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The effects of endorser credibility and corporate credibility in automobile ads

Permanent Link: http://ufdc.ufl.edu/UFE0042197/00001

Material Information

Title: The effects of endorser credibility and corporate credibility in automobile ads
Physical Description: 1 online resource (60 p.)
Language: english
Creator: Shin, Juneil
Publisher: University of Florida
Place of Publication: Gainesville, Fla.
Publication Date: 2010

Subjects

Subjects / Keywords: advertising, corporate, credibility, endorser
Journalism and Communications -- Dissertations, Academic -- UF
Genre: Advertising thesis, M.Adv.
bibliography   ( marcgt )
theses   ( marcgt )
government publication (state, provincial, terriorial, dependent)   ( marcgt )
born-digital   ( sobekcm )
Electronic Thesis or Dissertation

Notes

Abstract: This study explored the effectiveness of endorser and corporate credibility in advertising. A sample of 117 students at UF, ages 18 to 28-years-old, participated in the current study. This researcher implemented a 2 x 2 experimental paradigm to manipulate and assess endorser and corporate credibility. Additionally, this researcher explored the dependent variables of attitude toward an advertisement, brand, and purchase intention based on traditional advertising measures. Participants were asked to complete a questionnaire measuring the effectiveness of advertisements. Possible main effects for endorser and corporate credibility and possible interactions of these variables were analyzed using an ANOVA. Results indicate that endorser credibility positively affected attitude toward the ad; however, no significant effects were found for brand attitudes and purchase intention. Conversely, corporate credibility generated more positive attitudes toward brand and purchase intention, but not attitude toward the ad. Moreover, an interaction effect concerning attitude toward the brand was also identified. Implications for marketers and advertisers based on the results of the current study are examined in the discussion section as well as limitations and suggestions for future research.
General Note: In the series University of Florida Digital Collections.
General Note: Includes vita.
Bibliography: Includes bibliographical references.
Source of Description: Description based on online resource; title from PDF title page.
Source of Description: This bibliographic record is available under the Creative Commons CC0 public domain dedication. The University of Florida Libraries, as creator of this bibliographic record, has waived all rights to it worldwide under copyright law, including all related and neighboring rights, to the extent allowed by law.
Statement of Responsibility: by Juneil Shin.
Thesis: Thesis (M.Adv.)--University of Florida, 2010.
Local: Adviser: Weigold, Michael F.

Record Information

Source Institution: UFRGP
Rights Management: Applicable rights reserved.
Classification: lcc - LD1780 2010
System ID: UFE0042197:00001

Permanent Link: http://ufdc.ufl.edu/UFE0042197/00001

Material Information

Title: The effects of endorser credibility and corporate credibility in automobile ads
Physical Description: 1 online resource (60 p.)
Language: english
Creator: Shin, Juneil
Publisher: University of Florida
Place of Publication: Gainesville, Fla.
Publication Date: 2010

Subjects

Subjects / Keywords: advertising, corporate, credibility, endorser
Journalism and Communications -- Dissertations, Academic -- UF
Genre: Advertising thesis, M.Adv.
bibliography   ( marcgt )
theses   ( marcgt )
government publication (state, provincial, terriorial, dependent)   ( marcgt )
born-digital   ( sobekcm )
Electronic Thesis or Dissertation

Notes

Abstract: This study explored the effectiveness of endorser and corporate credibility in advertising. A sample of 117 students at UF, ages 18 to 28-years-old, participated in the current study. This researcher implemented a 2 x 2 experimental paradigm to manipulate and assess endorser and corporate credibility. Additionally, this researcher explored the dependent variables of attitude toward an advertisement, brand, and purchase intention based on traditional advertising measures. Participants were asked to complete a questionnaire measuring the effectiveness of advertisements. Possible main effects for endorser and corporate credibility and possible interactions of these variables were analyzed using an ANOVA. Results indicate that endorser credibility positively affected attitude toward the ad; however, no significant effects were found for brand attitudes and purchase intention. Conversely, corporate credibility generated more positive attitudes toward brand and purchase intention, but not attitude toward the ad. Moreover, an interaction effect concerning attitude toward the brand was also identified. Implications for marketers and advertisers based on the results of the current study are examined in the discussion section as well as limitations and suggestions for future research.
General Note: In the series University of Florida Digital Collections.
General Note: Includes vita.
Bibliography: Includes bibliographical references.
Source of Description: Description based on online resource; title from PDF title page.
Source of Description: This bibliographic record is available under the Creative Commons CC0 public domain dedication. The University of Florida Libraries, as creator of this bibliographic record, has waived all rights to it worldwide under copyright law, including all related and neighboring rights, to the extent allowed by law.
Statement of Responsibility: by Juneil Shin.
Thesis: Thesis (M.Adv.)--University of Florida, 2010.
Local: Adviser: Weigold, Michael F.

Record Information

Source Institution: UFRGP
Rights Management: Applicable rights reserved.
Classification: lcc - LD1780 2010
System ID: UFE0042197:00001


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THE EFFECTS OF ENDORSER CREDIBILITYAND CORPORATE CREDIBILITY
IN AUTOMOBILE ADS


















By

JUNEIL SHIN


THESIS PRESENTED TO THE GRADUATE SCHOOL
OF THE UNIVERSITY OF FLORIDA IN PARTIAL FULFILLMENT
OF THE REQUIREMENTS FOR THE DEGREE OF
MASTER OF ADVERTISING

UNIVERSITY OF FLORIDA

2010































2010 Juneil Shin




























To my family









ACKNOWLEDGMENTS

I would like to thank my chair, Dr. Michael Weigold. Without his support, advice,

and kindness throughout this process, this thesis may not have been completed. In

addition, I wish to thank my supervisory committee, Dr. Debbie Treise and Dr. Robyn

Goodman for their helpful and sincere comments. I would also like to express my

appreciation to the staff and members at the College of Journalism and

Communications for their assistance and to the Korean CommuniGators, who,

because of their affection and support, have allowed my experience at UF to be an

exciting and memorable time. Finally, I offer my deepest thanks to my family for their

endless support and caring.









TABLE OF CONTENTS

page

ACKNOW LEDG M ENTS ............ ......................... ............. ............... 4

L IS T O F T A B LE S .......... .............. ................. .......... ... ................................. 7

LIST O F FIG U R E S .................................................... 8

LIST O F ABBREV IATIO NS ........................ ..................... .. .............................. 9

A BSTRACT ........................ ............................................. 10

CHAPTER

1 INTRODUCTION .............................. ............. .................. 11

Credibility in Advertising........................... ............... 11
C u rre nt S tudy .............................................................................................. 12
Purpose of the Study ............................... .................... 13

2 LITERATU R E R EV IEW S ........................ ....... .......... .. ........................... 14

Celebrity Endorsers ................. ................................. ............ ....... 14
Endorser Effectiveness .................................................. 16
Source A attractiveness M odel....................................................... ..... 16
S source C credibility ........................ ..................... .. .............................. 17
Match-Up Hypothesis .................... ............................... 20
Meaning Transfer Model....................... ........ .................... 22
Endorser Credibility .............................. ............. ................. 24
Corporate Credibility ................................................................... ....... ................. 25
Elaboration Likelihood Model (ELM) ...................... ..................... 26

3 HYPOTHESES ............................... ............. ....................... 29

4 METHODOLOGY ................ .............................. 30

Experim ent Design .. ................................. .... .. .............................. 30
Procedure .............. .. ......... ..... ........................ 30
Stimulus Materials .............................. ............. .................. 30
Independent V ariables ........................ ........ ......... .. .............................. 32
Endorser Credibility ................................. ............... 32
C corporate credibility ........................ ........ .......... .. ............................ 32
Dependent Variables ................................................................. .......... ......... ........ 32
Attitudes toward the Advertisement .................... .................... 32
Attitudes toward the Brand ...................................................... 32
Purchase Intention .................... ............................... 33

5 R E S U L T S .......... .............. ................ .................................................... 3 5

S a m p le P ro file .......... .............. ....... .......... .................. ...................................... 3 5









Reliability Checks ................ ......... ....................... 35
Manipulation Checks.............................................. ........ 35
Hypotheses Test Results...................................... ..... ........... .............. 36
Tests of Hypothesis 1: Endorser Credibility Effects............... ........ ......... 36
Tests of Hypothesis 2: Corporate Credibility Effects ........ ................... ....... 37
Tests of Hypothesis 3: Interaction Effects ................. ..... ............... 37

6 D IS C U S S IO N ................ ......... ......... ........... ............................ 42

Evaluation of Hypotheses Evaluation of Hypotheses................ ..... ............ 42
M managerial Im plications .......... ............... ......... .... ............... .............. 45

7 LIMITATIONS AND FUTURE RESEARCH ................................... ...... ............... 47

APPENDIX

A SAMPLE OF QUESTIONNAIRES ............................................... 49

B STIMULUS MATERIALS: PRINT-ADS .......................... ..............53

LIST OF REFERENCES .......................... ......... ......... 55

B IO G RA P H ICA L S KETC H ............. ................. ................................... ............... 60































6









LIST OF TABLES


Table page

4-1 Study Design ................ ......... ......... ......... 34

5-1 Reliability Analysis for Independent and Dependent Measures....................... 39

5-2 Ad Attitude, Brand Attitude, and Purchase Intent Distribution, Means, and
Standard Deviations for Four Experimental Conditions................................... 39

5-3 Analysis of Variance: Corporate Credibility and Endorser Credibility
Effects on Aad ................. ..... ..... ........... .. ................... 39

5-4 Analysis of Variance: Corporate Credibility and Endorser Credibility
Effects on Ab .................... ................. .................... 40

5-5 Analysis of Variance: Corporate Credibility and Endorser Credibility
Effects on P I ............ ...... ... ......................... .................. 40

5-6 Means and p-values for Each Experimental Cell on Ab.................................... 40









LIST OF FIGURES

Figure page

5-1 Endorser Credibility by Corporate Credibility Interaction for Ab....................... 41









LIST OF ABBREVIATIONS

Aad Attitude toward the Ad

Ab Attitude toward the Brand

PI Purchase Intention

ELM Elaboration Likelihood Model









Abstract of Thesis Presented to the Graduate School
of the University of Florida in Partial Fulfillment of the
Requirements for the Degree of Master of Advertising

THE EFFECTS OF ENDORSER CREDIBILITYAND CORPORATE CREDIBILITY
IN AUTOMOBILE ADS

By

Juneil Shin

August 2010

Chair: Michael F. Weigold
Major: Advertising

This study explored the effectiveness of endorser and corporate credibility in

advertising. A sample of 117 students at UF, ages 18 to 28-years-old, participated in

the current study. This researcher implemented a 2 x 2 experimental paradigm to

manipulate and assess endorser and corporate credibility. Additionally, this

researcher explored the dependent variables of attitude toward an advertisement,

brand, and purchase intention based on traditional advertising measures.

Participants were asked to complete a questionnaire measuring the effectiveness of

advertisements. Possible main effects for endorser and corporate credibility and

possible interactions of these variables were analyzed using an ANOVA. Results

indicate that endorser credibility positively affected attitude toward the ad; however,

no significant effects were found for brand attitudes and purchase intention.

Conversely, corporate credibility generated more positive attitudes toward brand and

purchase intention, but not attitude toward the ad. Moreover, an interaction effect

concerning attitude toward the brand was also identified. Implications for marketers

and advertisers based on the results of the current study are examined in the

discussion section as well as limitations and suggestions for future research.









CHAPTER 1
INTRODUCTION

Today, a popular form of advertising is celebrity endorsement. In fact, celebrity

endorsements accounted for approximately 20% of American advertisements

(Solomon, 2009), indicating suggesting that many American companies recognize

the fact that celebrity endorsements positively impact consumers' attitudes toward

the ad (Aad), brand (Ab), and purchase intention (PI) in addition to other measures

of effectiveness (Goldsmith et al., 2000). Celebrities are perceived as more credible

than ordinary people due to their broad recognition and popularity; thus, advertisers

expect to elicit positive impact using their credible images (Ohanian 1990). In fact,

research suggests that celebrity endorsement may provide considerable financial

profits for advisers using it in their advertising campaigns (Erdogan et al., 2001).

Credibility in Advertising

As a focus in marketing communication research, credibility refers to "the

extent to which the source is perceived as possessing expertise relevant to the

communication topic and can be trusted to give an objective opinion on the subject"

(Belch & Belch, 1994, pp. 189-190). Cooper (1984) suggested that using credible

endorsers improves the credibility of the advertisers and enhances ad recall. Atkin

and Block (1983) showed that celebrities in ads create higher product evaluations

and better ad ratings. Sternthal et al. (1978) suggested the credibility of a source

determines the level of attention received by the consumer as well as the level of

recall by the consumer. In other words, highly credible sources gain more consumer

attention than less credible sources. In addition, highly credible endorsers produce

more positive Aad and Ab than less credible endorsers do (Craig & McCann, 1978).

Consequently, advertisers spend considerable effort and time selecting the celebrity

with the most positive and powerful impact on their advertisement (Ohanian, 1990).









Credibility also extends to the company (Lafferty & Goldsmith, 1999). If a

company has little or no credibility, consumers may be wary of the company and

their products. Keller and Aaker (1998) found a close connection between enhanced

corporate credibility and brand success while Lafferty and Goldsmith's (1999) study

indicated positive effects for Ab and PI when corporate credibility was high. Such

findings, when applied to the world of advertising, raise questions regarding ads that

feature two sources: the endorser or spokesperson and the corporate sponsor. Most

previous studies have failed to account for the relationship between endorser and

corporate credibility, despite the importance of corporate credibility. Thus, the current

study focuses on the match between corporate and endorser credibility.

Current Study

Although endorser and corporate credibility have been researched separately

and in some combination, to date, research has not explored endorser and corporate

credibility using real brands and corporations. In addition, research confirms that

automobiles are a high-involvement product for consumers (Hupfer & Fardner, 1971).

When consumers shop for cars, they search for information actively and carefully

decide before purchasing. Consequently, existing automobile advertisements

typically emphasize the functional aspects of the product. As a result, few automobile

advertisements use celebrities. However, advertisers have recently attempted to

match celebrities and automobiles by launching companies into a highly competitive

auto market. The focus of this study is to shed on the highly competitive auto market

and the practice of launching car companies with relatively low priced products.

Launching these companies into the U.S. market may result in one of two outcomes.

Specifically, they could take higher position in the market than existing companies

take or experience trust issues because of their extremely low pricing structures.









The strategies used in launching a car company and promoting new products

are determining factors in the success of the company. Using ads to promote a new

brand is a powerful promotional tool in establishing brand image and using

celebrities is one strategy that enhances this process. However, few studies have

examined the effectiveness of using celebrities in advertising auto brands. Based on

this information, this researcher suggests that advertisers can develop effective ad

strategies, thus increasing the level of brand awareness using celebrities. Therefore,

empirical studies examining the combined effects of endorser and corporate

credibility may yield important contributions to automobile marketing.

Purpose of the Study

The aim of this study is increase understanding to of credibility sources on

Aad, Ab, and PI by examining endorser and corporate credibility on consumers'

attitudes in automobile ads. The study will focus primarily on two variables: endorser

credibility (high versus low) and corporate credibility (high versus low). This

researcher poses that Aad, Ab, and PI are influenced by corporate credibility-

especially in automobile ads that do not tend to use celebrity endorsements-the

results may help illuminate the relationship between the endorser and the advertiser

in creating more effective advertisements.









CHAPTER 2
LITERATURE REVIEWS

Celebrity Endorsers

Sometimes a celebrity endorser is selected to endorse a new product with the

intention of creating immediate appeal of the product and increasing profits

(Dickenson, 1996). Several early positioning strategies were not successful in

attracting customers' attention; however, research suggests that advertisers can use

celebrity endorsers to launch new positioning strategies and thus transfer the

celebrity's image to the products. In establishing global marketing, cultural barriers

such as, language, space, relationships, and time must be taken in to consideration

(Hofstede, 1984). Celebrity endorsers, especially those with international fame, may

be effective tools for launching products in overseas markets.

