IMPACT OF CELEBRITY ENDORSEMENTS ON BRAND REPUTATION IN NIGERIA’S BEVERAGE INDUSTRY

Abstract

The central objective of this study is to investigate the influence of celebrity endorsements on brand reputation within Nigeria’s beverage industry, focusing on urban consumers in Abuja and Lagos. Employing a survey research design, data were collected from 374 consumers of beverages, including Coca-Cola, Pepsi, and 7Up, to assess impacts on brand reputation, consumer trust, and purchase intentions. Key findings reveal that celebrity endorsements significantly enhance brand reputation (60%), with local celebrities like Davido (28% influence) surpassing international figures (5%) due to strong cultural resonance. Social media amplifies these effects (40%), particularly among younger demographics (25–34 years, 29%). Endorsements bolster consumer trust (76%) and purchase intentions (75%), though health concerns (32%) and celebrity scandals (55% reduced trust) moderate effectiveness. Anchored by the Meaning Transfer Model and Match-up Hypothesis, the study underscores the importance of cultural alignment. In conclusion, celebrity endorsements are a potent tool for enhancing brand reputation in Nigeria’s beverage market, provided risks are managed. Recommendations include prioritising local celebrities, leveraging social media platforms, and aligning endorsements with health-conscious values to optimise brand reputation and consumer loyalty, offering actionable insights for beverage firms in emerging markets.