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CHAPTER TWO
THEORITICAL FOUNDATION
In this chapter, the author wants to elaborate the theoretical foundation of
this thesis.
The
author
will
describe
theories
that
relates
to the
effectiveness of
celebrity
endorsement and its effect to purchase intention.
2.1. Celebrity Endorsement History
Advertising started playing an active role when it came to the development of society in
economy in the early 1930s. Celebrities acted as spoke persons, in order to advertise and
promote products, services and ideas (Lindeberg, 2004).
Those celebrities came
from
the art scene, modeling, sports and the movie industry (Kambitsis, Harahousou,
Theodarakis & Chazibeis, 2002). The first advertisers used celebrities as pioneers in
order to dictate trends. Lillie Langtry, British actress, appeared on a package of Pears
Soap in 1893, she became the world’s first celebrity endorser. The use of celebrity
spokespeople has been on the rise (Advertising Age 1978). A 1975 Gallup and Robinson
study (reported by Forkan 1975) estimated that 15 percent of prime time television
commercials
featured
celebrities.
By 1978
the
number
was
reported
to
be
over
20
percent.
According to a
recent report,
individual
in
the
advertising
field
were said
to
agree that celebrities are being sought out to endorse product as never before (Sherman
1985).
2.2 Celebrity
O’Guinn, Allen, Semenik (2009) stated that Celebrity is a unique sociological concept,
and
it
matters
a
great
deal
to
advertisers. Twenty-first-century
society
celebrity
has
become a new culture that affects a lot of business industry. Current thinking is that in a
celebrity-based culture, celebrities help contemporary consumers with
identity. Identity
in a consumer culture becomes a
“fashion accessory” prop
for a day. By definition a
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celebrity is a well-know personality (actor, entertainer, or athlete) who is known to the
public for his or her accomplishment in the areas other than the product class endorsed
(Shimp, 2003). Celebrity in author’s personal opinion is an icon that can be in form of
person, dead person, and cartoon character such as Mickey Mouse.
Jagdish and Wagner (1995) state that celebrity make advertisement s believable and
enhance message recall. Furthermore, celebrities aid in the recognition of brand names,
create
positive
attitudes
towards
the
brand and
create
a
distinct
personality
for
the
endorsed brand.
Byrne et al (2003, p.289) state “celebrity can build, fresh and add new dimensions. What
celebrities stand for enhances brands and they save valuable time in terms of creating
the credibility a company has to create in order to build its brands by transferring their
values to the brand. When consumers see a credible celebrity endorsing a product they
think the company must be OK”
2.3 Endorsement
Past research documents a general tendency for consumers believe in the purity of the
motives
of celebrity endorsers;
it
is
likely
that this tendency
varies
substantially
both
consumers and endorser. Tripp et all (1994) showed that celebrities who endorse several
products are viewed as less credible endorser, than those who endorse only a single
product. Louie and Obermiller (2002) also demonstrated that celebrities who are blamed
for negative events. (E.g. accidents) can have detrimental effects on the products they
endorsed. In other hand, the effectiveness of a celebrity endorser is dynamic, dependent
on the celebrity, the product, and perhaps even societal conditions at the same time and
place where the advertisement is shown. So, it could be productive to ignore the use of
traditional measures of the celebrity endorser’s trustworthiness or credibility in general.
In easement of directly measuring the degree to which individuals evaluate the celebrity
as
liking
the endorsed
product agree
viewing the advertisement. Such evaluations
fit
under a class of judgment that has been referred to as “correspondent inferences”
(Gilbert and Malone, 1995). Correspondent inferences more generally refer to any
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judgment in which observers use an individual’s behavior to assume similar characters
in that individual. The author proposes that correspondent inferences are a direct
measure of celebrity credibility in the
specific context
of
the advertisement
and
thus
should predict consumers’ attitudes toward the advertised product.
In the other hand endorsement is similar with testimonial. According to Duncan (2008),
endorsement /testimonial is a uses celebrities, experts, or typical users to deliver a
message endorsing a
product.
Endorsement
used in categories
where
there
is
product
differentiation or where credibility is important. Endorsements can work if the person or
group is right for the product.
Conducting endorser strategy is one of the most popular marketing practices for
enterprises.
