How effective are Celebrity Endorsements
Ever since the start of commercial radio in the 20’s and the since the first silver screen entered the market, broadcasting messages by celebrities has been a tool employed to endorse products.”Just about every star was associated with one sponsor’s product he or she plugged.”(1). Over the years celebrity endorsement became an essential part of marketing (more than 25% of television ads feature celebrities)(5), for the endorser it became an easy way of generating an income while for the endorsing company it became a guaranteed way to reach a wide segment of potential clients.
With the cost of celebrity endorsement deals reaching astronomical highs, one has to address the effectiveness of such
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This bond that is created between the viewer and a celebrity helps understand the effectiveness that endorsements have where marketers have failed. The celebrity builds character in the eyes of the public and that character carries on into the product he is endorsing, and even though a part of the persuasion has to exist in the product itself, but a celebrity uses his status and the character he has built to gain credibility and likeability among the target audience. This character the celebrity transfers to the product is known as the “meaning “(2). The transfer of the meaning to the product goes through three stages. The first stage is in finding the celebrity with the desired meaning that they want to carry to the product this requires casting from the wide world of celebrity endorsers. The second stage is choosing which celebrity embodies the meaning the marketing campaign requires for the product, this stage is subject to expense restraints and availability. After deciding on an endorser stage three is the most complicated stage as in this step the endorser has to be able to transfer that meaning into the product, they have to make this meaning “available to the consumer in a material form”(2), this stage allows the consumer to accept the meaning they are given and accept the product and you use is a tool to build their own character. These three steps not only
Many commercials feature your favorite stars to help endorse a products. Sue Jozui in her excerpt, argues that consumers should stop supporting companies that use celebrity endorsers and that laws should be put in placed for advertisers. The author supports her position by first stating that the audience would connect approval of the celebrity with approval of the product. She continues by claiming that these kinds of advertisements are misleading. The authors purpose is to convince the readers to boycott certain companies that use celebrities as endorsers so that these commercials are no longer the norm. The author establishes a critical tone for consumers of voting age. The author's argument is invalid because companies should have the right to advertise how they choose.
Being a celebrity endorser is an amazing position that allows a celebrity to become the face of a company. Behaving in a negative manner or being involved in controversy can cause for the celebrity endorser to be dropped and the company to receive negative feedback from consumers. An example of the scenario is the current controversy involving Laura Ingraham. Background
one paired sample t test was conducted to test the hypothesis that that there is a difference between the effectiveness of athletes and non-athlete celebrities in the endorsement of products. Participants viewed photo advertisements of athlete celebrities and non-athlete celebrities and then answered questions to assess the perceived persuasiveness and interest of the photos. Using a 7-point Likert scale, lower response values represented less persuasiveness and interest. A single composite variable that represents overall endorsement effectiveness was created by using total response value, comprised of the summed values of the persuasiveness responses for each participant and the summed values of the interest responses for each participant, respectively. This single composite variable was created in order to compare the average endorsement effectiveness of athlete and non-athlete celebrities. Persuasiveness ratings for athletes and non-athlete celebrities were significantly correlated (r = .68, p < .001). Levene's Test let us know whether the assumptions are met. One of the assumptions is that the variability in groups is equal. If that assumption has not been met, then a special form of the t-test should be used. In this research, the significance (p value) of Levene's test is less than .001, which is less than α(.05). So we reject the null hypothesis that the variability of the two groups is equal, meaning that the variances are not equal. Because the p value in
The world of advertising and business has relied on the power of celebrity presences since the birth of media. Sue Jozui in her excerpt argues that celebrity endorsements should be boycotted and advertising should be regulated with rules and guideline. The author supports her Argument by first using derogatory terms such as “insulting the intelligence of the audience” and words like “misleading” and “pretend”, are both negative. She continues by listing celebrity endorsed products. The authors purpose is to convince the reader that advertisers are money hungry businessmen who only wish to scam consumers. The author expresses a critical tone for the consumers of these products. Jozui's argument is weak because companies have the right to advertise
