Effects of celebrity endorsements on sales performance: a case study of adonko company limited

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The research study sought to examine the effect of celebrity endorsement on sale performance of adonko company limited, with focus on celebrity’s credibility, popularity and acceptance as a measure of celebrity endorsement on sales performance. Few studies exist without any clear-cut idea on which factors firms can use to evaluate the strength and weakness of potential celebrity endorsers in Ghana and most especially in the alcoholic industry. Literatures were reviewed theoretically. Data collected were analyzed using statistical package for social scientists (spss), whereas structural equation modelling (sem) technique, smart partial least square (pls) software version 3.0 was also employed to determine the hypothesized relationships of the study. The research design is purely descriptive and data collected using cross-sectional survey method. The survey conducted on a total of 100 respondents out of which 100 responses were received representing 100% response rate. The findings, however confirmed significant relationships that exist between celebrity endorsement and sales performance. In the light of the analyses and interpretations, it is suggested and recommended that firms should intensify the use of popularity and credibility as a measure of celebrity endorsement in promoting their products, hence not leaving out celebrity’s acceptance to protecting brand image.
Thesis submitted to the department of marketing and corporate strategy, Kwame Nkrumah university of science and technology, Kumasi in partial fulfillment of the requirements for the degree of master of business administration in marketing.