Celebrity Endorsement

The Effect of Celebrity Endorsement on Consumer brand preference

(Report submitted in partial fulfillment for the award of degree in Bachelors in Business Administration)

GROUP MEMBERS
MUHAMMAD FAHAD AZAD YOUSUF HUSSAIN ALI ZOHAIB NASIR KHALIL AMJAD

SUPERVISOR
Mr. Akif Mr. Arif

SUBMITTED TO
Department of Business administration IQRA University, Karachi

Celebrity Endorsement

Abstract:
This study analyzes that if a celebrity is shown in an advertisement it really changes the preference of consumer over the brand. The customer is always right! For many years manufacturers and service providers alike have been trying to find a way to completely please the customer and mold their products into consumer ideals. Through this research we bring in another perspective to decipher the mystery and codes of the customer psyche. The participants were approached at random in Iqra University. Research has shown that in general celebrity endorsement influences the feelings of the consumers and can also influence the attitude consumers have towards the advertisement and attitude towards the brands, which can increase the purchase intentions and, consequently, increase sales.

Celebrity Endorsement

Introduction:
For more than many years has the advertising industry of Pakistan has been using celebrity endorsement, Imran Khan and Wasim Akram are famous examples from the 80s and 90s. Research has shown that the use of celebrities in advertisements can have a positive influence on the credibility, message recall, memory and likeability of the advertisements and finally on purchase intentions (Kak Yoon, 1998); (Silvera & Austad, 2004). Due to the declining effectiveness of the different marketing communications (BlondE & Roozen, 2007) the global advertising industry is willing to pay the increasing rewards to the celebrities for endorsing their product (David Beckham for Adidas $160 million; Gillette $68 million and Pepsi $25.5 million; Tiger Woods for Nikes golf advertisements $18 million). Research also indicates that firms have a tendency to go towards celebrity endorsements for their products when the products have a large customer base and high price-cost margins (Clark & Horstmann, 2003). Organizations all over the world focus primarily on maintaining a positive image of their product in order to increase the sales and credibility of the product as well as the organization. Marketing people tend to promote their product in such a way that it leaves a long lasting effect on the consumer. Therefore endorsement through models and famous celebrities works pretty well for the marketers as people at the time of purchase tend to buys a product just because his/her favorite model has used that product in the advertisement. The reason of explaining the whole thing is that that people might act in a different manner to a same product, if the same product is presented to them in two different ways. It means that you might be offering the best product to your consumer but it not always help in making your product sell. People usually get attracted through the presentation of the product rather than the product itself. In this way the impact of endorsers that are famous and liked by people in general would play a major role in making your product sell more and in order to create a positive image of your product in the mind of the consumer. The process by which audiences integrate expert and consumer endorsements into their product evaluations and how endorsement consensus affects this process is tremendous. The results suggest that positive expert and consumer endorsements both enhance audiences' attitudes toward the

Celebrity Endorsement endorsed product. However, positive consumer endorsements and higher perceived credibility of consumer endorsements, rather than expert endorsements, enhance audiences' behavioral intents when audiences are already interested in the endorsed product. (Publication: Journal of Advertising Research Publication Date: 01-DEC-05).

Background of the study:

The background or the factor that laid the foundation of this concept was quite evident and noticeable as we human beings are quite curious about changes of any sort what so ever. We might interpret that same thing in a different manner given the condition, that the same thing came across to our vision in different manner altogether. We might feel tired after working for few hours and on any other day we would be feeling fresh even after working for the whole day. So, its human nature of viewing and interpreting the same thing in a different way even if the difference is miniscule. It has been a known fact that organizations for almost two decades are using endorsers for the promotions of their products. Nike for example is using Roger Federer, Rafael Nadal (Tennis stars) for tennis based products, Christiano Ronaldo, David Beckham and Frank Lampard (football stars) for sports related goods. This means that endorsers are being used by almost every organization for the promotion of their brands. While websites can perform a variety of marketing functions and selling (Kanso and Nelson, 2004), managing online third-party endorsements becomes an important factor in brand reputation--especially in light of the fact that advertisers are increasingly using their websites to obtain feedback on their products, services, and overall reputation among their customers, and also as a tool to improve their public relations and image (Wang, 2003, 2005a). The importance of strategically taking advantage of cross-channel integration of the internet and maximizing the effectiveness of third-party endorsements is obvious (Kanso and Nelson, 2004; Wang, 2005b).

