Celebrity Endorsement as a Marketing Communication Tool - Essay Example

Celebrity endorsement as a marketing communication tool: literary review Each and every domestic and multination organisation is trying to adopt and implement celebrity endorsement activities in the marketing communication process in o0rder to create significant brand awareness among target customers. This assignment has discussed about the impact of celebrity endorsement on brand image of organisations with the help of three different models, such as TEARS Model, causal Model and The Meaning Movement and the Endorsement process Model. Then the study has determined the role of celebrity endorsement with the help of some real-life examples. Finally, the study has summarized the important facts in the conclusion part. Table of Contents Abstract 2 Introduction 4 Compare and Contrast 4 Discussion 6 TEARS Model 6 The Meaning Movement and the Endorsement Process Model 8 Source Attractiveness Model 9 Role of Celebrity Endorsement 9 Conclusion 10 References 12 Appendices 15 Introduction Celebrity endorsement can be considered as the most effective and significant way to promote the products. The major role of celebrity endorsement is to use the popularity and image of the celebrities in the promotional strategies to create significant brand awareness among the target customers. Celebrity endorsement is one of the important marketing communication tools that help an organisation to make a strong relation between the brand and consumers. Celebrities act as brand associate in this endorsement to show the impetus of developed strategy. Effective celebrity endorsement helps to increase brand equity and it helps consumers to remember the advertisements. In addition to this, organisations make people believe that a particular product or service contributes to the superstar status. Finally, it can have a strong and positive impact on consumer behaviour. Tears Model, The Meaning Movement and the Endorsement Process Model, and causal Model have been applied in this study in order to determine the impact of celebrity endorsement on overall brand image and brand equity of a particular product or service that has been developed by an organisation. Finally, the assignment will discuss the role of celebrity endorsement with the help of some practical examples. Compare and Contrast Celebrity endorsement is a form of advertising or brand campaign that involves a popular or a well known individual or a role model in endorsement. Organisations use their familiarity, fame and popularity to promote a particular product or a service. In addition to this, the advertisers of recent era have attempted the use of the fame of celebrities in marketing and promotional campaigns by evaluating their appeal, awareness, and image of a brand and influence of a celebrity (Bruce and Hines, 2007, p.21). It is true that several literatures have defined celebrity endorsement differently due to diverse characteristics of this promotional activity. Celebrity endorsement also can be defined as the use of popular and familiar public figures or celebrities in the promotional or endorsement activities in order to increase the awareness and sales of the product. It helps to increase the brand value or brand recall of a particular product or service in the minds of target customers (Baker, 20001, p.18). Most importantly, it can be simply defined as a type of endorsement takes place when a popular and well-known individual uses her or his fame to help to promote a particular product or a service under a specific brand to the market place (Brierley, 2005, p.22). A negative publicity on a particular celebrity endorsement can create a negative perception about a brand in the minds of target customers (Barker, 2012, p.9). Therefore, it is highly important to maintain ethics in the celebrity endorsement activities. Otherwise it can affect overall business performance of the organisation. There are some possible issues of celebrity endorsement that can affect the business performance of an organisation. Overexposure can be considered as one of the real issues (Bhaskar and Mehta, 2009, p.11). It may take place when a single celebrity endorses too many brands and products. It can overall affect the perceived consumer credibility of the brands. Cost consideration may be considered as another issue of celebrity endorsement. Celebrity endorsement is costly marketing communication tool comparing to other tools as the brands have to invest more money in this activity comparing to other promotional activities. Therefore, it may affect the profitability of the organisation. The fame or popularity of the celebrities can overshadow the products. Therefore, it may affect the actual product awareness aspect. People may be least bothered about the features of products. Breach of marketing communication policy can develop several for the advertisers. Despite the potential advantages, the advertisers or brand managers may face several difficulties in celebrity endorsement activities if they fail to address the possible issues. Discussion This part of the