Effect of Celebrity Endorsement on Consumer Based Brand Equity: Toothpaste Industry

Abstract

Purpose - This research aims to examine the impact of celebrity credibility on consumer-based equity of the endorsed brand. The endorser credibility-brand equity relationship was developed using associative learning principles whereas the brand signalling theory is applied to examine the mediating role of brand credibility.

Design/methodology/approach - The conceptual framework was tested using literatures. Data were collected using a mall-intercept approach at a shopping centre from a sample of consumers in a metropolitan Indian city. The data were analysed using statistical models and theories.

Findings - Results suggest celebrity brand endorsement doesn't create an impact on the consumer based brand equity. Considering the factors of age and gender under different circumstances, celebrity endorsement doesn't add up to any of the four dimensions of consumer based brand equity.

Practical implications - In support of past findings, the present study shows that a celebrity endorser is not at all a decision making factor for a consumer to choose a toothpaste product. He/she is more aware of his/her respective needs and wants, and companies cannot boost their product's demand through celebrity endorsement in a matter of enhancing their brand equity.