Celebrity Endorsement

Statement of Problem:
A celebrity endorser is an individual who enjoys public recognition and who uses this recognition on behalf of a consumer good by appearing with it in an advertisement (or any other marketing communication). Celebrity endorsers are typically expensive and there is a risk that the celebrity and or his/her unexpected behavior over shadow the product. This suggests that the use of anonymous models or even no celebrity (no picture) is still an option that should be investigated seriously. In the case of low-involvement products, advertisers emphasize on the affective components, which leads them to employ celebrities to boost their brands image. The question that needs to be answered is whether these endorsements are able to justify the huge sums of money spent on them. The research that we are trying to conduct stems from this very basis that if they can see it, their minds will lead them to believe it. Therefore, in our research we analyze the affects of endorsement on the consumers preferences. In other words, we want to study whether the use of endorsers in advertisement will have any impact on consumer preference or not. We will be conducting this experiment within the premises of the university by filling a questionnaire to determine whether endorsement have any effect on consumer preference or not. Organization focus on creating a long lasting effect of their product by spending large dollar amount in terms of endorsement so that people would believe in the credibility of organization and would have faith on the product and the organization itself.

Celebrity Endorsement

Literature Review:
Today 'Celebrity Endorsement' has attracted immense debate on whether it really contributes to the brand building process or whether it is just another lazy tool to make the brand more visible in the minds of the consumers. Although it has been observed that the presence of a well-known personality helps in solving the problem of over-communication that is becoming more prominent these days, there are few undesirable impacts of this practice on the brand. Companies invest large sums of money to align their brands and themselves with celebrity endorsers. Research has shown that because of the fame of celebrities, they do not only create and maintain attention of the consumers but they also achieve high message recall (Clarks and Hortsman, 2003). A celebrity endorser used in an advertisement can be interpreted as a reference group. A reference group is defined as any person or group of persons that serves as a point of comparison (or reference) for an individual by communicating values, attitudes and providing a specific guide for behavior (Mowen J. C., 1998). An aspiration group is a derivative of the reference group: in this case, the consumer does not belong to the group but is willing to be associated with it. To become 'associated' with this group, consumers are willing to behave like members of the aspiration group. This means that consumers are trying to behave in the same manner, e.g. try to use the same symbolic meanings of the aspiration group. This means that a celebrity endorser can be interpreted as the 'personality' of the reference group. The reference group 'rich and famous', which often correspond with the way the celebrities live, is frequently indicated as an aspiration group of which consumers like to be part (Mowen J. C., 1998). A celebrity is defined as "an individual who is known to the public (i.e., actor, sports figure, entertainer, etc.) for his or her achievements in areas other than that of the product class endorsed" (cf., Friedman and Friedman 1979). A celebrity endorser is an individual who enjoys public recognition and who uses this recognition on behalf of a consumer good by appearing with it in an advertisement (marketing communication). Research has shown that in general celebrity endorsement influences the feelings of the consumers and can also influence the attitude consumers have towards the advertisement and attitude towards the brands, which can increase the purchase intentions and, consequently, increase sales (McCracken's., 1989).

Celebrity Endorsement All though previous studies have found these individuals to be likeable and/or attractive, these favorable perceptions have not consistently carried over to enhance measures of believability and purchase intention. Friedman and Friedman (1979) found empirical evidence that, in the promotion of products high in psychological and/or social risk, use of a celebrity endorser would lead to greater believability, a more favorable evaluation of the product and advertisement, and a significantly more positive purchase intention than advertisements using an "expert" or "typical consumer" endorser. Such effects were absent when celebrity advertising was used in conjunction with a product high in financial, performance and/or physical risk (i.e., a vacuum cleaner). In general however, celebrity endorsers were found to be attractive and likeable (cf., Friedman and Friedman 1979). In an attempt to communicate the merits of their product or brand, advertisers have often chosen to use endorsement as a promotional strategy. Endorsers can be of many types, including the typical consumer, the product class expert, the company president, and the celebrity (Friedman and Friedman 1979). In particular, the use of celebrity spokespeople has always been a favorite strategy among agencies. Indeed, even a decade ago, one in three television commercials used celebrity endorsements (Business Week 1978), and today this advertising approach appears to be on the increase across all media types (Levin 1988; Sherman 1985). Celebrity endorsements give a brand a touch of glamour and the hope that a famous face will provide added appeal and name recognition in a crowded market. In the battle for the mind, you get the customer excited by showing him a known face, and an effective demand is created. In short it helps increase the recall value of the brand. However, companies have limited control over the celebrity's persona which can also result in high risk and no gain situations. As a result, companies build characters (using people who are not celebrities) which are congruent with their brands and target-audiences, and ensure that these characters are endorsing only one particular product. Literature suggests that created endorsers were more effective in creating a link to the product than non-celebrity endorsers and that there were no significant differences for the concepts attitudes towards the advertisement (Aad), attitude towards the brand(Ab) and intentions to purchase (PI) endorsed brands between celebrity and non-celebrity endorsement advertisements (Roozen, 2008). Under the assumption that "what is beautiful is good," advertisers have often

