Celebrity endorsement strategy and consumer purchasing behavior towards fast-moving consumer goods

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Abstract

When a celebrity supports the brand, the business organization gains a lot because it gets more attention in target markets, which makes people learn more about their goods and services (Gauns et al., 2018). There is an interesting fact: the choice of brand is based on celebrities as ambassadorship and endorsement based on how attractive, trustworthy, and well known the star is (Anyadighibe et al., 2022). The study’s main goal was to identify the influence of celebrity endorsement on consumer buying behavior towards fast-moving consumer goods (FMCGs) in Nepal. The study used primary data from a structured questionnaire on the six-point Likert scale. Convenient sampling was employed, and Kathmandu was chosen as the sample site. The study’s population was the consumers of fast-moving items. The sample size was 384 respondents. Through path analysis, the effect of the credibility, popularity, and attractiveness of celebrities on consumer buying behavior was examined using structural equation modeling (SEM). The study found that celebrity credibility has no significant positive impact on consumer behavior. It was discovered that celebrity attractiveness significantly influences purchasing behavior, and it was also investigated whether celebrity popularity also had a substantial effect on consumer behavior towards FMCGs in the Nepalese market. The study’s results show how future researchers and business people can look at the new conditions for market growth.

Keywords: Celebrity Endorsement, Credibility, Attractiveness, Popularity

Authors’ individual contribution: Conceptualization — B.R.; Methodology — R.K.D.; Software — R.K.D.; Validation — R.K.D.; Formal Analysis — R.K.D.; Investigation — B.R. and R.K.D.; Resources — B.R.; Data Curation — B.R.; Writing — Original Draft — B.R.; Writing — Review & Editing — B.R. and R.K.D.; Visualization — B.R. and R.K.D.; Supervision — B.R. and R.K.D.; Project Administration — B.R. and R.K.D.; Funding Acquisition — B.R. and R.K.D.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: C12, L94

Received: 27.06.2024
Revised: 23.10.2024; 27.03.2025
Accepted: 15.04.2025
Published online: 18.04.2025

How to cite this paper: Rai, B., & Dahal, R. K. (2025). Celebrity endorsement strategy and consumer purchasing behavior towards fast-moving consumer goods. Corporate & Business Strategy Review, 6(2), 90–98. https://doi.org/10.22495/cbsrv6i2art9