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Investigating the effect of celebrity endorsement on brand credibility,

corporate credibility, advertising credibility, consumer social status on buy
intention

Conference Paper · September 2021

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 Investigating the effect of celebrity endorsement on brand credibility, corporate
credibility, advertising credibility, consumer social status on buy intention

Vahid Bakhtvar1*

Department of Business Administration, Malayer University

Email: [email protected]

Muhammad Piri2

Department of Business Administration, Malayer University

Email: [email protected]

Citation: Bakhtvar, V. & Piri, M. (2021). "Investigating the effect of celebrity endorsement on brand credibility,
corporate credibility, advertising credibility, consumer social status on buy intention". National Conference on
New Achievements in Management, Economics and Accounting Research, Isfahan, Iran.

Abstract

Consumer behavior and buying people has always been the focus of marketers and managers, and many
factors that can affect this have been examined. Celebrities have been used in advertising because of their
place among the people. The present study examines the impact of celebrities on different parts of the brand,
advertising, corporate, as well as on social status. Collected data from questionnaires were analyzed with
SPSS and Smart PLS software and correlation coefficient and path coefficients were used to confirm or
reject the hypotheses. The results showed that celebrity endorsement has a positive and significant
relationship with brand credibility, advertising credibility, corporate credibility and purchase intention. It
was also shown that brand credibility and advertising credibility have no significant relationship with the
intention to buy, but the credibility of the organization and gaining social status have a positive and
significant relationship with buy intention. Brand credibility has a significant and positive relationship with
social status as well as advertising credibility with the credibility of the corporation.

Keywords: Advertisement, Celebrity, Credibility, Purchase intention, Social class

1 Master student of Business Management, Department of Business Administration, Malayer University, Malayer, Iran
2 Assistant Professor of Economics, Department of Business Administration, Malayer University, Malayer, Iran

1
Introduction

Celebrity and Celebrity endorsement

Celebrities are people who enjoy public appreciation and often have distinctive traits such as
attractiveness and trustworthiness (Silvera & B., 2004). A celebrity is someone whose name
can attract public attention, attract public attention, and create individual values from people
(Kotler et al., 2007). Celebrities are well known individuals who receive excessive public
attention, typically for their involvement in entertainment or sport. Celebrities are prevalent in
all forms of media, from magazines and television to Facebook and Instagram (Brown &
Tiggemann, 2016). The use of celebrities to endorse products and brands in advertising began
as early as the 18th century (Winterich et al., 2018). Celebrity endorsement research discovered
that among the various media vehicles TV is the most influencing media persuading consumers
to buy the products (Kaur & Garg, 2016). Credibility is defined as "the extent to which a
resource has expertise in the subject matter and can be trusted to provide an objective view of
the subject" (Goldsmith et al., 2000). Information from a reputable source (for example, a
celebrity) can influence beliefs, opinions, attitudes, and / or behaviors through a process called
internalization, which occurs when recipients of the source influence attitudes and Their value
structures are affected. In other words, the reputation of celebrities can have a significant impact
on communication effectiveness indicators such as ad recall rate and purchase intention (Wan
Yang, 2018).

Not surprisingly, celebrity endorsement has increased globally in recent years, especially in
relation to the advancement of marketing in the digital environment and the emergence of social
networking sites like Instagram(Nyamakanga et al., 2019). This trend has enhanced sales in
many cosmetics products, such as skincare, beauty, and facial makeup products, which
encourages brand and pricing competition and drives marketers to explore marketing strategies
to gain a competitive advantage. Cosmetic firms are paying celebrities vast sums of money to
endorse their products and gain this competitive advantage(Lord et al., 2019). During a Euro
2020 press conference on Monday, soccer superstar Cristiano Ronaldo irritably moved two
bottles of Coca-Cola, one of the official sponsors of the event, and then picked up a bottle of
water. "Água!" he exclaimed in Portuguese, setting the bottle down in the center of his desk.

2
By the end of the press conference for the European Championship, Coca-Cola's shares had
dropped 1.6%, to $55.22 from $56.17. That lopped $4 billion off the beverage behemoth's
market value, with the shares sinking another 0.6% on Tuesday to $55.08 (LARKIN, 2021).