A
successful endorser strategy can
increase the level of consumer’ recall
toward
product
information (Friedman and Friedman, 1979),strengthen consumer’s
recognition
to endorsed brands, positively affect
consumer’s
recognition
to
endorsed
brands, positively affect consumers’ attitude to low involved product (Kamins, 1989;
Petty
et
al.,
1983),
increase
consumers’
increase consumers’ purchase intention and
preference
toward
brand
(Bower
and
Landreth,
2001;
Kamins,
1989;
Lafferty
et
al.,
2002; Marthur et al., 1997; McCracken, 1989)
2.4 Celebrity Endorsement
Celebrity
endorsement
is
advertisements
that
use
an
expert
or
celebrity
as a
spokesperson to endorse the use of a product or service, By O’guinn, Allen, Semenik
(2009, p691). Other than that, celebrity endorsement has been defined as: “any
individual who enjoys public recognition and who uses this recognition on behalf of a
consumer good by appearing with it in an advertisement”
(McCracken,
1989, p.311).
Today, TV stars, movie actors, famous athletes and even dead personalities are widely
used to endorse products (Shimp, 2003). According to Kambitis et al (2002) today’s use
of celebrities in advertising strategies are becoming more and more sophisticated and
complicated. From 1979 to 1997 the popularity of using celebrites in advertising in USA
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increased from 15 to 25 percent and now days more than 20 percent of all TV
commercials feature celebrities (Belch & Belch, 2001).
As the Author sees, Celebrity endorsement can have benefit to the advertising as well as
effecting the consumer perception in fitness between celebrity and consumer. The
benefit of celebrity endorsement as described by Jagdish and Wagner (1995), state that
celebrities
make
advertisement
believable
and enhance
message
recall.
Furthermore,
celebrities aid
in the recognition of brand
names, create positive attitudes towards the
brand and create a distinct personality for endorsed brand. Thus, the use of celebrity
endorsements
is
an
advertising
strategy
that should
enhance the marginal value of
advertisement expenditure and create brand equity by means of the “secondary
association” of a celebrity with a brand.
Celebrity endorsements become increasingly important to advertisers. This is especially
true since past empirical research has shown celebrities to be well liked and oftentimes
attractive,
though
not
always
credible
and
effective
spokespeople
(Atkin
and
Block
1983; Freiden 1984; Friedman, Termini and Washington, 1977).
Till also stated that the usage of celebrity endorsement increases the pool of consumers
who begin to become aware of the link between brand and the celebrity. Other than that,
the effectiveness of celebrity endorsement has focused primarily on personal attributes
of celebrity that enhance his or
her persuasiveness. For example, a number of
researchers have used models in
which
“source
credibility”,
typically
viewed
as
a
function
of
trustworthiness
and expertise,
is the
primary
factor determining
how
influential the endorser will be (Ohanian, 1991; Lafferty and Goldsmith, 1999; Lafferty
et al, 2002).
2.5 Effectiveness of Celebrity Endorsement in Consumer Congruity
In this part the Author will explain more about the theoretical aspect that connects with
the congruity of celebrity endorsement advertisement with consumer.
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According to Shimp (2003), two general attributes are important when determining the
effectiveness of the
endorsers as
well
as
to
communicate
effectively;
credibility and
attractiveness. Sub-attributes
to credibility
are trustworthiness and
expertise.
The first
general
attribute,
credibility,
refers to a
celebrity’s
believability
and
dependability.
Expertise refers to the specific skills, knowledge or abilities that the endorser has about
the brand. The second general attribute, attractiveness, consist of three sub components
(Shimp, 2003). First is physical attractiveness. Second sub attribute is respect, or
admiration
of one’s
accomplishments.
Celebrities
can
be
respected
for
their
athletic
power,
appealing
personality
and
acting
ability.
The
last
sub
attribute
is
similarity,
which concerns how the endorser matches the audience in terms of age, gender, and
ethnicity.
According
to Shimp about the two general attributes that are important to determining
the effectiveness of the endorser as well as to communicate effectively. Trustworthiness
refers
tp
general
believability of
the
endorser,
and
is
thus
broader
but
conceptually
similar to correspondent inferences about the endorser. Expertise refers to the product
knowledge of the endorser and thus to the validity of his or her declaration regarding the
product and
is believed to be a
factor that
increases persuasiveness above and beyond
the effects of trustworthiness.
Other
researchers have
emphasized
the
importance
of
source
attractiveness in
determining liking for the endorser and so increasing endorsement effectiveness
(Friedman
and
Friedman,
1979).