Celebrity endorsements enhance brand awareness and gain a greater impact

on advertising outcomes (Atkin & Block, 1983). The use of endorsers over the last

century has ranged from the use of simple cards, on a small scale to the use of

multi-media messages on a larger scale (Agrawl & Kamakura, 1995). The type of

celebrity endorsers has also evolved from primarily athletes to today's celebrities that

include men, women, boys, and girls related to sports, broadcast, radio, music, and

movies (McCracken, 1989). Friedman and Friedman (1979) define a celebrity

endorser as "an individual who is known to the public for his or her achievements in

areas other than that of the product endorsed" (p. 63). Also, McCracken (1989)

defines it as "any individual who enjoys public recognition on behalf of a consumer

good by appearing with it in an advertisement" (p. 310). Thus, celebrity endorsers

promote a product or service using their own recognition and are viewed as credible.

Consequently, researchers expect that ads using their credible images will

elicit a greater impact on advertising outcomes (Ohanian 1990). Taylor et al. (1997)









demonstrated that the most important reason companies use celebrities is to

increase product awareness. In the purchase process, awareness is the first step; if

customers do not know advertisers' products, they will not have the chance to buy

them. A celebrity involved in marketing the brand can increase consumers' product

recall and share their charisma and success with the products (Taylor et al., 1997).

Taylor et al. examined the effects of television commercials with varied levels of

information content (high vs. low) on brand awareness. Results indicated that

participants preferred less information, held positive attitudes toward the celebrities,

and viewed the celebrities as a key visual component or important to the story line.

Celebrity endorsements can also be an effective way to capture customers'

attention. As products become increasingly similar and media clutter increases, it is

hard to differentiate among products with increased competition. Celebrity

endorsements draw attention to the products and create a connection in the minds of

the consumers (Sternthal et al., 1978). In addition, they can have strong effects on

consumers' decision to purchase. Ohanian (1991) found that consumer decisions

could be affected based on the expertise of the endorser, "Consumers are more

likely to purchase a product that has been endorsed by a celebrity, especially if the

product attributes to the celebrity success" (p. 48).

Based on previous research, celebrity endorsers positively affect advertising

effectiveness measures such as Aad, Ab, and PI (Atkin & Block, 1983). Atkin and

Block (1983) examined celebrity endorsers used in alcohol Ads among young

audiences. Their investigation manipulated the celebrity endorsing an alcohol brand,

resulting in three versions of ads featuring either a celebrity or a non-celebrity. In

each case, ads with a celebrity were compared with the same ad using a non-

celebrity. Results found that the ads containing a celebrity endorsement of the









alcohol product were highly effective with teenagers. In addition, all age groups

viewed the celebrity endorser as more reliable and competent. Atkin and Block (1983)

also suggested that a well-known celebrity endorser may be more influential for a

number of reasons. First, consumers often perceive celebrity endorsers as highly

dynamic, likeable, and attractive people. Additionally, their reputation attracts

customers' attention to the products they endorse. Moreover, research had found

that celebrity endorsements produce more sales, thus increasing the profitability of

the company compared to products not endorsed by celebrities (Gabor et al., 1987).

When advertisers pick a celebrity endorser, they need to consider many variables.

Generally, the celebrity's appeal should be matched with the advertiser's message

(Kamins, 1990). If advertisers select the latest celebrity without considering the

target market, conducting in-depth research, and analyzing the celebrity's image, the

ad campaign will fail (McCracken, 1989).

Endorser Effectiveness

Source Attractiveness Model

The Source Attractiveness Model, developed by McGuire (1984), suggests

that an individual's message recognition is influenced by similarity (i.e., receiver and

source), familiarity (i.e., knowledge), and liking. McGuire (1985) demonstrated that

the source attractiveness resulted in the overall recognition of the message. Ohanian

(1990) combined the Source Attractiveness Model and the Source Credibility Model,

thus creating a measurement tool measure and assess celebrity expertise,

trustworthiness, and attractiveness. Ohanian characterized expertise as being

informed, trained, educated, and competent, while trustworthiness is amount, or

degree to which the listener believes the speaker. Finally, she defined attractiveness

using existing research indicating that physical appearance provides significant









information of a first impression. Using these findings, Ohanian created a 15-item

scale to assess identified traits, thereby providing researchers with a more valid and

reliable approach for evaluating each component of celebrity endorsers'

effectiveness and persuasiveness.

Source Credibility

Source credibility is considered a powerful strategy for effective persuasion.

Kelman and Hovland (1953) defined source credibility as the level of perceived

reliability of a message source for accurate and honest information. Source

credibility has two major elements: expertise, which involves providing correct

information (Rhine & Severance, 1970), and source trustworthiness, which is related

to the degree of confidence (Mills & Jellison, 1967). McGuire's (1968) Source

Credibility Model was the first method used to understand the characteristics

necessary to generate effective advertising. Source credibility refers to the sender's

attributes that are positive and that influence the receiver's recognition of a message.

McGuire suggested two additional components of source credibility: expertise and

trustworthiness. These factors contribute to changes in consumer opinion as well as

serve as effective tools of persuasion. According to McGuire, these factors follow a

five-step process-attention, comprehension, yielding, retention, and action-to

bring about a consumer's attitude change. In addition to expertise and

trustworthiness, researchers have proposed other constructs. Different dimensions

of source credibility include message quality, believability, sociability, and potency

(Wynn, 1987). Berlo et al. (1969) suggested the dimensions of safety, qualification,

and dynamism. Yet, despite the various explanations for source credibility, expertise

and trustworthiness remain the most generally used dimensions (McCracken, 1989).









Both components are important in effective persuasion and opinion change. A

highly credible source generates more a positive evaluation and draws greater

acceptance of arguments. As early as 1951, Hovland and Weiss found that highly

credible sources change consumers' opinion to a greater degree than sources with

low credibility; in most cases, a high level of source credibility leads to increased

persuasion (Petty & Wegener, 1998) and attitudes toward the endorser and

advertisement (Braunsberger, 1996).

An experiment conducted by Hovland and Weiss (1951) did not find a

discrepancy between the amount of information absorbed by subjects exposed to

low and high credibility conditions. However, opinions differed between the low and

high credibility groups. High credibility sources experienced more changes of opinion

in the advocated direction, whereas there was no such effect among the low

credibility sources. Subjects had one more experiment four weeks after the first

exposure. Once again, they found no difference in the amount of information

between low and high credibility groups, but they once again found that there were

more opinion changes in the advocated direction among the high credibility sources.

After the four week experiment, participants who viewed low credibility sources

showed a increase in opinion, and participants who viewed high credibility source

showed decreases in opinion. This phenomenon is related to the sleeper effect in

earlier research (Hovland et al., 1949), who discussed its possible connection to

recall of the source, which was especially deficient in the very group that had initially

been in disagreement with the position advocated in the message, and were then

exposed to a source low in credibility and, after a delay, came to agree with the

advocated position. Another interesting aspect is that Hovland, et al. (1949)

examined not only their own determinations of low and high credibility sources, but









also found similar results based on participants' own interpretations of the source

credibility level, whether or not it agreed with the experimenter's labels. In most

cases, highly credible sources have led to increased persuasion in research and to

affect positively attitudes toward both the advertisement and the endorser (Hovland

et al., 1949; Braunsberger, 1996), but the effectiveness of source credibility is further

refined by interactions with other sources, audience characteristics, or the message

itself (Sternthal et al., 1978). Stern (1994) suggested that it is hard to effectively

separate out the various components of source credibility in an ad. He identified

three source elements that affect credibility: the sponsor, who is legally and

financially responsible for the ad (such as a company promoting a product or a

candidate running for office), the author of the ad, such as an advertising agency,

and the person who actually relays the message in the advertisement, such as a

celebrity or other endorser.

Source credibility is based on the receiver's perception (Perloff, 2003). People

make decisions according to their knowledge, memories, and information in various

contexts. Such contextual factors influence persuasive outcomes (Tormala & Petty,

2007). Tormala and Clarkson (2007) demonstrated that perceived source credibility

is easily affected by other sources recently processed. In an environment with

multiple messages, the receivers of the messages can be affected by previously

processed messages. The previously processed perceptions function as a standard

of comparison in making decisions about a new target message. According to

Tormala and Clarkson (2007), if customers have a higher evaluation of expertise,

they will produce more positive responses. Sternthal et al. (1978) also found

persuasiveness as a factor in the connection between source credibility and other

variables related to the source, channel, message, destination, and receiver.









In advertising contexts, source credibility is an important method for changing

attitudes and enhancing advertisement effectiveness. Consequently, research has

focused on source credibility on attitudes and behaviors. According to Warren (1969),

a highly credible source leads to greater attitude change and better evaluations by

receivers. MacKenzie and Lutz (1989) examined attitude formation relative to

advertisements and brands to understand how credibility affects receivers' attitudes.

Their findings suggested that perceived advertiser credibility is based on ad

credibility. Most studies have suggested that a high credibility sources are more

persuasive and has a positive effect on receivers' attitudes and behavioral intentions

(Pornpitakpan, 2004).

Match-Up Hypothesis

Ohanian (1990) is one of several researchers who explored match-up

between product and endorser. Kanungo and Pang (1973) suggested the

characteristic of fittingnesss," which is the perceived congruence between images of

products and endorsers in the advertisement. Peterson and Kerin (1977) also

proposed that an advertisement needs product/endorser congruency in order to

enhance communication. Many researchers have emphasized that more match-up

between the image of the product and endorser results in more effective

communications (Kamins and Gupta, 1994; Kahle & Homer, 1985; Lynch & Schuler,

1994; Peterson & Kerin, 1977). Kamins and Gupta (1994) manipulated product and

endorser congruency in terms of product image. These researchers found a match

up effect in terms of running shoes to celebrities. Specifically, congruency was found

with a celebrity but not with running shoes. Results also revealed high congruency

produced more spokesperson believability and attractiveness and a more favorable

attitudes toward the products. While Kamins and Gupta found significant effects in









terms of match-up, there is still disagreement as to how to measure effectiveness.

Researchers have suggested a number of approaches capable of measuring

effectiveness related to Aad, Ab, and PI (Ohanian, 1991; Goldsmith et al., 2000), but

no single method has been suggested.

Several studies have been conducted considering attractiveness in

advertisements (Friedman & Friedman, 1979; Kamins, 1990; Till & Busier, 2000).

These studies indicate an effect of the match-up between endorser and product

when the advertised product is evaluated. Two main factors affecting the endorser

include identification and internalization by the consumer. When consumers follow

an endorser because they derive satisfaction from feeling similar to the endorser,

that is identification. When consumers follow an endorser because they have

considered the behavior and adopt it as their own, this is internalization (Friedman &

Friedman, 1979). A study was conducted to find out "whether or not the

effectiveness of an endorser type is dependent upon the type of product being

endorsed" (Friedman & Friedman, 1979, p. 64). Friedman and Friedman's study

suggested that consumers would evaluate celebrity endorsers more positively when

celebrity endorsers were related to products that were high in social and mental risk.

In addition, Friedman suggested that expert endorsers were evaluated more

positively when related to products that were high in financial and physical risk.

Finally, typical consumer endorsers were evaluated more positively when related to

low-risk products (Friedman & Friedman, 1979).

The match-up hypothesis by discussed in Kahle and Homer (1985) and

Kamins (1990) is another measure of source credibility effectiveness. This match-up

proposes a logical agreement between endorser and product is important to get

more positive results for the advertisement. Several studies have evaluated









attractiveness of endorsers and they have generally demonstrated that consumers'

evaluation of the product in the ad is determined by the endorser/product match-up.

Peterson and Kerin (1977) proposed that model/product congruency is important in

advertisements for improving viewers' perceptions of the ad. In other words, image

of the product and image of the mode should match, thus the model/product

congruency in advertising is needed. In addition, Kahle and Homer (1985) suggested

using the Product Match-Up Hypothesis to examine the effectiveness of endorsers.

This hypothesis emphasizes the importance of matching celebrity endorsers and

products. High congruency indicates that the model's advertising role is

communicative and expresses the desired message (Peterson & Kerin, 1977).

Although the match-up hypothesis is connected with source attractiveness, it

has recently been studied in the area of source expertise (Till & Busier, 2000). Till

and Busier (2000) examined attractiveness on attitudes and PI to a perfume that is

related to attractiveness and a pen that is unrelated to attractiveness. Although they

expected a match-up effect, attractiveness led to more positive Ab and PI for both

products. Hence, match-up effect did not occur. However, they conducted another

study using candy bars and energy bars on two different sources that are same in

attractiveness, photos of an actor and an athlete. This second study resulted in a

match-up effect. The result shows that an athlete and an energy bar were a much

better fit, and more positively affected brand attitudes than the incongruent

conditions. Therefore, their study found a match-up hypothesis can be connected

through expertise but not attractiveness.

Meaning Transfer Model

Meaning transfer is an important concept supporting the claim that

personality influences brand image. It is based on the idea that consumers consider









not only the practical importance of products but also their meanings when they buy

them (McCracken, 1989). McCracken concluded that the meaning of a brand is

comprised of various factors, such as ethnicity, gender, nationality and social status.

Levy (1959) claimed that "Modern goods are recognized as essentially psychological

things which are symbolic of personal attributes and goals and of social patterns and

strivings" (p. 119). McCracken (1989) proposed the cultural meanings related to the

individual may also be an important factor for celebrity endorsers. The process of the

endorsement can be explained by the Meaning Transfer Model. According to

McCracken, celebrity endorsement relies on a three-stage process, which a celebrity

endorser shares communication related to a specific product: 1) the consumer has

an image of the celebrity; 2) the advertiser selects an endorser who represents the

intended image of the product; and 3) the image of the product transfers to the

consumer (Langmeyer & Walker, 1991).

Originally, meaning transfer explained the links among celebrity endorsers,

consumers and brands. Compared to non-celebrity endorsement, celebrity

endorsement is considered a more powerful tool for influencing consumers'

perceptions of products (McCracken, 1989). However, it is impossible that all cultural

meanings related to a celebrity endorser are transferred to a product. Thus, in using

the meaning transfer model, once should take the match-up hypothesis into

consideration. In other words, the endorser/product match-up would be more

effective as a way to come up with new marketing strategies. Usually, more

association between endorser and brand results in a more effective the marketing

strategy (Kamins & Gupta, 1994). Fowles (1996) argued that this concept can be

related to all types of celebrity endorsement, explaining that "endorsements succeed

only when consumers feel that meanings can shift along unimpeded paths from









performer to product either because of an inherent affinity between the two or

because of the ingenuity of the agency's creative team, or both" (p. 131).

The Source Credibility Model, Source Attractiveness Model, Product Match-

Up Hypothesis, and Meaning Transfer Model are all significantly related to one

another. They are usually used to explore advertisers' rather than consumers'

insights. Therefore, advertisers need to consider multiple additional factors that

affect consumers to increase successful advertising effectiveness.

Endorser Credibility

A significant method for increasing advertising effectiveness is endorser

credibility. Endorser credibility leads consumers to have a positive reaction to both

the ad and brand (Atkin & Block, 1983; Goldberg & Hartwick, 1990). Lafferty and

Goldsmith (1999) found the credibility of the endorser positively influenced

consumers' PI. Cooper (1984) suggested that using credible endorsers improves the

credibility of the advertisers as well as enhances ad recall.

Ohanian (1990) suggested three elements of endorser credibility: expertise,

trustworthiness, and attractiveness. Expertise relates to an individual's perceived

knowledge, abilities, and/or experience that enable him or her to provide accurate

and credible information (Hovland et al., 1953).Trustworthiness is the consumer's

belief that the endorser is able to provide information sincerely and in an unbiased

manner. Finally, attractiveness refers to the endorser's physical attractiveness to the

customer (Ohanian, 1991). Based on these definitions, consumers perceive

knowledgeable, sincere, and physically attractive endorsers as credible and report

positive attitude and behavioral feedback (Ohanian, 1991).