Celebrity endorsements have also been found to create more positive feelings about the brand
and product (Min et al., 2017). “Fame” suggests a well-deserved form of recognition for hard
work or talent cultivated over time while “celebrity” connotes underserved fleeting visibility in
the public sphere in the absence of any particular aptitude. Consequently, the interchangeable
use of stardom, celebrity, and fame draws attention to the pervasiveness and fluidity of
transmedia circulation of fame—for example, from a face in a film to a name on a poster to a
voiceover in a televised advertisement (Moro, 2020). According to Hussain et al. (2020), the
trustworthiness of a celebrity positively affects advertisement and brand credibility. Advertising
through celebrity endorsements has become a trend and a superficial attractive prescription of
product marketing and building a firm’s reputation. Celebrities have the potential of helping
the advertisements be noticeable from the surrounding clutter (Gupta et al, 2015). Endorsement
of celebrities improves the brand message and draws attention among consumers. This helps
them remember the brands of approved products (Kaur & Garg, 2016).

Advertisement credibility

A.N and Hidayat (2009) found that the attractiveness of celebrity-based TV advertising is likely
to have a positive relationship with consumers, and celebrity-based TV advertising is likely to
have a positive influence towards consumers’ brand choice behavior in Indonesia. Credibility
is not permanent and the problem of improper selection may cause serious damage to the brand
image. If consumers' perceptions of celebrities are negative, they infer that a celebrity only
supports brands for money (Ramendra Pratap Singh & Banerjee, 2017). Toivonen (2016) shows
that the credibility of a peer endorser has credibility, expertise, similarity and attractiveness
dimensions that positively affect consumers' attitudes towards advertising and branding.
Product participation indirectly affects advertising through the accreditation structure. Finally,
the authors show that the consumer experience with an advertised product affects the perception
of approving credibility and the effectiveness of advertising. The credibility of advertising in
different media has different levels and traditional media such as television, radio and print
have more credibility than modern media such as the Internet (Prendergast & Wong, 2009).
Bower and Landreth (2001) found that ordinary-looking celebrities respond more favorably to

3
attractive photos, even for products used to enhance their appearance. They suggested that
ordinary people may be considered more honest and trustworthy, thus leading to more effective
confirmations. The positive image that celebrities create of the intended consumers makes the
message in the ads more convincing, thus making the brand more attractive to them. While
negative information about famous endorsers can have a negative impact on consumer attitudes
and beliefs (Thwaites et al., 2012).

Brand credibility

In the study of the relationship between the factors of approval of celebrities and attitude
towards the brand, it was shown that the attitude of respondents to the famous endorser has a
positive effect on brand attitude (Bergkvist et al., 2016). Brand credibility ensures a long-term
plan to provide products and services to consumers and develops satisfaction, commitment,
loyalty and ongoing commitment (Ghorban & Tahernejad, 2012). Internal and external factors
can help shape or change people's attitudes. Consumer attitudes may be influenced by negative
advertising and brand consistency in advertising. Marketers hope that their target audience will
feel positive about a selected celebrity who will move toward an endorsed brand and promote
the brand (Choi & Rifon, 2007). If the celebrity is welcomed by the consumer, then the
consumer affirms the reputation as a credible source of information, which in turn creates a
high degree of confidence and a positive attitude for the consumer (Surana, 2008). For new or
unfamiliar brands, consumers rely heavily on the popular certifier image to create a memory
link between the certifier and the brand. In other words, celebrity is the main feature on which
consumers base their attitude and evaluation of the brand. When that celebrity gets involved in
a scandal or causes negative publicity, consumers' perceptions of the approved brand / product
quickly change in the same direction. Similarly, such risk is exacerbated when a brand / product
is closely associated with a well-known celebrity because of the strong link between the brand
/ product and celebrities (D. H. Kim & Sung, 2013).

Higher brand reputation has a positive effect on the whole company. While more investment
through all methods and aspects of marketing communication, such as the use of reputable
verifiers, helps to disseminate positive information to consumers and consumers' assessment
that the company has Higher credibility is increasing (Kia, 2016). Brand credibility affects or
increases other expected benefits such as perceived value for money, positive image, cost of
information stored, brand affiliation, business alliances, brand equity, and consumer expected

4
utility, while Which reduces perceived risk, expected costs and change behavior (Pecot,
Merchant et al., 2018). Advertisers should choose a celebrity who is credible to consumers, has
an attractive personality, as well as a respectable image, and whose style is reflected in personal
and public life. Therefore, managers and advertising agencies should not only consider
attractiveness as the only criterion for choosing celebrities, but also should take a close look at
the characteristics of their public and personal lives, which include a balanced lifestyle, a
dignified and honorable image among people. Is. Therefore, endorsement of celebrities is a
multi-step process and marketers must make every effort to consider all of these factors
(Ramendra Pratap Singh & Banerjee, 2017).