Celebrity Endorsement chosen celebrities on the basis of their physical attractiveness, intending to gain from the dual effects of celebrity status and physical appeal (Friedman and Friedman 1979; Singer 1983). Celebrities are people who enjoy public recognition and who often have distinctive attributes such as attractiveness and trustworthiness (McCracken 1989; Silvera and Austad 2004). In the U.S. alone, advertisers spend billions of dollars on celebrities in hopes that they will cut through the clutter of advertising and bring positive effects such as increased brand awareness and advertising recall, favorable attitudes toward the advertised brand, and increased sales and profits. In addition, celebrity endorsements can also generate extensive PR effects and provide an opportunity for the new brand be known to the public (Erdogan, Baker, and Tagg 2001). Given these benefits, celebrity endorsement has been a popular tactic not only in the U.S. but also abroad. For example, in the Pakistan, approximately 25% of all television ads feature one or more celebrities (Erdogan, Baker, and Tagg 2001). By comparison, the more extensive use of celebrity endorsement has been reported in Korea and Japan where over 70% of TV commercials feature celebrities in one form or another (Kilburn 1998; Kim 2006). Indeed, a considerable amount of research exists both in the social sciences and in marketing supporting such a strategy by showing that a physically attractive source facilitates attitude change toward issues, products, and ad-based evaluations (Caballero and Pride 1984; Chaiken 1979; Horai, Naccari, and Fatoullah 1974; Kahle and Homer 1985; Kulka and Kessler 1978; Milk and Harvey 1972). However, research findings also reveal that the physical attractiveness of the source does not always enhance these same measures (Baker and Churchill 1977; Caballero and Pride 1984; Cooper, Darley, and Henderson 1974; Holahan and Stephan 1981;). Celebrity endorsement has become a prevalent form of advertising in the world. According to industry sources, approximately 20% of all television commercials feature a famous person, and approximately 10% of the dollars spent on television advertising are used in celebrity endorsement advertisements (Advertising Age 1987; Sherman 1985). The number and dollar value of celebrity endorsement contracts are increasing, and these contracts constitute a significant and growing portion of advertising budgets (McGill 1989).

Celebrity Endorsement According to a recent report, individuals in the advertising field were said to agree that celebrities are being sought out to endorse products as never before (Sherman 1985). Given this increase in use, research on celebrity endorsements becomes increasingly important to advertisers. This is especially true since past empirical research has shown celebrities to be well liked and oftentimes attractive, though not always credible and effective spokespeople (Atkin and Block 1983; Freiden 1984; Friedman, Termini and Washington 1977). Several studies have examined consumers' response to celebrity endorsements in advertising. Findings show that celebrities make advertisements believable (Kamins et al. 1989) and enhance message recall (Friedman and Friedman 1979). Furthermore, celebrities aid in the recognition of brand names (Petty, Cacioppo, and Schumann 1983), create a positive attitude towards the brand (Kamins et al. 1989), and create a distinct personality for the endorsed brand (Mc- Cracken 1989). Ultimately, celebrity endorsements are believed to generate a greater likelihood of customers' choosing the endorsed brand (Heath, McCarthy, and Mothers- baugh 1994; Kahle and Homer 1985; Kamins et al. 1989; Ohnian 1991). Thus, the use of celebrity endorsements is an advertising strategy that should enhance the marginal value of advertisement expenditures and create brand equity by means of the "secondary association" of a celebrity with a brand (Keller 1993). The society that we live in can not only be called secular or democratic, it should be more appropriately termed as over-communicated these days. A typical super-market in USA displays more than 12000 brands, an American family has at least one television set and a consumer is exposed to around 1000 ads per day. Likewise, until 1996, you could only get three channels in Pakistan but today there are around 100 or more television channels in Pakistan broadcasting over 3 million television commercials each year in Pakistan. The media-explosion can thus be easily demonstrated. Moreover, people forget 80% of the information in just 24 hours! Just imagine the plight of the marketer to make his brand shout over the deafening clutter of all the brands! Pakistani marketers found the solution, 'Celebrity Endorsement' for the brand! (Sanyukta A. Kulkarni, Sahir U. Gaulkar, 2005-07). Potential advantages of utilizing celebrity endorsers are that it can increase attention, polish the image of the brand, especially when a brand will be introduced

