Celebrity Endorsements and Consumer''s Perception of Product Quality
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Consumers purchasing decisions are based on many factors. The primary factor is the consumer's perception of value. Consumer's determine value by judging the perceived benefit of the product and then weighing that benefit against the price. Producers will be able to sell their products to consumers if their product is perceived to give the consumer the greatest value. In order to set a profit maximizing price and still have the consumers perceive value, the perceived benefit must be as high as possible. This research shows that by using a properly matched and positively viewed celebrity endors...
Consumers purchasing decisions are based on many factors. The primary factor is the consumer's perception of value. Consumer's determine value by judging the perceived benefit of the product and then weighing that benefit against the price. Producers will be able to sell their products to consumers if their product is perceived to give the consumer the greatest value. In order to set a profit maximizing price and still have the consumers perceive value, the perceived benefit must be as high as possible. This research shows that by using a properly matched and positively viewed celebrity endorser in the advertisments for the products, consumers will perceive the product to be of higher quality and they will be willing to pay a higher price.In addition this research shows how to administer an experiment using surveys to test marketing concepts. Sample questionnaires and data analysis techniques are also shown.
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