How Much Should You Pay for the Celebrities in Advertisements?
Date Issued
2010
Date
2010
Author(s)
Lee, Yi-Chi
Abstract
Management constantly spend a fortune adopting celebrity endorsement to promote the products or services of their firms, while in most cases, the value of celebrity endorsers cannot be evaluated before actual advertisement implementation. Therefore, how to evaluate the monetary value of celebrity endorsers remains a hot issue to many companies, which never cease to wonder “How Much Should I Pay for the Celebrity Endorsers in Advertisements?”
In this study, conjoint analysis is used to provide a scientific and predictable model to measure the potential marginal contribution of celebrity endorsers for the rational endorsement payment. It also serves as a model of celebrity endorsement value measurement for future research. In practice, management can apply the results of this study to decide the amount they should pay for celebrity endorsement, as well as simulating the changes in market share before advertisement execution.
Research objectives:
1.The influence of different celebrity endorsers have on advertising effect
2.To predict the amount of value creation from celebrity endorsers.
Subjects
celebrity endorser
celebrity premium
print advertising
conjoint analysis
Type
thesis
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