Celebrity Endorsement in the market or a repositioning of a brand will take place. However, pre-testing and careful planning is very important and the life-cycle stage of the celebrity has also to be taken into account (Ang, Dubelaar, & Kamakara, 2007). Celebrity endorsing has a potential advantage when a global campaign will be organized and celebrities who are appropriate for a global target audience can be used; however this can be also be very expensive. In general, potential hazards of celebrity endorsement are the costs and that the possibility that the celebrity overshadows the brand, or that it can change the image, that overexposure of the celebrity takes place (especially when a celebrity become an endorser for many different products) (Schlecht, 2003). Firms often build special and costly advertising campaigns around celebrities. For ex- ample, Coca Cola Co. reportedly spent $25 million in an advertising campaign with Bill Cosby as its spokesperson for Coke (Advertising Age 1986). Similarly, IBM spent $40 mil- lion in an advertising campaign involving MASH actors (Reuters 1987). Overall, the use of celebrities as spokespersons in advertisements constitutes a significant investment in intangible assets by the sponsoring firm-an investment that management hopes to offset with greater future sales revenues and profits. The economic value of strategic marketing decisions is receiving growing interest in marketing literature. A number of studies have examined the effect of strategic marketing decisions such as product innovation, research and develop- ment expenditures, advertisement expenditures, product quality, and consumer satisfaction on firm profitability (Capon, Farley, and Hoenig 1990; Szymanski, Bharadwaj, and Varadarajan 1993). The ability of endorsements to affect consumer behavior has been sug- gested in both the academic literature and the popular/trade press. For example, sales of the Buick LeSabre allegedly rose 62% after advertising began boasting its J. D. Power Company rating as the most trouble-free American car (Peterson, Wilson, and Brown 1992). Negative endorsements are also effective. Sales of the Isuzu Trooper plummeted 26.6% after a Consumers Union press conference as well as an article in Consumer Re- ports criticized the vehicle for its rollover tendency in crash-avoidance ma- neuvers (Rectin 1996). Endorsement in the form of sponsorship is another extrinsic cue reported to affect consumer behavior. About 48% of NASCAR fans said they would "almost

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Celebrity Endorsement always" purchase a sponsor's product over that of a closely priced competitor, and 42% said they actually switched brands when a manufacturer became a sponsor (Crimmins and Horn 1996). In one of the few purely academic investigations of endorsements, Fireworker and Friedman (1977) found that expert, celebrity, and typical consumer endorse- ments significantly increased overall attitude toward the product and ex- pected price, but intent to purchase was not affected. Given the empirically demonstrated power of these extrinsic cues to affect consumer attitudes and behavior, further investigation appears warranted. Complete product information is rarely available to consumers, especially when viewing advertisements. When relevant product information is absent, values for such information may be "inferred" from presented information, then integrated into an overall evaluation and adjusted downward to reflect uncertainty (Huber and McCann 1982; Jacard and Wood 1988). The likelihood of consumer inference making is a function of the perceived need for inference, knowledge, task involvement, the amount of contextual in- formation supporting the inference, and the nature of the task (Broniarczyk and Alba 1994). As such, product cues in advertising are important to consumers in making inferences, reducing uncertainty, and forming product preferences. Available cues may be either intrinsic or extrinsic (Olson and Jacoby 1972), where intrinsic cues relate to the physical product. The use of celebrities and other endorsers in advertisements is a standard marketing technique aimed at promoting new products and enhancing market share of existing brands [Kaikati 1987]. In recent years, product endorsements by actors, sports personalities, company executives, political candidates, experts, and ordinary con- sumers have regularly appeared in advertisements promoting a myriad of products and services [Lipman 1991; Time 1989; The Wall Street Journal 1987]. The persuasion and attitude change literature identifies perceived expertise and trustworthiness of the endorser as important bases of credibility, and much of the effectiveness of celebrity and other endorsements derives from the credibility of a product's endorser [Hovland, Janis, and Kelly 1953; Ohanian 1991]. In addition, endorsers are often used as peripheral cues in low- involvement situations, whereby a consumer's reaction to the endorser is directly passed on the brand [Petty, Cacioppo, and Schumann 1983].

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Celebrity Endorsement From a consumer protection standpoint, one can see that the public has certain expectations about the truth of advertising messages. With endorsements, in particular, a consumer can expect that an endorser uses a particular product, that the endorser's statements are truthful, and that, where necessary, an endorser with expertise has performed what-ever tests are necessary to reach his or her conclusions. The public, then, has an interest in not being exposed to fake endorsement messages. These may occur when an advertiser misappropriates the name or likeness of a celebrity and wrongfully suggests the celebrity has endorsed a product which has not been so endorsed (Consuelo Lauda Kertz and Roobina Ohanian, 1992). Advertising can be misleading if a celebrity's image or personai s misappropriatedb y an advertiser.T his misappro-priation has two separate aspects. On one hand, the public is entitled to protection if, in fact, the celebrity did not par-ticipate in the purported endorsement and the public is being misled to think that he or she did. On the other hand, the celebrity has rights in his or her persona, which is a val-uable property right that is protected by law [Wohl 1988; Halpern 1986].