Given celebrities' popularity and consumers' high level of awareness of them,

celebrity endorsers are expected to affect customers positively and create better









advertising outcomes through the use of their well-established images (Freiden,

1984). Customers perceive celebrities to be trustworthy, likable, and expert (Wheatly

& Brooker, 1994). As a result, advertisements using celebrity endorsers are more

persuasive than the non-use of celebrities (McGuire, 1969).

Corporate Credibility

Corporate credibility is a source credibility of interest to researchers. Fombrun

(1996) notes that corporate credibility is a function of corporate reputation used to

determine consumers' beliefs in the company's expertise and trustworthiness.

Customers generally have established perceptions about corporate credibility

because they already know many companies. Thus, companies about which

consumers have already established perceptions are considered "representative of

an accumulation of both information and experience acquired over time" while "the

process by which attitude toward the advertiser affects Aad is likely to be more or

less automatic" (MacKenzie & Lutz, 1989, p. 53). Keller (1998) defined corporate

credibility as "the extent to which consumers believe that a firm can design and

deliver products and services that satisfy customer needs and wants" (p. 426).

According to Keller, fundamental factors of corporate credibility such as expertise

and trustworthiness affect the broader sense of the corporate reputation. As a result,

corporate credibility can lead to positive attitudes by the consumer toward the

corporation and Aad (MacKenzie et al., 1986).

Companies spend significant amounts of money to generate corporate

advertising that enhances their image (Fombrun, 1996). Such expenditures are not

surprising given that trustworthiness and expertise of a company are important

because they influence newly launched products, successful brand extensions,

loyalty for products, and sales (Fombrun, 1996). Keller and Aaker (1998) identified a









close connection between corporate credibility and brand success. Corporate

credibility is an important component that positively influences Aad (Newell, 1993),

Ab (Goldsmith et al., 2000; Newell, 1993), and PI (Goldsmith et al., 2000; Lafferty &

Goldsmith, 1999). Goldsmith et al. (2000) examined endorser and corporate

credibility on Aad, Ab, and PI. These researchers surveyed 152 participants who

were asked to view a fictitious Ad for Mobil Oil Company. Participants were asked

about the corporate credibility, Aad, Ab, and PI. Findings indicate that endorser

credibility positively affected Ab and PI. Results indicated that high corporate

credibility may increase the validity of company claims in advertising and achieve

greater effectiveness of advertising efforts (Goldberg & Hartwick, 1990).

Elaboration Likelihood Model (ELM)

The elaboration likelihood model (ELM) explains how consumers' attitudes are

affected by persuasion (Petty & Cacioppo, 1986). ELM also defines the motivation to

process central messages influencing the central and peripheral processing.

According to Petty and Cacioppo (1986), ELM provides "a fairly general framework

for organizing and understanding the basic processes underlying the effectiveness of

persuasive communications" (p.125). ELM is based on the idea that receivers are

influenced by the degree to which they engage in the elaboration of the persuasive

issue. Such elaboration refers to "the extent to which a person thinks about issue-

relevant arguments contained in a message" (Petty & Cacioppo, 1986, p. 128),

which are characterized based on a continuum of cognitive activities. As suggested

by Petty and Cacioppo (1986) "complete elaboration of every argument and

complete integration of these elaborations into a person's attitude schema" (p. 129).

ELM considers two routes of elaboration; specifically, the central and the

peripheral routes. The ELM's central route is the main route for changing attitudes as









it emphasizes cognitive thoughts in processing messages (Petty & Cacioppo, 1986).

When a message is processed by the central route, a high level of elaboration,

cognitive responses, and persuasion "likely resulted from the information presented

in support of an advocacy" are generated (Petty & Cacioppo, 1986, p. 125). The high

level of elaboration involves "paying careful attention to the relevant information in

the message, relating that information to previous knowledge stored in memory, and

generating new implications of the information" (Petty et al., 2005, p. 84). This

process causes the receiver to elaborate upon the message and significantly

impacts the message receiver's attitude change.

Meanwhile, the peripheral route is where elaboration is relatively low. People

using the peripheral route are referred to as cognitive misers (Taylor, 1981). Along

this route, processing messages depends on peripheral cues such as message

length and source attractiveness. This occurs in a low-involvement situation; people

process the basic level message that does not require much thought about the

arguments. Therefore, the peripheral route is characterized by "an absence of

effortful message elaboration" while attitudes generated by this route are "less

accessible, persistent, resistant and predictive of behavior" when compared to those

attitudes of the central route (Petty & Cacioppo, 1986, p. 131). Thus, although both

the central and peripheral routes are persuasive, the central route generates more

enduring outcomes (Petty & Cacioppo, 1986).

Concerning the advertising context, ELM provides a theoretical model for

studying the combined effects of endorser and corporate credibility. Corporate

credibility is more often perceived as a central processing cue (MacKenzie & Lutz,

1989). When an individual's motivation to process an ad's brand-related factors

centrally rises, central processing increases as does its impact on brand attitudes.









Furthermore, if peripheral processing declines, the effect of brand attitudes on PI

increases (Petty & Cacioppo, 1986). In this model, the endorser is the peripheral

processing cue. Consequently, the endorser's impact declines as central processing

increases.









CHAPTER 3
HYPOTHESES

Many studies have examined celebrities as endorsers based on the idea that

they tend to be perceived as better able to elicit consumers' positive responses

(Kamins, 1989). Furthermore, celebrities are seen as credible endorsers; as such,

they are expected to be able to create more favorable Aad (Lafferty & Goldsmith,

1999), Ab (Lafferty & Goldsmith, 1999), and PI (Ohanian, 1991). Therefore, it is

expected that:

H1: The level of endorser credibility will have positive effects on (a)

Aad, (b)Ab, and (c) PI.

Corporate credibility has also been shown to positively influence Aad and Ab

(Newell, 1993). Lafferty and Goldsmith (1999) found that corporate credibility had a

very strong effect on Aad, Ab, and PI. Thus, based on prior research on corporate

credibility, it is hypothesized that:

H2: The level of corporate credibility will have positive effects on (a)

Aad, (b)Ab, and (c) PI.

Finally, based on ELM, corporate credibility is perceived to be more

central in processing than endorser credibility (MacKenzie & Lutz, 1989). If

customers use corporate credibility more for cognitive processing, it may in

turn be more significant than endorser credibility when consumers form Aad,

Ab and PI. Therefore, it is expected that:

H3: Endorser credibility will impact (a) Aad, (b) Ab, and (c) PI only

when corporate credibility is high; when corporate credibility is low,

endorser credibility will have no effect on these dependent variables.









CHAPTER 4
METHODOLOGY

Experiment Design

This research designed an experiment methodology to test the relationships

among the variables. The study utilized a 2 (endorser credibility: high vs. low) x 2

(corporate credibility: high vs. low) factorial mixed model design. A total of 117

students from the University of Florida participated in this study for extra credit. Each

participant was randomly assigned to one of the four experimental conditions. The

number of each cell is described in Table 4-1.

Procedure

This researcher obtained approval from the Institutional Review Board (IRB)

at the University of Florida prior to data collection. University of Florida Students

were recruited to complete a survey and surveys were administered in classrooms

from April to May 2010.

Four different booklets were prepared and participants were randomly

assigned to one of four experimental conditions combining endorser and corporate

credibility by distributing four different versions of the material packet. Participants

were provided with information about the study; specifically that this study concerned

an automobile advertisement. In a classroom, participants were exposed to a print

advertisement for three minutes and asked to complete a short questionnaire.

Participants were also asked general questions about demographic questions such

as age, gender, race, and education.

Stimulus Materials

Stimulus Materials was created using Photoshop CS4 and the ad copy,

"Prepare to master the road ahead," which was cited in an actual European auto

brand. All the information of the ad was identical, aside from the identity of the









endorser and the credibility of the corporation. A full-page print advertisement for an

automobile corporation was developed for the experiment. Four versions (Ad 1: High

endorser credibility and High corporate credibility; Ad 2: Low endorser credibility and

High corporate credibility; Ad 3: High endorser credibility and Low corporate

credibility; Ad 4: Low endorser credibility and Low corporate credibility) of the

advertisement were prepared, combining endorser credibility (high versus low) and

corporate credibility (high versus low). George Clooney (high credibility) and David

Hasselhoff (low credibility) were used as endorsers of the stimulus materials.

Clooney was chosen as a high credibility endorser as he was anointed as The

World's Most Powerful Celebrities 100 of Forbes in 2007 and 2009. According to

Forbes, the more powerful the celebrity, the more influence they have on consumers'

perceptions on the credibility and the company's marketing strategy. Meanwhile,

Hasselhoff was chosen as a low credibility endorser considering his reputation; he

was picked as 2009's worst celebrity by Dailynews. Hasselhoff was a symbol of

health in 90s; however, his fame did not last long because of a severe alcohol

addiction and divorce. In addition, Mercedes-Benz was chosen as the high credibility

corporation and KIA was selected as the low credibility corporation. According to J.D.

Power, resale value and vehicle quality are the most important factors for consumers

when purchasing a car brand. Mercedes-Benz scores highest in retaining vehicle

owners among automotive brands when making a new vehicle purchase; indeed, the

corporation improved its retention rate by 7 percentage points to 66% in 2008.

Meanwhile, KIA ranked 37% in 2009-below the average 48%. In addition, vehicle

quality can be estimated in terms of performance, design, predicted reliability, fuel

economy, safety, and environment. Mercedes was rated 9.1 out of 10, and KIA was

rated 7.3 according to the U.S. News Scores in 2009.









Independent Variables


Endorser Credibility

Participants completed a 15-item, seven-point bipolar adjective scale

developed by Ohanian (1990). This scale measured perceived attractiveness,

trustworthiness, and expertise of celebrity endorsers. Five items,

"Attractive/Unattractive"; "Classy/Not Classy"; "Handsome/Ugly"; "Elegant/Plain";

"Sexy/Not Sexy" measured attractiveness; five items "Dependable/Undependable";

"Honest/Dishonest"; "Reliable/Unreliable"; "Sincere/Insincere";

"Trustworthy/Untrustworthy" measured trustworthiness. Items were rated accordingly,

"expert/Not an expert"; "Experienced/Inexperienced";

"Knowledgeable/Unknowledgeable"; "Qualified/Unqualified"; "Skilled/Unskilled"

measured expertise.

Corporate credibility

Corporate credibility was measured using a scale developed by Newell

(1993), which included an eight-item, seven-point Likert scale with four scales that

measured trustworthiness and four scales that measured expertise.

Dependent Variables

Attitudes toward the Advertisement

Participants were asked to indicate their Aad on three, seven-point bipolar

adjective scales, anchored by "good/bad," "favorable/unfavorable," and

"pleasant/unpleasant" (Lafferty & Goldsmith, 1999; Mackenzie & Lutz, 1989).

Attitudes toward the Brand

Subjects were asked to indicate their Ab on three, seven-point bipolar

adjective scales, anchored by "satisfactory/unsatisfactory," "favorable/unfavorable,"

and "good/bad" (Burnkrant & Unnava, 1995; Lafferty & Goldsmith, 1999).









Purchase Intention

Participants answered the question of their likelihood of buying the brand of

automobile depicted in the advertisement. Three, seven-point bipolar adjective

scales included the following responses "very likely/very unlikely,"

"probable/improbable," and "possible/impossible" (Lafferty & Goldsmith, 1999; Yi,

1990).











Table 4-1. Study Design
Corporate Credibility
High Low

Endorser High n=30 n=29
Credibility Low n=29 n=29









CHAPTER 5
RESULTS

Sample Profile

Of the 117 valid samples, 31.6% (n=37) were male and 68.4% (n=80) were

female. Participants' age ranged from 18 to 28 years old (M=21.17), but the majority

(91.20%) were between 18 and 22 years old. The most common races in decreasing

order of appearance included Caucasian (66.7%), Black (12.8%), Hispanic (10.3%),

Asian (6.8%), and others (3.4%). Participants (86.3%) in an undergraduate program

made up the majority of the sample. Participants in a graduate program included

10.3% of the final sample. In addition, 89.7% owned a car and 18.1% respondents

bought their cars by themselves.

Reliability Checks

As shown in Table 5-1, the results demonstrated that the scales used in the

study were reliable according to Cronbach's alpha levels. Cronbach's alpha for

corporate credibility was .97 and for endorser credibility was .98; both had high

internal consistency as well. Reliability measures suggested high internal

consistency for the dependent variables: Aad (Cronbach's alpha= .97), Ab

(Cronbach's alpha= .98), and PI (Cronbach's alpha= .93).

Manipulation Checks

Using one-way ANOVA, the results of manipulation checks for endorser

credibility were successful (F (1, 113) = 144.97, p < .001). The results indicated that

the manipulated high credibility endorser was more credible than the manipulated

low credibility endorser. The manipulations for corporate credibility were also

successful (F (1, 113) = 127.73, p < .001). Additionally, the comparisons

demonstrated that participants perceived the stimulus materials as intended. The

endorser credibility manipulation significantly affected the perceived endorser









credibility both in the high corporate credibility level (F (1, 57) = 116.97, p < .001),

and in the low credibility level (F (1, 56) = 51.65, p < .001). Also, the corporate

credibility manipulation resulted in the expected effect perceived corporate credibility

both in the high endorser credibility level (F (1, 57) = 67.43, p < .001) and in the low

credibility level (F (1, 56) = 55.04, p < .001).

Hypotheses Test Results

Tests of Hypothesis 1: Endorser Credibility Effects

The first set of three hypotheses examined the effect of endorser credibility on

Aad, Ab, and PI. The hypotheses are as follows:

H1: The level of endorser credibility will have positive effects on (a) Aad, (b)

Ab, and (c) PI.

To test this first set of hypotheses, ANOVAs were used to examine endorser

credibility effects (high endorser credibility versus low endorser credibility) on Aad,

Ab, and PI. For Hypothesis 1A, the results indicated that high endorser credibility

yielded a more positive effect on Aad (M = 5.32) compared to low endorser credibility

(M= 3.19; F (1, 113) = 80.49, p < .001). Thus, Hypothesis 1A is supported. However,

for Hypothesis 1B, the result was not statistically significant. Participants did not

indicate that the high endorser credibility had a more positive Ab (M = 4.72) than the

low endorser credibility (M = 4.51; F (1, 113) = .85, p > .1). Thus, Hypothesis 1B is

not supported. Finally, in regard to Hypothesis 1 C, the results showed no significant

effects on endorser credibility for PI. The high credibility endorsers demonstrated

more positive Aad (M = 3.82) compared to low credibility endorsers (M = 3.32; F (1,

113) = 3.07, p > .05). Thus, Hypothesis 1C is not statistically supported (see Tables

5-3, 5-4, and 5-5).









Tests of Hypothesis 2: Corporate Credibility Effects

The second set of three hypotheses examined the effect of corporate

credibility on Aad, Ab, and PI. The hypotheses are as follows:

H2: The level of corporate credibility will have positive effects on (a) Aad, (b)

Ab, and (c) PI.

To test the second set of hypotheses, ANOVAs examined endorser credibility effects

(high corporate credibility versus low corporate credibility) on Aad, Ab, and PI. The

results were not statistically significant for Hypothesis 2A, although they were for 2B

and 2C. The results failed to show more positive Aad for the high credibility company

(M = 4.40) compared to the low credibility company (M = 4.10; F (1, 113) = 1.52, p

> .1), failing to support Hypothesis 2A. However, participants reported positive Ab in

high corporate credibility situations (M = 5.70) compared to low corporate credibility

situations (M = 3.53; F (1, 113) = 85.75, p < .001). Likewise, the high credibility

company had a more positive Ab (M = 4.16) than the low credibility company (M =

2.98; F (1, 113) = 17.01, p < .001). Thus, Hypotheses2B and 2C were statically

supported (see Tables 5-3, 5-4, and 5-5).