Corporate credibility

Wang and Yang (2010) examined the relationship between firm credibility and international
purchasing intent in China's automotive industry. Their results showed that a higher level of
corporate credit could motivate more consumers to buy a company. Companies spend large
sums of money to increase the credibility of advertisements so that these advertisements can
increase the credibility and image of the brand and the company. It can be said that high
credibility of advertisements can increase the credibility of brands and companies and can also
have a positive effect on their overall image (Zimand-Sheiner et al., 2019). Corporate credibility
is also effective in online marketing and advertising because consumers are more likely to buy
products when produced by a reputable corporate because they perceive them to be of higher
quality(S. Kim & Choi, 2012). Signals from credible advertising may be a sign of a company's
commitment to building consumer attitudes toward the brand and the company, and as a
marketing mix can enhance the brand and advertising company's credibility (Baek, Kim, & Yu,
2010). Hussain et al. (2020) show that advertising credibility has a positive effect on brand
credibility, brand image, corporate reputation and corporate image. Also, when the brand and
the corporate have different names, the effects of advertising credibility are less than when the
corporate and the brand have the same names. Different names may be helpful, especially when
brands or companies are in crisis. In such cases, most consumers are not able to link the brand
to the company or vice versa, and there is less chance of transmitting a negative impact from
the brand to the company or vice versa.

Social status

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The definition of status consumption is as follows: “motivational process by which individuals
strive to improve their social standing through the conspicuous consumption of consumer
products that confer and symbolize status both for the individual and surrounding significant
others” (Eastman et al., 1999). Social class has a significant impact on consumer behavior, and
this influence may begin in childhood. Some researchers believe that children or young people
receive behaviors and lifestyle habits from their families based on family social class (Yakup
& Ahmet, 2014). Young people try to adopt the general norms of society in order to be socially
acceptable and lovable. Because celebrities are so influential and express traits that are
important for changing and creating social norms, teens follow celebrities as role models for
the ideal image in society. However, over time, as these adolescents grow and mature, their
personal identities with celebrity's change, creating a space between their identities and
celebrities instead of liking or trusting them. (Kroger et al., 2010).

Consumers have a picture of a social class that a store attracts and understand what it's like to
shop in a store that appeals to their social class (Engel James et al., 1990). Therefore, consumers
interact more with people of their social class so that each class has the same values and patterns
of behavior. Therefore, marketers need to respond specifically to different groups (Gherasim,
2013). Consumers tend to use the symbolic feature of a brand to build their personal identity.
Some shopping options show identity better than others (Berger, 2016). People use private
consumer products more than public consumer products to build their identity. Consumers tend
to buy luxury products and not the necessities to show the images they want. Consumers are
more likely to choose a celebrity-approved product to effectively portray their identity when
the celebrity image matches their existing or preferred personal images. On the other hand,
when there is inconsistency, the popular affirmative may have negative effects. Consumers tend
to avoid choices related to a different group (Berger, 2008; W. Yang & Mattila, 2014). Yang et
al. (2016) found that consumers who use luxury hotels to show social status react negatively
when they realize that they are using discounts to attract less wealthy people. consumers
belonging to a particular social class and income category undoubtedly significantly determine
their buying habits, preferences, and eventual buying behavior and consumption structure.
Which will be more influential and, in the analysis of buyer behavior, more valuable depends
on a specific situation, i.e. type of product or service (Mihić & Čulina, 2006).

Gherasim (2013) shows that social classes have several characteristics :

6
  People of the same social class have similar behaviors, including preferences for
clothing, housing, furniture, entertainment services, mass media, and so on.
 Individuals According to the social class to which they belong, individuals have lower
or higher positions in society.
 A social class to which a person belongs is determined by several variables.
 People can move from one class to another.

Buy intention

Buy intention is the behavior that consumers show after the product evaluation process
(Schiffman & Kanuk, 2000). Brand image helps consumers identify a brand with its key values,
while brand credibility is the trust that consumers have in the product or service identified by a
brand. Therefore, brand image and brand credibility affect consumers' intention to buy. In
addition, the intention to buy is influenced by well-known endorsers (Vien, Yun, & Fai, 2017).
A celebrity endorser has a positive effect on the overall attitude of the consumer and the
intention to buy (Seno & Lukas, 2007). Advertising by celebrities makes consumers think of a
high quality and even somewhat valuable product, even without the thought of reviewing
information, and brands are trusted by consumers. Their trust and appreciation from celebrities
who endorse the product is automatically transferred to the advertised product itself, which is
very useful for companies. In many cases, consumers buy the products of their celebrities or
intend to buy them, even if they do not really need a particular product, and they feel
comfortable and positive when buying authentic and quality products (Poghosyan, 2015).