To
extent
that
attractiveness
is
an
important
determinant of endorsement effectiveness, research based on the matchup hypothesis
(Kahle and Homer, 1985; see also Till and Bulser, 1998, for a discussion of the mathcup
hypothesis in relation to endorser expertise) suggest that its importance is limited by the
degree to which attractiveness “fits”, suitable, or has a congeniality well with the
advertised product. So, physical attractiveness might be useful when selling cosmetics
but nit when selling computers. Then, although source attractiveness research has
focused primarily on physical attractiveness, attractiveness can also
be
viewed
more
generally as a positive attitude toward the endorser.
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Therefore
the author will
use
the TEARS
model
to be
the foundation of congruity of
celebrity endorsement advertisement with consumer.
These
two
different
product
advertisements
show
different
level
of
congruity.
Luna
Maya doesn’t show any congruity between her and the product. Hence this is one of the
examples of low fit product endorsement congruity. In authors perception audience
would not buy one of both product from the advertisement because of the congruity. But
Luna Maya tend to attract the audience because of the attractiveness.
Nicholas Saputra has being chosen by L’Oreal for brand ambassador. This is one of the
high
product endorsement
congruities
examples.
The audience will
respond the
congruity between the product and the celebrity positively.
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2.5.1 The TEARS Model
Shimp (2003)
writes that there are two
general attributes, credibility and attractiveness
that play an
important role
in
facilitating communications effectively. These attributes
are also important when it comes to determining how effective an endorser may be.
Shimp (2003) claims that the first general attribute credibility
refers to the tendency to
believe or trust someone. When an endorser is perceived as credible, the attitude of the
audience seems
to change through a psychological process called
internalization. This
process occurs when the
receiver accepts the
endorser’s position on an issue as
his or
her own.
Two important sub attributes of
the endorser credibility are
Trustworthiness
and Expertise, and someone who can be trusted. The celebrity earns the trust by his or
hers accomplishment, on the movie screen, on the sports field, in public office etc. The
trustworthiness of an endorser lays on the
audience’s
perception
of
the
endorser’s
motivation. If the consumers believe that the endorser is endorsing a product for self-
interest, the persuasive effect of the endorser will be lower than if the audiences see the
endorser as someone having nothing to gain by endorsing the brand.
The second sub attribute is expertise, the E component of TEARS model. The expertise
is about having specific skills, knowledge or abilities that can be related to the endorsed
brand. Shimp (2003) claims that whether the endorser is an expert or not is unimportant.
All that
matters is
how the target audience perceives
the endorser. IF the endorser
is
perceived as being an expert he or she is more likely to be able to change the opinion of
the audience than if the endorser is not perceived as an expert by the audience.
Shimp (2003) continues with the third general attribute, which is attractiveness. This is
not just physical attractiveness the different characters that te audience can perceive in
an endorser can be intellectual skills, personality properties, lifestyle characteristic and
athletic
skills.
When
the
consumers
find
something in the endorser that they like,
persuasion occurs through identification means that consumers are likely to adopt the
endorser’s behavior, attitudes, interest or preferences if the find the endorser attractive.
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Attractiveness can
be divided
into three sub attributes, physical attractiveness, respect
and similarity. The A component in the TEARS model attractiveness is a key
consideration in many endorsement relationship. A good example f a successful
attractive endorser is tennis player Anna Kournikova who has never won a tournament
on the pro tour. She earns (estimated) 10 Million dollars per year in just endorsement.
Ship (2003) claims that Kournikova was selected to endorse different brands due to hers
physical attractiveness and not because her credibility or respect for her exceptional
tennis
abilities.
Research
supports
the
idea that attractive people are
more
likely
to
produce more favorable evaluation of advertised brands that less attractive endorsers.
Fourth
general
attribute
is
Respect.
The
R
in
the
TEARS
model
and
represents
the
quality
of being admired
due
to
one’s
personal qualities
and
accomplishment.
Celebrities can be respected for their acting abilities, athletic skills, political arguments
and personality.
A
respected celebrity
who
endorses
a
brand can
improve
a
brand’s
equity via the positive effect the consumers may get toward the brand.
The final sub attribute in attractiveness is the S, which is similarity. This refers to how
the endorser
matches with the audience in
terms of age, gender, ethnicity, social class
etc.