Tests of Hypothesis 3: Interaction Effects

The third set of three hypotheses examined how the interaction between

corporate and endorser credibility influences Aad, Ab, and PI. The hypotheses are as

follows:

H3: Endorser credibility will impact (a) Aad, (b) Ab, and (c) PI only when

corporate credibility is high; when corporate credibility is low, endorser

credibility will have no effect on these dependent variables.

To test this set of hypotheses, ANOVAs examined the interaction between corporate

and endorser credibility influences on Aad, Ab, and PI. The results were not









statistically significant (F (1, 113) = .64, p > .1) for Hypothesis 3A, failing to show that

the interaction between corporate and endorser credibility influences Aad. Thus,

Hypothesis 3A is not supported. However, significant interaction (F (1, 113) = 8.89, p

< .01) occurred regarding the effects of corporate and endorser credibility on Ab.

Thus, Hypothesis 3B is supported. Finally, the results for Hypothesis 3C did not

show significant interaction (F (1, 113) = 1.39, p > .1) concerning endorser and

corporate credibility on PI. Thus, Hypothesis 3C is not statically supported (see

Tables 5-3, 5-4, and 5-5). Additionally, results of one-way ANOVAs showed

significantly more positive Ab with the high credibility endorser (M = 6.16) compared

to the low credibility endorser (M = 3.29; p < .05) in the high corporate credibility

level (see Tables 5-6 and Figure 5-1).









Table 5-1. Reliability Analysis for Independent and Dependent Measures
Measures Number of items Cronbach's a
Independent Corporate Credibility 3 0.972
Measures Endorser Credibility 15 0.976
Aad 3 0.966
Dependent Ab 3 0.979
Measures
PI 3 0.926






Table 5-2. Ad Attitude, Brand Attitude, and Purchase Intent Distribution, Means, and
Standard Deviations for Four Experimental Conditions
Aad Ab PI
n mean s.d. mean s.d. mean s.d.
High CC / High EC 30 5.57 1.18 6.16 0.96 4.24 1.70
High CC / Low EC 29 3.23 1.37 5.24 1.62 4.08 1.68

Low CC / High EC 29 5.08 1.08 3.29 1.32 3.40 1.40

Low CC / Low EC 29 3.13 1.50 3.77 1.08 2.56 1.36
aAverage of 3 seven-point scale items

CC = Corporate Credibility
EC = Endorser Credibility





Table 5-3. Analysis of Variance: Corporate Credibility and Endorser Credibility Effects
on Aad
Factor SS df MS F p
CC 2.54 1 2.54 1.52 0.220
EC 134.60 1 134.60 8.49 0.000
CC x EC 1.07 1 1.07 0.64 0.425
Error 188.961 113 1.67
CC = Corporate Credibility
EC = Endorser Credibility









Table 5-4. Analysis of Variance: Corporate
on Ab


Credibility and Endorser Credibility Effects


Factor SS df MS F p
CC 137.67 1 137.67 85.74 0.000
EC 1.36 1 1.36 0.85 0.395
CC x EC 14.27 1 14.27 8.89 0.004
Error 181.435 113 1.66
CC = Corporate Credibility
EC = Endorser Credibility






Table 5-5. Analysis of Variance: Corporate Credibility and Endorser Credibility Effects
on PI
Factor SS df MS F p
CC 40.70 1 40.70 17.00 0.000
EC 7.35 1 7.35 3.07 0.082
CC x EC 3.33 1 3.33 1.39 0.241
Error 270.45 113 2.39
CC = Corporate Credibility
EC = Endorser Credibility


Table 5-6. Means and p-values for Each Experimental Cell on Ab
High Corporate Credibility Low Corporate Credibility
mean p mean p
High Endorser Credibility 6.16 0.011 3.29 0.132
Low Endorser Credibility 5.24 3.77
aAverage of 3 seven-point scale items




















- 'High Corporate Credibility
- Low Corporate Credibility


High EC


EC = Endorser Credibility


Figure 5-1. Endorser Credibility by Corporate Credibility Interaction for Ab






























41


Low EC









CHAPTER 6
DISCUSSION

The present study sought to explore how corporate and endorser credibility

influences consumers' Aad, Ab, and PI. The study further examined the interactive

effects of corporate and endorser credibility, particularly the theories of the ELM and

source credibility. By using an experimental research design and utilizing ANOVA

data analysis, this study identified theorized constructs related to corporate and

endorser credibility effects on Aad, Ab, and PI. Based on the results of the current

investigation, this researcher notes that corporate and endorser credibility do play a

role in advertising effectiveness. However, some of the results turned out to be

different than expected. The following paragraphs discuss the findings related to the

hypotheses.

Evaluation of Hypotheses Evaluation of Hypotheses

Hypothesis 1 stated that high endorser credibility influenced Aad, Ab, and PI

more than low endorser credibility; however, results indicate that endorser credibility

led to positive Aad, but not Ab or PI. These finding on the influence of endorser

credibility on consumers' positive reactions to an ad is consistent with prior studies

(Atkin & Block, 1983; Goldberg & Hartwick, 1990; Lafferty & Goldsmith, 1999).

Specifically, participants' reported more positive responses toward the ad when the

ad was from a high credibility endorser.

However, results do not support endorser credibility effects on Ab and PI.

These findings may be due to the type of endorser. The current study used celebrity

endorsers, which may have affected the Ab since celebrity endorsers might influence

Ab less than expert endorsers do (McGuire, 1969). Additionally, three components

(attractiveness, expertise, and trustworthiness) can be used to evaluate endorser

credibility; however, only attractiveness significantly affected endorser credibility

42









among the three endorser credibility components. Using celebrity endorsers may be

enough to attract the consumers' attention; however, they this endorser type may be

less effective for Ab than expert endorsers. Furthermore, endorser credibility may not

have significantly affected PI since respondents might buy the product because of its

particular attribute rather than based on the endorser. The ELM suggests that, in the

high involvement condition, a product's specific attributes or brand might be more

important in the decision to purchase a product.

Because automobiles are a high involvement product, the endorser's

influence on the decision to purchase may have less influence on PI compared to

product attributes, brand attributes, or corporate credibility. Moreover, due to the

automobile products' high involvement, the endorser functioned as a peripheral cue

in this study; therefore, these finding support the notion that corporate credibility is a

more influential factor with regard to PI.

Hypothesis 2 proposed that high corporate credibility positively influenced

viewers' Aad, Ab, and PI compared to low corporate credibility. Findings found that

corporate credibility affected viewers'Ab and PI, but not Aad. Participants appeared

to be influenced by the company's credibility when formulating their Ab and PI, thus

supporting research reported by Newell (1993) and Fombrun (1996). According to

Laroche et al. (1996), corporate credibility may increase consumers' confidence of a

product resulting in a positive Ab and PI. The current study found that corporate

credibility was significant in the positive direction compared to endorser in

determining brand attitude. These findings are is consistent with Lafferty and

Goldsmith (1999), which found that the majority of consumers stated that their brand

attitudes were influenced by corporate credibility. However, the current study did find

that corporate credibility yielded no significant effect on participants' Aad. Lafferty et









al. (2002) suggested that endorser credibility is more influential on Aad; whereas,

corporate credibility was related to Ab. In addition, since automobiles are a high

involvement product and customers place focus on special attributes or specific

brands, corporate credibility may have less influence on Aad compared to Ab and PI.

Thus, in evaluating an ad, corporate credibility may not have a significant effect on

Aad.

Hypothesis 3, which proposed that the interaction between corporate and

endorser credibility was partially supported in the current study. Based on the results,

the interaction between corporate and endorser credibility leads to positive Ab, but

not Aad or PI. Using the ELM of persuasion, interactions between corporate and

endorser credibility were predicted. Based on ELM, corporate credibility was

perceived as more central in processing than endorser credibility. The findings that

customers use corporate credibility for cognitive processing and corporate credibility

has a significant effect on consumers for Ab were consistent with a prior study

(MacKenzie & Lutz, 1989).

However, the findings did not support that that interaction with corporate and

endorser credibility led to positive Aad and PI. Such a result may stem from an

unmeasured variable (e.g., involvement). For example, more women participated in

the current study than men. Perhaps men are more involved with automobiles than

women while women pay more attention to endorsers (Petty et al., 1983). Moreover,

the company's credibility may be of less significance for women when evaluating ads

for specific products.

In addition, participants in the current study were young and in terms of

celebrity endorsers, only male celebrities were used. These facts may have affected

the Aad. In other words, the limited subject pool and use of male-oriented celebrities









may have created confounded variable. Additionally, central and peripheral cues

may have functioned in reverse. For, example, using the celebrity endorser in a

central function may have increased their influence in the decision making process.

Finally, results for PI should be carefully considered since participants could not

afford to purchase the products themselves, which may have skewed the results as

well; only 17.48% had bought a car on their own.

Managerial Implications

From the standpoint of business practice, the main contribution of the present

study is that it provides empirical evidence that interactions between endorser and

corporate credibility can strongly influence brand attitude. In addition, the findings

indicate both types of credibility affect Aad, Ab, and PI. Although this understanding

of credibility does not solve all the substantial problems, it could provide a clue to

approach the problems. Automobiles represent a high involvement product. Thus,

corporate credibility is a major factor affecting customers' Aad, Ab, and PI, and

customers need to make a total decision in consideration of price, performance,

design and other various attributes. Therefore, the effectiveness of endorsers is

relatively lower than for other products, but recently, the attempt to match endorsers'

images to automobiles has been used to evoke some emotional attraction. The

results of this study showed consumers' Aad depends on endorser credibility,

whereas their Ab and PI significantly depend on corporate credibility. In order to

achieve the marketing goals effectively, advertisers need to not only enhance their

credibility, but also select high credibility endorsers, because companies can

enhance their image and credibility by advertising (Fombrun, 1996). Newell (1993)

suggested that credible sources positively influence Aad and Aad affects Ab and PI.

In addition, aylor et al. (1997) noted that an important reason for using celebrities is









to increase product awareness. If customers do not know advertisers' products, they

will not have the chance to buy them. However, advertisers need to be cautious in

selecting endorsers. Because advertisers spend significant amounts of money to use

endorsers in their advertisements, they need to consider endorser credibility that can

affect corporate credibility to maximize the effectiveness of advertising.

By understanding the roles of credible sources in the advertising context,

marketers and advertisers are able to better comprehend the impact of multiple

credibility sources on consumers. As a result, they are able to increase marketing

effectiveness and communication strategies in considering the importance of

credible sources. Thus, advertisers need to take steps to protect and improve their

corporate credibility, as such awareness may affect consumers' responses.









CHAPTER 7
LIMITATIONS AND FUTURE RESEARCH

There are various limitations to this study. One limitation is that the sample

comprised more females (68%) than males (32%). As previously discussed, men

may be more involved in automobile-related merchandise than women, who may pay

more attention to the endorser (Petty et al., 1983). Including more males in a future

sample is advisable, as they tend to be more involved with the purchase of

automobiles.

Another limitation seen in this study is the composition of the sample. The

subjects were almost exclusively advertising students, which is only a small part of

the population. Consequently, ad avoidance could not be measured as advertising

majors will pay more attention to the ad than a typical consumer. Ad avoidance

should be higher in a more diversified sample. Moreover, this study utilized a

convenience sample data from a limited geographic region; as a result, the results

cannot be generalized to a more diverse population. Future research should use

probability samples of consumers to enhance external validity. A more diverse and

larger sample with larger experimental cells may provide more significant results,

leading to clearer opinions and perceptions among participants. This would also

provide the opportunity for future research to examine the demographics of

automobile customers in general. Gender and ethnicity should be considered as well

as how the fit of the sponsor might moderate the negative effects of advertising.

Additionally, the study took place in a classroom setting, which may have

resulted in task involvement than would occur when examining ads and evaluating

brands in a natural setting. In the current study, participants viewed a single ad in the

context of a copy test, yet this is not a normal approach as most people view ads

while reading a magazine or newspaper. Thus, reactions may differ in more









naturalistic settings. However, it is important to note that this limitation does not

compromise the study's internal validity as this factor likely did not differentially affect

the treatment groups. Examining whether the effects occur in more typical conditions

would enhance the generalizability of these results

Also, the findings of the current study are limited in regard to celebrities and

corporations. Future research should enhance the findings' generalizations by using

additional endorsers and corporations. Incorporating the use of experts or company

executives could further expand the capacity of the findings. As expert endorsers

may be involved in Ab and PI more than celebrity endorsers, advisers might pick

diverse endorsers for ads; however, this needs to be examined in more detail. Finally,

to expand the generalization of this study, broadcast ads need to be considered in

future studies.

Many of the hypotheses proposed in this study were not supported by the

data. This may have been because this study did not consider levels of product

involvement. Future researchers should assess the relationship between endorser

and corporate credibility in considering levels of product involvement as well as the

effect of between one brand attribute and multiple brands on customers' attitudes.

Consumers' product involvement may serve as a moderator variable, showing

relations between consumers and advertisements. As such, involvement of products

needs to be added and measured into the study. In addition, given that brands often

have more than one attribute, managers should know how corporate and endorser

credibility affects marketing of products with multiple attributes in ads.









APPENDIX A
SAMPLE OF QUESTIONNAIRES

Please review the following ad. Take as much time as you need.


(See advertisements in Appendix B)


Considering your reaction to the ad you just saw, for each pair of words below,
please select the corresponding number that accurately describes your evaluation of
the ad.


Bad 1 2 3 4 5 6 7 Good
Unfavorable 1 2 3 4 5 6 7 Favorable
Unpleasant 1 2 3 4 5 6 7 Pleasant


Please identify your feelings about Mercedes-Benz.
please circle the number that reflects your opinion.


Using the following adjectives,


Negative 1 2 3 4 5 6 7 Positive
Unfavorable 1 2 3 4 5 6 7 Favorable
Bad 1 2 3 4 5 6 7 Good


How likely would you purchase Mercedes-Benz?
please circle the number that reflects your opinion.


Using the following adjectives,


Very unlikely 1 2 3 4 5 6 7 Very likely
Improbable 1 2 3 4 5 6 7 Probable
Impossible 1 2 3 4 5 6 7 Possible









How would you rate George Clooney in the ad you just saw? Using the following
adjectives, please circle the number that reflects your opinion.


Unattractive
Not classy

Ugly
Plain
Not sexy
Undependable
Dishonest
Unreliable
Insincere
Untrustworthy
Not an expert
Inexperienced
Unknowledgeable
Unqualified
Unskilled


Attractive
Classy
Handsome
Elegant
Sexy
Dependable
Honest
Reliable
Sincere
Trustworthy
Expert
Experienced
Knowledgeable
Qualified
Skilled









Please indicate how strongly you agree or disagree with following statements about
Mercedes-Benz.


Mercedes-Benz has a great amount of
experience.
Mercedes-Benz is skilled in what they
do.
Mercedes-Benz has great expertise.
Mercedes-Benz does not have much
experience.
I trust Mercedes-Benz.

Mercedes-Benz makes truthful claims.

Mercedes-Benz is honest.
I do not believe what Mercedes-Benz
tells me.


Strongly
Disagree


Strongly
Agree


+


1 2 3 4 5 6 7

1 2 3 4 5 6 7

1 2 3 4 5 6 7

1 2 3 4 5 6 7


2 3 4 5 6 7


The following are questions about car ownership.
1. Do you have a car?
Yes O
No O


2. If you have a car, did you pay for it by yourself?
Yes O
No O


3. If you have a car, what brand is it?









The following are demographic questions that will only be used for statistical
analyses.
1. What is your age?


2. What is your gender?
Male O
Female O


3. What is your ethnic background? (circle one)
a) Caucasian
b) African American/ Black
c) Hispanic/ Latino
d) Asian
e) American Indian/Alaskan Native
f) Hawaiian Native/Pacific Islander
g) Other (please specify)


4. What is your education level? (circle one)
a) High school graduate
b) Working on undergraduate degree
c) Working on graduate degree
d) Completed graduate







APPENDIX B
STIMULUS MATERIALS: PRINT-ADS


zea^































































54









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BIOGRAPHICAL SKETCH

Juneil Shin was born on July, 1983 in Seoul, South Korea. He grew up mostly

in Seoul, graduating from Kyungsung High School in 2002. He earned his Bachelor

of Hotel Management from Kyunghee University. He also earned his Master of

Advertising from University of Florida in 2010.