Lee and Thorson (2008) showed that the average mismatch between the image of a celebrity
and the image of a product creates a higher buying intention than a full match or a severe
mismatch. Celebrities control consumers' desire to buy a product because everyone wants to be
like them and use the same products (Campbell, 2012). Strong attachment to a celebrity
encourages a positive attitude towards advertising and the brand, regardless of the number of
endorsements (Jasmina & Cynthia, 2011). Buy intention is likely to buy a particular product in
the future following their need for the product, product information, product reviews, and
manufacturer (Bradmore, 2004). Based on external information and consumer evaluation of a
product, consumers may intend to buy high or low. Consumers are more likely to buy products
with the intention of buying high, while they are less likely to buy goods with the intention of
buying low (Alford & Biswas, 2002). In previous studies, a number of researchers have shown

7
celebrity trustworthiness has a positive effect on attitudes towards advertising and brand,
purchase intention, brand credibility, corporate credibility, brand equity and corporate image
(Dwivedi & Johnson, 2013; Hussain et al., 2020; S. S. Kim et al., 2014; S. W. Wang &
Scheinbaum, 2018). In this study, taking into account the findings of previous research, the
effect of celebrities in television advertising on the corporate credibility, advertising credibility
and motivation to buy is investigated. Although much literature is available on the impact of
celebrity trust on attitudes toward advertising, brands, and corporates, there is very little
evidence of the relationship between celebrity endorsement on advertising credibility and
corporate credibility.

Literature

Celebrity endorsement

With the rapid growth of the internet and media in the 21st century, celebrity endorsers also
include more individuals who can achieve fame through a wide variety of communication
channels (Giles, 2018). Genius support refers to a situation in which celebrities actually support
a certified product, both on-camera and off-camera. A celebrity involved in product design
seems to really support the approved product. At the same time, because consumers can not
feel, touch, or try products before they buy, they are more likely to experience external signs.
In this case, the well-known verifier acts as a reliable external token. Therefore, consumers will
have more confidence in the product and will use more services (Magnini et al., 2008). Given
the competitive environment in which companies operate, effective communication is definitely
one of the key issues to attract consumer attention, and there are many strategies that allow
advertisers to reach their goal. Using celebrities as spokespersons is becoming an increasingly
common approach in inter-company advertising (Carvalho, 2012).

According to Wigley (2015), Celebrity endorsement is important in and to the fashion market.
Although this complicates fashion promotion as there are no longer the ‘default’ fashion and
lifestyle magazines in which to advertise, social and digital media and the emergence of niche
magazines offer a platform on which brands may offer distinctive messages about themselves
to small but influential groups of fashion consumers. Celebrity endorsement is key to this, not
only via its potentially low cost, but for the range of opportunities, it offers smaller brands to

8
form relationships with celebrities who resonate with specific clusters of consumers. Singh and
Banerjee (2018) also developed a scale to measure endorser’s credibility with three
dimensions—honorable, exquisite personality and dignified image. The first two dimensions,
that is, honorable and exquisite personalities, are similar to the dimensions of trustworthiness
or expertise and attractiveness, respectively. However, the third dimension’s dignified image
included the behavioral aspect of the celebrity especially off-screen. The dignified image
emphasizes more on how celebrities behave in their personal and social lives and their role in
social causes, issues related to the national importance, natural disaster, etc. (Nyakado, 2013)
examined celebrity endorsement and consumer inclination to advertise using celebrities of their
choice. When people are in contact with their favorite celebrities, they may feel more dependent
and compelled to products. The physical attractiveness of these celebrities influences their
attitudes and decisions. Their values and credibility also affect the audience's perception. The
reputation of a reputable certifier plays an important role in influencing consumer perception
and building a strong brand for the company. Individuals tend to transfer the image of a
celebrity to a product, which can either be a positive or negative image. This means that if
individuals have a positive perception about a celebrity, they will transfer the positive image to
the product endorsed, but if they have a negative perception of the celebrity, they will have a
negative image of the product (Aureliano-Silva et al., 2015).

Based on the presented texts, the following hypothesis can be stated:

H1: Celebrity endorsement has a positive and significant relationship with brand credibility.

H2: Celebrity endorsement has a positive and significant relationship with social status.

H3: Celebrity endorsement has a positive and significant relationship with advertising
credibility.

H4: Celebrity endorsement has a positive and significant relationship with corporate credibility.

Advertisement credibility

However, a corporation brand image should be consistent with the company’s corporate social
responsibility; otherwise, consumers would develop a negative attitude towards the corporate
brand (Bodkin et al., 2015). Hamouda (2018) in a study titled " Understanding social media

9
advertising effect on consumers’ responses: an empirical investigation of tourism advertising
on Facebook" shows that there is a significant relationship between information, entertainment,
credibility and value of social media advertising. This positive value will positively affect
consumers' attitudes toward social media advertising and their behavioral responses. The
moderating effect of the company's reputation was also confirmed in this regard.

