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Page 1: Integrated Marketing Communications

Integrated Marketing Communications

The use of Testimonials in the Marketing Campaign ‘Porsche Design’

Table of contents

1 Introduction of the perfume ‘The Essence’ from Porsche Design 1

2 Selection of an advertising appeal type and its planning principles 1

2.1 Identification of an advertising appeal type in the marketing campaign 1

2.2 Mission and objectives of identified advertising appeal type 2

3 Literature review into an identified area 3

3.1 Carry out the literature review into a specified area 3

3.2 Collecting and reviewing of findings 3

4 Critical Analysis of findings 5

4.1 Interpretation of appropriate qualitative data 5

4.2 Reflection of findings and approach to an agreed theory 5

5 Application of theoretical concepts and conceptual models 7

5.1 Contrasting theoretical theory and practical advertising methods 7

5.2 Review and Verification of a testimonial concept 8

6 Conclusion and recommendation with its limitation 10

7 Appendices 1-7 12

8 Bibliography 19

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1 Introduction of the perfume ‘The Essence’ from Porsche Design

Porsche Design Group (Porsche Lizenz- und Handelsgesellschaft mbH & Co. KG),

based in Bietigheim-Bissingen, Germany, was founded in November 2003 by as a

majority-owned subsidiary of Porsche AG. Numerous classic men’s accessories

were created and marketed worldwide under the ‘Porsche Design’ brand. One of

these accessories was perfumes, named ‘The Essence’ (Porsche Design 2010).

2 Selection of an advertising appeal type and its planning principles

Since perfumes are products, which exist in countless variations and were

successful marketed by famous and established companies in the past, it

recommends a study of an advertising appeal type investigating its promotional

appeal and best marketing approach in a marketing campaign.

2.1 Identification of an advertising appeal type in the marketing campaign

Brands enable customers to readily identify their favoured products and marketers

to more easily communicate their advantages. Effectively creating a well-

differentiated and memorable image for the brand is a core requirement for a

marketing-oriented organisation (Dibb et al. 2006). A perfume is a product, which

mainly convince consumers by its distinct fragrance and thus makes it difficult to

enter a wide scope of customers. As questioned by DigitalTonto (2010), ‘Why do

we buy some things and not others? Ultimately, it’s not about promoting brand

awareness, but building the right types of associations. Taken into consideration

that the name ‘Porsche Design’ is linked with exclusive, fast and extraordinary

sport cars, it might be beneficial questioning an existing association with the

perfume ‘The Essence’ by the usage of testimonials.

The idea behind testimonial advertising is that a prospective customer may be

favourably influenced to try a product when it has been praised by another impartial

consumer, or by a known personality whom the consumer may wish to emulate

(Answers.com 2010). Based on given brand ‘Porsche Design’ and the fragrance

‘The Essence’, following structure is recommended to study the use of testimonials

and its advertising appeal linked to the perfume.

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2.2 Mission and objectives of identified advertising appeal type

Since marketing of perfumes has a long history and various advertising methods

were used already, their consumer attitudes and behaviours in regard to the use of

testimonials suggest a procedure which includes various analyses excerpted from

the literature, its critical analysis, and after the application of conceptual models,

the outlook and suggested solution.

Literature Review:

What are the general sayings in the literature about the use of testimonials in

advertising? A general overview about various kinds of testimonials in advertising

will be a reasonable start. Then, sources like articles, journals and books about

perfumes or fragrances in combination with testimonial persons would reveal new

insights into dedicated themes. Furthermore, existing data about advertising appeals

of testimonials enables then a solid basis for conducting a critical analysis.

Critical Analysis of findings:

A critical review begins with an analysis or exposition of the reading, article-by-

article, book by book. Each analysis should include the following points: A

summary of the author's point of view, including a brief statement of the author's

main idea (i.e., thesis or theme); an evaluation of the author's work, including an

assessment of the ‘facts’ presented on the basis of correctness, relevance, and

whether or not pertinent facts were omitted (Essay Info 2010).

Application of theoretical concepts and conceptual models:

Business Dictionary (2010) suggests a conceptual model is a descriptive model of a

system based on qualitative assumptions about its elements, their interrelationships,

and system boundaries. It supports the bridging of a theoretical approach to the

practical application of testimonials. Theoretical models may submit furthermore

considerations in terms of benefits, limitations and appropriate use of testimonials.