report will use two different models, such as TEARS Model and The Meaning Movement and the Endorsement Process Model in order to determine the impact of celebrity endorsement on branding of the organisations. TEARS Model TEARS model comprises of five different parameters, such as trustworthiness, expertise, attractiveness, respect and similarity. This model can be divided into two different factors, such as credibility and attractiveness (Shimp, 2007, pp. 294-329). Credibility comprises of expertise and trustworthiness (Figure 1). On the other hand, attractiveness comprises of physical attractiveness, similarity and respect. The application of the model helps to determine whether an endorser is perfectly fit for a brand or not. Trustworthiness It is a particular degree to which a specific endorser is honest, loyal, and believable. According to the characteristic of this parameter, the endorser should have a sense of ethics and integrity (Lowe, 2005, p.51). This parameter will dictate how much a group of consumers will trust the particular endorser as well as the brand that has been endorsed by that particular endorser (Copley, 2007, p.33). Expertise According to the characteristic of this parameter, the consumers generally perceive a particular brand as an effective brand due to the expertise of the endorser about the specific brand. This expertise of the endorser generally helps to make the brand more credible comparing to others to the consumers (Hoffman and Coste-Maniere, 2011, p.11). Attractiveness It is true that several leading organisations choose physically attractive endorser to promote or endorse their brands. This type of brand endorsement generally helps to represent the brand quite effectively. In addition to this, it can help several organisations to capture the attention of the customers. The image and fame of the endorsers or celebrities generally helps t6o improve the possibilities of switching the brand preferences of other brands to own brands (Dahlen, Lange and Smith, 2010, p.19). Most importantly, it can be stated that this aspect can help an organisation to create significant brand awareness among the target customers comparing to other form of endorsement or promotional; activities (Kotler, 2004a, p.19). Respect It is highly important for an organisation to maintain morality and value in the celebrity endorsement activities. Most essentially, the personality and morals of the celebrities or the endorsers of a particular brand helps an organisation to gain respect of the customers (Lee-greenwood, 2012, p.119). Therefore, it is important for the organisations to choose endorsers who are transparent in values and personality. The representation of value by the endorsers helps the consumers to give respect to the brands (Kotler, 2010b, p.77). Similarity It is the responsibility of the management of the organisations to help the celebrities or the endorsers to become resonate with the target market. It actually, helps the organisations to attract the target customers towards the perspectives, opinions and beliefs of the endorsers (Pringle, 2004a, p.9). In addition to this, this aspect helps the organisation to gain most significant customer preference support. As a result, it helps to increase the brand image as well as business output of the organisation (Pringle, 2004b, p.9). The Meaning Movement and the Endorsement Process Model The effectiveness of the endorser generally depends upon the meaning that has been bought by him or her in a particular endorsement process. However, the effectiveness of the celebrities as the endorsers used to twig from the existing cultural meanings that have been endorsed by those endorsers or celebrities (Pride and Ferrell, 2010a, p.62). However, this model consists of three step process of transferring of meaning. It involves the formation of personality or image of celebrity, meanings’ transfer from celebrity to organisational brand or product, and finally from the organisational brand or product to customers (Figure 2). In the first step, the object, context and role of endorser or celebrity have been confirmed and directed by the organisations (Pride and Ferrell, 2012b, p.7). It is the personality and expertise of the endorser how he or she can understand the overall intended endorsement process and act accordingly. In the second step, it is the expertise of the endorsers that helps to transfer the meaning from the celebrity endorsers to the products (Erdogan, 1999, pp. 291-314). It is true that several organisations try to include something unique in this transfer process to make the endorsement more creative and attractive so that the management of the organisations can attract a large number of target customers towards the product or brand (Saxena, 2008, p.98). Consumption is the last step of this model in which the meaning used to transfer from the products or brands to the end-customers. According to this step, the organisations generally use the image, popularity, fame and personality of the endorsers or celebrities to sell the products. Therefore, it can be stated that each and every step