The effectiveness of celebrity endorsement initially delivers compelling, high-quality ads that
grab people's attention and successfully deliver the message to consumers, so they are
remembered and part of the real advertising product. Which ultimately leads to the purchase of
the product or at least increases the awareness of potential consumers. It does not matter to
companies that want to attract attention and create a positive and attractive business image
(Poghosyan, 2015). MacKenzie et al. (1986) highlighted the distinction between advertising
credibility and advertisement credibility, suggesting that advertisement credibility, which was
defined as “consumers’ perceptions that claim about the brand in the ad are truthful”, was the
possible perceptual response to a commercial stimulus and was a subsystem of advertising
credibility. The determinants of advertisement credibility are: the perceived claim discrepancy
of the ad, advertiser credibility, and advertising credibility (Verma, 2014). The basic premise
of an effective advertisement is that it should get the attention of the consumers for further
cognition. Celebrities can attract consumers due to their success in their respective fields. They
can attract consumers due to their attractive appearance, intellect, lifestyle or any other
significant achievement. Organizations must choose those celebrities who have gained social
acceptance, and their lifestyles are congruent with the brand of the organization. An attractive
celebrity also enhances consumers’ confidence(R. Kumar & Tripathi, 2019).

Hussain et al. (2020) found that advertising credibility is defined on the basis of terms like
accurate, caring, competent, complete, convincing, ethical, honest, impressing, reliable and
warranted; and on the basis that it delivers what it promises about the products/service. Also,
the findings suggest that advertising credibility has positive effects on brand credibility, brand
image, corporate credibility and corporate image. These effects are lower when the brand and
corporation have different names than when the brand and corporation have similar names, as
it can be harder for consumers to link the brand and corporation when they have dissimilar
names. (Martin et al., 2018) studied the effect of advertising credibility on perceived
advertising value and flow experience, which showed that advertising credibility has a positive
effect on perceived advertising value and flow experience.
10
Brand credibility

One of the tools used to increase brand credibility is to get help from reputable celebrities in
advertising. A credible source creates a positive attitude in consumers and attracts their attention
to the brand with which celebrities are associated (Goldsmith et al., 2000). Prasad (2012)
examined the impact of celebrities as brand ambassadors on customer satisfaction and argued
that companies match the values of celebrities with a brand or product. It was also concluded
that consumers consider brands that are endorsed by celebrities or reputable sources to be of
higher quality than other brands. (Vien et al., 2017) Showed that brand credibility is more
important than affirmative credibility in having a positive effect on brand attitude. In addition,
both affirmative and friendly credentials outweighed brand credibility in a positive impact on
purchasing intent. In particular, the importance of verifying celebrities' brand credentials in
order to buy shows more research. (Ramendra Pratap & Neelotpaul, 2018) Show that the
combined impact of celebrity reputation and brand reputation may lead to a strong commitment
to consumers for long-term loyalty and a strong brand connection. This continuity of
relationship expectation is stronger for new users. A strong relationship created with the help
of reputable celebrities may help brands prevent customer brand change and increase brand
loyalty. (Muhammad Amir & Nazish, 2017) show that the approval of celebrities is effective
and the first feature of the approval of celebrities is "credibility", which includes two factors:
expertise and reliability. As research shows, consumers in the field of cosmetics confirm their
intention to buy cosmetics in favor of celebrities who are experts in the field and are reliable.
When these two conditions are met, she becomes a celebrity and has a positive effect on the
intention of female consumers to buy cosmetics. Hussain et al. (2020) in their study as
"Examining the effects of celebrity trust on advertising credibility, brand credibility and
corporate credibility", show that the trust of celebrities has a significant effect on advertising
credibility and brand credibility.

Corporate credibility

Kumar and Tripathi (2019) showed that celebrities with a positive social image are more
believable irrespective of their association with the product performance or features.
Organizations may undertake extensive research to assess the image of the celebrity to rule out
any controversies around the celebrity, which may hamper the brand image. Continuous
monitoring about possible associations they establish with the public and their reputation is

11
desirous of eliminating ill effects on the brands. Consumers may have multiple perceptions of
a single celebrity, and organizations need to find out these perceptions of the celebrity in terms
of believability and credibility dimensions and their impact on the purchase decision-making
process. An environmentally conscious image of a celebrity could contribute to establishing a
positive attitude of consumers towards green products/brands. Kemp and Bui (2011) reported
that they found that more reputable companies could reduce consumer risk and increase their
trust, thus leading to higher buying intentions.

