% and 7.3% of the respondents respectively
30
strongly disagreed and disagreed as against40.9% and 36.4% of the respondents strongly agreeing
Likewise, the strategy to encourage trial was strongly disagreed and disagreed by only 6.4% and
6.4% of the respondents strongly disagreed and disagreed that using celebrity in advertisement
helps to encourage trial and each respectively as against 40.0% and 37.3% of the respondents who
strongly agreed and agreed that using celebrity to advertise product helps to encourage trials.
Celebrity endorsement attracts fans to try the brand was strongly disagreed and disagreed by 7.3%
and 6.4% of the respondents respectively as against 34.5% and 40.0% of the respondents who
Similarly, attract people to the watch the ad was strongly disagreed and disagreed by 18.2% of the
respondents each respectively as against 39.1% and 30.9% of the respondents who strongly agreed
and agreed to the effect respectively. The mean values obtained for the following strategy of
using celebrity as an advertising tool: ‘It communicates very well the products of the company’,
‘Internationalize the brand’ and ‘It helps to create purchase confidence were 3.86, 3.77 and 3.76
Literature shows that in many instances, the use celebrity as an effective marketing strategy helps
to impact and build the brand of the company and helps them to reach more customers. In this
regard, the use of celebrity endorsement is an effective advertising strategy as it helps to enlarge
the youth market of the company. The strategy of using celebrity to advertise is also effective as it
31
CHAPTER FIVE
5.0 Introduction
In this section, the data collected by the researchers are presented and analyzed and the results
interpreted. As earlier mentioned in chapter one, the study sought to ascertain the effect of celebrity
contains a summary of the main findings of the study from the previous chapter. It also concludes
This study was carried out to examine the effects of celebrity endorsement in advertising on brand
image among mobile telecommunication users in Ghana: a case study of MTN Ghana.
This study agrees with the finding of Ohanian, (1990); Ogunsiji, (2012); McCraken (2005) and
Schlecht (2003), “where there was a relationship between celebrity endorsement of product and
brand image”. According to the analysis, the study revealed that the use of celebrity endorsers as
a marketing strategy helps to impact on the brand image of the products of MTN. From the data,
it was revealed that a total of 76.3% of the respondents agreed that celebrity endorsement helps to
improve the brand image. According to Ogunsiji (2012), empirical finding supports the fact that
celebrity endorsement has had positive effect on both the brand and the products of the
companies.The results of the findings agreed with other findings that the public recognition of
celebrities gives credibility and offer influence to the brand and products on the company. The
data analysis further revealed 60.0% of the respondents stated the use of celebrity popularize the
32
the use of celebrity to endorse a brand of a company helps customers to avoid difficulty in the
selection of products and brand as it offers credibility to the consumers and influence them to
accept what has been promoted by their stars. The results of the analysis implied that majority of
The result of the analysis shows that fans are attracted to the brand as the result of the celebrity
endorsement. Kahle and Homer (1985) stated that “marketers always treat the physical
attractiveness as one of criteria of choosing endorsers since it could influence people’s attitudes
on the advertisement and the products”. The data also shows that, 87.3% of the respondents agreed
that the celebrity endorsement helps in awareness creation. According to McCracken (1989),
5.3 Conclusions
The reason for the study was to offer compressive insight into the influence of celebrity on the
brand image of Mobile Telecommunication Network (MTN). the study concluded that consumers
are likely to shift or switch to another brand that is favored or endorsed by their favorite stars. The
study found out that the use of celebrity to endorse brand helps to generate enormous publicity for
the said brand. It also creates a positive image for the brand and the company at large. The study
also found out that the activities and actions of the celebrity endorser helps to create awareness
and position the brand in the mind of the customers of MTN. this also implies that celebrity
endorsement helps to build good image and reputation for the company in the eyes of the audience.
It was also concluded that the marketing of the brand by the celebrities helps to differentiate the
products and brand of the organization as well as offering differentiation to the brand among its
33
competitors. The study also concluded that the positive attitude of the endorser is very essential
in the selection of the celebrity. The image of the brand would be damaged should an endorser
As a result of this, due diligence should be exercise by MTN who want to engage the services of
a celebrity for brand endorsement. Companies should make sure the selected celebrity endorser
should believe in the course of the company and will be able to stay away from any negative
behaviour which might affect the brand image. It is therefore important for a company to stress on
5.4 Recommendations
Based on the findings of the study, the following recommendations are suggested to how MTN
The research recommended that the company should monitor the conduct, public image and
behavior of the celebrity endorser should scrutinize and analyze constantly during the time of
endorsement to minimize the negative effects on the brand of the company. This can be achieved
through clause in the contract that would also help in easy review and other actions. The company
is advised to also include clauses that would persuade the celebrity and his/her behavior to the
advantage of MTN in the signed contracts. The company is also advised to select celebrities that
believe and shares in the vision and mission of the company. They should believe in the brand and
believe in the ideology of the organization. This would help in influencing the process of
34
As part of the branding strategy, MTN should maintain some level of consistency between the
brand and the celebrity endorser. This is believed to build and offer strong identity and personality
between the brand and endorser. Mobile Telecommunication Network should also know that the
use of celebrity to endorse their brand is a long term strategic marketing decision that have the
It is also recommended that MTN should formulate advertising collaterals to help the company to
avoid being overshadowed by the personality of the celebrity. In celebrity endorsement there is the
possibility of the image of the celebrity eclipsing the image of the company, therefore it is
necessary for MTN to develop an ad the will project high the image of the brand or organization.
