The Effect of Korean Celebrity Endorsement on Perceived Product Quality and Brand Loyalty: Case of Indonesian Skincare Brand in DKI Jakarta

Authors

  • Aisyah Safira Putri Sekolah Tinggi Manajemen IPMI
  • Dr. Leonnard Ong STM IPMI
  • Sasotya Pratama Sekolah Tinggi Manajemen IPMI

DOI:

https://doi.org/10.32924/ijbs.v7i1.258

Keywords:

Celebrity Endorsement, Perceived Product Quality, Brand Loyalty, Indonesian Skincare Brand, DKI Jakarta

Abstract

According to Indonesian Cosmetic Association, the beauty industry in Indonesia has rapidly increased as the number of brands varied. To attract more customers, many local brands adopt a celebrity endorsement strategy with Korean stars. In recent years’ Korean celebrity endorsement has brought the eye of the public and has benefited businesses in increasing the awareness from fans and sometimes even selling out. However, it becomes a concern whether this strategy can bring the intended result and bring actual buying behavior. The purpose of this research is to examine the impact of celebrity endorsement on perceived product quality and brand loyalty among 100 young-adult women exposed to Somethinc skincare brand and NCT who have previously purchased the product in DKI Jakarta. This study uses quantitative analysis with Partial Least Square Equation Modeling (PLS-SEM) to analyze the data. The result of this study shows that Celebrity Endorsement shows a positive relationship with Perceived Product Quality. And
Perceived Product Quality positively affects Brand Loyalty. This study provides empirical evidence that the above-mentioned relationships do exist, and companies can strategically leverage the facts to their advantage and drive customer perceptions of quality and loyalty through the promotion of appropriate celebrity endorsements.

Author Biography

Dr. Leonnard Ong, STM IPMI

Sebagai Praktisi dan Akademisi selama hampir 25 tahun, Dr. Ong memiliki pengalaman luas dan menempati berbagai posisi penting sebagai Vice President di Astra International-TSO, AIA Indonesia, Shell Indonesia, UOB Bank dan Konsultan Pemasaran.

Dr. Ong, saat ini sebagai Director Business dan Training di Frontliner Services, Konsultan Pemasaran yang beraliansi dengan CIM-UK dan CSC-UK. Dr. Ong adalah pembicara profesional dan Advisory Council dari Sekolah Tinggi Manajemen IPMI terutama untuk bidang Industri Jasa Keuangan, Automotive, Perminyakan, Lembaga Pemerintahan dan Lembaga Kebijakan Publik.

Dr. Ong mendapatkan gelar Doktor Ilmu Pemasaran dari Sekolah Bisnis Institut Pertanian Bogor, Master of Commerce dari University of Sydney.

Dr. Ong telah mengikuti program Eksekutif di INSEAD Paris dan banyak courses dibanyak negara seperti Madrid, London, Sydney, Melbourne, Beijing, Shanghai, Geneva, Zurich, Milan, Hong Kong-SAR, Kuala Lumpur dan Singapore.

Saat ini, Dr. Ong fokus terhadap konsultasi, riset dan pelatihan pada topik Sales/service interface, customer service/satisfaction/loyalty, services marketing (sport and event marketing), Consumer Behavior, Loyalty Modeling and Marketing.

Dr. Ong telah mendapatkan Sertifikasi Dosen dari Kementerian Tehnologi, Riset dan Pendidikan Tinggi Republik Indonesia.                                                  No Registration: 17103306801219, tahun 2017

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Submitted

2022-09-12

Accepted

2023-02-16

Published

2023-02-28

How to Cite

Putri, A. S., Ong, D. L., & Pratama, S. (2023). The Effect of Korean Celebrity Endorsement on Perceived Product Quality and Brand Loyalty: Case of Indonesian Skincare Brand in DKI Jakarta. International Journal of Business Studies, 7(1), 28–37. https://doi.org/10.32924/ijbs.v7i1.258

Issue

Vol. 7 No. 1 (2023): International Journal of Business Studies

Section

Articles

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