Analysis of the Influence of Advertising Creativity, Product Campaigns, and Brand Ambassador Credibility on Customer Loyalty for the Wearing Klamby Brand

 

Andina Tazkiya Nurlibna1, Clarisa Izdiharjati2, Muhammad Givari Arnanda3, Muhammad Aras4, La Mani5

Bina Nusantara University, Jakarta, Indonesia

Email: andina.nurlibna@binus.ac.id, clarisa.izdiharjati@binus.ac.id, muhammad.arnanda@binus.ac.id, maras@binus.ac.id, la.mani@binus.ac.id

 

Abstract

A good marketing communication strategy greatly affects a brand’s customer loyalty, especially when a brand can consistently create a creative and engaging marketing communication strategy to promote their brand and products. This is in line with a brand's ability to create creative advertisements, develop engaging product campaigns, and choose brand ambassadors with good credibility. Therefore, this study aims to know how advertising creativity, product campaigns and brand ambassador credibility affect Wearing Klamby’s customer loyalty. Distributed online Google form questionnaires to 100 audiences who are active on social media, have seen advertisements or campaign content for Wearing Klamby products, are familiar with the brand ambassador for Wearing Klamby, and have previously purchased Wearing Klamby products. All respondents are women who lived in Indonesia and were classified as the middle to upper economic class. After all of the data were collected, they were processed using measurement model evaluation and structural model evaluation. Creative advertisements, engaging product campaigns, and brand ambassadors with good credibility had a significant influence on the level of customer loyalty to a brand. This research found that customer loyalty is significantly influenced by the creativity of advertisements, product campaigns, and the credibility of brand ambassadors.

 

Keywords: Advertising Creativity, Product Campaign, Brand Ambassador Credibility, Customer Loyalty, Wearing Klamby

 

Introduction  

The fashion industry has been identified as one of the dynamic retail industries that tends to experience increasing competition with significant growth potential. The fashion retail industry continues to grow even among tighter competition. As competition strengthens, the relationship between loyalty and competition deepens, especially in retail industries

(Stevens, 2012). Currently, customers are not loyal to a particular fashion brand because they have also been customers of other fashion brands, as each fashion brand has its own distinctive features and unique products.

The development of the fashion industry is not only happening abroad, but it has also been rapidly progressing in Indonesia. Fashion can be showcased on the internet and social media, reaching people worldwide and significantly influencing the development of the fashion era (Qurbani, 2019). With the existence of social media, it makes it easier for customers to search for fashion products that they are interested in (Nofriyanti, 2017). Every company strives to build a good brand image so that the company's brand can be known by many people, and the products of that brand can go global, like the local brand Wearing Klamby, which has successfully entered the international market. Many Indonesian communities follow the development of local brands' products and services and support local brands by buying and wearing fashion from Indonesian local brands (Noor, 2014).

In the past pandemic period, many changes occurred, affecting the economic development in various industrial sectors. One of them is the fashion industry, which experienced a 34% decline in sales. Increasing sales during this pandemic can be achieved through digital commerce. The marketing strategy carried out by fashion brands during the last pandemic has also experienced development, including creating creative advertisements, launching attractive product campaigns, and endorsing celebrities or influencers with good credibility to promote their products. This is also done by the fashion brand Wearing Klamby as one of the local fashion brands that has successfully expanded to the international market. Wearing Klamby, as one of the successful local fashion brands in the industry, often uploads creative advertisements and conducts engaging product campaigns on various social media platforms. Wearing Klamby also often collaborates with several celebrities and influencers to promote newly launched products.

Based on the explanation above, this study wants to show how advertising creativity, product campaigns and brand ambassador credibility affect Wearing Klamby’s customer loyalty.