Shimp
(2003)
says
that
this
is
an
important
attribute
because
audiences
tend
to
better like individuals who are sharing the same characteristics. A celebrity endorser is
more likely to be seen as trustworthy the more he or she matches with the audience’s
gender, age and ethnicity etc. the research done on ethical minorities reveals that when a
spokeperson matches the audience in ethical terms, the spokespersons trustworthiness is
enhanced. This adds more favorable attitudes towards the endorsed brand.
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2.6 Purchase intention
Purchase intention is a part of the decision process on consumer behavior.
In the buying process, the consumer should stop looking for and evaluating information
about alternative option in the evoked set and makes a purchase decision. As the result
the evaluation stage, the consumer may develop a purchase intention or a predisposition
to buy a certain brand or product. Purchase intention is a part of decision process. Based
on Belch and Belch (2009, p127) purchase intention are generally based on a matching
of purchase motives with attributes or characteristics of brands under consideration.
Joseph Jaffe
(2003)
explained about purchase Intent
is arguably
the key link between
branding and response (acquisition). It is the point at which a consumer interest,
motivation or preference becomes an actionable and directed likelihood that a purchase
will result from the time spent consuming, evaluating and deciding that a defined need
can be met through the exchange of hard-earned dollars for utility, value and/or service.
In addition, Joseph Jaffe (2003) also explained that purchase intent is the trigger that
joins branding and response, but the paths that lead to and from the bridge that crosses
the contradictions are equally important.
Purchase intentions have been widely use in the literature as a predictor of subsequent
purchase. Past research has found that purchase intention is also positively associated
with perceived value. (Dodds, Monroe,
and Grewal, 1991; Grewal, Monroe, and
Krishnan, 1998).
According
to
Bagozzi
(1983,
p.
145)
“intentions constitute a
willful
state of
choice
where one makes a self-implicated statement as to a future course of action”
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2.7 Theoretical Framework
Based on Author’s first journal which is factor predicting the effectiveness of celebrity
endorsement
advertisements written
by
David H. Silvera and Benedikte Austad , the
author doesn’t found the exact and suitable framework that applicable to the thesis. But
there are hypotheses that he made for their research which are:
a. H1. Correspondent inferences will be positively associated with attitudes
toward the advertised product
b. H2. Observers will view the product endorser as liking the product better
than the average person likes the product, even when the endorser
receives a substantial endorsement fee.
c. H3. Perceived product knowledge of the endorser will be positively
associated with attitudes toward the advertised product.
d. H5. Admiration and elements of physical attractiveness associated with
the product will be associated with positive attitudes toward the endorser,
and will contribute to predicting attitudes toward the advertised product.
e. H6. Perceived similarity and elements of physical attractiveness that are
unrelated to the product will be associated with positive attitudes toward
the endorser, but will not contribute to predicting attitudes toward the
product.
f.
H4. Positive attitudes toward the endorser will be associated with
positive attitudes toward the advertised product.
In the author’s second journal which is Celebrity endorsement case study of J.Lindeberg
by
Christian Bergstrom and Rijkard Skarfstad, Author finds that figure 2.1 can be
applicable for author’s framework.
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Figure 2.1 frames of reference by Bergstrom and Skarfstad
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After
comparing
these
two
journals,
the
author
found
out
that
there is are several
similarity. Thus the model of this research is based from eight hypotheses of David H.
and Silvera and Benedikte research’s and research model from Bergstrom and Skarfstad
research’s. The model is:
Trustworthiness
Role model
spillover
effect
Expertise
Attractiveness
Product –
Celebrity
Congruity
Purchase
Intention
Respect
Similarity
Consumer
perceived
similarity
Figure 2.2 by Author.
There are nine variables that will be analyzed:
a. Trustworthiness
b. Expertise
c. Attractiveness
d. Respect
e. Similarity
f.
Product congruence
g. Purchase intention
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h. Role-model spillover effect
i.
Consumer perceived similarity
The above
model representing the correlation between product-celebrity congruence to
purchase intention:
And the flow will be:
•
The congruity between an endorser (celebrity)
is
influenced by 5
variables:
o
Trustworthiness
o
Expertise
o
Attractiveness
o
Respect
o
Similarity
•
The congruity will directly influence purchase intention
•
The congruity will influence purchase intention through:
o
Role model spillover effect
Consumers
will
see
a
celebrity
as
their role
model and
will
buy
any
product endorsed by the celebrity
o
Consumer perceived similarity
Consumer will buy a product endorsed by a celebrity
if they see a “fit”
between the celebrity and themselves
2.8 Variables definition
The main point of this thesis will discuss about effectiveness of celebrity endorsement
and its effect to purchase intention. Into deep, the celebrity endorsement effect are based
on the
TEARS
model
which are; Trustworthiness,
Expertise,
Attractiveness, Respect,
Similarity.