And while not all brands subscribe to the celebrity endorsement theory, it's based in pretty simple logic. People idolize celebrities, so when famous people are seen in advertisements promoting a new product, audiences are prompted to buy that product, either subliminally or directly. There are methods to fine tune the effectiveness of endorsements, however, that lead to bigger impact. The potential positive effects on product sales cannot be understated. According to a Marketwatch claim in Social Media Week, just one endorsement can spell an increase in sales by 4%, almost immediately. That's why businesses, even small businesses would be foolish to resist the mere exploration of celebrity influencers to promote their brand. Steve Olenski from Forbes magazine states “The brand value added by celebrities is immediate and palpable. When a celebrity signs an endorsement deal with a product, an element of legitimacy is suddenly present in the company, simply because of the power of the name backing it up” (Olenski, 2016). The effects would be substantial if the brand could find a prominent name who influences their audience. RadioShack attempted to use celebrity endorsements in the 2014 Super Bowl ad campaign that aired, but it failed miserably because you didn’t use celebrities from this generation. Instead of using well known celebrities that are known to this generation, you decided to use 80’s pop culture icons like Hulk Hogan. Although, Hulk Hogan was fairly popular at one point, many people did not find this very inspiring. According to Ad Age, a brand that inks an endorsement contract with a celebrity or an athlete can see their stock rise up to .25 as soon as the news is made public. This represents an increase in perceived legitimacy from the celebrity's endorsement, even though the product has not changed at all. I suggest that you take advantage of this strategy because it is highly
Celebrity endorsement is one of the most commonly used channels of brand communication which a celebrity acts as the brand 's spokesperson and endorses the brand 's claim and position by extending his/her personality, popularity, stature in the society or expertise in the field related to the brand that he/she is associated with. Celebrity endorsements have long been seen as one of the most preferred tools to build a firm 's brand equity by advertisers. This strategy has largely been successful. In fact every possible brand that enjoys high equity amongst its target populace has used
The history of celebrity endorsements goes back to 1970's when Josiah Wedgwood, co-founder of Wedgewood brand of chinaware, used big celebrities to endorse his products. Since then celebrity endorsements is one of the most important tools used for advertising and improving sales. It is a type of brand or advertising campaign where celebrities act as brand representative. Either this can be in a form of a commercial for product/service or celebrities own line of products. For example, celebrities like Kim Kardashian , Mary-Kate and Ashley Oslen have their own empire of retail items being sold all over the
Twenty-five percent of advertisements use celebrity endorsements because it is an effective marketing tool that increases brand recognition and purchase behavior (Spry 2009). The earliest celebrity endorsement dates back as far as the 1760’s. Chinaware, trading cards featuring actresses and cigarettes set
Brands have been influence celebrity appearance for a long time. Across categories, whether in products or services, many brands are investing on the bunch appeal of celebrities locally and also internationally. Once a new face enters the popularity charts, advertisers’ line up to have it marked all over. The benefit of celebrity endorsements can be justified by the following advantages by using celebrities on the overall brand. First benefit is Establishment of Credibility. In establishment of credibility, approval of a brand by a star fosters a sense of trust for that brand among the target audience- this is especially true in case of new products. Again as mentioned earlier, we have the Corneto Walls ice cream campaign. At launch, Akim and Stacy endorsed Corneto ice cream to share with the loves ones and this ensured that brand awareness was created in a market, to people which did not even know the brand. Secondly, Ensured Attention which ccelebrities make sure the attention of the target group by dividing the confusion of advertisements and making the advertisement and the brand more visible and understandable. Furthermore, PR coverage is one of the advantages for using celebrities. Managers perceive celebrities as current and up to date, which create high public relation coverage. A good example Rosyam Nor
Have you ever wondered what influences us to behave the way we do? Look a certain way? Or even looked for an explanation to what causes us to apply a certain perspective regarding personal and controversial issues? One of the answers to these questions may revolve around the influence we absorb from celebrities. A definitive term for celebrity is an iconic figure to a category or group who has achieved success in one or multiple aspects of their lives. As a result, these individuals have drawn in publicity and fame. Over the years with the advances in media and other forms of communication, celebrities have become topics of discussion worldwide, rather if it’s at school, with colleagues or at the dinner table, it is fair to say that
In addition, a celebrity is capable of transferring their image to the product the company advertising. “Company have taken this opportunity into account and tries through using it as an advertising tool, to gain a high brand exposure, attention, interest, desire, and action"(D,Chaboet , et. al, 2005).