PAGE 1

1 THE EFFECTS OF ENDORSER CREDIBILITY AND CORPORATE CREDIBILITY IN AUTOMOBIL E ADS B y JUNEIL SHIN A THESIS PRESENTED TO THE GRADUATE SCHOOL OF THE UNIVERSITY OF FLORIDA IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF ADVERTISING UNIVERSITY OF FLORIDA 2010

PAGE 2

2 2010 Juneil Shin

PAGE 3

3 To my family

PAGE 4

4 ACKNOWLEDGMENTS I would like to thank my chair, Dr. Michael Weigold Without his support, advice, and kindness throughout this process this thesis may not have been completed. In addition, I wish to thank my supervisory committee, Dr. Debbie Treise and Dr. Robyn Goodman for their helpful and si ncere comments I would also like to express my appreciation to the staff and members at the College of Journalism and Communications for their assistance and to the K orean CommuniG ators, who, because of their affection and support, have allowed my experie nce at UF to be an exciting and memorable time. Finally, I offer my deepest thanks to my family for their endless support and caring.

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5 TABLE OF CONTENTS page ACKNOWLEDGMENTS ................................ ................................ ................................ .. 4 LIST OF TABLES ................................ ................................ ................................ ............ 7 LIST OF FIGURES ................................ ................................ ................................ .......... 8 LIST OF ABBREVIATIONS ................................ ................................ ............................. 9 ABSTRACT ................................ ................................ ................................ ................... 10 CHAPTER 1 I NTRODUCTION ................................ ................................ ................................ .... 11 Credibility in Advertising ................................ ................................ .......................... 11 Current Study ................................ ................................ ................................ .......... 12 Purpose of the Study ................................ ................................ .............................. 13 2 L ITERATURE REVIEWS ................................ ................................ ........................ 14 Celebrity Endorsers ................................ ................................ ................................ 14 Endorser Effectiveness ................................ ................................ ........................... 16 Sour ce Attractiveness Model ................................ ................................ ............ 16 Source Credibility ................................ ................................ ............................. 17 Match Up Hypothesis ................................ ................................ ....................... 20 Meaning Tran sfer Model ................................ ................................ ................... 22 Endorser Credibility ................................ ................................ ................................ 24 Corporate Credibility ................................ ................................ ............................... 25 Elaboratio n Likelihood Model (ELM) ................................ ................................ ....... 26 3 H YPOTHESES ................................ ................................ ................................ ....... 29 4 M ETHODOLOGY ................................ ................................ ................................ ... 30 Experiment Design ................................ ................................ ................................ 30 Procedure ................................ ................................ ................................ ............... 30 Stimulus Materials ................................ ................................ ................................ .. 30 Independent Variables ................................ ................................ ............................ 32 Endorser Credibility ................................ ................................ .......................... 32 Corporate credibility ................................ ................................ ......................... 32 Dependent Variables ................................ ................................ .............................. 32 Attitudes toward the Advertisement ................................ ................................ .. 32 Attitudes toward the Brand ................................ ................................ ............... 32 Purcha se Intention ................................ ................................ ........................... 33 5 R ESULTS ................................ ................................ ................................ ............... 35 Sample Profile ................................ ................................ ................................ ........ 35

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6 Reliability Checks ................................ ................................ ................................ ... 35 Manipulation Checks ................................ ................................ ............................... 35 Hypotheses T est Results ................................ ................................ ........................ 36 Tests of Hypothesis 1: Endorser Credibility Effects ................................ .......... 36 Tests of Hypothesis 2: Corporate Credibility Effects ................................ ........ 37 Tests of Hypothesis 3: Interaction Effects ................................ ........................ 37 6 D ISCUSSION ................................ ................................ ................................ ......... 42 Evaluation of Hypotheses Evaluation of Hypotheses ................................ .............. 42 Managerial Implications ................................ ................................ .......................... 45 7 L IMITATIONS AND FUTURE RESEARCH ................................ ............................ 47 APPENDIX A S AMPLE OF QUESTIONNAIRES ................................ ................................ .......... 49 B S TIMULUS MATERIALS: PRINT ADS ................................ ................................ ... 53 LIST OF REFERENCES ................................ ................................ ............................... 55 BIOGRAPHICAL S KETCH ................................ ................................ ............................ 60

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7 LIST OF TABLES Table page 4 1 Study Design ................................ ................................ ................................ ...... 34 5 1 Reliability Analysis for Independent and Dependent Measures .......................... 39 5 2 Ad Attitude, Brand Attitude, and Purchase Intent Distribution, Means, and Standard Deviations for Four Experimental Conditions ................................ ...... 39 5 3 Analysis of Variance: Corporate Credibility and Endorser Credibility Effects on Aad ................................ ................................ ................................ .... 39 5 4 Analysis of Variance: Corporate Credibility and Endorser Credibility Effects on Ab ................................ ................................ ................................ ...... 40 5 5 Analysis of Variance: Corporate Credibility and Endorser Credibility Effects on PI ................................ ................................ ................................ ....... 40 5 6 Means and p values for Each Experimental Cell on Ab ................................ ...... 40

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8 LIST OF FIGURES Figure page 5 1 Endorser Credibility by Corporate Credibility Interaction for Ab .......................... 41

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9 LIST OF ABBREVIATION S Aad Attitude toward the Ad Ab Attitude toward the Brand PI Purchase Intention ELM Elaboration Likelihood Model

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10 Abstract of Thesis Presented to the Graduate School of the University of Florida in Partial Fulfillment of the Requirements for the Degree of Master of Advertising THE EFFECTS OF ENDORSER CREDIBILITY AND CORPORATE CREDIBILITY IN AUTOMOBIL E ADS By Juneil Shin August 2010 Chair: Michael F. Weigold Major: Advertising This study explored the effectiveness of endorser and corporate credibilit y in advertising. A sample of 117 students at UF, ages 18 to 28 years old, participated in the current study. This researcher implemented a 2 x 2 experimental paradigm to manipulate and assess endor ser and corporate credibility. Additionally, this researcher explored the dependent variables of attitude toward an advertisement, brand, and purchase intention based on traditional advertising measures. Participants were asked to complete a questionnaire measuring the e ffectiveness of advertisements. Possible main effects for endorser an d corporate credibility and possible interactions of these variables were analyzed using an ANOVA. Results indicate that endorser credibility positively affected attitude toward the ad; however, no significant effects were found for brand attitudes and pur chase intention. Conversely, corporate credibility generated more positive attitudes toward brand and purchase intention, but not attitude toward the ad. Moreover, an interaction effect concerning attitude toward the brand was also identified. Implications for marketers and advertisers based on the results of the current study are examined in the discussion section as well as limitations and suggestions for future research.

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11 CHAPTER 1 INTRODUCTION Today, a popular form of advertising is celebrity endorsement. In fact, celebrity endorsements accounted for approximately 20% of American advertisements (Solomon, 2009), indicating suggesting that many American companies recognize the fact that celebrity the ad (Aad), brand (Ab), and purchase intention (PI) in addition to other measures of effectiveness ( Goldsmith et al., 2000 ). Celebrities are perceived as more credible than ordinary people due to their broad recognition and popularity; thus, advertisers expect to elicit positive impact using their credible images (Ohanian 1990). In fact, research suggests that celebrity endorsement may provide considerable financial profits for advisers using it i n their advertising campaigns (Erdogan et al., 2001). Credibility in Advertising extent to which the source is perceived as possessing expertise relevant to the communication topic (Belch & Belch, 1994, pp. 189 190). Cooper (1984) suggested that using credible endorsers improves the credibility of the advertisers and enhances ad recall. Atkin and Block (1983) showed that celebrities in ads create higher product evaluations and better ad ratings. Sternthal et al. (1978) suggested the credibility of a source determines the level of attention received by the consumer as well as the level of recall by the consumer. In other word s, highly credible sources gain more consumer attention than less credible sources. In addition, h ighly credible endorsers produce more positive Aad and Ab than less credible endorsers do (Craig & McCann, 1978). Consequently, advertisers spend considerable effort and time selecting the celebrity with the most positive and powerful impact on their adve rtisement (Ohanian, 1990).

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12 Credibility also extends to the company (Lafferty & Goldsmith, 1999). If a company has little or no credibility, consumers may be wary of the company an d their products. Keller and Aaker (1998) found a close connection between e nhanced indicated positive effects for Ab and PI when corporate credibility was high. Such findings, when applied to the world of advertising, raise questions regarding ads that feature two sources: the endorser or spokesperson and the corporate sponsor. Most previous studies have failed to account for the relationship between endorser and corporate credibility, despite the importance of corporate credibility. Thus, the curr ent study focuses on the match between corporate and endorser credibility. Current Study Although endorser and corporate credibility have been researched separately and in some combination, to date, research has not explored endorser and corporate credibil ity using real brands and corporations. In addition, research confirms that automobiles are a high involvement product for consumers (Hupfer & Fardner, 1971). When consumers shop for cars, they search for information actively and carefully decide before pu rchasing. Consequently, existing automobile advertisements typically emphasize the functional aspects of the product. As a result, few automobile advertisements use celebrities. However, advertisers have recently attempted to match celebrities and automobiles by launching companies into a highly competitive auto market. The focus of this study is to shed on the highly competitive auto market a nd the practice of launching car companies with relatively low priced products. La unching these companies into the U.S. market may result in one of two outcomes. Specifically, they could take higher position in the market than existing companies take or experience trust issues because of their extremely low pricing structures.

PAGE 13

13 The stra tegies used in launching a car company and promoting new products are determining factors in the success of the company. Using ads to promote a new brand is a powerful promotional tool in establishing brand image and using celebrities is one strategy that enhances this process. However, few studies have examined the effectiveness of using celebrities in advertising auto brands. Based on this information, this researcher suggests that advertisers can develop effective ad strategies, thus increasing the level of brand awareness using celebrities. Therefore, empirical studies examining the combined effects of endorser and corporate credibility may yield important contributions to automobile marketing. Purpose of the Study The aim of this study is increase unde rstanding to of credibility sources on Aad, Ab, and PI attitudes in automobile ads. The study will focus primarily on two variables: endorser credibility (high versus low) and corporate credibility (high versus low). This researcher poses that Aad, Ab, and PI are influenced by corporate credibility especially in automobile ads that do not tend to use celebrity endorsements the results may help illuminate the relationship between the endorser and the advertiser in creating more effective advertisement s.

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14 CHAPTER 2 LITERATURE REVIEWS Celebrity Endorsers Sometimes a celebrity endorser is selected to endorse a new product with the intention of creating immediate appeal of the product and increas ing profits (Dickenson, 1996). Several early positioning strategies were not successful in celebrity endorsers to launch new positioning strategies and thus transfer the hing global marketing, cultural barriers such as, language, space, relationships, and time must be taken in to consideration (Hofstede, 1984). Celebrity endorsers, especially those with international fame, may be effective tools for launching products in o verseas markets. Celebrity endorsements enhance brand awareness and gain a greater impact on advertising outcomes (Atkin & Block, 1983). The use of endorsers over the last century has ranged from the use of simple cards, on a small scale to the use of mult i media messages on a larger scale (Agrawl & Kamakura, 1995). The type of include men, women, boys, and girls related to sports, broadcast, radio, music, and movies (M cCracken, 1989). Friedman and Friedman (1979) define a celebrity al who enjoys public recognition on behalf of a consumer promote a product or service using their own recognition and are viewed as credible. Consequently, researchers expe ct that ads using their credible images will elicit a greater impact on advertising outcomes (Ohanian 1990). Taylor et al. (1997)

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15 demonstrated that the most important reason companies use celebrities is to increase product awareness. In the purchase proces s, awareness is the first step; if recall and share their charisma and success with the prod ucts ( Taylor et al., 1997). Taylor et al. examined the effects of television commercials with varied levels of information content (hi gh vs. low) on brand awareness. Results indicated that participants preferred less information, held positive attitudes to ward the celebrities, and viewed the celebrities as a key visual component or important to the story line. attention. As products become increasingly similar and media clutter increa ses, it is hard to differentiate among produ cts with increased competition. Celebrity endorsements draw attention to the products and create a connection in the minds of the consumers (Sternthal et al., 1978). In addition, they can have strong effects on likely to purchase a product that has been endorsed by a celebrity, especially if the product attrib Based on previous research, celebrity endorsers positively affect advertising effectiveness measures such as Aad, Ab, and PI (Atkin & Block, 1983). Atkin and Block (1983) examined celebrity endorsers used in alcohol Ads among young audiences. Their investigation manipulated the celebrity endorsing an alcohol brand, resulting in three versions of ads featuring either a celebrity or a non celebrity. In each case, ads with a celebrity were compared with the same ad using a non celebrity. Results found that the ads containing a celebrity endorsement of the

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16 alcohol product were highly effective with teenagers. In addition, all age groups viewed the celebrity endorser as more reliable and competent. Atkin and Block (1983) al so suggested that a well known celebrity endorser may be more influential for a number of reasons. First, consumers often perceive celebrity endorsers as highly dynamic, likeable, and attractive people. Additionally, their reputation attracts tention to the products they endorse. Moreover, research had found that celebrity endorsements produce more sales, thus increasing the profitability of the company compared to products not endorsed by celebrities (Gabor et al., 1987). When advertisers pick a celebrity endorser, they need to consider many variables. (Kamins, 1990). If advertisers select the latest celebrity without considering the target market, conducting in d ad campaign will fail (McCracken, 1989). Endorser Effectiveness Source Attractiveness Model The Source Attractiveness Model, developed by McGuire (1984), suggests source), familiarity (i.e., knowledge), and liking. McGuire (1985) demonstrated that the source attractiveness resulted in the overall recognition of the message. Ohanian (1990) combined the Source Attractiveness Model and the Source Credibility Model, thus creating a measurement tool measure and assess celebrity expertise, trustworthiness, and attra ctiveness. Ohanian characterized expertise as being informed, trained, educated, and competent, while trustworthiness is amount, or degree to which the listener believes the speaker. Finally, she defined attractiveness using existing research indicating th at physical appearance provides significant

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17 information of a first impression. Using these findings, Ohanian created a 15 item scale to assess identified traits, thereby providing researchers with a more valid and reliable approach for evaluating each comp effectiveness and persuasiveness. Source Credibility Source credibility is considered a powerful strategy for effective persuasion. Kelman and Hovland (1953) defined source credibility as the level of perceived reliability of a message source for accurate and honest information. Source credibility has two major elements: expertise, which involves providing correct information (Rhine & Severance, 1970), and source trustworthiness, which is related to the degree of confidence (Mi Credibility Model was the first method used to understand the characteristics necessary to generate effective advertising. attributes that are positive and that influe nce the recei McGuire suggested two additional components of source credibility: expertise and trustworthiness. These factors contribute to changes in consumer opinion as well as serve as effective tools of persuasion. Accord ing to McGuire, these factors follow a five step process attention, comprehension, yielding, retention, and action to trustworthiness, researchers have proposed other constructs. Differ ent dimensions of source credibility include message quality, believability, sociability, and potency (Wynn, 1987). Berlo et al. (1969) suggested the dimensions of safety, qualification, and dynamism. Yet, despite the various explanations for source credib ility, expertise and trustworthiness remain the most generally used dimensions (McCracken, 1989).