 

Literature Review

Customer Loyalty

Customer loyalty has considered as an important factor which leads to gain competitive

advantage over other firms under a highly competitive and dynamic environment. It is a multidimensional construct that is built on two components, attitude and behaviour. Oliver (1999) defined customer loyalty as a promise of buyers to purchase particular products, services and brands of an organization over a consistent period of time, irrespective of competitor’s new products and innovations and these customers are not compelled to switch. Loyal customers positively view the organization, endorse the organization to others, and would engage in repurchase (Dimitriades, 2006). Lam (2004) defined customer loyalty as an evidence of the repeated patronage of a service provider and the recommendations of a service provider to other customers. Further, it is considered as the intention of the buyers to make the purchases again and again to build a continuous relationship with the organization (Dick & Basu, 1994).

 

Advertising Creativity

The creativity of advertising is the translation of various information about the product, market, and target consumers into a specific position in communication, which is then used to formulate advertising goals. Thus, from any perspective, creative advertising strategy is inseparable from overall marketing strategy. According to Shimp (2003), creative advertising is advertising that stands out among the majority of advertisements. Advertisements that are the same as other ads or uniform will not be able to captivate the audience but will make them bored. Similar views were also put forward by Prasad (2013), who stated that the use of monotonous and uncreative advertising creates consumer boredom and has an impact on the reluctance of interest in making a purchase. Creative advertisements require workers who have creativity in processing ads, ranging from planning the message, media planning to how to convey the message.

 

Product Campaigns

   Product campaigns are a marketing strategy aimed at increasing consumer awareness and interest in a product or brand. In marketing literature, product campaigns often become the primary focus to achieve sales goals and strengthen brand image. The strategy of product campaign involves the selection of methods and approaches to promote a product. According to (Kotler & Keller, 2016), this strategy includes positioning, differentiation, and branding. The right position in the market can influence consumer perceptions of the product, while differentiation can create added value that distinguishes the product from competitors. On the other hand, branding shapes the product's identity and can influence consumer loyalty. Some studies reveal that product campaigns can influence consumer behavior. According to (Nurcahya, 2014), a strong brand image can shape positive consumer perceptions, motivate purchases, and enhance loyalty. Furthermore, campaigns that create positive experiences can improve customer interactions and build long-term relationships.

 

Brand Ambassador Credibility

   The credibility of a Brand Ambassador reflects the extent to which consumers believe and consider that figure to be reliable as a representation of the brand. According to (McCracken, 1989), the credibility of a Brand Ambassador can be understood through three main dimensions; expert credibility, trustworthiness credibility, and attractiveness credibility. The credibility of an expert is related to the knowledge and expertise of the individual in the context of a specific product or service. Trust credibility is associated with the honesty and integrity of the individual, while attractiveness credibility involves personal charm and charisma. Research indicates that the alignment between the characteristics of Brand Ambassadors and the brand has a significant impact on credibility. This alignment includes similarities in values, lifestyle, and demographic characteristics between the individuals and the target market of the brand (Erdogan, 1999).

 

Method

The creativity of advertisements plays a key role in capturing customers' attention and distinguishing the brand from competitors. According to Xie and Peng (2015), advertising creativity creates a unique and positive experience for customers, which can trigger strong emotional and cognitive responses. Meanwhile, according to Aaker (2014), customers' emotional engagement with a brand can be a key factor in building loyalty. Creative advertising can create emotional connections with customers, deepen the brand-customer relationship, and increase the likelihood of customers remaining loyal.

The study was conducted to obtain complete data about the sample that is considered as part of the population, so it had to use the correct research method. The research method is the general approach that researchers use to complete a study (Williams, 2007).

This study used a quantitative approach with a survey research method. A survey is a systematic method of obtaining information about a sample of an object in order to construct the quantitative attributes of a larger population (Groves et al., 2009).

In collecting data, the researcher use question with a rating scale to measure the respondent's answer. At the same time, the scale used in the questionnaire is a Likert scale.

The researcher surveyed by distributing a list of questions with graded answers strongly disagree – disagree – somewhat disagree – somewhat agree – agree – strongly agree with the lowest scale grade 1 to the highest 6.

With a total of 2,3 million followers of Wearing Klamby instagram account, later based on the Slovin sampling technique, 100 followers were included as research samples. There were particular categories, from 20-54 years old who lived in Indonesia from the middle to the upper class with monthly incomes around less than IDR 3.000.000 to more than IDR 20.000.000.