Development of a solution/conclusion:

Consequently, after having reviewed the literature on testimonials in advertising

and critically analyzed the findings, and applying theoretical models, the

solution/conclusion approach would then suggest the appropriate use of

testimonials in the marketing campaign of ‘Porsche Design’ to increase the

effectiveness in sales calls.

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3 Literature Review in an identified area

A literature review discusses published information in a particular subject area. It

can be just a simple summary of the sources, but it usually has an organizational

pattern and combines both summary and synthesis. A summary is a recap of the

important information of the source, but a synthesis is a re-organization, or a

reshuffling, of that information. It might give a new interpretation of old material or

combine new with old interpretations. And depending on the situation, the literature

review may evaluate the sources and advise the reader on the most pertinent or

relevant (The Writing Center 2007).

3.1 Carry out the literature review into a specified area

Advertising strategies used to influence consumers' attitudes towards brands and

products have frequently involved the use of vivid information such as television

and other pictorial media (Kisielisu and Sternthal 1984). This is based on the

general assumption among many advertising scholars and marketing professionals

that increasing the vividness of a message enhances its persuasiveness. According

to Nisbett and Ross (1980), ‘information may be described as vivid, that is, as

likely to attract and hold our attention and to excite the imagination, to the extent

that it is: (a) emotionally interesting, (b) concrete and imagery- provoking, and (c)

proximate in a sensory, temporal or spatial way’. To understand the methodology

and experiences of using testimonials presently and in history, the literature review

consists of exploring the literature for such cases and of collecting relevant data

from various branches and their opinions about testimonials appeals.

3.2 Collecting and reviewing of findings

A typical user testimonial generally has a satisfied ordinary customer discuss

his/her own experiences with the brand and the benefits of using it (Belch and

Belch 1998). This person is neither a celebrity nor an expert but rather an average

user speaking for the brand (O'Guinn et al. 2000). According to Belch and Belch

(1998), many businesses prefer to have their messages delivered by way of

testimonials where consumers praise the product or service based on their personal

experience with it. Although there is some work on the effectiveness of ‘typical

user’ testimonial ads in traditional media (Atkin and Block 1983), there is little if

any empirical data on the effectiveness of audio/video testimonial ads. Recent

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surveys demonstrate that because consumers are likely to trust, believe, and have

confidence in the words of a satisfied customer, typical-user testimonial ads given

by satisfied customers are extremely effective (Raphel 1997). Appiah (2006) has

represented one of the first studies to examine multimedia testimonial

advertisements on commercial Web sites and their impact on browsers' evaluations

of and intentions to purchase an online product. The results from this study suggest

that companies would benefit from incorporating multimedia testimonial ads on

their retail Web sites. The findings demonstrate that browsers identified more

strongly with characters on a site featuring audio/video testimonial than they did

with characters on a site featuring text/picture testimonials. Based on Hassett

(2006) is the hardest step with new clients to get their time and attention. He

suggests three things you can do to collect and use testimonials to increase the

effectiveness of sales calls, request testimonials, maximize credibility, and call

attention to testimonials (Refer to Appendix 1 for the excerpt of testimonials sells).

Although testimonials are not only used for advertising methods, Kerr (2009)

suggests general behaviors, like ‘narrow your scope, keep it credible, and don’t be

shy’, in maximization the effectiveness of testimonials (Refer to Appendix 2 for the

Excerpt of ‘Three keys to maximizing the effectiveness of testimonials’).

Renfrow (2008) emphasized that it is not easy to get recognition in an oversaturated

beauty and personal care market. So how are companies helping products to stand

out? For many marketers, it is about telling the product's story, highlighting

multiple benefits, showcasing testimonials and promoting its luxury through direct

response. “As media formats have changed and consumers seek their own research

before going to the store or making a purchase online, I think direct response is a

good way for manufacturers to take their messages to consumers,” she says.

Testimonials are not limited to TV. Many cosmetics and skincare lines have

testimonials from real consumers on their Web sites and opportunities to interact

with customers who have already used the product. There are endless blogs on the

Web, some led by product manufacturers and others created from a consumer's

home computer (Renfrow 2008). In contrast, Cebrzynski (1999) illustrated in his

article the use of testimonials in a 30 sec TV-spot, where Company Arby’s stated,

that they believe in a long term sales growth due to celebrities in their promotions.

