THE INFLUENCE OF CELEBRITY ENDORSEMENT IN RESTAURANT PRODUCT PURCHASE DECISIONS MAKING

Abstract

Purpose of the study: The phenomenon of electronic word-of-mouth (eWOM) or word of mouth communication in marketing activities on digital media is one of the most important things in improving the purchasing decision of a product or services. This study aims to analyze the effect of celebrity endorsement on consumer purchase decisions, case studies at Nona Judes Restaurant. Methodology: This research is mixed-method, both qualitative and quantitative. Data collection techniques in this study were interviews and questionnaires that were measured using a Likert scale. The questionnaire was distributed to 100 respondents who were consumers of the Nona Judes restaurant. The data were analyzed using simple linear regression analysis. Main Findings: The results of this study indicate that celebrity endorsement influences product purchase decisions. The contribution of celebrity endorsement variables to product purchase decisions is 25.9%. Researchers concluded that there are several factors considered in selecting endorsers. These factors include big names and experiences, appearance, social media strength of endorsers, and communication skills. Implications: This study is offering suggestions for company management in determining celebrity for product endorsement. The orders of indicators to consider are (1) Power, (2) Credibility, (3) Attraction. Novelty/Originality of this study: This research specifically addresses the role of celebrity endorsement in product purchase decisions in restaurants. This study also produced endorser selection criteria and their indicators, i.e. 1) Power (fame, strengths on social media); 2) Credibility (the truth of information, endorser information skills); 3) Attractiveness (physical appearance, endorser’s characters).