Question

Celebrity testimonials are advertising messages delivered by famous people who say or imply that they use the product/service. Advertising testimonials are discussed in chapter 12 of your textbook. The book says the the use of a celebrity endorser is a common but expensive strategy and that celebrities are often used to make the ad more appealing and interesting. However, research has shown that most testimonials are a waste of advertising dollars (e.g. Frank Sinatra for Holiday Inn hotel chain) while some celebrity testimonials really do work (e.g. Michael Jordan for Nike, Kirstie Alley for Jenny Craig weight-loss system). Why do you think some celebrities are effective at pitching products while others are not? Experts cite three factors underlying source credibility: expertise, trustworthiness and likability. However, new research now shows that only one of the three factors is actually effective in increasing sales and is far more important than the other two in creating a successful celebrity testimonial. Which one do you think it is and why?

Answer 1

Most academic investigations of celebrity endorsement have been contextualized in the realm of source credibility and attractiveness models, and suggest that celebrities exert their influence on consumer through perceived attributes such as expertise, trustworthiness, attractiveness, familiarty, and likeability Celebrities embody a collection of culturally relevant images, symbols, and values. As the images of the celebrity become associated with the products through endorsement, the meanings they attach to the product are transferred to consumer through and consumption. Therefore, the practice for celebrity endorsement should be closely related to the cultural context in which the images of celebrities are formed and individual celebrities are selected to be linked with particular products. For advertising practitioners, employing an appropriate celebrity endorser to promote a product is important and difficult tasks. Familiarity, as well as the fit between celebrity and the product, as important factors for choosing the appropriate endorsers. Other highly ranked decision factors include celebrity/ target- audience congruence, costs of securing the celebrity, the celebrity s risk of controversy, and the celebrity s prior endorsement. The perceived importance and the actual use of endorser selection criteria may vary from culture to culture. Differences in the entertainment industry and the agency business, and more broadly, in the cultural environments are likely to influence the execution of the celebrity endorsement strategy across countries. Arguing for standardized advertising across countries, some contend that consumer demands and tastes have become similar on a global scale (and that using celebrities with world wide recognition in advertising is an effective means of overcoming cultural difficulties