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4 Critical Analysis of findings

Having gathered and investigated relevant information from several journals, books

and articles, the interpretation enables a summarization of founded data yet.

4.1 Interpretation of appropriate qualitative data

The research in a wide field discussing testimonials in various applications does not

suggest a procedure, which is recommended to be the only way of success. But

rather it provides a scope how to approach a campaign for a perfume in an

oversaturated market. Cebrzynski (1999) expressed the appeal of testimonials by

celebrities in television spots, whereas Appiah (2006) has evidences that

commercial ads by Web sites featuring audio/video testimonial demonstrate a better

identification than characters on a site featuring text/picture testimonials. Belch and

Belch (1998) and O'Guinn et al. (2000) identified that testimonials appeal are not

necessarily related to celebrities, but rather it can be an average user speaker of the

brand as well. Furthermore Renfrow (2008) emphasized, that direct response to get

manufacturer’s message to the consumers implies their involvements. Testimonials

from real consumers enable interactions on their Web sites with them. Beside

current interactions via the Web, Renfrow (2008) highlighted the shopping through

QVC and similar channels. An infomercial is a perfect way to see the "before-and-

after" of any beauty product. Although a perfume is not a product which is seeable,

however, it is the transmitted emotional appeal by testimonials.

Are these findings sufficient and appropriate in order to develop a theoretical

approach? The critical reflection of the findings may verify it.

4.2 Reflection of findings and approach to an agreed theory

In consideration of current multimedia capabilities, starting by internet, goes further

to various advertising channels and short spots in almost every television channel,

the challenge for a marketing campaign is how to get consumers interested for your

campaign in an oversaturated market? We have discussed some general methods,

like Web sites featuring text/picture testimonials by average speakers, direct

response by real consumer in infomercial advertising channels e.g. QVC, and the

recommendation to follow some basic testimonials rationales. However, since the

perfume ‘Porsche Design’ does not express direct emotional appeals, which may

convince targeted consumer at once (Refer to Appendix 3 for the perfume ‘The

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Essence’); intensification of the campaign by associated celebrities would increase

the sales effectiveness as stated by Callahan (2008). You have to capture people's

attention and then hit them with a sales message sooner or later. As advertising

great David Ogilvy pointed out, "You cannot bore people into buying your product.

You can only interest them in buying it." And that is what the winners in the BtoB's

Best Creative all have in common: They are all skilled at attracting the interest of

prospects. And for the most part, even if they are relying on the Internet and other

technologies, these ads use very traditional means of attracting attention and

persuading prospects to buy a product or service or brand.

Based on Callahan (2008) who has cited various winner articles (Refer to Appendix

4 for excerpts of celebrity testimonials) and though it is mostly related to B to B

advertising, the common message of using celebrity testimonials is that celebrity’s

characters are easily associated with the advertised product. The message in case of

Tiger Woods was to make other companies perform like the world's greatest golfer,

hence luring customers into buying their products. In combination with a strong and

emotional slogan: 'We Know What It Takes to Be a Tiger’, the campaign of

Accenture convinced and was praised to have used a celebrity testimonial better

than others.

Consequently, the theory to effectively approach testimonials promotion for a

perfume has been widely discussed. Next, we build a bridge between practical and

theoretical application in order to develop a final conclusion with its benefits,

limitations and appropriate usages.

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5 Application of theoretical concepts and conceptual models

The SWOT analysis is a situation analysis in which internal strengths and

weaknesses, and external opportunities and threats are closely examined to chart a

strategy (Business Dictionary 2010).

5.1 Contrasting theoretical theory and practical advertising methods

The SWOT model as depicted in table 1.1 is an appropriate tool to combine internal

factors, which were dedicated to the perfume itself and expressed in presented

creative strategy (Refer to Appendix 5 for an excerpt of ‘ATH2 Agency’s’

presentation), with external factors in regards to the use of testimonials, and thus

being considered to be incorporated theoretically. Evaluated external attributes are

the extracted findings of the literature and adapted in regards to the perfume. It

enables a compacted view on the advertising direction and offers a possible

guideline at bridging the gap between theory and practice.