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18 Both components are important in effective persuasion and opinion change. A highly credible source generates more a positive evaluation and draws greater acc eptance of arguments. As early as 1951, Hovland and Weiss found that highly low credibility; in most cases, a high level of source credibility leads to increased persuasion (P etty & Wegener, 1998) and attitudes toward the endorser and advertisement (Braunsberger, 1996). An experiment conducted by Hovland and Weiss (1951) did not find a discrepancy between the amount of information absorbed by subjects exposed to low and high c redibility conditions. However, opinions differed between the low and high credibility groups. High credibility sources experienced more changes of opinion in the advocated direction, whereas there was no such effect among the low credibility sources. Subj ects had one more experiment four weeks after the first exposure. Once again, they found no difference in the amount of information between low and high credibility groups, but they once again found that there were more opinion changes in the advocated dir ection among the high credibility sources. After the four week experiment, participants who viewed low credibility sources showed a increase in opinion, and participants who viewed high credibility source showed decreases in opinion. This phenomenon is rel ated to the sleeper effect in earlier research (Hovland et al., 1949), who discussed its possible connection to recall of the source, which was especially deficient in the very group that had initially been in disagreement with the position advocated in the message, and were then exposed to a source low in credibility and, after a delay, came to agree with the advocated position. Another interesting aspect is that Hovland, et al ( 1949) examined not only their own determinations of low and high credibilit y sources, but

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19 cases, highly credible sources have led to increased persuasion in resear ch and to affect positively attitudes toward both the advertisement and the endorser (Hovland et al., 1949; Braunsberger, 1996), but the effectiveness of source credibility is further refined by interactions with other sources, audience characteristics, or the message itself (Sternthal et al., 1978). Stern (1994) suggested that it is hard to effectively separate out the various components of source credibility in an ad. He identified three source elements that affect credibility: the sponsor, who is legally and financially responsible for the ad (such as a company promoting a product or a candidate running for office), the author of the ad, such as an advertising agency, and the person who actually relays the message in the advertisement, such as a celebrity or other endorser. make decisions according to their knowledge, memories, and information in various contexts. Such contextual factors influence persuasive outcomes (Tormala & Petty, 2007). Tormala and Clarkson (2007) demonstrated that perceived source credibility is easily affected by other sources recently processed. In an environment with multiple messages, the receivers of the messages can be affected by previously proces sed messages. The previously processed perceptions function as a standard of comparison in making decisions about a new target message. According to Tormala and Clarkson (2007), if customers have a higher evaluation of expertise, they will produce more pos itive responses. Sternthal et al. (1978) also found persuasiveness as a factor in the connection between source credibility and other variables related to the source, channel, message, destination, and receiver.

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20 In advertising contexts, source credibility is an important method for changing attitudes and enhancing advertisement effectiveness. Consequently, research has focused on source credibility on attitudes and behaviors. According to Warren (1969), a highly credible source leads to greater attitude cha nge and better evaluations by receivers. MacKenzie and Lutz (1989) examined attitude formation relative to Their findings suggested that perceived advertiser credibility is based on ad credibility. Most studies have suggested that a high credibility sources are more (Pornpitakpan, 2004) Match Up Hypothesis Ohanian (1990) is one of several researchers who explored match up between product and endorser. Kanungo and Pang (1973) suggested the which is the perceived congruence between images of products and endorsers in the advert isement. Peterson and Kerin (1977) also proposed that an advertisement needs product/endorser congruency in order to enhance communication. Many researchers have emphasized that more match up between the image of the product and endorser results in more ef fective communications ( Kamins and Gupta, 1994; Kahle & Homer, 1985; Lynch & Schuler, 1994; Peterson & Kerin, 1977). Kamins and Gupta (1994) manipulated product and endorser congruency in terms of product image. These researchers found a match up effect in terms of running shoes to celebrities. Specifically, congruency was found with a celebrity but not with running shoes. Results also revealed high congruency produced more spokesperson believability and attractiveness and a more favorable attitudes toward the products. While Kamins and Gupta found significant effects in

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21 terms of match up, there is still disagreement as to how to measure effectiveness. Researchers have suggested a number of approaches capable of measuring effectiveness related to Aad, Ab, an d PI (Ohanian, 1991; Goldsmith et al., 2000), but no single method has been suggested. Several studies have been conducted considering attractiveness in advertisements (Friedman & Friedman, 1979; Kamins, 1990; Till & Busler, 2000). These studies indicate an effect of the match up between endorser and product when the advertised product is evaluated. Two main factors affecting the endorser include identification and internalization by the consumer. When consumers follow an endorser because they derive satis faction from feeling similar to the endorser, that is identification. When consumers follow an endorser because they have considered the behavior and adopt it as their own, this is internalization (Friedman & Friedman, 1979). A study was conducted to find effectiveness of an endorser type is dependent upon the type of product being suggested that consumers would evaluate celebrity endorsers more positively wh en celebrity endorsers were related to products that were high in social and mental risk. In addition, Friedman suggested that expert endorsers were evaluated more positively when related to products that were high in financial and physical risk. Finally, typical consumer endorsers were evaluated more positively when related to low risk products (Friedman & Friedman, 1979). The match up hypothesis by discussed in Kahle and Homer (1985) and Kamins (1990) is another measure of source credibility effectiveness This match up proposes a logical agreement between endorser and product is important to get more positive results for the advertisement. Several studies have evaluated

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22 evalu ation of the product in the ad is determined by the endorser/product match up. Peterson and Kerin (1977) proposed that model/product congruency is important in of the produc t and image of the mode should match, thus the model/product congruency in advertising is needed. In addition, Kahle and Homer (1985) suggested using the Product Match Up Hypothesis to examine the effectiveness of endorsers. This hypothesis emphasizes the importance of matching celebrity endorsers and communicative and expresses the desired message (Peterson & Kerin, 1977). Although the match up hypothesis is connected with source att ractiveness, it has recently been studied in the area of source expertise (Till & Busler, 2000). Till and Busler (2000) examined attractiveness on attitudes and PI to a perfume that is related to attractiveness and a pen that is unrelated to attractiveness Although they expected a match up effect, attractiveness led to more positive Ab and PI for both products. Hence, match up effect did not occur. However, they conducted another study using candy bars and energy bars on two different sources that are same in attractiveness, photos of an actor and an athlete. This second study resulted in a match up effect. The result shows that an athlete and an energy bar were a much better fit, and more positively affected brand attitudes than the incongruent conditions. Therefore, their study found a match up hypothesis can be connected through expertise but not attractiveness. Meaning Transfer Model M eaning transfer is an important concept supporting the claim that personality influences brand image. It is based on the idea that consumers consider

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23 not only the practical importance of products but also their meanings when they buy them (McCracken, 1989). McCracken conclu ded that the meaning of a brand is comprised of various factors, such as ethnicity, gender, nationality and social status. Levy (1959) claimed that things which are symbolic of personal attributes a nd goals and of social patterns and individual may also be an important factor for celebrity endorsers. The process of the endorsement can be explained by the Meaning Trans fer Model. According to McCracken, celebrity endorsement relies on a three stage process, which a celebrity endorser shares communication related to a specific product: 1) the consumer has an image of the celebrity; 2) the advertiser selects an endorser wh o represents the intended image of the product; and 3) the image of the product transfers to the consumer (Langmeyer & Walker, 1991). Originally, meaning transfer explained the links among celebrity endorsers, consumers and brands. Compared to non celebrit y endorsement, celebrity perceptions of products (McCracken, 1989). However, it is impossible that all cultural meanings related to a celebrity endorser are transferred to a product. Thus, in using the meaning transfer model, once should take the match up hypothesis into consideration. In other words, the endorser/product match up would be more effective as a way to come up with new marketing strategies. Usually, more association betw een endorser and brand results in a more effective the marketing strategy (Kamins & Gupta, 1994). Fowles (1996) argued that this concept can be related to all types of celebrity endorsement, explaining that only when consumers feel th at meanings can shift along unimpeded paths from

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24 performer to product either because of an inherent affinity between the two or The Source Credibility Model, Source Attractivenes s Model, Product Match Up Hypothesis, and Meaning Transfer Model are all significantly related to one insights. Therefore, advertisers need to consider multiple additional factor s that affect consumers to increase successful advertising effectiveness. Endorser Credibility A significant method for increasing advertising effectiveness is endorser credibility Endorser credibility leads consumers to have a positive reaction to both the ad and brand (Atkin & Block, 1983; Goldberg & Hartwick, 1990). Lafferty and Goldsmith (1999) found the credibility of the endorser positively influenced Cooper (198 4) suggested that using credible endorsers improves the credibility of the advertisers as well as enhances ad recall. Ohanian (1990) suggested three elements of endorser credibility: expertise, trustworthiness, and attractiveness Expertise relates to an knowledge, abilities, and/or experience that enable him or her to provide accurate and credible information (Hovland et al., belief that the endorser is able to provide information sincerely an d in an unbiased customer (Ohanian, 1991). Based on these definitions, consumers perceive knowledgeable, sincere, and physically attractive endorsers as credible and re port positive attitude and behavioral feedback (Ohanian, 1991). Given c celebrity endorsers are expected to affect customers positively and create better

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25 advertising outcomes through the use of their well established images (Freiden, 1984). Customers perceive celebrities to be trustworthy, likable, and expert (Wheatly & Brooker, 1994). As a result, advertisements using celebrity endorsers are more persuasive than the non use of celebritie s (McGuire, 1969). Corporate Credibility Corporate credibility is a source credibility of interest to researchers. Fombrun (1996) notes that corporate credibility is a function of corporate reputation used to xpertise and trustworthiness. Customers generally have established perceptions about corporate credibility because th ey already know many companies. Thus, companies about which of process by which attitude toward the advertiser affects Aad is likely to be more or Keller (1998) defined corporate credib According to Keller, fundamental factors of corporate credibility such as expertise and trustworthines s affect the broader sense of the corporate reputation. As a result, c orporate credibility can lead to positive attitudes by the consumer toward the corporation and Aad (MacKenzie et al. 1986). Companies spend significant amounts of money to generate cor porate advertising that enhances their image (Fombrun, 1996). Such expenditures are not surprising given that trustworthiness and expertise of a company are important because they influence newly launched products, successful brand extensions, loyalty for products, and sales (Fombrun, 1996). Keller and Aaker (1998) identified a

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26 close connection between corporate credibility and brand success. Corporate credibility is an important component that positively influences Aad (Newell, 1993), Ab (Goldsmith et al., 2000; Newell, 1993), and PI (Goldsmith et al., 2000; Lafferty & Goldsmith, 1999). Goldsmith et al. (2000) examined endorser and corporate credibility on Aad, Ab, and PI. These researchers surveyed 152 participants who were asked to view a fictitious Ad fo r Mobil Oil Company. Participants were asked about the corporate credibility, Aad, Ab, and PI. Findings indicate that endorser credibility positively affected Ab and PI. Results indicated that high corporate credibility may increase the validity of company claims in advertising and achieve greater effectiveness of advertising efforts (Goldberg & Hartwick, 1990). Elaboration Likelihood Model (ELM) The elaboration likelihood model (ELM) explains how affected by persuasion (Petty & Cac ioppo, 1986). ELM also defines the motivation to process central messages influencing the central and peripheral processing. According to Petty and Cacioppo (1986), neral framework for organizing and understanding the basic processes underlying the effectiveness of influenced by the degree to which they engage in the elaboration of the persuasive issue. Such elaboratio which are characterized based on a con tinuum of cognitive activities. As suggested ete elaboration of every argument and (p. 129). ELM considers two routes of elaboration; specifically, the central and the ute for changing attitudes as

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27 it emphasizes cognitive thoughts in processing messages (Petty & Cacioppo, 1986). When a message is processed by the central route, a high level of elaboration, ormation presented the message, relating that information to previous knowledge store d in memory, and et al., 2005 p. 84). This process causes the receiver to elaborate upon the message and significantly Meanwhile, the peripheral route i s where elaboration is relatively low People using the peripheral route are referred to as cognitive misers (Taylor, 1981). Along this route, processing messages depends on peripheral cues such as message length and source attractiveness. This occurs in a low involvement situation; people process the basic level message that does not require much thought about the attitudes of the central route (Petty & Cacioppo, 1986, p. 131). Thus, although both the central and peripheral routes are persuasive, the central route gen erates more enduring outcomes (Petty & Cacioppo, 1986). Concerning the advertising context, ELM provides a theoretical model for studying the combined effects of endorser and corporate credibility. Corporate credibility is more often perceived as a centra l processing cue (MacKenzie & Lutz, related factors centrally rises, central processing increases as does its impact on brand attitudes.

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28 Furthermore, if peripheral processing declines, the eff ect of brand attitudes on PI increases (Petty & Cacioppo, 1986). In this model, the endorser is the peripheral increases.

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29 CHAPTER 3 HYPOTHESES Many studies have examined celebrities as endorsers based on the idea that (Kamins, 1989). Furthermore, celebrities are seen as credible endorsers; as such, they are expected to be able to create more favorable Aad (Lafferty & Goldsmith, 1999), Ab (Lafferty & Goldsmith, 1999), and PI (Ohanian, 1991). Therefore, it is expected that: H1: The level of endorser credibility will have positive effects on (a) Aad, (b) Ab, and (c) PI. Corporate credibility has also been shown to positively influence Aad and Ab (Newell, 1993). Lafferty and Goldsmith (1999) found that corporate credibility had a very strong effect on Aad, Ab, and PI Thus, based on prior research on corporate credibility it is hypothesized that: H2: The level of corporate credibility will have positive effects on (a) Aad, (b) Ab, and (c) PI. Finally, based on ELM, corporate credibility is perceived to be more central in processing than endorser credibility (MacKenzie & Lu tz, 1989). If customers use corporate credibility more for cognitive processing, it may in turn be more significant than endorser credibility when consumers form Aad, Ab and PI Therefore, it is expected that: H3: Endorser credibility will impact (a) Aad, (b) Ab, and (c) PI only when corporate credibility is high; when corporate credibility is low, endorser credibility will have no effect on these dependent variables.

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30 CHAPTER 4 METHODOLOGY Experiment Design This research designed an experiment methodology to test the relationships among the variables. The study utilized a 2 (endorser credibility: high vs. low) x 2 (corporate credibility: high vs. low) factorial mixed model design. A total of 117 students from the University of Florida participated in this study for extra credit. Each participant was randomly assigned to one of the four experimental conditions. The number of each cell is described in Table 4 1 Procedure This researcher obtained approval from t he Institutional Review Board (IRB) at the University of Florida prior to data collection. University of Florida Students were recruited to complete a survey and surveys were administered in classrooms from April to May 2010. Four different booklets were prepared and participants were randomly assigned to one of four experimental conditions combining endorser and corporate credibility by distributing four different versions of the material packet. Participants were provided with information about the study ; specifically that this study concerned an automobile advertisement. In a classroom, participants were exposed to a print advertisement for three minutes and asked to complete a short questionnaire. Participants were also asked general questions about dem ographic questions such as age, gender, race, and education. Stimulus Materials Stimulus Materials was created using Photoshop CS4 and the ad copy, brand. All the information of the ad was identical, aside from the identity of the

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31 endorser and the credibility of the corporation. A full page print advertisement for an automobile corporation was developed for the experiment. Four versions (Ad 1: High endorser credibility and High c orporate credibility; Ad 2: Low endorser credibility and High corporate credibility; Ad 3: High endorser credibility and Low corporate credibility; Ad 4: Low endorser credibility and Low corporate credibility) of the advertisement were prepared, combining endorser credibility (high versus low) and corporate credibility (high versus low). George Clooney (high credibility) and David Hasselhoff (low credibility) were used as endorsers of the stimulus materials. Clooney was chosen as a high credibility endorser as he was anointed as The World's Most Powerful Celebrities 100 of Forbes in 200 7 and 2009. According to Hasselhoff was chosen as a low credibility endorser considering his reputation; he was picked as 2009's worst celebrity by Dailynews Hasselhoff was a symbol of health in 90s; however, his fame did not last long because of a severe alcohol addiction and divorce. In addition, Mercedes Benz was chosen as the high credibilit y corporation and KIA was selected as the low credibility corporation. According to J.D. Power, resale value and vehicle quality are the most important factors for consumers when purchasing a car brand. Mercedes Benz scores highest in retaining vehicle own ers among automotive brands when making a new vehicle purchase; indeed, the corporation improved its retention rate by 7 percentage points to 66% in 2008. Meanwhile, KIA ranked 37% in 2009 below the average 48%. In addition, vehicle quality can be estimate d in terms of performance, design, predicted reliability, fuel economy, safety, and environment. Mercedes was rated 9.1 out of 10, and KIA was rated 7.3 according to the U.S. News Scores in 2009.