The Wearing Klamby instagram followers was the target of researchers because it was Customers of Wearing Klamby products, who are active on social media and often see advertisements and campaigns for Wearing Klamby products, as well as being familiar with Wearing Klamby's brand ambassador. Simultaneously, the middle to upper class was chosen as per the segmentation of all fashion products. Indonesia was chosen as the research location because Wearing Klamby is a local fashion brand from Indonesia that has successfully entered the international market.

Questionnaires in the form of Google's form were distributed through Whatsapp, Instagram direct messages, and e-mails because contacts on that three social media were listed and generally active so that the audience could be contacted by the researcher from 16 October 2023 to 31 October 2023.

 

Result and Discussion

Resondent Attributes

A total of 100 respondents who responded to this survey; the proportion of the population aged 26-30 is high. All of the respondents lived in Indonesia. The respondents had varying occupations with varying monthly incomes, with the lowest being less than IDR 3.000.000 and the highest being more than IDR 20.000.000. Demographic characteristics of the respondents could be seen in Table 2.

 

Table 2: Demographic Characteristics of Respondents

 

category

classification

No. of samples

%

Age

20-23 years old

8

8%

 

24-27 years old

45

45%

 

28-31 years old

33

33%

 

32-35 years old

6

6%

 

36-39 years old

5

5%

 

52-54 years old

3

3%

Occupation

Student

12

12%

 

Civil servant

6

6%

 

BUMN Employees

12

12%

 

Private employees

46

46%

 

Entrepeneur

15

15%

 

Housewife

9

9%

Monthly Incomes

< IDR 3.000.0000

2

2%

 

IDR 3.000.0000 - IDR 5.000.000

11

11%

 

IDR 5.000.0000 - IDR 10.000.000

53

53%

 

IDR 10.000.0000 - IDR 15.000.000

19

19%

 

IDR 15.000.0000 - IDR 20.000.000

10

10%

 

> IDR 20.000.0000

5

5%

 

Validity and Reliability Analysis

This research uses SEM-PLS for data analysis to address the research objectives. In SEM-PLS analysis, there are two evaluations that need to be conducted, namely the measurement model evaluation (outer model) and the structural model evaluation (inner model). The measurement model evaluation aims to analyze the validity and reliability of indicators, while the structural model evaluation aims to test hypotheses. First, Table 3 presents the results of the measurement model evaluation calculations to assess the validity and reliability of the research variables.

 

Table 3: Evaluation of Measurement Models

Variable

Indicator

Loading Factor

AVE

Composite Reliability

Cronbach Alpha

Advertising Creativity (X1)

X1.1

0.870

0.732

0.961

0.954

X1.2

0.867

X1.3

0.859

X1.4

0.837

X1.5

0.835

X1.6

0.880

X1.7

0.838

X1.8

0.869

X1.9

0.845

Product Campaigns (X2)

X2.1

0.789

0.686

0.946

0.935

X2.2

0.844

X2.3

0.852

X2.4

0.832

X2.5

0.831

X2.6

0.825

X2.7

0.835

X2.8

0.818

Brand Ambassador Credibility (X3)

X3.1

0.852

0.710

0.924

0.898

X3.2

0.772

X3.3

0.845

X3.4

0.854

X3.5

0.886

Customer Loyalty (Y)

Y.1

0.842

0.749

0.954

0.944

Y.2

0.825

Y.3

0.836

Y.4

0.885

Y.5

0.883

Y.6

0.897

Y.7

0.885

 

Based on the results of the above testing, it is known that for the advertising creativity variable, all indicators are declared valid, as they have loading factors >0.7. The loading factor values obtained range from 0.835 (X1.5) to 0.880 (X1.6). Another validity test that needs to be conducted is convergent validity, which can be observed from the Average Variance Extracted (AVE). The AVE value for the advertising creativity variable is 0.732, which is greater than the threshold value of 0.5, indicating the validity of the advertising creativity construct.