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How Celebrity Ads Influence the Consumer:

The effectiveness of celebrity advertising has been linked by some authors, to the process of social influence (cf., Friedman and Friedman 1979). In a seminal work, there are distinguished two forms of social influence Deutsch and Gerard (1955). The first, termed "informational social influence," refers to "influence to accept information obtained from another as evidence about reality." The second, "normative social influence," refers to the influence to conform to another person or group. First to identify the processes of social influence was the Kelman (1961). He suggested that there are three such processes which, when pursued, facilitate the potential that an individual will accept influence from another person or group: compliance, identification and internalization. Identification and internalization are particularly applicable to the study of celebrity endorsements Kelman (1961). Identification is said to occur when an individual adopts the behavior of another person (or group). Because the individual aspires to be like that person or group, adoption of the behavior enhances the individual's self-image. This process relates to Deutsch and Gerard's normative influence type and has been hypothesized to be strongly related to

Celebrity Endorsement affective characteristics of the celebrity endorser such as likeability and attractiveness (Friedman and Friedman 1979). It is through the identification process that celebrity endorsements achieve their effectiveness, particularly in the case of products high in psychological or social risk. According to Kelman (1961), the characteristics of the influencing agent play an important role in internalization, but the critical dimension is credibility. The effectiveness of celebrity endorsements traditionally has not been strongly linked to this process, as a celebrity's reason for promoting a product can just as easily be attributed by the consumer to an external motive (i.e., a monetary payment), as to an internal motive (i.e., the celebrity's true belief in the worth of the product). Hence, for this reason, the consumer's perception of credibility of the advertiser suffers. This is especially true when the image or knowledge base of the celebrity is inconsistent with that which the product requires Kelman (1961). This may also explain why experts have been shown to perform better than celebrities for ad- and product-based measures in the case of products with high financial, performance or physical risks (Friedman and Friedman 1979).

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Physical Attractiveness:
Physical attractiveness has been an important topic of research in social science (Bersheid and Walster 1974) including attitude change research. Most of the studies have shown that a physically attractive source facilitates attitude change (Baker and Gilbert 1977; Caballero and Price 1984; Chaiken 1979; Horai et al. 1974; Joseph 1982; Kulka and Kessler 1978; Mills and Aronson 1965; Mills and Harvey 1972; Petty and Cacioppo 1980). However not all research has found that physical attractiveness increases attitude change. The focus is on advertisings role as a mechanism for coordinating consumer purchase decisions (see Bagwell and Ramey (1994a, b), Pastine and Pastine (2002, 1999). This is a world of products for which the value a consumer obtains from purchasing any given variety depends on how many others also purchase that variety. This could be for reasons of social standing people want to wear the right clothes, drink the right beverages and use the right fragrances (Chwe (1998a,b), (1999)), for compatibility/network externality reasons people want a credit card that is

Celebrity Endorsement widely accepted or for reasons of complementary products local customer service requires a large customer base Clark and Horstmann (2005)). According to Clark and Horstmann (2005) consumers observe advertising messages only probabilistically and they never observe how many other consumers have seen advertisements. He refers that celebrity endorsements as one type of advertising message the firm can employ; that is; the firm can choose either to use advertising messages having a celebrity endorser or ones without a celebrity. These two types of messages may be distinguished in either of two possible ways. First, experimental evidence (Misra and Beatty (1990), Petty et al. (1983) and (Menon et al. (2001)) indicating that celebrity endorsements enhance brand recall means that some volume of messages incorporating celebrity endorsements should generate more observed messages than the same volume of messages but having no celebrity (Menon et al., 2001) In simple economic terms, an ad campaign featuring a celebrity is likely to have a higher fixed cost than one without a celebrity, the celebrity endorsement payment is likely large, but is also likely to have a lower variable cost, and an ad without a celebrity must be run more times to reach (be remembered by) the same fraction of customers as an ad with a celebrity. This effect is a pure cost effect of celebrity endorsements. Experimental evidence also indicates that consumers value more highly a product endorsed by a celebrity than one without a celebrity endorsement (Menon et al., 2001). For instance, (Petty et al., 1983) find that subjects tended to like the product more when it was endorsed by the famous athlete than by the average citizens of Bakersfield, California. (Misra and Beatty) found that subjects tended to rate the product as better or of higher quality if it was endorsed by a congruent celebrity. These observations suggest a second potential effect of celebrity endorsements: a direct demand effect. In the framework, this effect works through a consumers belief about the coordinating role of different types of advertising messages. Specifically, a consumer that observes messages for two different firms products, one products message containing a celebrity endorsement and the other not, believes that the celebrity endorsed product will have more purchases and so be of higher value. (Misra and Beatty, 1990).

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Celebrity Endorsement

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Advantages of Celebrity Endorsements:

There are several benefits to having celebrities endorse products or services. The study has indicated that customers are more likely to choose goods and services endorsed by celebrities than those without such endorsements (Agrawal & Kamakura, 1995). Another advantage to celebritybased campaigns is that famous people hold the viewer's attention. The third benefit of using celebrity endorsers is that he or she can provide testimony for a product or service, particularly when the product has contributed to their celebrity. Consumers may be more likely to try motor oil endorsed by (Al Unser, Jr...) This relationship can increase a consumer's belief and trust in the product and its benefits. The more familiar an endorser, the more likely consumers are to buy the endorsed product (Miciak & Shanklin, 1994).

