Case Study Of Celebrity Endorsement

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Problem Background: In today’s cut throat competition among business competitors, the knowledge about consumer behavior is the first step toward an effective and successful competitive strategy. The study of consumer behavior is necessary for companies to get the knowledge about their target market. It helps them to gather knowledge about the consumer that how they behave, what process they follow to make a decision and what influences them in making a decision. In today’s era, consumers are bombarded with colorful and glamorous advertisements. Marketers use various means for creating convincing advertising campaigns, and celebrity endorsement is one of the important medium used by companies for this purpose. Celebrity endorsement can play…show more content…
Even the glamour of the celebrity can get unnoticed. The use of celebrity endorsement cannot guarantee fool-proof success for the company. With the use of celebrity endorsement, there exists risk of over- shadowing i.e., the risk of consumer focusing on the celebrity and not on the brand endorsed. So celebrity endorsement occurs when a popular person uses his fame and reputation to help sell a product or service. Celebrity endorsement can help building brand equity, brand differentiation, increases consumer’s remembrance and recall of the ad and brand, which can in translate into a consumer search and purchase for the specific brand which can result in additional sales. Celebrity endorsement can also attract new customers and increase market share. In Pakistan, people are more attracted toward celebrities. They follow their favorite celebrity’s moves and this is now more easy because of different mediums available like TV, social media etc. Like any other consumer from any part of the world, the Pakistani consumer is also smart, judicious, demanding, and highly influenced by glamour and glitz. Generally, in the global advertising world, two strategies work the best; an emotive and heart-warming campaign that pulls the strings of your heart and other one is glamorous creative work that uplifts the brand image.This aspect of consumer…show more content…
Does it really contribute to building brand image or has an influence on shaping consumer buying behavior? According to Katyal 2007, marketers spend enormous amounts of money annually on celebrity endorsement contracts based on the belief that celebrities are effective spokespeople for their products or brands and celebrity endorsement is viewed as a billion dollar industry in today’s era. (Kambitsis et al, 2002). According to Loudon and Bitta, 1988, consumer behavior may be defined as the decision making process and physical activity that individual is engaged in when evaluating acquiring, using disposing of goods and services. According to a research by Luk E 2013, the adolescent girls value highly the entertainment skills of media celebrities. The celebrities are able to transfer their entertainment value to the brand they are endorsing. According to research by Wilson et al. 2013, celebrity endorsements are being considered as an important promotional variable after
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