The next step for the reliability of the dimensions is based on the values of composite reliability (CR) and Cronbach's Alpha. The criterion is that if CR and Cronbach's Alpha > 0.7, it means it is reliable. The results obtained for CR are 0.961 and Cronbach's Alpha is 0.954, so both are > 0.7, which leads to the conclusion that the advertising creativity construct is reliable.

For the product campaign variable out of the total eight indicators, all of the indicators are valid, as indicated by the loading factor ranging from 0.789 (X2.1) to 0.852 (X2.3). Meanwhile, the AVE value of 0.686 is greater than 0.5, which means it is valid, and for CR (Composite Reliability) with a value of 0.946 and Cronbach's Alpha of 0.935, both exceeding 0.7, it can be concluded that the product campaign construct is reliable.

For the brand ambassador credibility variable, it is known that all five indicators are valid, as indicated by loading factors ranging from 0.772 (X3.2) to 0.886 (X3.5). Meanwhile, the AVE value is 0.710 (>0.5), indicating validity, and the CR is 0.924, along with a Cronbach's Alpha of 0.898 (>0.7), leading to the conclusion that the brand ambassador credibility construct is reliable.

Next, for the consumer loyalty variable among its total seven indicators, all indicators are valid with loading factors ranging from 0.825 (Y.2) to 0.897 (Y.6). Meanwhile, for the AVE value of 0.749 (>0.5), which means it is valid, and for CR 0.954 and Cronbach's Alpha 0.944 (>0.7), it can be concluded that the customer loyalty construct is reliable.

Furthermore, to demonstrate the validity of the variables, an analysis was conducted using discriminant validity tests. There are two tests that can be used for discriminant validity, namely Heterotrait-Monotrait Ratio (HTMT) and Fornell-Lacker. The following are the results of the HTMT and Fornell-Lacker tests for each research construct.

Table 4: Heterotrait-Monotrait Ratio Test

Variable

X1

X2

X3

Y

Advertising Creativity (X1)

 

 

 

 

Product Campaigns (X2)

0.731

 

 

 

Brand Ambassador Credibility (X3)

0.782

0.813

 

 

Customer Loyalty (Y)

0.777

0.798

0.843

 

 

Based on the results of the HTMT test shown in the table above, it is known that all HTMT values range from the smallest, 0.731, to the largest, 0.843. Thus, there are no HTMT values greater than 0.9. These results indicate that there is no very strong relationship or correlation among the examined constructs, suggesting that the constructs in the study have a good level of discriminant validity.

 

Table 5: Fornell-Lacker Test

Variable

X1

X2

X3

Y

Advertising Creativity (X1)

0.856

 

 

 

Product Campaigns (X2)

0.704

0.828

 

 

Brand Ambassador Credibility (X3)

0.725

0.752

0.843

 

Customer Loyalty (Y)

0.741

0.766

0.781

0.865

 

The Fornell Lacker test (bolded numbers) indicates that for each construct, the Fornell Lacker value is greater than the values below it or the correlation values between constructs. For example, the advertising creativity construct has a Fornell Lacker value of 0.856, which is higher than the correlations between other constructs, namely product campaign with advertising creativity (0.704), brand ambassador credibility with advertising creativity (0.725), and customer loyalty with advertising creativity (0.741). Thus, it can be concluded that the constructs have good discriminant validity.

The next step is to conduct an evaluation to examine the issue of multicollinearity in the research constructs. The occurrence or absence of multicollinearity can be observed through the values of the Variance Inflation Factor (VIF). If the VIF value is <5, it means that there is no multicollinearity issue. The results of the multicollinearity test are presented in Table 6.

 

Table 6: Multicollinearity Test

Influence of Variables

VIF

Advertising Creativity -> Customer Loyalty

2.404

Product Campaigns -> Customer Loyalty

2.618

Brand Ambassador Credibility -> Customer Loyalty

2.788

 

The results of multicollinearity testing for the variables of advertising creativity obtained VIF 2.404, product campaign 2.618, and brand ambassador credibility obtained VIF 2.788. Based on these calculation results, it is known that all VIF values are < 5, so it can be concluded that there is no multicollinearity issue in the examined constructs.