Table 1.1 SWOT Analysis dedicated to advertising appeals

Internal: External:

Strengths:

High product value – “dealing” with positive Image of Porsche

Brand extension of existing & appreciated automotive concept, “Porsche becomes affordable”

Speed, luxury, exclusivity – emotional value added

Colour style reflects freshness (blue) in combination with already known brand characteristics and luxurious image (black colour, coolness, dominance, exclusivity)

Opportunities:

Enhance sales calls via the direct response method in infomercials e.g. QVC by using real consumer as testimonials

Use of celebrity testimonials in television in short spots

Presence on Web-sites featuring text/picture testimonials

Keep and increasing audience by maximization of credibility

Weaknesses:

Too strong appeal towards the Porsche car

Association link from brand Porsche to perfume does not convince sufficiently

Appeal targets high involved consumer, while low involved might be in distance due to the association of high costs

Impact of advertising appeal does not create an image in the mind of the consumer and distinct it from other brands

Threats:

Non-response of audience due to

overflowing information by infomercials

High costs and the risk of potential backlash

due to the use of too famous celebrities

Threat of transmit the notion attempting to

manipulate the audience

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What are the recommendations for the advertising campaign derived from the

SWOT analysis?

Taken into consideration the internal strengths in combination with the external

opportunities, then it becomes obvious to make usage of the brand ‘Porsche’, which

is linked with speed, luxury and exclusivity. All the more that it becomes affordable

for regular people, would suggest transmitting those attributes to typical-person

endorsers, whose advertising appeal expresses an athletic body, smart appearance

and exclusive status within the society. On the other hand, celebrities in association

with Porsche, for instance, a race driver or actors, famous sportsmen etc might bear

the risk to have concentrated the focus of the advertising campaign too much onto

the car instead of bringing the perfume in forefront. Therefore celebrity testimonials

may be an opportunity, however, it should be prevented to match up with the brand

‘Porsche’. Another aspect concerns the involvement of consumers who have not

experienced the perfume itself and thus are not familiar with the quality of the

scent. This would suggest considering the direct response in infomercials, since the

perception of a fragrance is depending on individual’s character and the benefits of

the scent could be easily influenced through real consumer testimonials and short

television spots. Hence, the bridging of internal with external factors recommended

applications for the appropriate use of testimonials. Its evaluated concepts are

subject to be reviewed and verified next.

5.2 Review and Verification of a testimonial concept

Shimp (2007) investigated the role of endorsers in advertising divided in celebrity

endorsers and typical-person endorsers. He outlined that celebrity endorsers like

television stars, movie actors, famous athletes, and even dead personalities are

widely used to endorse products. Although advertisers are paying huge salaries, for

the most part, such investments are justified. In contrast, the benefits of typical-

person endorsers being much less expensive than celebrities, and avoid the potential

backlash from using ‘beautiful people’ who may be resented for possessing atypical

physical attractiveness or other individual traits. He demonstrated that two general

attributes credibility and attractiveness, contribute to an endorser’s effectiveness,

which he simplified with respect to endorsers characteristics into the acronym

TEARS (Refer to Appendix 6 for the Five Components in the TEARS Model).

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Beside the contribution to the endorser’s effectiveness, Shimp (2009) identified the

importance ratings of various factors in terms of whether an endorsement will

influence consumer’s opinions of an endorsed product. This overview gives an

indication of factors being applied in determining testimonials attributes used for

the Campaign. Hence, its relevant factors in association with the perfume were

compared to the practical approach and thus explicit highlighted (Refer to

Appendix 7 for the Endorser-related factors).

We have taken into account the internal strengths and weaknesses of ‘The Essence’

and discussed its opportunities and threats by contrasting testimonials in various

applications. Furthermore, endorsement factors which enable the selection of

appropriate testimonials were depicted, so that we are able yet to approach a

conclusion and recommendation with its limitations for the marketing campaign.

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6 Conclusion and recommendation with its limitation

Based on Callahan (2008) who emphasized to use celebrities in order to enhance

the effectiveness of sales calls and the statement of advertising great David Ogilvy

‘You can only interest them in buying it’, recommend by all means celebrity

testimonials. However, the usage of celebrities is not necessarily linked with top

celebrities, since consumer’s association with the product is influenced by

credibility and attractiveness attributes, as explained by Shimp (2007) and Belch

and Belch (1998) and O'Guinn et al. (2000). All the more, as seen in the case study

(Refer to Appendix 4) the use of top celebrities requires a very strong slogan being

successfully in convincing consumers, otherwise it may cause a potential backlash

and the risk of too high costs as cited by Shimp (2007).