Disadvantages of Celebrity Endorsements:

There are some negative consequences to using celebrities as endorsers. The first issue concerns the high financial to secure the big name endorsers. Another negative aspect is that a company may not be able to get a celebrity to represent their product exclusively. He/she may endorse several products, sometimes switching their endorsements to rival brands. This happens frequently when trying to secure someone that is well-liked by society and in high demand for product endorsements. As a result, the credibility and trust in the product and the endorser decreases. It also sends a message to the consumer that, "If the endorser won't stick with a brand, why should I?" Auto racing's Jeff Gordon is an example of one who has multiple endorsement contracts and consequently, is less effective as an endorser (Lane, 1996). The third and potentially most damaging risk in using high-profile candidates is negative publicity received by an endorser. When a negative image of the celebrity is portrayed, a tarnished picture is also painted for the organization, making it difficult to gain consumer trust to buy the product. Although there is no way to guarantee that detrimental incidents like these won't occur, some situations might be prevented by evaluating the applicant's personal and professional behavior to determine if they

Celebrity Endorsement might be prone to negative situations. Once all aspects of celebrity-oriented advertising have been evaluated, a company must choose whether to adopt the strategy (Miciak & Shanklin, 1994).

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Source credibility and source attractiveness model:

Source credibility is defined as a communicator's positive characteristics that affect the receiver's acceptance of a message (Ohanian 1990). First proposed by Hovland and his associates, the source credibility model contends that the effectiveness of a message depends on perceived expertise and trustworthiness of the endorser (Hovland et al., 1953 and Ohanian 1991). These two factors - expertise and trustworthiness - highlight the concept of the source credibility (Ohanian 1990). According to Kelman (1961), credible source's information can have an impact on beliefs, opinions, attitudes, and behavior through internalization process. Expertise refers to the perceived level of knowledge, experience, or skills possessed by an endorser (Hovland et al. 1953). Ohanian (1990) contends that the perceived expertise of celebrity endorsers is more important in explaining purchase intentions rather than their attractiveness and trustworthiness. In short, a celebrity who is perceived as an expert by consumers carries more persuasiveness than others (Ohanian 1990; Horai, Naccari, and Fatoullah 1974). The source credibility model used by Roozen (2008) analyses the factors leading to the perceived credibility of the communicator. The research concluded that the two factors trustworthiness and expertise underscore the concept of Source Credibility. Trustworthiness is defined as the degree of confidence in the communicator's intent to communicate the assertions he considers most valid. Research shows that when a communicator is perceived to be highly trustworthy, an opinionated message is more effective than a non-opinionated communication in producing attitude change. Expertise is defined as the extent to which a communicator is perceived to be a source of valid assertions (Roozen 2008). To create effective messages, celebrity advertisers also have to consider the attractiveness of the spokesperson (McCracken 1989). Source attractiveness refers to the endorsers physical appearance, personality, likeability, and similarity to the receiver, thus to the perceived social value of the source (Schlecht, 2003).

Celebrity Endorsement The use of attractive people is common practice in television and print advertising, with physically attractive communicators having proved to be more successful in influencing customers attitudes and beliefs than unattractive spokespersons (Ohanian 1991). This behavior mainly goes back to a halo effect, whereby persons who perform well on one dimension, e.g. physical attractiveness, are assumed to excel on others as well, e.g. happiness and coolness (Mowen J. C., 1998).

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Endorsed brands:
By analyzing the influence of celebrity endorsement on the brands and or products shown in the advertisements, it is important to make a classification between high and low involvement of the advertisement. The Elaboration Likelihood theory (Mowen, 1998) shows that attitudes change through different routes. Under conditions of high involvement, where elaboration is likely, the attitude change travels through a 'central route' in which a person exercises 'diligent' consideration of information that (s)he feels is central to the true merits of a particular attitudinal position. For low involvement, low elaboration likelihood, the attitude change travels through a 'peripheral route' in which various simple cues associated with the issue, object, or context exert optimal influence. This means that under conditions of high involvement, arguments but not celebrities influence attitudes, whereas under conditions of low involvement, celebrities but not arguments influence attitudes. Keeping these facts in mind, this research will focus only on the effects of celebrity endorsements for High-involvement product (Mowen and Brown, 1981)..

Attribution theory:
Attribution theory is a social psychology theory that was developed by Fritz Heider, Harold Kelly, Edward E. Jones and Lee Ross to predict individuals' perceptions of social causality (Mowen and Brwon 1981). This theory deals with the ways in which people explain or attribute the behavior of others. The theory explores how individuals attribute causes to events and how this cognitive perception affects their motivation. According to attribution theory (Kelly 1973), observers may infer causes of actions as due to either personal traits or circumstances. The theory

Celebrity Endorsement posits that the direction of these causal inferences differs on the basis of examination of three types of information - distinctiveness, consistency (both temporal and modal) and social consensus (Tripp 1990). Mowen and Brown (1981) first suggested that "attribution theory can be used to analyze factors affecting the effectiveness of product endorsers" (Mowen and Brown, 1981).

