To getting the success is the primary aim of every business organization and for that each and every organization has to earn the profit. From the beginning of the business, every organization tries to make more profit and less loss. So every organization needs to make a strategy to earn more profit or to reach the top but when an organization starts the journey of grand success the new challenge come, and they have to change their plan according to the challenge. In the present market, there is the various strategy used to gain the profit or market share one the strategy is the advertising. Advertising is an approach to enhance the sales that are why companies try to do some more attractive, influencing advertising. In the modern marketing era where is large production, massive competition, and substitutes products then the effective advertisement has become more imperative.

Nowadays to gain the huge market share in the dense competitions each and every company using celebrity advertising. Celebrity advertising is a not new mechanism to attract the customers even it has become a prevailing trend nowadays. (Kaikati 1987) The use of celebrities in marketing is not a new aspect. Celebrities endorsement have been using since the late nineteenth century. (White, 2004) Celebrity may be model, sports person, film stars, politician and other eminent personality that can influence the consumer. Celebrity advertising is the process of using the person in advertising that is well known for public. Employing the celebrities in the advertising is the added benefit to the companies. (Biswas, Hussain and O' Donnell 2009). Celebrity endorsement in the advertising is one of the best mechanism or strategies that are accepted globally.

Nowadays, Celebrity advertising is prevalent in the business world to fascinate the customers. Celebrities are not attracting only customers rather than it help to build brand awareness and brand image which help to gain the massive market share or brand equity. In the time of global competition and to hang on the market, it is necessary to build brand equity. The word brand equity highlighted around the 1980s to 1990s and brand equity is financial perspective or customer willingness to pay a premium price. (Farquhar, 1989) Brand equity is the financial benefits of products by its brand name this added value can consider from the perspective of the firm, the trade, or the consumer. In other words, the brand equity is the strategy which is used by the various organizations to sustain in the market for a long time. (Lindsay, 1990) suggested that customer's perception of the product or brand is the enormous origin of added value which comes from the advertising that builds a strong brand image which further leads to brand equity. (Aaker, 1991) suggested that customer based brand equity can create through the brand awareness, brand association, perceived quality, brand loyalty. (Pappas, 1999) explored star power value and recommended a well-designed celebrity advertising assist in converting the star power into brand equity.

Celebrity advertising widely uses in the modern marketing concept. Celebrity advertising isn’t only the way to promote the brand it helps to increase the sales or brand equity and provide mutual benefits to both brand and celebrity. A lot of studies have done to find out the celebrity endorsement impact on brand or brand image. In the present market scenario, the various brands using celebrities, so it is paramount to discuss the determinants of celebrity advertising and its roles to brand equity.

REVIEW OF LITERATURE:

Cracken (1989) suggested the celebrity endorsement is used to make the high image of the product and which enhances brand recall and product awareness. (Erdogan, 1999) Concluded the academic literature and discusses the various factors affecting Celebrity endorsement effectiveness such as attractiveness, credibility, product match with celebrity, the number of endorsement by celebrities, message and product type, the level of involvement, etc. Celebrity endorsement is the plan of action that can use as an effective competitive weapon in mature and saturated markets. (Market Watch, 2006) suggested that celebrity endorsement assists in building advertising effectiveness and helps to brand recall and brand recognition or influence the consumer purchasing behavior. (Erdogan, Baker and Tagg, 2001) celebrity endorsement builds the whole brand or to make a long impression in the market which persuades customers to take purchase decisions and enhance perceived quality that help companies to charge a premium price.

(Spry, Pappu and Bettina Cornwell, 2011) Explore the relation between celebrity credibility and brand equity. This study revealed that celebrity credibility has an indirect impact on brand equity and brand credibility play a mediate role to maintain this relationship. (Mukherjee, 2012) explored the relation between celebrity and brand image and suggested that celebrity endorsement raises the brand awareness and build the strong brand image which further influence consumer buying behavior. (Srinivas, 2013) celebrity advertising in the brand affects the consumer’s attitude, behavior and purchasing intention. (Agrawal and Kamakura,1995) Discussed economic worth of celebrity and indicated celebrity endorsement has a positive impact on future profits. A study also suggested that celebrity endorsement highly worthwhile investment in advertising. (Chan, Leung Ng and Luk,2013) When celebrity advertising becomes attractive and funny, it helps to brand recall. Using the celebrity endorsement in advertising is a rich source of brand awareness that encourages to purchase.

