I used “Testimonial” because I know that if you slap a famous person’s face on any product, it will sell. I also used it because I think I.T. should get a shoe deal. I used “Glittering Generalities” because it too sells products well. It also boughs well with “Testimonial” because if some famous person is endorsing a product and the company says that that company is the best, it is almost as if the famous person is saying that company is the best.
When I purchased them, I was aware that I was overpaying, I saw other cheaper options that had great reviews. However, regardless of that, I still decided to purchase the more expensive option. This constitutes as conspicuous consumption, as I knowingly decided to waste money. I did this to portray to others that I can afford them and with that represent a wealthy social status. I obtain a gain from the more expensive option even though there are no technical or aesthetic differences.
Sticking to their well-known image is critical for celebrities in endorsement process because they can send an evident meaning to the product and brand they endorse (McCracken, 1989). However, celebrities tend to change their image to be more opened to different career options; consequently, the endorsement effectiveness will suffer from such inconsistance. For that reason, choosing the right celebrity can be a challenge to any firms. Customers may be unconvinced with the celebrity (Wells and Prensky, 1996), or in the case of Nick Lachey, a famous singer whose profile seemed to fit perfectly with the endorsed brand unfortunately turned out to overshadow MasterCard promotion; customers may pay more attention to the celebrity rather than the product and the brand being endorsed (Erdogan, Baker and Tagg,
It notes that stiff competition can reduce the potential profit of like companies. Firms must determine the strategy that will be utilized to gain and maintain the upper hand in the industry, as it relates to price, marketing, competition and the introduction of new and innovative products into the market. The more a company senses competition the intensity of its strategy may increase as it does not only respond to other firms, but also to the industry as a whole. It is natural for firms to respond to competitive moves made by its rival as it will have an effect albeit positive or negative on the industry. Firms may be forced to supply the demands for cheaper but more reliable products or to create differentiated products to maintain the competitive
For the niche customer of a L’Oreal Paris product, price would come secondary to the quality and status symbol it would attribute. Being a luxury product, people would tend to buy it only when they have a considerable amount of disposable income. In economies doing well, the product would continue to
So if you want to get a tattoo to proclaim your awesomeness why not at least choose a good design and use a spellcheck. Or better still pick a good artist who will stop you from branding yourself as a moron. This is the reason why some artists are more expensive than others. You can see where that extra money goes and believe me, it’s worth
An example is the Polo shirt that costs significant amount relative to a similar outfit in a cheaper retail store like target. Price Ralph Lauren employs its brand in setting higher profit margin, considering that its target market consists of financially well-off buyers, who are willing to willing to part with a little extra for their perceived brand value (Uggla & Lashgari,
A brand must consider before signing a celebrity three main aspects. The attractiveness of the celebrity, which states that the attractive attributes of an endorser be it physical, intellectual, athletic and lifestyle, will influence the target audience and thus enhance the memory associated with the brand. The credibility of the celebrity is important to the brand being endorsed as it is an external cue for the consumer to bypass brand clutter in the market and cannot be fulfilled if the trust-wordiness and professionalism of the celebrity is discredited. Finally the meaning transfer is when the success of the collaboration is reliant on the relativity in characteristics between the celebrity and the brand in regard to image, personality and market position to name a few (See figure 1.1) (Roll
Celebrity endorsement is a billion-dollar industry today, with companies signing deals hoping that it can help their brand and make their product stand out from others by giving them a unique and relevant position in the mind of consumers. Celebrity endorsement can be an excellent means of marketing a product, but companies must consider potential risks before investing in a celebrity to display their brand’s product. These advertising companies have a moral obligation to monitor the behaviour of any endorsed celebrity that there brand and product is associated with, to protect themselves from any harm. It is also important to weigh the pros and cons of having such a well-known person publicly displaying a company’s product. Popularity, connection to the product, money and personal behaviour have major effects on endorsement deals.
Consumers are more likely to commit to a brand due to perceived value and unique brand characteristics that the competing brands do not possess. Lastly, looking further into investment size, commitment increases by investing a lot into the relationship in terms of quantity but also in terms of the importance of the resources invested. In this case, investment does not solely include direct investments such as money, time, effort and personal identity, but it also includes “originally extraneous resources that become linked to relationship (for example shared memories or