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Consistency - Single Product Endorsement:

Mowen and Brown (1981) suggest that consistency is concerned with the relationship between endorser and product over time and modality. Tripp (1990) surmises that two types of consistency information have an important impact on causal inferences. First, a product endorsement would be considered temporally consistent if it occurrence is viewed on multiple occasion. In short, "repeated exposure to the identical product endorsement should enhance perceptions of temporal consistency" (Tripp 1990; p. 16). Second, Tripp (1990) defines modal consistency as "consistency of reaction to the entity (spokesperson) even though the mode (defined here as context) in which the celebrity is perceived varies". In other words, advertisers could change the context in which the celebrity is perceived by employing the celebrity in a series of different advertising campaigns for the same product. Harvey and Kelly (1974) maintain that both types of consistency information are believed to have impact on the confidence with which a trait or circumstance inference made. Mowen and Brown (1981) suggest that high consistency may strengthen the relationship between endorser and product. It seems plausible to predict that an endorser has to advocate the brand or product over a variety of media and over a long period of time to strengthen the endorsed brand (Mowen and Brown, 1981).

Hypothesis: H1 Celebrity endorsement affects the consumer purchase intention. H0 Celebrity endorsement does not affect the consumer purchase intention.

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Methodology:
This study will analyze that if a celebrity is shown in an advertisement it really changes the preference of consumer over the brand. The research is based on written questionnaires. The experimental subjects will be 150 student volunteers from Iqra University. The subjects will not be informed about the objective of the research. In Pakistan fan following is increasing day by day among the youth, according to an observation people like mostly the Indian film stars, cricketers and music artists. So we will select youth as our respondents between age limit of 18-25, and we will develop questionnaires in order to find out, if a celebrity appears in an advertisement, does he/she will affect the consumer brand preference. The questionnaires include three attitudes which are defined below. Research has shown that in general celebrity endorsement influences the feelings of the consumers and can also influence the attitude consumers have towards the advertisement and attitude towards the brands, which can increase the purchase intentions and, consequently, increase sales.

Attitude toward ad:

A five-item, seven-point semantic differential scale (Mitchell and Olson 1981) anchored by adjectives such as likeable/not likeable, irritating/not irritating, and interesting/not interesting etc was used to measure consumers' attitude toward ad. A statement "What impression do you get by looking at the ad below? You see numbers of description which one do you think is appropriate. Please evaluate them on a scale from 1 to 7." was given as an instruction. Mowen (1998) suggested that consumers develop attitude towards the advertisement by observing the degree of affect and cognitive information from them. These attitudes influence their attitudes towards the brand. He further explained that Attitude towards the ad refers to a consumers liking or disliking for a particular advertising stimulus during a particular advertising exposure.

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Attitude toward brand:

Attitude toward the targeted brand was measured based on a three-item, seven-point semantic differential scale anchored by "good/bad,", "likable/not likable,", "nice/not nice" (Mitchell and Olson 1981), similar to attitude toward ad a statement "What impression do you get by looking at the ad below? You see numbers of description which one do you think is appropriate. Please evaluate them on a scale from 1 to 7" was given as an instruction.

Purchase intention:
Consumers' purchase intent was measured by one-item, seven-point semantic differential scale anchored by strongly agree /strongly disagree. A statement Buying the brand is a good decision was given as an instruction.

Procedure for conducting the research The questionnaires were divided into two tests, which are as follow. Test 1: First of all we show different brand categories to different people whether they are familiar with those brands or not. Ask them to tick those items which they have used and ask them to write the names of their favorite celebrities. Those people who have selected Nokia is our actual respondents.

Celebrity Endorsement Test 2: We show our respondents different ads of different products along with Nokia ads, with or without celebrity. And then we change celebrities respectively with the products or brands. We ask our respondents to fill a 7 point likert scale in order to find out whether a celebrity affects the consumer brand preference.

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Result:

Celebrity Endorsement

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Pair 1
Attitude toward ad (without celebrity) and (with male celebrity): Ho: average attitude towards ad without celebrity and with male celebrity is same. H1: average attitude towards ad without celebrity and with male celebrity is different. Mean = -1.273 shows that ad with male celebrity ratings are higher as compare to the ad without celebrity this shows attitude towards ad of respondents are slightly changed and the hypothesis is accepted because the result is significant i.e. : 0.132

Pair 2
Attitude toward ad (without celebrity) and (with female celebrity): Ho: average attitude towards ad without celebrity and with female celebrity is same.