Cooper (1984) celebrity advertising help to create attention and raise the brand recall further that drive to buy. The celebrity advertising has positive effects on consumer rather than non-celebrities advertising. (Oyeniyi, 2014) Studies the relationship celebrity endorsement and brand positioning, brand equity. Celebrity advertising effects the consumer decision and it help to promote the product and improve the performances. Similarly (Jain, 2011) discussed celebrity endorsement and its impact on sales and suggested that through the celebrities the companies can make the strong brand. Celebrities in the advertising are not only promoting the brand it also increase the brand awareness and motivate to purchase the products which lead to the higher brand equity. (Rana and tuba, 2015) Suggest celebrity endorsement in advertising effect the purchase intention of customers. The study recommends that celebrity advertising is the tools to introduce the new products which attract the customers. (Chen, Chang, Besherat, and Baack, 2013) Various companies use the celebrities to enhance the effectiveness of advertising to fascinate its customers. The endorsed brands have positive effects on consumer behavior. (Sharma, 2016) attractive and mind blowing celebrity advertisements raise the sales and provide the mutual benefit to brand, and celebrities advertising affects the consumer buying behavior or brand value.

OBJECTIVE OF THE STUDY:

In the modern marketing era, the celebrity advertising is influenced by various factors and to make the beautiful and affecting advertising it’s imperative to consider the determinants of the celebrity advertising. The primary objective of the study is reviewing celebrity advertising determinants and exploring the relation between the celebrity advertising and brand equity.

DETERMINANTS OF CELEBRITY ADVERTISING:

By this time the use of celebrity advertising has become more prevalent. The reason for using the celebrities in advertising is attracting the more and more customers, influence the customers purchasing decisions and to win the market share. But celebrity advertising is affected by various factors some of the determinants are Image and fame of the celebrity, Celebrity profession, Celebrity controversy risk, Celebrity advertising attractiveness and so forth is discussed in this study.

Image and fame of the celebrity:

Celebrity advertising mostly affected by the celebrity image and reputation. Celebrities life cycle is fragile so one wrong step can ruin the whole image of the celebrity. The high image of the celebrity is a very powerful tool to enhance the brand image. For example, Sachin Tendulkar is the legend of cricket has got retirement from international cricket, but still, he is famous endorser because of his superior image and fame. Amitabh Bachchan, the star of Indian cinema, is another example of excellent image and glory. Even he has 74 years old, but still endorser of various brands such as Dabur, Gujarat tourism, ICICI, Navratna oil, etc. ( Erdogan, 1999) the mutuality between celebrity image and brand can enhance the brand image.

The cost to obtain the celebrity:

No doubt the use of the celebrity in advertising can help to draw incredibly attention to brand and product that’s why companies use the celebrity in advertising but for that businesses have to pay some cost. The cost of employing the celebrity in advertising is a critical issue because the value of celebrity endorsement will be different tomorrow than today. It may be more expensive to companies which increase the price of product or brand.

Celebrity profession:

Celebrity profession such as an athlete, movie star, super model, politician, etc. which we love most and follow. So celebrities’ business has a significant impact on the lifestyle of ordinary people. For example, Virat Kohli profession is sports( cricket ) the individuals who love the cricket will follow Virat Kohli. So the business of celebrities is vital while choosing the celebrities for advertising.

Celebrity controversy risk:

celebrity endorsement can highly benefit to the brand, but the same time there is high risk to endorse the celebrities in advertising. The celebrity using in advertising may enter into the controversy which can damage the brand image. For example, The Kerala State Lottery Directorate endorsed the Indian cricketer S Sreesanth for ‘Karunya Lottery' but in 2013 his name highlighted for IPL match fixing and it becomes controversial matter and to remain the image of state lottery he removed from the state lottery advertisement. So there is always a high risk of controversy while endorsing celebrities.

Celebrity physical attractiveness and likability:

The peoples have a positive attitude toward attractive celebrity. The celebrity attractiveness and likeability always play a vital role in the secure communication. (Chaiken 1979) The physical attractiveness of the person is more persuasive than an unattractive individual. The person having the physical attractiveness is more efficient or strong communicators.

Celebrity and product match:

celebrity and decent brand match mean the compatibility between celebrity endorsement and brand. The celebrity and brand/product match is an important task for each and every company. If there is a proper match between celebrity and brand, it helps to convey complete information regarding the brand /product attributes to the consumers in a positive and efficient manner. (McCracken, 1989) suggested that match between brand image and celebrity image make a powerful endorsement.

Stage of celebrity life cycle:

the life cycle stage of celebrity is an important consideration to celebrity advertising. Celebrity should be use according to their life stage because it helps to target the right market and convey the compelling message to consumers. For example, for the sports bike, we can use the young and dynamic personality instead of old age.

Celebrity advertising attractiveness:

the efficient and attractive celebrity advertising help to get the extraordinary results from the market. An interesting celebrity advertising is one of the mechanisms which contribute to recall the brand. For example, in the Indian market, some attractive celebrities advertising are Thanda Matlab Coca-Cola to attract the rural and semi-urban customers, Tata Sky: Isko laga dala to life to life zinga lala, Amul: The taste of India, Surf Excel: Daag Acche hain, etc. So content of celebrity advertising is crucial which make more attractive and influencing advertising.