is important for the management of the organisation in celebrity endorsement process (McDonnell and Moir, 2013, p.4). Source Attractiveness Model Source attractiveness model can be considered as an important marketing communication tool that helps to determine the impact of credibility and attractiveness of a celebrity on purchasing behaviour (Figure 3). According to this model, higher celebrity credibility should be positively linked with the favourable consumer purchasing behaviour (Milad, 2010, p.162). Now-a-days, several leading organizations are trying to hire popular public figures and celebrities to endorse their brand as the supreme degree of credibility, trust, believe and attractiveness used to help consumers to buy a particular endorsed product or brand (Rosengren, 2013, p.41). Several leading organizations, such as Lakme, Nike, Polo, Adidas and Reebok are constantly using this particular celebrity endorsement model in present era of modernization as the higher degree of trust and attractiveness of popular public figures help organizations to develop a potential customer base (Okonkwo, 2007, p.54). Role of Celebrity Endorsement Several leading organisations around the globe are trying to consider celebrity endorsement as major marketing communication tool in their business process across the globe. United States of America, Japan, United Kingdom, France, South Korea and other developing countries are using celebrities to endorse their brands (Smith, 2000, p.21). Percentage of celebrity endorsement in Japan is 47.62, in the US is 20.69, in UK is almost 10, in Germany is 9.64, In Netherlands is 3.92, in Spain is 6.90, in France is 15.57 and in South Korea is 21.4 (Praet, 2014, p.3). Moreover, majority of global consumers are being attracted by the brands due to the development and implementation of aggressive celebrity endorsement strategies. This factor is influencing organisations around the globe to continue with this particular endorsement strategy (Stadtler, 2011, p.27). Example of Adidas can be considered in this case. Adidas can be considered as one of the popular organisations for manufacturing and distribution of several important sports accessories and kits. The organisation has hired celebrities like Lionel Messi and Sachin Tendulkar to promote its brand (Figure 4). Adidas has done its branding in such a ways, that an individual can perceive Adidas as the leading organisation within the sports goods manufacturing industry (Wood, 2007, p.38). Adidas always offers message with emotion through the help of several popular sports persons or celebrities. On the other hand, organisations like L’Oreal and several cosmetics manufacturers use glamorous celebrities or film starts to promote their beauty products and cosmetics (Figure 5). It actually helps the organisations to push their products to the target customers by ensuring attractive promotional activities or advertisements. Conclusion It is clear from above discussion that celebrity endorsement has become one of the important marketing communication tools for the organisations that help the organisation to communicate with the customers effectively regarding the feature of the products and services. The image or personality and the fame of the celebrities are being used in the celebrity endorsement. This aspect helps the organisations to attract the group of target customers towards the products and services of specific brands. It is true that each and every individual tries to follow his or her role model. The management of several leading multinational or domestic organisations took the advantage of this aspect. They use high profile celebrities and public figures to endorse their brands. It actually helps the organisations to pull a large number of target customers towards specific products and services. In return to this, the organisations pay a lump sum amount top the celebrities for the purpose of brand endorsement. However, it is the responsibility of both organisations and celebrities to keep the significance of business ethics and transparency in mind. Otherwise it can affect both the brand image and celebrity image. References Baker, M. J., 2001. 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P.9. Pringle, H., 2004b. Celebrity sells. New Jersey: John Wiley & Sons. P.9. Rosengren, S., 2013. Advances in advertisisng research. Stamford: Cengage Learning. P.41. Saxena, P., 2008. Marketing management. London: Kogan Page. P.98. Shimp, T., 2007. Selecting message appeals and picking endorsers. Integrated marketing communications in advertising and promotion, 7th ed. Mason: Thomson South-Western. pp. 294-329. Smith, G., 2000. Marketing communications. London: Sage. P.21. Stadtler, R., 2011. Celebrity scandals and their impact on brand image. London: Prentice-Hall. P.27. Wood, E., 2007. Innovative marketing communications. London: Routledge. P.38. Appendices Figure 1: TEARS Model Figure 2: The Meaning movement and the endorsement process model Figure 3: Source Attractiveness Model Figure 4: Example of Celebrity Endorsement Figure 5: Example of Celebrity Endorsement Read More