Effects Of Celebrity Endorsement

1.1 BACKGROUND OF THE STUDY

In recent years, use of celebrities in advertisements has become more prevalent than ever. Marketers have the perception that this technique of persuasion is a winning formula to build brand image, to enhance revenues, and to generate brand loyalty. We are bombarded by a variety of different advertisements in our everyday life without having a choice not to. Celebrity endorsement is very popular and widely used in advertising. Celebrities bring new dimensions to a brand through immediate recall, brand awareness, and bonding with customers. From newspapers to TV advertisements, from soaps to luxury goods, celebrity-endorsed products have penetrated all channels and product categories. Celebrity endorsers appear in

By using celebrities as endorsers in advertising for this specific type of products, the company communicates the confidence, beauty, talent and perfection that are often associated with famous actresses/actors, artists, etc. Customers’ attitudes regarding brands and products are well enhanced by celebrities, but whether it generates repeat purchase intention and brand loyalty is not so clear. Brand loyalty makes consumers deeply committed to a specific brand. It is very important for the marketers in the long run.

This research study focuses on understanding the relationship between celebrity endorsement and brand loyalty. The study investigates the use of celebrities in personal care product ads. The major concern is to determine the effect of celebrity endorsement on consumers and how celebrity endorsement contributes to brand loyalty. This study considers customers’ perception of celebrity endorsement in relation to the personal care segment, and two different types of brand loyalty i.e., attitudinal loyalty and behavioral

But, one time purchase is not sufficient as huge amount is spent for endorsing celebrities. Continuous revenues should be achieved to surpass the marketing expenditure. Hence, it is important to understand whether celebrity endorsement of personal care brands lead to brand loyalty both in terms of behavioral loyalty and attitudinal loyalty.

The insights about consumers of personal care brands can aid marketers to identify a more efficient way to gain brand loyalty and thereby also to keep it.

Companies in the personal care industry can better grasp consumers’ opinions and attitudes concerning celebrity endorsements.

1.5 RESUME OF SUCCEEDING CHAPTERS

The second chapter consists of various research papers and articles reviewed from journals and newspapers to gain better understanding of the chosen area.

The third chapter describes the research process to address the problem and achieve the objectives.

The fourth chapter gives a brief of the personal care industry to know the trends, opportunities and