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32 Independent Variables Endorser Credibility Participants completed a 15 item, seven point bipolar adjective scale developed by Ohanian (1990). This scale measured perceived attractiveness, trustworthiness, and expertise of celebrity endorsers. Five items, measured trustworthiness. Items were rated acco rdingly, measured expertise. Corporate credibility Corporate credibility was measured using a scale developed by Newell (1993 ), w hich included an eight item, seven point Likert scale with fou r scales that measured trustworthiness and fou r scales that measured expertise. Dependent Variables Attitu des t oward the Advertisement Participants were asked to indicate their Aad on three, s even point bipolar Attitudes t oward the Brand Subjec ts were asked to indicate their Ab on three, seven point bipolar adjective scales, anchored by satisfactory/unsatisfactory, favorable/unfavorable, and good/bad (Burnkrant & Unnava, 1995; Lafferty & Goldsmith, 1999).

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33 Purchase Intention Participants an swered the question of their likelihood of buying the brand of automobile depicted in the advertisement. Three, seven point bipolar adjective scales included the following responses Lafferty & Goldsmith, 1999; Yi, 1990).

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34 Table 4 1 Study Design Corporate Credibility High Low Endorser Credibility High n=30 n=29 Low n=29 n=29

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35 CHAPTER 5 RESULTS Sample Profile Of the 117 valid samples, 31.6% (n=37) were male and 68.4% (n=80) were M =21.17), but the majority (91.20%) were between 18 and 22 years old. The most common races in decreasing order of appearance included Caucasian (66.7%), Black (12.8%), Hispanic (10.3%), Asian (6.8%), and others (3.4%). Participants (86.3%) in an undergraduate program made up the majority of the sample. Participants in a gra duate program included 10.3% of the final sample. In addition, 89.7% owned a car and 18.1% respondents bought their cars by themselves. Reliability Check s As shown in Table 5 1 the results demonstrated that the scales used in the study were reliable corporate credibility was .97 and for endorser credibility was .98; both had high internal consistency as well. Reliability measures suggested high internal consistency for the dependent variables: Manipulation Checks Using one way ANOVA, the results of manipulation checks for endorser credibility were successful (F (1, 113) = 144.97, p < .001). The results indicated that the manipulated high credibility endorser was more credible than the manipulated low credibility endorser. The manipulations for corporate credibility were also successful ( F (1, 113) = 127.73, p < .001). Additionally, th e comparisons demonstrated that participants perceived the stimulus materials as intended. The endorser credibility manipulation significantly affected the perceived endorser

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36 credibility both in the high corporate credibility level ( F (1, 57) = 116.97, p < .001), and in the low credibility level ( F (1, 56) = 51.65, p < .001). Also, the corporate credibility manipulation resulted in the expected effect perceived corporate credibility both in the high endorser credibility level ( F (1, 57) = 67.43, p < .001) a nd in the low credibility level ( F (1, 56) = 55.04, p < .001). Hypotheses Test Results Tests of H ypothesis 1: Endorser C redibility E ffects The first set of three hypotheses examined the effect of endorser credibility on Aad, Ab, and PI. The hypotheses are as follows: H1: The level of endorser credibility will have positive effects on (a) Aad, (b) Ab, and (c) PI. To test this first set of hypotheses, ANOVAs were used to examine endorser credibility effects (high endorser credibility versus low endorser credi bility) on Aad, Ab, and PI. For Hypothesis 1A, the results indicated that high endorser credibility yielded a more positive effect on Aad ( M = 5.32) compared to low endorser credibility ( M = 3.19; F (1, 113) = 80.49, p < .001) Thus, Hypothesis 1A is supported. However, for Hypothesis 1B, the result was not statistically significant. Participants did not indicate that the high endorser credibility had a more positive Ab ( M = 4.72) than the low endorser credibility ( M = 4.51; F (1, 113) = .85, p > .1). Thus, Hypothesis 1B is not supported. Finally, in regard to Hypothesis 1C, the results showed no significant effects on endorser credibility for PI. The high credibility endorsers demonstrated more positive Aad ( M = 3.82) compared to low credibility endors ers ( M = 3.32; F (1, 113) = 3.07, p > .05). Thus, Hypothesis 1C is not statistically supported (see Tables 5 3 5 4 and 5 5 ).

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37 Tests of H ypothesis 2: Corporate C redibility E ffects The second set of three hypotheses examined the effect of corporate credibility on Aad, Ab, and PI. The hypotheses are as follows: H2: The level of corporate credibility will have positive effects on (a) Aad, (b) Ab, and (c) PI. To test the second set of hypotheses, ANOVAs examined endorser credibility effects (high corpor ate credibility versus low corporate credibility) on Aad, Ab, and PI. The results were not statistically significant for Hypothesis 2A, although they were for 2B and 2C. The results failed to show more positive Aad for the high credibility company ( M = 4.4 0) compared to the low credibility company ( M = 4.10 ; F (1, 113) = 1.52, p > .1 ), failing to support Hypothesis 2A. However, participants reported positive Ab in high corporate credibility situations (M = 5.70) compared to low corporate credibility situations ( M = 3.53; F (1, 113) = 85.75, p < .001 ) Likewise, the high credibility co mpany had a more positive Ab ( M = 4.16) than the low credibility company ( M = 2.98; F (1, 113) = 17.01, p < .001). Thus, Hypotheses2B and 2C were statically supported (see T ables 5 3, 5 4 and 5 5 ). Tests of H ypothesis 3: Interaction E ffects The third set of three hypotheses examined how the interaction between corporate and endorser credibility influences Aad, Ab, and PI. The hypotheses are as follows: H3: Endorser credibility will impact (a) Aad, (b) Ab, and (c) PI only when corporate credibility is high; when corporate credibility is low, endorser credibility will have no effect on these dependent variables. To test this set of hypotheses, ANOVAs examined the interaction between corporate and endorser credibility influences on Aad, Ab, and PI. The results were not

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38 statistically significant ( F (1, 113) = .64, p > .1) for Hypothesis 3A, failing to show that the interaction between corporate and endorser credibility influences Aad. Thus, Hypothesis 3A is not supported. However, significant interaction ( F (1, 113) = 8.89, p < .01) occurred regarding the effects of corporate and endorser credibility on Ab. Thus, Hypothesis 3B is supported. Finally, the results for Hypothesis 3C did not show significant interaction ( F (1, 113) = 1.39, p > .1) concerning endorser and corporate credibility on PI. Thus, Hypothesis 3C is not statically supported (see Tables 5 3, 5 4 and 5 5 ) Additionally, results of one way ANOVAs showed significantly more positive Ab with the high credibility endorser ( M = 6.16) compared to the low credibility endorser ( M = 3.29; p < .05) in the high corporate credibility level (see T ables 5 6 and Figure 5 1).

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39 Table 5 1 Reliability Analysis for Independent and Dependent Measures Measures Number of items Independent Measures Corporate Credibility 3 0.972 Endorser Credibility 15 0.976 Dependent Measures Aad 3 0.966 Ab 3 0.979 PI 3 0.926 Table 5 2 Ad Attitude, Brand Attitude, and Purchase Intent Distribution, Means, and Standard Deviations for Four Experimental Conditions Aad Ab PI n mean s.d. mean s.d. mean s.d. High CC / High EC 30 5.57 1.18 6.16 0.96 4.24 1.70 High CC / Low EC 29 3.23 1.37 5.24 1.62 4.08 1.68 Low CC / High EC 29 5.08 1.08 3.29 1.32 3.40 1.40 Low CC / Low EC 29 3.13 1.50 3.77 1.08 2.56 1.36 Average of 3 seven point scale items CC = Corporate C redibility EC = Endorser Credibility Table 5 3 Analysis of Variance: Corporate Credibility and Endorser Credibility Effects on Aad Factor SS df MS F p CC 2.54 1 2.54 1.52 0.220 EC 134.60 1 134.60 8.49 0.000 CC x EC 1.07 1 1.07 0 .64 0.425 Error 188.961 113 1.67 CC = Corporate C redibility EC = Endorser Credibility

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40 Table 5 4 Analysis of Variance: Corporate Credibility and Endorser Credibility Effects on Ab Factor SS df MS F p CC 137.67 1 137.67 85.74 0.000 EC 1.36 1 1.36 0 .85 0.395 CC x EC 14.27 1 14.27 8.89 0.004 Error 181.435 113 1.66 CC = Corporate C redibility EC = Endorser Credibility Table 5 5 Analysis of Variance: Corporate Credibility and Endorser Credibility Effects on PI Factor SS df MS F p CC 40.70 1 40.70 17.00 0.000 EC 7.35 1 7.35 3.07 0.082 CC x EC 3.33 1 3.33 1.39 0.241 Error 270.45 113 2.39 CC = Corporate C redibility EC = Endorser Credibility Table 5 6 Means and p values for Each Experimental Cell on Ab High Corporate C redibility Low Corporate C redibility mean p mean p High Endorser Credibility 6.16 0.011 3.29 0.132 Low Endorser Credibility 5.24 3.77 Average of 3 seven point scale items

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41 EC = Endorser Credibility Figure 5 1 Endorser Credibility by Corporate Credibility Interaction for Ab 2 3 4 5 6 7 Low EC High EC Attitude Toward Brand High Corporate Credibility Low Corporate Credibility

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42 CHAPTER 6 DISCUSSION The present study sought to explore how corporate and endorser credibility influences consumers' Aad, Ab, and PI. The study further examined the interactive effects of corporate and endorser credibility, particularly the theories of the ELM and source credibility By using an experimental research design and utilizing ANOVA data analysis, this study identified theori zed constructs related to corporate and endorser credibility effects on Aad, Ab, and PI. Based on the results of the current investigation, thi s researcher notes that corporate and endorser credibility do play a role in advertising effectiveness. However, some of the results turned out to be different than expected. The following paragraphs discuss the findings related to the hypotheses. Evaluation of Hypotheses Evaluation of Hypotheses Hypothesis 1 stated that high endorser credibility influenced Aad, Ab, and PI more than low endorser credibility; however, results indicate that endorser credibility led to positive Aad, but not Ab or PI. These finding on the influence of endorser is consistent with prior studies (Atkin & Block, 1983; Goldberg & Hartwick, 1990; Lafferty & Goldsmith, 1999 ). positive responses toward the ad when the ad was from a high credibility endorser. However, results do not support endorser cre dibility effects on Ab and PI These findings may be due to the type of endorser. T he current study used celebrity endorsers, which may have affected the Ab since celebrity endorsers might influence Ab less than expert endorsers do (McGuire, 1969) Additionally, three components (attractiveness, expertise, and trustworthiness ) can be used to evaluate endorser credibility; however, only attractiveness significantly affected endorser credibility

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43 among the three endorser credibility components. Using ce lebrity endorsers may be less effective for Ab than expert endorsers. Furthermore, endorser credibility may not have significantly affected PI since respondents might buy t he product because of its particular attribute rather than based on the endorser. The ELM suggests that, in the important in the decision to purchase a product. influence on the decision to purchase may have less influence on PI compared to product attributes, brand attributes, or corporate credibility. Moreover, due to the h involvement, the endorser functioned as a peripheral cue in this study; therefore, these finding support the notion that corporate credibility is a more influential factor with regard to PI. Hypothesis 2 proposed that high corporate credibility positive ly influenced appeared and PI, thus supporting research reported by Newell (1993) and Fombrun (1996). According to Laroche et al. (1996), corporate credibility product resulting in a positive Ab and PI. The current study found that corpora te credibility was significant in the positive direction compared to endorser in determining brand attitude. These findings are is consistent with Lafferty and Goldsmith (1999), which found that the majority of consumers stated that their brand attitudes w ere influenced by corporate credibility. However, the current s tudy did find

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44 al. (2002) suggested that endorser credibility is more influential on Aad; whereas, corp orate credibility was related to Ab. In addition, since automobiles are a high involvement product and customers place focus on special attributes or specific brands, corporate credibility may have less influence on Aad compared to Ab and PI. Thus, in eval uating an ad, corporate credibility may not have a significant effect on Aad. Hypothesis 3, which proposed that the interaction between corporate and endorser credibility was partially supported in the current study. Based on t he results, the interaction b etween corporate and endorser credibility leads to positive Ab, but not Aad or PI. Using the ELM of persuasion, interactions between corporate and endorser credibility were predicted. B ased on ELM, corporate credibility was perceived as more central in pro cessing than endorser credibility. The findings that customers use corporate credibility for cognitive processing and corporate credibility has a significant effect on consumers for Ab were consistent with a prior study (MacKenzie & Lutz, 1989). However, t he findings did not support that that interaction with corporate and endorser credibility led to positive Aad and PI Such a result may stem from an unmeasured variable (e.g., involvement). For example, more women participated in the current study than men Perhaps men are more involved with automobiles than women while women pay more attention to endorsers (Petty et al., 1983). Moreover, for specific products. In addition, participants in the current study were young and in terms of celebrity endorsers, only male celebrities were used. These facts may have affected the Aad. In other words, the limited subject pool and use of male oriented celebrities

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45 may have created confou nded variable. Additionally, central and peripheral cues may have functioned in reverse. For, example, using the celebrity endorser in a central function may have increased their influence in the decision making process. Finally, results for PI should be c arefully considered since participants could not afford to purchase the products themselves, which may have skewed the results as well; only 17.48% had bought a car on their own. Managerial Implications From the standpoint of business practice, the main contribution of the present study is that it provides empirical evidence that interactions between endorser and corporate credibility can strongly influence brand attitude. In addition, the findings indica te both types of credibility affect Aad, Ab, and PI. Although this understanding of credibility does not solve all the substantial problems, it could provide a clue to approach the problems. Automobiles represent a high involvement product. Thus, corporate credibility is a major factor affecting customers' Aad, Ab, and PI, and customers need to make a total decision in consideration of price, performance, design and other various attributes. Therefore, the effectiveness of endorsers is relatively lower than for other products, but recently, the attempt to match endorsers' images to automobiles has been used to evoke some emotional attraction. The results of this study showed consumers' Aad depends on endorser credibility, whereas their Ab and PI significantl y depend on corporate credibility. In order to achieve the marketing goals effectively, advertisers need to not only enhance their credibility, but also select high credibility endorsers, because companies can enhance their image and credibility by adverti sing (Fombrun, 1996). Newell (1993) suggested that credible sources positively influence Aad and Aad affects Ab and PI. In addition, aylor et al. (1997) noted that an important reason for using celebrities is

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46 to increase product awareness. If customers do will not have the chance to buy them. However, advertisers need to be cautious in selecting endorsers. Because advertisers spend significant amounts of money to use endorsers in their advertisements, they need to consid er endorser credibility that can affect corporate credibility to maximize the effectiveness of advertising. By understanding the roles of credible sources in the advertising context, marketers and advertisers are able to better comprehend the impact of mul tiple credibility sources on consumers. As a result, they are able to increase marketing effectiveness and communication strategies in considering the importance of credible sources. Thus, advertisers need to take steps to protect and improve their corpora

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47 CHAPTER 7 LIMITATIONS AND FUTU RE RESEARCH There are various limitations to this study. One limitation is that t he sample comprised more females (68%) than males (32%). As previously discussed, men may be more involved in automobile related merchandise than women, who may pay more attention to the endorser (Petty et al., 1983). Including more males in a future sample is advisable, as they tend to be more involved with the pu rchase of automobiles. Another limitation seen in this study is the composition of the s ample. The subjects were almost exclusively advertising students, which is only a small part of the population. Consequently, ad avoidance could not be measured as adve rtising majors will pay more attention to the ad than a typical consumer. Ad avoidance should be higher in a more diversified sample. Moreover, this study utilized a convenience sample data from a limited geographic region; as a result, the results cannot be generalized to a more diverse population. Future research should use probability samples of consumers to enhance external validity. A more diverse and larger sample with larger experimental cells may provide more significant results, leading to clearer opinions and perceptions among participants. This would also provide the opportunity for future research to examine the demographics of automobile customers in general. Gender and ethnicity should be considered as well as how the fit of the sponsor might m oderate the negative effects of advertising. Additionally, the study took place in a classroom setting, which may have resulted in task involvement than would occur when examining ads and evaluating brands in a natural setting. In the current study, partic ipants viewed a single ad in the context of a copy test, yet this is not a normal approach as most people view ads while reading a magazine or newspaper. Thus, reactions may differ in more

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48 naturalistic settings. However, it is important to note that this l imitation does not the treatment groups. Examining whether the effects occur in more typical conditions would enhance the generalizability of these results Also, t he findings of the current study are limited in regard to celebrities and additional endorsers and corporations. Incorporating the use of experts or company executives coul d further expand the capacity of the findings. As expert endorsers may be involved in Ab and PI more than celebrity endorsers, advisers might pick diverse endorsers for ads; however, this needs to be examined in more detail. Finally, to expand the generali zation of this study, broadcast ads need to be considered in future studies. Many of the hypotheses proposed in this study were not supported by the data. This may have been because this study did not consider levels of product involvement. Future researc hers should assess the relationship between endorser and corporate credibility in considering levels of product involvement as well as the serve as a moderator variable, showing relations between consumers and advertisements. As such, involvement of products needs to be added and measured into the study. In addition, given that brands often have more than one attribute, managers should know how corporate and endorser credibility affects marketing of products with multiple attributes in ads.