After the outer model evaluation was conducted, the next step involved the evaluation of the structural model. First, what needs to be discussed is the determination coefficient and Q square to determine the extent of the influence of exogenous variables on endogenous ones. The results of the determination coefficient calculations are displayed in Table 7.

 

Table 7: Determination Coefficient Value (R2)

Endogenous Variables

R2

Q2

Customer Loyalty

0.712

0.520

 

The result of the determination coefficient calculation, as presented in Table 7, yielded a value of 0.712. This result indicates that 71.2% of the variation in the customer loyalty variable is influenced by advertising creativity, product campaigns, and brand ambassador credibility. Meanwhile, the remaining 28.8% is influenced by other variables not included in the examined model. As for the Q-Square predictive relevance analysis, a result of 0.520 was obtained, where the result is > 0, indicating that the model has predictive relevance. With a value > 0.35, it means that advertising creativity, product campaigns, and brand ambassador credibility have a strong influence on customer loyalty.

The next step involves an analysis of the goodness of fit criteria to evaluate how well the model performs overall. This means assessing whether the empirical model aligns with its theoretical counterpart. Below are the results of the goodness-of-fit tests.

 

Table 8: Goodness of Fit Results

Indeks

Saturated Model

Estimated Model

SRMR

0,079

0,079

 

The most important criterion for goodness of fit is the SRMR index, where if the SRMR value is < 0.08, it means the model fits well. The test results obtained an SRMR of 0.079 for both the saturated and estimated models. The test results indicate that the SRMR value of 0.079 is < 0.08, so it can be concluded that the model has a good fit, indicating that the empirical model aligns well with its theoretical counterpart.

 

Hypothesis Analysis

Next, hypothesis testing is carried out to prove whether the hypothesis is accepted or rejected. The calculated values include the path coefficient (loading factor), t-value, and significance or p-value, the results of which can be seen in Figure 2 and Table 9.

 

Figure 2: Loading Factor dan P-Values

 

Table 9: Hypothesis test

Hipotesis

Path Coefficients

t-hitung

p-value

Keputusan 

H1: Kreativitas Iklan -> Customer Loyalty

0.264

2.085

0.037

Diterima

H2: Kampanye Produk -> Customer Loyalty

0.315

2.376

0.018

Diterima

H3: Kredibilitas Brand Amabassador -> Customer Loyalty

0.352

3.073

0.002

Diterima

 

The first hypothesis (H1) in this research is related to the influence of advertising creativity on customer loyalty. The path coefficient indicating this influence is 0.264, with a t-value of 2.085 and a p-value of 0.037. The positive path coefficient illustrates a direct relationship, where an increase in advertising creativity results in an increase in customer loyalty. The calculated t-value of 2.085 is greater than 1.96, and the p-value of 0.037 is less than 0.05, thus supporting H1. Therefore, it can be stated that there is a positive influence of advertising creativity on customer loyalty.

The second hypothesis (H2) is related to the influence of product campaigns on customer loyalty. The obtained path coefficient is 0.315, the t-value is 2.376, and the p-value is 0.018. The positive path coefficient signifies that an increase in product campaigns can enhance customer loyalty. With a t-value of 2.376 > 1.96 and a p-value of 0.018 < 0.05, H2 is supported. This means that there is a positive influence of product campaigns on customer loyalty.

The third hypothesis (H3) tests the influence of brand ambassador credibility on customer loyalty. The obtained path coefficient is 0.352, with a t-value of 3.073 and a p-value of 0.002. The positive path coefficient indicates that the better the credibility of the brand ambassador, the higher the customer loyalty. The t-value of 3.073 > 1.96 and the p-value of 0.002 < 0.05, which means that H3 is supported. Therefore, it can be concluded that brand ambassador credibility has a positive impact on customer loyalty.