Consequently, it suggests the use of celebrity testimonials selected according to the

TEARS model and further being contrasted and chosen by application of the

endorser-related criteria (Refer to Appendix 7). Having identified and selected the

celebrity testimonials, which media shall be used for the promotion most

effectively? Renfrow (2008) highlighted the shopping through QVC and similar

channels, Cebrzynski (1999) expressed the appeal of testimonials by celebrities in

television spots, whereas Appiah (2006) has evidences that commercial ads by Web

sites featuring audio/video testimonial demonstrate a better identification than

characters on a site featuring text/picture testimonials.

Conclusion and recommendation:

The marketing campaign ‘Porsche Design’ suggests the incorporation of celebrity

testimonials attributed as discussed. Furthermore, it is recommended to use two

promotional TV channels. One being television spots in regular TV channels and

spots in You Tube by using testimonials facilitating attributes like, ‘Doesn’t use

drugs, Is good role model for kids, Is/was very successful in his/her sport’ and the

other by using typical-persons testimonials in QVC or other channels facilitating

attributes like ‘Has never been arrested, Has a good family life, Actually uses

product in real life’. Beyond the television presence, celebrity testimonials as used

for TV spots, being appropriate for commercial ads in Porsche Web sites featuring

audio/video spots in contrast to the Porsche car. It does not suggest the ‘only way’

advertising campaign, but rather the differentiation approach.

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Limitations:

This study does not take into account those real-world situations in which a user is

on a site with multimedia testimonials and fails to remember for testimonials and its

product. Furthermore, a bulk of consumers watching television daily are mostly fed

up by overloading and irritating advertising spots, and mainly busy with switching

between program channels. In a world, where the real needs of consumer is

satisfied and offerings are available in various models and specifications, attracting

low involved consumer is a big challenge. This study aimed in particular the

advertising appeal to men’s and indirect to women’s, and has identified possible

means to place an advertising campaign best as possible.

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7 Appendices

Appendix 1

Excerpt of ‘Testimonials Sells’

THE HARDEST STEP WITH new clients is often the first one: getting their time

and attention. Testimonials from satisfied customers can help you to take this first

step. Some might think that testimonials are becoming less effective, but research

suggests otherwise. One study of the effectiveness of ads showed that "celebrities

play a major role in two-thirds of the 20 most-remembered TV ads." Testimonials

can still be powerful even when they come from the very people who are selling;

however, as a general rule, I would not recommend writing your own testimonials.

Here are three things you can do to collect and use testimonials to increase the

effectiveness of sales calls,

1. Request testimonials.

Even when you have many customers who love your product or service, it can be

hard work to get good quotes from them. The key is to make it easy for customers

to give you useful quotes.

2. Maximize credibility.

To maximize the credibility of the quotes, you should include each person's full

name and title. This may lead you to focus on the customers with the most

impressive titles and affiliations. You definitely want to aim high.

3. Call attention to testimonials.

If your product literature already includes testimonials, call attention to them.

(Hassett 2006)

Appendix 2

Excerpt of ‘Three keys to maximizing the effectiveness of testimonials’

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That is why you should be using testimonials as part of your overall sales strategy.

Here are three important points to consider when using testimonials. Narrow your

scope

Before you collect or use testimonials, it is helpful to clarify what purpose you want

them to serve. If you are encountering prospects with a lot of trepidation about cost

overruns, for example, you will want to solicit testimonials from customers who

can talk about how you got their projects completed under budget. If your company

is young and less established than your competitors, seek out testimonials from

customers who will laud your expertise and knowledge ability.

Keep it credible

When a customer gives you a testimonial, make sure that you have as much

identifying information as possible. "Joe Smith. Acme Corp." seems fine on the

surface, but it's nowhere near as powerful as "Joe Smith, IT Director, Acme Corp.,

25-year industry veteran, customer since 1998." Details help your prospects

measure their own expectations against what your existing customers are saying.