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Steps that the author will conduct the research will be started with the
TEARS
model.
The Tears model will include
¾
Trustworthiness
¾
Expertise
¾
Attractiveness
¾
Respect
¾
Similarity
The first aspect is trustworthiness. As describe by Shimp (2003) the first general
attribute
credibility refers
to the tendency
to believe
or trust
someone.
Celebrity
trustworthiness
will
be elaborated
with
the endorsement
then;
Author
would
like
to
know if celebrity trustworthiness will affect the endorsement in consumer’s mind.
The second aspect is expertise. The expertise is about having specific skills, knowledge
or abilities that can be related to the endorsed brand. Shimp (2003) claims that whether
the
endorser
is
an
expert
or
not
is
unimportant.
All
that
matters
is
how
the
target
audience perceives the endorser. IF the endorser
is perceived as being an expert he or
she is more likely to be able to change the opinion of the audience than if the endorser is
not perceived as an expert by the audience. In this aspect, Author would like to know if
expertise will applicable in Indonesia’s Celebrity endorsement in consumer’s mind.
The Third aspect is attractiveness. Other researchers have emphasized the importance of
source
attractiveness
in
determining
liking
for
the
endorser
and so
increasing
endorsement effectiveness. Attractiveness is important if linked with advertisement, for
example physical attractiveness might be useful in selling cosmetics but not when
selling computers. Attractiveness can also be viewed more generally as a positive
attitude
toward
the
endorser.
Thus, the author
wants to know
if
attractiveness
of
the
celebrity will affect the fitness of Indonesian consumer mind then it will reflect to the
endorsement.
The fourth aspect is Respect. Respect represents the quality of being admired due to
one’s
personal
qualities
and
accomplishment.
Celebrities
can
be
respected
for
their
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acting abilities, athletic skills, political arguments and personality. A respected celebrity
who endorses a brand can improve a brand’s equity via the positive effect the consumers
may get toward the brand. In this thesis, author wants to know the relation of respect in
celebrity endorsement advertising effect the Indonesian consumer’s mind.
The last aspect is similarity. This refers to how the endorser matches with the audience
in terms of age, gender, ethnicity, social class etc. Shimp (2003) says that this is an
important attribute because audiences tend to better like individuals who are sharing the
same
characteristics. The
author wants
to
know if similarity in celebrity
endorsement
advertisement will affect Indonesian consumer’s mind.
The TEARS model will be used by the author to measure be the factor that determines
congruity
between
product
and endorsers, in this case
celebrity
in
consumer
mind.
Trustworthiness,
expertise,
Attractiveness, Respect,
similarity, is being tested to
comprehend aspects of the consumer towards celebrity endorsement.
Second step is the celebrity endorsement will directly influence purchase intention, the
author would like to know that TEARS model of celebrity endorsement affect the
consumer purchase intention directly. Thus the author will know the purchase intention
of consumer
is determined by congruity of
celebrity endorsement. For example
Cristiano
Ronaldo
who
is
the
endorser
of Clear
shampoo
for
men.
In
this
illustration
consumer will buy the shampoo because Cristiano Ronaldo has direct influence to
purchase intention
Next step the author will research the congruity of product-celebrity endorsement will
indirectly influence purchase intention through role model spillover effect and consumer
perceived similarity.
Role model spillover effect is an effect that caused by the role model. In this case the
author will relates role model spillover into the purchase intention. The author will test
if role model spillover effect will become the reason for purchase intention. For example
consumer will buy product that being endorsed by their idol; in this case consumer will
buy Levi’s jeans because Johnny Depp endorsed Levi’s
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Consumer perceived similarity is a consumer comprehension about the similarity of
consumer identity, lifestyle or behavior. This consumer perceived similarity also be the
factor that being tested to know consumer purchase intention. For example, Brylcreem is
a
hairstyling product
for
man
that
chose
David
Beckham as endorser.
Consumer will
perceive
that
their
hairstyle
might
be
similar
with
David
Beckham.
Thus
consumer
might buy brylcreem because of the perceive similarity of the celebrity endorsement
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