To answer the fourth hypothesis (H4), based on the HTMT test results shown in Table 4 above, as explained, it is known that all HTMT values range from the smallest at 0.731 to the largest at 0.843. Thus, there are no HTMT values greater than 0.9. This result indicates that there is no very strong relationship or correlation among the constructs under investigation, indicating that the constructs in the study have a good level of discriminant validity. Therefore, it can be concluded that advertising creativity, product campaigns, and brand ambassador credibility simultaneously have a positive influence on customer loyalty.

 

Discussion

The importance of advertising creativity in shaping customer loyalty cannot be overlooked. Creative advertisements not only enhance awareness but also create positive experiences that strengthen the relationship between the brand and customers. With the changing consumer trends and intensifying competition, companies need to continually develop relevant and compelling advertising creativity strategies to maintain and grow a loyal customer base. Some studies Brown (1997) emphasize the role of emotions in advertising creativity. Advertisements that evoke positive emotions or entertain tend to enhance attractiveness and memorability, which, in turn, can shape customer loyalty.

Product campaigns have significant potential to influence customer loyalty through various mechanisms, including effective communication, brand image enhancement, customer interaction, as well as customer trust and satisfaction. The successful product campaign can serve as an effective communication tool between the company and customers. According to (Kotler & Keller, 2016), good communication can build awareness, understanding, and positive perception of the product. When customers feel emotionally or intellectually connected to the campaign message, they are likely to develop loyalty as customers.

Brand ambassador credibility is a multifaceted concept encompassing trustworthiness, expertise, attractiveness, and relatability. Credible ambassadors enhance the perceived authenticity and trustworthiness of the brand, creating a favorable environment for customer loyalty to thrive. Trust is a cornerstone of customer loyalty, and a credible brand ambassador acts as a bridge between the brand and the consumer. Literature suggests that when customers perceive a brand ambassador as trustworthy, they are more likely to trust the brand itself, leading to increased customer loyalty (Erdogan, Baker, & Tagg, 2001). The expertise and authority of a brand ambassador contribute significantly to customer loyalty. Research by Till and (Till & Busler, 2000) (2000) indicates that customers are more likely to develop a sense of loyalty when the brand ambassador is perceived as an expert in their field. This expertise establishes a connection between the ambassador's endorsement and the quality of the brand, positively influencing customer loyalty.

This study and also several studies indicate that the influence of advertising creativity, product campaigns, and the credibility of brand ambassadors is not only separate but also interacts with each other. For example, a study by Wang (2021) found that advertising creativity can enhance the effectiveness of product campaigns, and the credibility of brand ambassadors can strengthen the impact of advertising creativity. Overall, the results of this research indicate that the combination of these three factors can create a strong brand experience, deepening the emotional and rational relationship between the brand and consumers. Consequently, it has a positive impact on customer loyalty.

 

Conclusion

This research found that customer loyalty is significantly influenced by the creativity of advertisements, effective product campaigns, and the credibility of brand ambassadors. These findings suggest that creatively executed advertising activities, effective product campaigns, and support from credible brand ambassadors will have a positive impact on increasing customer loyalty. Therefore, in building customer loyalty, the implementation of high-quality and targeted promotional programs is necessary, especially by considering factors such as creativity and promotional variation through campaign activities and the use of high-quality brand ambassadors.

The findings of this study have important implications for the development of marketing strategies, particularly concerning efforts to build customer loyalty. Companies should invest in developing competent marketing teams capable of creating creative advertisements and organizing targeted product campaign programs. This approach can generate emotional appeal, produce relevant content, ensure smooth multi-channel experiences, and maintain consistent narratives aligned with the brand identity. Additionally, the marketing division is required to carefully select high-quality brand ambassadors, particularly in terms of credibility. This process demands precision and caution to avoid mistakes in ambassador selection. Chosen brand ambassadors should not only meet popularity criteria but also demonstrate integrity and credibility.

This study has limitations, and future research should delve deeper into specific aspects of advertising creativity, product campaigns, and brand ambassador credibility. This may involve examining creative elements and audience segmentation to gain a more profound understanding of the mechanisms driving customer loyalty.

 

 

 

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