Celebrities are useful in marketing brands because a credible endorser have the ability to influence consumer perception towards a product. Hence, advertisers need to choose a suitable celebrity that match with the endorsed product. Till (1998) claim that when choosing an endorser, the fit, similarity or belongingness of celebrity and brand need to be carefully scrutiny. This view is agreed by Hsu and McDonald (2002), when the celebrity characteristics match with the product attributes it is found that celebrity endorsement can be effective. Nike’s consistently used Michael Jordon as endorser influenced consumer minds towards the brand; when consumer saw advertisement of Nike, they will think of Michael Jordan and vice versa (Christisan and Rikard, 2004).
Scientific studies on the relationship between the world of celebrities and the sphere of marketing can be dated from the 1760s when royal endorsements were used as a marketing device for pottery and chinaware by producers - Josiah Wedgwood and Sons. ("Celebrity Endorsement – Throughout the Ages,"2004). Celebrity endorsement, as an instrument of marketing communication, is becoming increasingly important for commercial marketing. In McCracken's marketing theory celebrities are defined as “using public recognition to promote products by appearing in advertisements” ("Who Is the Celebrity Endorser? Cultural Foundations of the Endorsement Process", Grant McCracken, Journal of Consumer Research, Volume 16, Issue 3, 1 December 1989, Pages 310–321). Nowadays every fifth advertisement is using celebrities. The role of celebrity endorsement is growing with interest in new forms of consumer influence such as product placement. Market research agencies are offering increasingly sophisticated methods to analyze the impact of celebrities on consumer behavior or the branding tool known as the match-up. These analyzes provide hard, empirical evidence on the effectiveness of celebrities in marketing communications.
Furthermore there are other researches as well which suggest that the approach of using a celebrity to endorse a product can not be viewed as a general practice of using any celebrity for any product endorsement. Pornpitakpan (2003), while discussing match-up hypothesis, describes the results of a study by Erdogen et al (2001) which suggests that "British advertising agency managers considered various criteria like celebrity- target audience match, celebrity-product match, overall image of the celebrity, cost of hiring the celebrity, celebrity trustworthiness, controversy risk, celebrity familiarity, celebrity prior endorsements, celebrity likeability, risk of celebrity overshadowing the brands, celebrity expertise, celebrity profession and celebrity physical attractiveness". A match between the target market and the endorser is important for effectively transmitting right message to target audience. For example, the advertisements which are produced by Pepsi, are mostly targeted for youths and so the celebrity endorsers that they use in their advertisements are young personalities. The match up hypothesis goes true for the multiple celebrity advertising as well. A good example of this is the Pulse Polio campaign taken up in India to eradicate the polio
Endorsements have become universal and especially if we discuss about celebrity endorsement. Marketers often scrap over celebrities for a chance to use their name. This need for standout actually means that advertisers and marketers are finding new approaches and findings to maximize the appeal of celebrities. Some does work, some fail, some are unproven. Regardless of whatever approach, the endorsement has to be credible and authentic. And in an era when brands& products are rapidly increasingly defined by a series of experiences over& over by time, what actually consumer buying with a celebrity endorsement specifically sports celebrity endorsement? Is it the lifestyle, a product or just the usual individual celebrity?