Vafeiadis et al. (2020) provided preliminary empirical evidence that high-credibility

corporations have a competitive advantage versus low-credibility ones when it comes to
influencing consumers’ attitudes and behavioral intentions through sponsored social media ads.
Mediation analyses showed that corporate credibility influenced consumers’ behavioral
intentions through reduced anger and improved attitudes towards the ad. Promotional posts
published by high-credibility corporations were seen as less intrusive or annoying for
consumers. When exposed to this type of content, consumers exhibited reduced negative
emotional responses, which, in turn, enhanced their attitudes towards the ad. Ultimately, this
process heightened their purchase intentions toward the advertised product and increased their
willingness to interact with similar ads in the future. (Hussain et al., (2020) shows that celebrity
trust has a significant effect on advertising credibility and brand credibility. Goutam (2013)
states that companies that invest large sums of money in hiring celebrities suitable for their
brand are more or less effective in these ads or campaigns because consumers are more likely
to be hired by celebrities. It is confirmed that these approved brands are considered to be of the
best quality and superior. Compared to other brands or similar products, these brands are the
best and most fashionable. Ambassadors and celebrity endorsers create new opportunities for a
brand as well as a company.

Social status

Wan Yang (2018) examined A chosen celebrity can have an effective agreement when the
audience perceives him / her as part of their membership group, that is, it reflects their beliefs
and lifestyle. In such cases, group members purchase an approved product or brand to maintain
or strengthen their group identity. Similarly, a well-known approver can act as a wishful
thinking person for target consumers who want to connect with that person in the future. In
such cases, a certified product or brand becomes a symbolic signal and consumers tend to buy

12
that approved product or brand to imitate their celebrities. Berger (2016) argues that when
consumption choices are based on people's tastes and lifestyles, individuals are more likely to
infer their identities through these choices. In the field of tourism and hospitality services, in
addition to luxury, other lifestyles or characteristics related to the trend can also be strongly
related to the personal images of consumers. Frazer and Brown (2002) concluded that these
consumers selectively choose the values and behaviors of celebrities that they admire to
integrate into their lives. Fans of celebrities may seek to imitate or imitate the behavior of
celebrities to increase their personal self-esteem. Mihić and Čulina (2006) revealed that
consumers of different social classes and income groups require separate marketing programs
and strategies in terms of product and service development as well as advertising and
communication. This enables producers to create different product lines meant for different
social classes. The same can be said for the type of product or service. Class differences can
also be useful when determining company positioning strategies. To be positioned in the best
possible way, manufacturers and retailers need to be informed about the class membership of
their target market and its needs, wants, purchasing motives, and requirements in terms of
product features and benefits.

Buy intension

Dom et al. (2016) concluded that popular affirmation influences buying intent. In their studies,
positive feelings about celebrities affect their intention to buy. In a study conducted in Sri
Lanka, Roshan et al. (2017) revealed that the likability to the celebrity used in the perfume
brand highly significant in the perfume buying intention. Vien et al. (2017)show that Endorser
Likeability, Endorser Credibility, Brand Credibility, and Brand Image significantly positively
influenced Brand Attitude and Purchase Intention which were consistent with previous
research. Janjua (2017) revealed that the decision-making process of consumers and whether
an individual’s intention to purchase a product can be influenced by the attitude of the consumer
towards the brand. Results showed that the relationship between the effectiveness of a celebrity
endorsement and the consumer’s evaluation of a brand was determined by the credibility of the
celebrity endorsing the brand. In other words, it was found that loyal consumers are loyal to
specific brands based on the credibility of the celebrity endorsing the brand. The findings of
Gupta et al., (2015) reveal that celebrity endorsements can be a helpful marketing
communication strategy available to the firms as it is anticipated to have a significant positive
effect on buyers' purchase intentions. These positive purchase intentions can be converted to
13
purchase if other elements in the marketing mix are well planned. Kumar and Hunda (2013)
conducted the authors also concluded that the attractiveness of a celebrity endorsing a particular
product robustly influences a customer opinion and this impact of products is more positive on
the customer buying decision.

Spears and Singh (2004) found that well-known endorsers had a more positive attitude toward
advertising and more buying intentions than overwhelming endorsers. Many studies have
shown that the approval of celebrities is likely to have a positive effect on consumer buying
behavior. As a result, most advertisers use publicly acclaimed personalities to appear in
advertisements and endorse their product, as most believe this can increase product awareness
among consumers. Facilitate the audience and influence their intention to buy. Mansour and
Diab (2016) showed that liking celebrities and their attractiveness has the greatest impact on
consumers' attitudes and shopping behaviors. This study also confirms that religiosity is to some
extent mediated by the relationship between celebrity credibility and attitudes toward
advertising and shopping behavior.