Celebrity Endorsement H1: average attitude towards ad without celebrity and with female celebrity is different. Mean = -2.153 shows that ad with female celebrity ratings are higher as compare to the ad without celebrity this shows attitude towards ad of respondents are changed and the hypothesis is rejected because the result is not significant i.e. : 0.022

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Pair 3
Attitude toward ad (with male celebrity) and (with female celebrity): Ho: average attitude towards ad with male celebrity and with female celebrity is same. H1: average attitude towards ad with male celebrity and with female celebrity is different. Mean = -0.880 shows that ad with female celebrity ratings are slightly higher as compare to the ad with male celebrity this shows attitude towards ad of respondents are same and the hypothesis is accepted because the result is significant i.e. : 0.319

Pair 4
Attitude toward Brand (without celebrity) and (with male celebrity): Ho: average attitude towards brand without celebrity and with male celebrity is same. H1: average attitude towards brand without celebrity and with male celebrity is different. Mean = 0.733 shows that ad without celebrity ratings are higher as compare to the ad with male celebrity this shows attitude towards brand of respondents are not effected by celebrity endorsement and the hypothesis is accepted because the result is significant i.e. : 0.182

Pair 5
Attitude toward Brand (without celebrity) and (with female celebrity): Ho: average attitude towards brand without celebrity and with female celebrity is same. H1: average attitude towards brand without celebrity and with female celebrity is different.

Celebrity Endorsement

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Mean = -1.760 shows that ad with female celebrity ratings are higher as compare to the ad without celebrity this shows attitude towards brand of respondents are effected by celebrity endorsement and the hypothesis is rejected because the result is not significant i.e. : 0.000

Pair 6
Attitude toward Brand (with male celebrity) and (with female celebrity): Ho: average attitude towards brand with male celebrity and with female celebrity is same. H1: average attitude towards brand with male celebrity and with female celebrity is different. Mean = -2.493 shows that ad with female celebrity ratings are higher as compare to the ad with male celebrity this shows attitude towards brand of respondents are effected more by female celebrity endorsement and the hypothesis is rejected because the result is not significant i.e. : 0.000

Pair 7
Purchase intention (without celebrity) and (with male celebrity): Ho: Purchase intention without celebrity and with male celebrity is same. H1: Purchase intention without celebrity and with male celebrity is different. Mean = -3.607 shows that ad with male celebrity ratings are higher as compare to the ad without celebrity this shows purchase intention of respondents are effected more by male celebrity endorsement and the hypothesis is rejected because the result is not significant i.e. : 0.000

Pair 8
Purchase intention (without celebrity) and (with female celebrity): Ho: Purchase intention without celebrity and with female celebrity is same. H1: Purchase intention without celebrity and with female celebrity is different.

Celebrity Endorsement Mean = -0.867 shows that ad with female celebrity ratings are slightly higher as compare to the ad without celebrity this shows purchase intention of respondents are effected more by female celebrity endorsement and the hypothesis is rejected because the result is not significant i.e. : 0.000

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Pair 9
Purchase intention (with male celebrity) and (with female celebrity): Ho: Purchase intention with male celebrity and with female celebrity is same. H1: Purchase intention with male celebrity and with female celebrity is different. Mean = 2.470 shows that ad with male celebrity ratings are higher as compare to the ad with female celebrity this shows purchase intention of respondents are effected more by male celebrity endorsement and the hypothesis is rejected because the result is not significant i.e. : 0.000

Celebrity Endorsement

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Pair 1
The average attitude towards ad without celebrity is less than the average attitude towards ad with male celebrity. (Without celebrity mean =18.83 < male celebrity mean =20.11)

Pair 2
The average attitude towards ad without celebrity is less than the average attitude towards ad with female celebrity. (Without celebrity mean =18.83 < female celebrity mean =20.99)

Pair 3
The average attitude towards ad with male celebrity is less than the average attitude towards ad with female celebrity. (With male celebrity mean =20.11 < female celebrity mean =20.99)

Pair 4
The average attitude towards brand without celebrity is greater than the average attitude towards ad with male celebrity. (Without celebrity mean =12.33 > male celebrity mean =11.60)

Pair 5
The average attitude towards brand without celebrity is less than the average attitude towards ad with female celebrity. (Without celebrity mean =12.33 < female celebrity mean =14.09)

Pair 6
The average attitude towards brand with male celebrity is less than the average attitude towards ad with female celebrity. (With male celebrity mean =11.60 < female celebrity mean =14.09)

Pair 7

Celebrity Endorsement The average purchase intention without celebrity is less than the average attitude towards ad with male celebrity. (Without celebrity mean =4.45 < male celebrity mean =8.06)

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Pair 8
The average purchase intention without celebrity is less than the average attitude towards ad with female celebrity. (Without celebrity mean =4.45 < female celebrity mean =5.32)

Pair 9
The average purchase intention with male celebrity is greater than the average attitude towards ad with female celebrity. (With male celebrity mean =8.06 > female celebrity mean =5.32)

Conclusion:
Attitude towards ad is highly influenced by celebrity either male or female but if we compare male and female, female have more weightage than male. Attitude towards brand is not affected by celebrity endorsement and in the last test which is purchase intention respondents are more influenced by male celebrities as compare to female or without celebrity.

References: