Factors determining celebrity endorsement and impact on brand loyalty: a Sri Lanka based study on cosmetic advertising

Abstract

Celebrity endorsement is considered as one of the most known marketing tools in the cosmetics industry. It is a highly utilized tool among most of the renowned brands all around the world and considered as a winning strategy to build a unique identity for the brand. The major objective was to evaluate the level of effectiveness which the celebrities have in the cosmetic advertising industry. This also explores the effectiveness of the use of celebrity endorsement in advertisements and its influence on consumers’ behavioral and attitudinal loyalty. Thus, by studying on how celebrity endorsement influence on cosmetic brand loyalty, the companies can build up a suitable strategy to enhance their competitive advantages. Data were collected from 200 respondents using convenience sampling technique. Findings reveal that the regression model was significant in enhancing the brand loyalty. Although the model is significant, attractiveness, activation and multiplicity of celebrity endorsers were not supporting to the contribution of brand loyalty in the cosmetic industry in Sri Lanka. Other two dimensions such as credibility and congruence attributes of celebrity endorsers are supporting to contribute to the brand loyalty of cosmetic industry.