Based on the presented texts, the following hypothesis can be stated:

H5: Celebrity endorsement has a positive and significant relationship with buying intention.

H6: Brand credibility has a positive and significant relationship with buying intention.

H7: Advertising credibility has a positive and significant relationship with buying intention.

H8: The corporate credibility has a positive and significant relationship with buying intention.

H9: Social status has a positive and significant relationship with buying intention.

H10: Brand credibility has a positive and significant relationship with social status.

H11: Advertising credibility has a positive and significant relationship with corporate
credibility.

Methodology

The statistical population of this study is the general public and a questionnaire was used to
collect data, which includes two sections of demographic information and questions were
distributed through social networks. Information was collected and analyzed from 500

14
respondents, which is sufficient based on the Cochran table. The questions section includes 6
variables: celebrity endorsement (CE), brand credibility (BC), social status (SS), advertising
credibility (AC), corporate credibility (CC) and buy intention (BI), which in total constitute 24
questions, which are used for the answers of each of the 5 Likert answers, which are used with
According to the reliability test in SPSS, the total Cronbach's alpha value of the questionnaire
is 0.948. Cronbach's alpha, rho_A, composite reliability (CR) and mean extracted variance
(AVE) for each variable of PLS software are shown in Table 1. SPSS software was used to
examine the correlation relationships between variables and Chi-square test. Also, the model
was tested in Smart PLS 3 software, factor loads and effects of each variable were reported.

Table 1
Cronbach's Alpha rho_A Composite Reliability (CR) Average Variance Extracted (AVE)
Advertisement 0.893 0.896 0.926 0.757
Brand 0.912 0.913 0.932 0.696
Celebrity Endorsement 0.772 0.772 0.868 0.687
Corporate 0.884 0.888 0.928 0.812
Purchase 0.899 0.899 0.937 0.832
Status 0.752 0.799 0.833 0.504

Results

The data after collecting the questionnaires showed that the number of female respondents was
359 equal to 71.8% and male 141 equal to 28.2% of the total number. According the table 2, of
the total number of respondents, the number of people with university education is 63.4%
among female and 25.2% among female. Also, this statistic showed that 41.4% of female and
16.8% of male watch TV for less than an hour.

Table 2: Demographic information

Level Gender Classification Frequency Total
Age Female <20 35 7.0%
20-29 245 49.0%
30-39 55 11.0%
40-49 17 3.4%
>=50 7 1.4%
Male <20 14 2.8%
20-29 93 18.6%

15
 30-39 21 4.2%
40-49 12 2.4%
>=50 1 0.2%
Marital Statue Female Married 70 14.0%
Single 289 57.8%
Male Married 18 3.6%
Single 123 24.6%
Education Female Diploma or below 42 8.4%
Associate 17 3.4%
Bachelor 200 40.0%
Master 78 15.6%
Doctoral or above 22 4.4%
Male Diploma or below 15 3.0%
Associate 7 1.4%
Bachelor 58 11.6%
Master 50 10.0%
Doctoral or above 11 2.2%
Job Female GOVSE* or PSE* 43 8.6%
Self employed 18 3.6%
Student 226 45.2%
Unemployed 39 7.8%
Others 33 6.6%
Male GOVSE or PSE 23 4.6%
Self employed 5 1.0%
Student 94 18.8%
Unemployed 8 1.6%
Others 11 2.2%
TV Female <1 207 41.4%
1-3 102 20.4%
3-5 32 6.4%
5-7 16 3.2%
7-10 1 0.2%
>10 1 0.2%
Male <1 84 16.8%
1-3 47 9.4%
3-5 9 1.8%
5-7 1 0.2%
*GOWSE **PSE
= Governmental sector employee, = Private sector employee

To test the independence between celebrity approval and other variables, SPSS 22 software and
Chi-square test were used using the descriptive statistics menu of the cross-tab section. The test
result showed that the hypothesis of independence between these variables was rejected and the
16
value of Sig to be in relation between all variables is equal to 0.000. In the next step, Spearman
correlation coefficient test was used to determine the amount and direction of correlation, the
results of which are shown in Table 3. The results obtained by correlation test showed that there
is a significant and positive relationship between the variable of celebrity approval and other
variables.