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49 APPENDIX A SAMPLE OF QUESTIONNA IRES Please review the following ad. Take as much time as you need. (See advertisements in Appendix B ) Considering you r reaction to the ad you just saw, for each pair of w ords below, please select the corresponding number that accurately describes your evaluation of the ad. Bad 1 2 3 4 5 6 7 Good Unfavorable 1 2 3 4 5 6 7 Favorable Unpleasant 1 2 3 4 5 6 7 Pleasant Please identify your feelings about Mercedes Benz Using the following adjectives, please circle the number that reflects your opinion. Negative 1 2 3 4 5 6 7 Positive Unfavorable 1 2 3 4 5 6 7 Favorable Bad 1 2 3 4 5 6 7 Good How likely would you purchase Mercedes Benz ? Using the following adjectives, please circle the number that reflects your opinion. Very unlikely 1 2 3 4 5 6 7 Very likely Improbable 1 2 3 4 5 6 7 Probable Impossible 1 2 3 4 5 6 7 Possible

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50 How would you rate George Clooney in the ad you just saw? Using the following adjectives, please circle the number that reflects your opinion. Unattractive 1 2 3 4 5 6 7 Attractive Not classy 1 2 3 4 5 6 7 Classy Ugly 1 2 3 4 5 6 7 Handsome Plain 1 2 3 4 5 6 7 Elegant Not sexy 1 2 3 4 5 6 7 Sexy Undependable 1 2 3 4 5 6 7 Dependable Dishonest 1 2 3 4 5 6 7 Honest Unreliable 1 2 3 4 5 6 7 Reliable Insincere 1 2 3 4 5 6 7 Sincere Untrustworthy 1 2 3 4 5 6 7 Trustworthy Not an expert 1 2 3 4 5 6 7 Expert Inexperienced 1 2 3 4 5 6 7 Experienced Unknowledgeable 1 2 3 4 5 6 7 Knowledgeable Unqualified 1 2 3 4 5 6 7 Qualified Unskilled 1 2 3 4 5 6 7 Skilled

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51 Please indicate how strongly you agree or disagree with following statements about Mercedes Benz Strongly Disagree Strongly Agree Mercedes Benz has a great amount of experience. 1 2 3 4 5 6 7 Mercedes Benz is skilled in what they do. 1 2 3 4 5 6 7 Mercedes Benz has great expertise. 1 2 3 4 5 6 7 Mercedes Benz does not have much experience. 1 2 3 4 5 6 7 I trust Mercedes Benz. 1 2 3 4 5 6 7 Mercedes Benz makes truthful claims. 1 2 3 4 5 6 7 Mercedes Benz is honest. 1 2 3 4 5 6 7 I do not believe what Mercedes Benz tells me. 1 2 3 4 5 6 7 The following are questions about car ownership. 1. Do you have a car? Yes No 2. If you have a car, did you pay for it by yourself? Yes No 3. If you have a car, what brand is it? ____________

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52 The following are demographic questions that will only be used for statistical analyses. 1. What is your age? ____________ 2. What is your gender? Male Female 3. What is your ethnic background? (circle one) a) Caucasian b) African American/ Black c) Hispanic/ Latino d) Asian e) American Indian/Alaskan Native f) Hawaiian Native/Pacific Islander g) Other (please specify) ____________________ 4. What is your education level? (circle one) a) High school graduate b) Working on undergraduate degree c) Working on graduate degree d) Completed graduate

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53 APPENDIX B STIMULUS MATERIALS: PRINT ADS

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54

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55 LIST OF REFERENCES Agrawal, Jagdish and Wagner Kamakura (1995), The Economic Worth of Celebrity Endorsers: An Event Study Analysis, Journal of Marketing, 59, 56 62 Atkin, C., and Block, M. (1983), Effectiveness of celebrity endorsers. Journal of Advertising Research, 23 57 61. Belch, George E. and Michael A. Belch (1994), Introduction to Advertising and Promotion: An Integrated Marketing Communications Perspe ctive, third edition, Homewood, IL: Irwin. Berlo, David K., James B. Lemert, and Robert J. Mertz (1969), Dimensions for Evaluating the Acceptability of Message Sources, Public Opinion Quarterly, 33, 563 576. Braunsberger, K. (1996), The effects of source a nd product characteristics on persuasion. Dissertation Abstracts International: Humanities and Social Sciences 34 243 281. Burnkrant, Robert E. and H. Rao Unnava (1995), Effects of Self Referencing on Persuasion, Journal of Consumer Research, 22, 17 26. Cooper, Michael (1984), Can Celebrities Really Sell Products ? Marketing and Media Decisions 19 64 65. Craig, C. Samuel and John M. McCann (1978), Assessing Communication Effects of Energy Conservation, Journal of Consumer Research, 5, 82 88. Dickenson, Ni cole (1996), Can Celebrities Ruin a Launch, Campaign, (May 3), p.24. Erdogan, B.Z., Baker, M.J., Tagg, S. (2001), Selecting celebrity endorsers: the practitioner's perspective, Journal of Advertising Research 39 48. Fombrun, Charles J. (1996), Reputat ion Harvard Business School Press, Boston, MA. Fowles, J. (1996). Advertising and popular culture : Thousands Oaks, Calif: Sage Publications Inc. Freiden, Jon B. (1984), Advertising Spokes person Effects: An Examination of Endorser Type and Gender on Two Audiences, Journal of Advertising Research, 24 (October/November), 33 41. Friedman, H. H., and Friedman, L. (1979), Endorser effectiveness by product type, Journal of Advertising Research, 19 63 71. Gabor, Andrea, Thorton Jeannye, and Daniel P. Wienner (1987), Star Turns That Can Turn Star Crossed, U. S. News and World Report 103 57.

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56 Goldberg, Marvin E. and Hartwick, J. (1990), The Effects of Advertiser Reputation and Extremity of Advertising Claim on Advertising Effectiveness, Journal of Consumer Research, 17 172 179. Goldsmith, R. E., Lafferty, B. A., and Newell, S. J. (2000), The relative impact of corporate credibility and celebrity credibility on consumer reaction to advertisements and brands, Journal of Advertising, 29 43 54. Hofstede, G. related values abridged version. London: Sage, 1984. Hovland, C. I., Lumsdaine, A. A., & Sheffield, F. D. (1949). Experiments in Mass Communication 3, Princeton: Princeton University Press. Hovland, C. I., and Weiss, W. (1951), The influence of source credibility on communication Effectiveness, Public Opinion Quarterly 635 650. Hupfer, Nancy T. and David M. Gardner (1971), Differential Involvement wi th Products and Issues, Association for Consumer Research, 262 269. Joseph, W. Benoy (1982), The Credibility of Physically Attractive Communicators: A Review, Journal of Advertising, 11 (3), 15 24. activeness of the Journal of Consumer Research 11 954 961. Kamins, M. A. (1989), Celebrity and noncelebrity advertising in a two sided context, Journal of Advertising Research, 29 34 42. Kamins, M. A Psychology & Marketing, 11 (6), 569 586. Kanungo, Rabindra N. and Sam Pang (1973), Effects of Human Models on Perceived Product Quality, Journal of Applied Psychology, 57 (2), 172 178. Keller, Kevin Lane (1998) `Strategic Brand Management', Prentice Hall, Upper Saddle River, NJ. Keller, Kevin Lane and Aaker, D.A. (1998), The Impact of Corporate Marketing on a Company's Brand Extensions, Corporate Reputation Review, 1 (4), 356 378. Kelman, H. C., and Hovland, C. I. (1953), Reinstatement of the communicator in delayed measurement of opinion change, Journal of Abnormal and Social Psychology, 48 327 335. Lafferty, Barbara and Goldsmith, R.E. (1999), Corporate Credibility's Role in Consumers' Attitudes and Purchase Intentions when a High Versus a Low Credibility Endorser is Used in the Ad, Journal of Business Research, 44 (February), 109 116.

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57 Lafferty, Barbara and Goldsmith, R.E and Stephen J. Journal of Marketing Theory and Practice 10 (Summer), 1 12. Celebr Advances in Consumer Research 18, Rebecca R. Holman and Michael R. Solomon, eds., 364 371. Laroche, Michael, Chankon Kim and Lianxi Zhou (1996), Brand Familiarity and Confidence as Determinants of Purchase Intention: An Empirical Test in a Multiple Brand Context, Journal of Business Research, 37 (October), 115 120. Levy, S. J. (1959). Symbols for sale. Harvard Business Review, 37 (4), 117 124. Lynch, J. and Schuler, D. (1994). The matchup effect of spokesperson and product congruency: a s chema theory interpretation. Psychology & Marketing, 11 (5), 417 455. McCracken, Grant (1989), Who is the Celebrity Endorser? Cultural Foundation of the Endorsement Process, J ournal of Consumer Research, 16 ( December ) 310 321. MacKenzie, Scott B., Lutz, R.J., and Belch, G.E. (1986), The Role of Attitude Toward the Ad as a Mediator of Advertising Effectiveness: A Test of Competing Explanations, Journal of Marketing Research, 23 (May), 130 143. MacKenzie, Scott B. and Richard J. L utz (1989), An Empirical Examination of the Structural Antecedents of Attitude toward the Ad in an Advertising Pretesting Con text, Journal of Marketing, 53 (April), 48 65. McGuire, W. J. (1968). The nature of attitudes and attitude change. In G. Lindzey, & E. Aronson (Eds.), Handbook of social psychology (2nd ed., 136 314). Reading, MA: Addison Wesley. McGuire, W. J. (1985), Attitudes and Attitude Change, in The Handbook of Social Psychology, Vol. 2, ed. Gardner Lindzey and Elliot Aronson, New York: Rando m, 233 346. Mills, J., and Jellison, J. M. (1967), Effect on opinion change of how desirable the communication is to the audience the communicator addressed, Journal of Personality and Social Psychology, 6 (1), 98 101. Newell, Stephen J. (1993) `Developing a Measurement Scale and a Theoretical Model Defining Corporate Credibility and Determining its Role as an Antecedent of Consumers' Attitude Toward the Advertisement', Doctoral Dissertation, Florida State University. Newell, S.J. and Goldsmith, R.E. (2001), The development of a scale to measure perceived corporate credibility, Journal of Business Research, 52 (3), 235 247.

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58 Ohanian, Roobina (1990), Construction and Validation of a Scale to Measure Celebrity Endorsers' Perceived Expertise, Trustworthiness, and Attractiveness, Journal of Advertising, 19 (3), 39 52. Ohanian, Roobina (1991), The Impact of Celebrity Spokespersons' Perceived Image on Consumers' Intention to Purchase, Journal of Advertising Research, 46 54. Perloff, R. M. (2003), The Dynamics of Per suasion 2nd edition. Mahwah, NJ: Lawrence Erlbaum Associates. Peterson, Robert A., and Roger A. Kerin (1977), The Female Role in Advertisements: Some Experimental Evidence, Journal of Marketing (October), 59 63. Petty, R. E., Cacioppo, J. T., Strathman, A. J., and Priester, J. R. (2005), To think or not to think: Exploring two routes to persuasion. In T. Brock & M. Green (Eds.), Persuasion: Psychological insights and perspectives (2 nd ed., 81 116). Thousand Oaks, CA: Sage Publications. Petty, R E., & Wegener, D. T. (1998), Attitude change: Multiple roles for persuasion Variables, The handbook of social psychology (Vol. 1). New York: McGraw Hill, 323 390. Petty, Richard E., and Cacioppo, John T (1986), Communication and persuasion: Central and Peripheral Routes to Attitude Change Springer, New York. Petty, Richard E., Cacioppo, J.T. and Schumann, D. (1983) Central and Peripheral Routes to Advertising Effectiveness: The Moderating Role of Involvement Journal of Consumer Research, 10 (Septembe r), 135 146. Rhine, R., & Severance, L. J. (1970, October), Ego involvement, discrepancy, source credibility, and attitude change, Journal of Personality and Social Psychology, 16 175 190. Pornpitakpan, C. (2004). The persuasiveness of source credibility: A critical review of Journal of Applied Social Psychology, 34 243 281. Solomon, Michael R., (2009), Consumer Behavior: Buying, Having, and Being Upper Saddle River, NJ: Pearson Education, Inc., Prentice Hall. Stern, B. (1994). A revised communication model for advertising: Multiple dimensions of the source, the message, and the recipient. Journal of Advertising, 23 (2), 5 15. Sternthal, Brian, Lynn W. Phillips and Ruby Dholakia (1978), The Persuasive Effect of Source Credibility: A Situational Analysis, Public Opinion Quarterly, 42 (Fall) 285 314. Taylor, Charles R., Gordon E. Miracle, and R. Dale Wilson (1997), The Impact of Information Level on the Effectiveness of U.S. and Korean Television Commercials, Journal of Advertising 26 (Spring), 1 18.

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59 Till, B. D., & Busler, M. (2000). The match up hypothesis: Physical Attractiveness, expertise, and the role of fit on brand attitude, purchase intent and brand beliefs. Journal of Advertising, 29 (3), 1 13. Tormala, Z.L., & Clarkson, J.J (2007), Assimilation and contrast in persuasion: The effects of source credibility in multiple message situations, Personality and Social Psychology Bulletin, 33 559 571. Tormala, Z. L., & Petty, R. E. (2007), Contextual contrast and perceived knowledge : Exploring the implications for persuasion, Journal of Experimental Social Psychology 43, 17 30. Walster, E., and Festinger, L. (1962, December). The effectiveness of over heard persuasive communications. Journal of Abnormal and Social Psychology, 65 395 402. consumption of a brand. Journal of Advertising Research, 40 (6), 106 113. Wheatley, John J. and George Brooker (1994), Music and Spokesperson Effects on Recall and Cogn itive Response to a Radio Advertisement, in E.M. Clark, T.C. Brock, and D.W. Stewart (Eds.), Attention, Attitude, and Affect in Response to Advertising, 192, Hillsdale, NJ: Lawrence Erlbaum. Wynn, George W (1987), The Effects of a Salespersons Credibility on Other Salespersons and Sales Managers, Developments in Marketing Science, Academy of Marketing Science 353 358. Yi, Y. (1990). Cognitive and affective priming effects of the context for print advertisements. Journal of Advertising, 19(2) 40 48.

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60 BIOGRAPHICAL SKETCH Juneil Shin was born on July 19 83 in Seoul South Korea He grew up mostly in Seoul graduating from Kyungsung High School in 200 2 H e earned his B achelor of Hotel Management from Kyunghee University He also earned his Master of Advertising from University of Florida in 2010.