ROLE OF CELEBRITY ADVERTISING TO BRAND EQUITY:

To remain in the global competition or to get the huge market shares each and every organization focusing on brand equity. Various researchers studied and found there are many determinants which help to build or maintain the brand equity one of the determinants is the advertising. Using celebrities in an advertisement can take the extra edge to the companies for getting the customers attention. Celebrity advertising is an approach to building the brand as well as brand image, the brand awareness that are why companies use celebrities in advertising. (Aaker and Joachimsthaler, 2000) represent brand equity can be creating through brand awareness, brand association, brand loyalty and perceived quality. (Yoo, Donthu, and Lee, 2000) Summarized perceived quality, brand loyalty, and brand associations combined with brand awareness indicate higher brand equity. So it’s clearly stated that all these dimensions help to create brand equity because each of the elements is strongly related to brand equity. So the role of celebrity advertising to build the brand equity is discussed.

Brand Image:

Brand image is the perception of consumers in their mind about the brand. The brand image makes the organization differ from the others. For example, when we see the logo of Nike and Adidas we always get the picture of sportswear. Brand image is an important part of brand equity, and celebrity advertising is the rich source of the high brand image. (Mukherjee, 2012) using the celebrity in advertising for brand promotion indicates the positive and significant impact on brand image, which directly impacts on the brand equity.

Brand Awareness:

Brand awareness is the door to reach the brand equity. Awareness means customer have knowledge about the brand. Consumers recognize that brand among the available brands in the market. ( Chan, Leung Ng, and Luk,2013) celebrity advertising is the source of brand awareness which attracts the celebrity’s fans and encourages to trial or builds the confidence to purchase. (Prasad and Reddy 2003) celebrity advertising is the productive sourcing of brand awareness and increases the knowledge about the products. (Okorie,2010) proper celebrity advertising enhances the effectiveness of advertising which has a positive impact on brand loyalty.

Brand Loyalty:

If a consumer consistently purchases a product of a brand this will show his brand loyalty about the product. (Audi, Al Masri and Ghazzawi, 2015) If celebrity endorsed in the proper way, it has a great impact on marketing activities. Celebrity attractiveness is the key sources of brand loyalty.

Perceived Quality:

Perceived quality is the perception of the consumer about the quality of the product. For quality, the consumer has certain parameters on which they judge the quality of a product. (Rajesh Sharma 2015) celebrity endorsement and involvement in the non-luxury brands enhance the perceived quality and brand loyalty which lead to brand equity. (Spry, Pappu and Bettina Cornwell, 2011) celebrity credibility has an indirect impact on brand equity, and brand credibility plays a mediate role in maintaining this relationship.

No doubt, the using celebrity in advertising is an effective strategy to enhance the brand awareness, brand image and perceived quality that are an essential element of brand equity. The above findings endorse that celebrity advertising plays a significant contribution to the brand equity.

CONCLUSIONS:

This article reviewed the concept of celebrity advertising and discussed its role in brand equity building. Celebrity advertising is an efficient mechanism for promotions of a new product, rejuvenate the brand or reposition the brand in dense competitions. So celebrity advertising is very common practices nowadays because it has incredible influence on consumer lifestyle. Using the fame in the advertising is not a wrong thing, but there are various determinants which affect the celebrity advertising. The marketing manager or marketers need to focus on the image and fame of celebrity, life cycle stage, celebrity professions, attractiveness and a decent match up with brand/product so forth. So proper planning about celebrity advertising is required because all these factors hazard the brand equity and purchasing intentions of customers. Celebrity advertising is the rich source of the brand image, brand awareness, loyalty, etc. which lead to high brand equity. Brand equity creation is not an easy task it takes a long time, and the organization has to make a strong connection with its customers and avoid the misleading and fake promises. Furthermore, to maintain or enhance the brand equity advertiser can use the celebrity in advertising. But celebrities and companies have to become more conscious and responsible for what they are showing in advertising have to provide same. Otherwise, it can harm to both brand and celebrity. Because parliamentary panel in 2016 recommended if there will be any misleading and false information in celebrity advertising the ten lakhs fine or two years imprisonment or both in fist time offense and if the second time does same offense then fifty lakhs fine and five years in prison will be implemented.

Using the celebrity in advertising is an effective action of a plan to enhance the brand image, brand awareness, perceived quality. But the manufacturer has to give same which they claim that provide long-term benefit to the organization and help to survive in global competition.

LIMITATION OF THE STUDY AND SUGGESTION FOR FUTURE RESEARCH:

This study is limited in nature and based on some pieces of literature it discusses the determinants of celebrity advertising and its role to brand equity. This study examines only slight determinants of celebrity advertising even there are various factors affect the celebrity adverting and brand equity such as Advertising quality, product quality, Customer taste and preference, technology, culture and other marketing activity. Hence future research can examine the impact of culture, language or modern media on celebrity advertising and its effect on brand equity.

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Received on 29.04.2017 Modified on 13.05.2017

Asian J. Management; 2017; 8(3):925-929.

DOI: 10.5958/2321-5763.2017.00142.1