Table 3: Correlations

SS2

SS3

SS4

SS5

.616** AC1

.542** AC2

.623** AC3

.556** AC4
.661** BC2

.654** BC3

.709** BC4

.678** BC5

.729** BC6

.582** CC1

.679** CC2

.605** CC3

BI1

BI2

BI3
.506** SS1
.507** BC1

CE1
.265**

.255**

.330**

.374**

.551**

.566**

.553**
CE2
.481**

.584**

.528**

.547**

.580**

.555**

.504**

.281**

.268**

.334**

.475**

.550**

.538**

.616**

.571**

.673**

.712**

.742**

.597**

.557**

.631**
CE3
.524**

.575**

.483**

.535**

.534**

.470**

.599**

.323**

.341**

.400**

.471**

.477**

.475**

.638**

.579**

.596**

.643**

.625**

.659**

.608**

.650**
**. Correlation is significant at the 0.01 level (2-tailed).

In order to examine more precisely the conceptual model extracted from the defined concepts
and hypotheses, Smart PLS software was used, the results of which are shown in Figure 1. By
executing the calculate command and the default settings of the software, the factor loads of
each question of the variables as well as the beta coefficient for each path are shown, and the
value of R2 is displayed inside each dependent variable. All values of factor load for
components are greater than 0.5.

17
 Figure 1: Factor load, Beta coefficient, R2

In order to investigate the effect of each variable on the other variable, the bootstrap test in
Smart PLS was used. The results are shown in Figure 2 and Table 4. The T-value for each path
must be greater than 1.96 to indicate a positive and significant relationship.

Figure 2: Bootstrapping test

18
 Table 4: Path coefficient
T Statistics (|O/STDEV|) P Values
Advertisement -> Corporate 10.105 0.0000
Advertisement -> Buy intention 0.787 0.4310
Brand -> Buy intention 1.936 0.0530
Brand -> Status 2.202 0.0280
Celebrity Endorsement -> Advertisement 35.574 0.0000
Celebrity Endorsement -> Brand 48.44 0.0000
Celebrity Endorsement -> Corporate 10.82 0.0000
Celebrity Endorsement -> Buy intention 4.404 0.0000
Celebrity Endorsement -> Status 9.087 0.0000
Corporate -> Buy intention 2.548 0.0110
Status -> Buy intention 4.688 0.0000

The data obtained from the test showed that the value of P-Value for the advertising path on the
buy intention is equal to 0.4310 and for the brand path on the purchase value is 0.0530.

19
According to the results and tests performed, the validity of the hypotheses has been measured
and shown in Table 5.

Table 5: Results of hypotheses

H1 Supported H7 Not supported
H2 Supported H8 Supported
H3 Supported H9 Supported
H4 Supported H10 Supported
H5 Supported H11 Supported
H6 Not supported

Conclusion

According to the factors affecting consumer behavior, the present study was conducted to
investigate the impact of celebrities as an attractive and influential factor on consumers'
purchase intention. Data were collected using the distribution of standard questionnaires used
in previous studies and the data were analyzed using SPSS and Smart PLS software. The results
showed that the variable of celebrity confirmation as an independent variable of the model has
a positive and significant relationship with other variables and hypotheses 1 to 5 were
confirmed, which is in line with the studies of Aureliano-Silva et al., (2015); Hussain et al.
(2020); Singh & Banerjee (2018). In the next step, the effect of other variables on the dependent
variable of buy intention was investigated. The data showed that although the correlation
coefficient obtained from the statistical test in SPSS software shows a positive and significant
relationship between advertising credibility with the intention to buy and brand credibility with
the intention to buy, but in the path coefficient test using software Smart PLS software showed
that the value of Pi Value for those two paths is more than 0.5 and the hypotheses were rejected.
This result does not correspond to the results of Gupta et al. (2015); Vien et al. (2017), as a
result, Hypotheses 6 and 7 were rejected and Hypotheses 8 and 9 were accepted. In the last step,
the relationship between advertising credibility and brand credibility as well as the relationship
between advertising credibility and corporate credibility were examined, and the obtained
values showed that these relationships are meaningful and positive and In the last step, the
relationship between advertising credibility and brand credibility as well as the relationship
between advertising credibility and organization credibility were examined, which showed that
these relationships are meaningful and positive, and hypotheses 10 and 11 were accepted.
20
Future Research

The results of the research can be used to use in the advertising sector and to create a correct
and better view of the influence of celebrities. According to the research process, it is suggested
for future studies to discover the factors influencing the consumer due to the effect of
celebrities, through in-depth interviews. Also, considering the influence of different age groups,
it is suggested to study the effect of the gender of celebrities and their impact on young people
in various fields such as fashion and cosmetics.

21
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