THE EFFECT OF CELEBRITY ENDORSEMENT IN INSTAGRAM FOR LOCAL FOOD BUSINESS ON INDONESIA’S CUSTOMERS ATTITUDE TOWARDS BRAND AND PURCHASE INTENTION

Abstract

Purpose - The purpose of this study is to examine the factors that affect purchase intention toward local food brand in Indonesia mediated by attitude towards brand. Meanwhile, the independent variable in this research is celebrity endorsement with sub-dimensions of expertise, trustworthiness, attractiveness, likability, personality, and familiarity also added with similarity and celebrity match-up congruence with the brand/product. Design/Methodology/Approach – A quantitative research is being conducted by distributing an online questionnaire using Google Form which consists of 50 statements. There were 217 valid responses which being tested afterward. A validity and reliability test were conducted by using statistical software, as well as model-fit, hypothesis testing and R-Square were analyzed by SEM analysis. Findings – The result in this research shows that celebrity attractiveness, celebrity personality and celebrity match-up congruence with the brand have a significant impact on attitude towards brand. It is also found that celebrity similarity with the brand and attitude towards brand have a significant impact on purchase intention of local food brand in Indonesia. Meanwhile celebrity expertise, celebrity trustworthiness and celebrity familiarity don’t have a significant influence on attitude towards brand and purchase intention. Furthermore, it is found that celebrity attractiveness, celebrity personality and celebrity match-up congruence don’t have a significant impact on purchase intention. In addition, celebrity similarity is found to have no significant impact on attitude towards brand. xiv Originality/Value – As far as the author knows, a research study on the effect of celebrity endorsement in Instagram toward local food business in Indonesia with the sub-dimensions of expertise, trustworthiness, attractiveness, likability, personality, and familiarity also added with similarity and celebrity match-up congruence with the brand/product for measuring celebrity endorsement variable as the research framework is the first to be done in Indonesia