Impact of Celebrity Endorsement on Customer Purchase Intention: Examining the Mediating Effect of Brand Trust with Special Reference to Telecommunication Industry in Western Province Sri Lanka

Abstract

In the present context, many marketers in the telecommunication industry are using different methods to influence their customers. Celebrity endorsement is one of the key tools frequently used to influence the purchase intention of customers and to face the competition effectively. Therefore, the purpose of this study is to identify the impact of celebrity endorsement on customer purchase intention by examining the mediating effect of brand trust with special reference to the telecommunication industry in Western province, Sri Lanka. As per the current literature, it has been acknowledged that there is an impact of the celebrity endorsement on the customer purchase intention in general but still empirical gaps are identified in different product scopes and market contexts. Further, research gaps have been justified with literature as there are few studies regarding the mediating impact of brand trust related to this phenomenon. The present study was quantitative in nature and it used a structured questionnaire to collect data based on the convenience sampling method. A total of 384 questionnaires were distributed and 220 responses were gathered and used for the final analysis of this study. The findings demonstrate a significant impact of celebrity endorsement on customer purchase intention in the present research context. Further, it indicates that celebrity endorsement and purchase intention is getting mediated by brand trust. In order to carry out the analysis, the researchers employed multiple regression and correlation analysis as the main statistical tools. Finally, the researchers discussed the management implications of the significant findings and possible future research areas.