35
REFERENCES
Alonso, A. (2006). Star Power: Celebrity Endorsement; Impact Stigma and Treatment
Seeking.Vol.23, Issue 3
Asemah, E.S, Gujbawu, M, Ekhareafo, D.O and Okpanichi, R.A (2012). Research Methods and
Belch, & Belch, A.M. (2012). Advertising and Promotion: An Integrated Marketing
Choi, C., Berger, R.(2007). Ethics of celebrities and increasing influence in 21stcentury society.
advertising cue affecting consumer prepurchase evaluation of goods and services. Journal of
Drake, P. and Miah, A. (2010). “The Cultural Politics of Celebrity”. Cultural Politics Vol. 6, Issue
1, pp. 49–64
Ghauri P, Gronhaug K (2005). Research methods in business studies – A practical guide. 3rd
edition.
36
Hunter, E. (2010). Celebrity entrepreneurship and celebrity endorsement. Jönköping: Jönköping
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.
Johnson, T. (2004). The Myth of Declining Brand Loyalty. Journal of Advertising Research.
Vol.24 (1)
Kambitssis, C., Harahousou, Y., Theodorakis, N., &Chatzibeis, G. (2002) Sports Advertising in
Print Media: The case of 2000 Olympic Games. Corporate Communications: An International
available at www.chillibreeze.com/articles
Khakler, L.R and Homer, P.M. (1985). Physical Attractiveness of the Celebrity Endorser:A Social
Kothari, C. R. (2004). Research Methodology: Methods and Techniques. New Delhi. New Age
Lalwani, R. (2006). India media news marketing India advertising Indian brands tv media
newspapers.
Langmeyer, L. and Walker, M. (2000), “First step to identify the meaning in celebrity endorsers”,
37
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.
Mustafa, N. (2005): The Role of Celebrities in Marketing. A background paper for class Creatives:
Naoum, S. G. 1998, Dissertation Research and Writing for Construction Students, Butterworth-
International Journal of Business and Social Sciences, Vol.3, No.6, pp.141-145. Ohanian, R.
(1990). Construction and Validation of a scale to measure celebrity endorser’s perceived expertise,
Okorie, N., Oyedepo, T. And Akhidenor,G.(2012). The Dysfunctional and Functional Effect of
Oppenheim, A.N. (1966) Questionnaire Design and Attitude Measurement, New York: Basic
Books
Orodho, J. A. (2002). Elements of Education and Social Science Research Methods, Second
Edition.Maseno: Kanezja.
38
Rodgers, S. (1997).The effects of sponsor relevance on consumers’ reactions to internet
Schlecht, C. (2003). Celebrities’ impact on branding. Centre for Global Brand Leadership,
Seema, H. (2013). Mass Communication Principles and Concepts. New Delhi: CBS publishers.
Spry, A., Pappu, R. & Bettina Cornwell, T. (2011). Celebrity endorsement, brand credibility and
Temperley, J & Tangen, D. (2006) The Pinocchio Factor In Consumer Attitudes Towards
White, D. W., Goddard, L., & Wilbur, N. (2009). The effects of negative information transference
39
APPENDIX
RESEARCH QUESTIONNAIRE
RESEARCH TOPIC
Dear Respondent, this questionnaire is meant to seek information on the above topic. The
researcher(s) is/are student(s) of the above University and this research work constitutes the long
essay component of the entire study. Please be assured that this research is purely an academic
exercise and as such your response will be kept strictly confidential. Please be at ease in providing
clear, accurate and objective responses to the questions. Thank you.
SECTION A: BACKGROUND CHARACTERISTICS
1. Sex of respondent a) Male b) Female
4 Occupation of respondent
a) Trader b) Civil servant c) Student
d) Artisan e) Unemployed
f) Formal occupation (eg banking, teaching, nursing etc) g) Other
SECTION B
THE RELATIONSHIP BETWEEN CELEBRITY ENDORSEMENTS ON THE BRAND
IMAGE OF MTN
Use 1-Strongly disagree, 2-Disagree, 3-Moderate extent, 4-Agree and 5-Strongly disagree.
1 2 3 4 5
STATEMENTS
40
It serves as a tool for communicating the company’s brand
STATEMENTS
Celebrity endorsement increase brand awareness
41
It Encourages trial
Thank you.
42