Don't be shy

Use testimonials often and consistently. Consider using a testimonial as the first

page of every proposal you send out, or lead your presentations with a strong

statement from a customer. Another possibility: Use a quote from a satisfied

customer as your e-mail signature line. Just remember to change the quote

frequently.

(Kerr 2009)

Appendix 3

Porsche Design ‘The Essence’

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(Source Porsche Design 2010)

Appendix 4

Excerpts of celebrity testimonials

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Tiger Woods

Another winning campaign, Accenture’s "We Know What It Takes to Be a Tiger,"

used the celebrity endorsement technique. In this case, Accenture's alignment with

Tiger Woods is excellent marketing in that the company uses Woods to show that it

is not only like Woods in the consulting industry, it knows how to make other

companies perform like the world's greatest golfer (not on the course, but in their

markets) with this campaign, Accenture was recognized for online campaign and

integrated campaign.

Even if the execution of this marketing campaign was akin to that of a weekend

hacker, it still would have worked. That's because Accenture understands its

audience of business executives and how to use Tiger Woods to speak to that

audience. The world's greatest golfer is presented as a hard-working paragon of

excellence, and he defines the aspirations of both Accenture and its potential

customers. That said, the execution of this campaign, whether on TV, in print,

outdoor or online is uniformly flawless. The TV spots have a touch of humor; the

photography in the print and outdoor executions is excellent; and the online banners

have intriguing rich media action of Tiger dropping putts. The campaign also does

the basic blocking and tackling (chipping and putting?) by driving potential

customers to a Web site for Accenture research. And by the way, the hidden part of

this campaign, which actually may be the most important, is that top Accenture

customers can get face time with Tiger.

Online Campaign

These online banners ads featuring Tiger Woods (even though they don't show the

limp he overcame to win the US Open this year) are cool, no other way to put it.

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These ads continue the same basic message that Accenture has communicated in its

'We Know What It Takes to Be a Tiger" campaign: The consulting firm knows how

to deliver "high performance" for its clients. One of these rich media banners

depicts Woods standing over the golf ball and ready to swing as copy is

superimposed: "Thinking inside the box: 20%." Then Woods swings and the ball

rockets toward the viewer and appears to shatter the computer screen into tiny

pieces. Then new superimposed copy appears: "Breaking out of the box 80%."

Then the screen goes red and new copy appears as Accenture asks viewers to

download research the company has compiled: "Click here to see insight from our

research and experience, including our study of over 500 high performers."

Accenture and Woods are a perfect fit. The consulting firm uses the golfer better

than Buick and even better than Nike

(Source: Callahan 2008)

Appendix 5

Excerpt of Creative Strategy within the Presentation elaborated by the ‘ATH2

Agency’

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(Source: ECBM presented by the ‘ATH2 Agency’)

Appendix 6

Five Components in the TEARS Model of Endorsers Attributes

T = Trustworthiness the property of being perceived as believable,

dependable – as someone who can be trusted

E = Expertise the characteristics of having special skills,

knowledge, or abilities with respect to the endorsed brand

A = Physical attractiveness the trait of being regarded as pleasant to look at in

terms of a particular group’s concept of attractiveness

R = Respect the quality of being admired or even esteemed due

to one’s personal qualities and accomplishments

S = Similarity the extent to which a endorser matches an audience

in terms of characteristics pertinent to the endorsement relationship (age,

gender, ethnicity, etc.)

(Source: Shimp 2007)

Appendix 7

The importance of various endorser-related factors on consumer’s opinion of product

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Endorser-related factors % of respondents rating factor

Doesn’t use drugs 66

Is good role model for kids 64

Has never been arrested 54

Has a good family life 51

Actually uses product in real life 49

Is/was very successful in his/her sport 36

Plays/played sport I followed 30

Plays/played for one of my favourite teams 30

Is religious 27

Has been playing or played the sport for a long time 25

Is someone I would like to be 21

Was born in America 12

Is hottest new star in his/her sport 14

Is good looking/stylish 13

Is same gender as me 8

Came to America from another country 3

(Source: Adapted from Shimp 2007)

Remark: Yellow marked attributes indicate characteristics important for

testimonials in association with ‘The Essence’. Those attributes were identified and

derived from the practical approach elaborated by the ‘ATH2 Agency’

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