STAR power is all around us.

Everywhere you look, you'll see famous faces on advertising posters telling us what properties to buy, what fashion items to wear, what makeup brands to use, what tonics to take and even what rice to eat.

A recent celebrity endorsement that rocked the local scene is actor Li Nanxing's reported $2m deal to promote the Singapore City Shenyang development in China.

A study last year by a UK-based advertising agency WPP found that 10 years ago, one in eight advertisements may have featured a celebrity endorsement, reported the International Herald Tribune.

Now it is one in four.

Popular as celebrity deals are, do they hold much sway on consumers' purchasing decisions?

In China, it seems they do, and perhaps to an overwhelming extent.

Fudan University advertising professor Yu Zhenwei told the South China Morning Post that while 'there was no accurate data on how much influence stars had on consumers' choices, (but) many mainlanders lacked maturity and believed almost everything in the media'.

This was on the back of recent lawsuits from Chinese consumers against mainland celebrities, including a Beijing fan who sued comedian Guo Degang for promoting a slimming tea. Mr Wang alleged it did not work and the tea was also found to be unlicensed.

Last month, the Consumers' Association in Beijing asked celebrities to be cautious when signing up for brand endorsements. Mr Wang also said stars should be responsible to the public for their deeds.

But are Singaporeans as easily influenced by celebrity endorsements?

MORE DISCERNING

A Singapore Press Holdings survey conducted on more than 2,000 English and Chinese-language newspaper readers last year suggested consumers here are more discerning.

Almost three quarters of those polled said that the presence of celebrities in an advertisement made no difference to whether they were more or less likely to buy a product or service.

And more than half (58 per cent) said having the celebrity factor made no difference to whether they were more or less likely to look at the ad.

Mr Peter Phang, director of public relations firm BrandStory Inc, said: 'Celebrity endorsements may be a better strategy in developing countries. Singapore is a more sophisticated and mature market.

'Compare this to say China, where people are more swayed by celebrities. You put a celebrity on a bottle in China and it will sell.'

Ms Joyce Koh, head of brand development of the BreadTalk group of companies, said most local consumers would like to think they know better than to be influenced by a bunch of stars.

BreadTalk has not used any celebrity yet, but Din Tai Fung has Taiwanese food connoisseur ChenHong as its spokesman.

'In terms of brand value and building image, the more exposed consumers are to the product, the more partial they would be to what the brand offers. But changing consumer perception to consumer preference doesn't happen overnight,' Ms Koh, 31, said.

Still, retailers continue to turn to celebrities.

Auction website eBay Singapore, for example, recently appointed MTV VJ twins May and Choy as its Style Ambassadors.

MrSam McDonagh, marketing and marketplace development director of eBay South-east Asia, said doing the celebrity tie-in is 'to establish credibility or benefit from the star association... or to raise the profile of the company or a brand'.

It's particularly true for organisations with causes that the stars can communicate effectively.

Said a World Vision International spokesman, which has Taiwanese singer Jerry Yen as one of its celebrity ambassadors: 'Celebrities already have the pull factor and, as highly recognisable public figures, they are able to spread the message easily and effectively.

'Their endorsement has the tendency to increase the credibility of the cause they support. It's not only about bringing publicity to the cause. It is also about impacting attitudes and behaviour.'

But celebrity deals may not work for every brand.

Mr Richmond Loo, 24, an artiste manager with Global Home Entertainment, which manages May and Choy, says companies should 'be true to what the brand is' and not adopt celebrity endorsement 'for the sake of it'.

'If your brand has always used real people to sell, suddenly endorsing a celebrity one day will disappoint your faithful customers,' he added.

Celebrities who do endorsements say that beyond just being a pretty face, they add value by injecting a persona into a brand.

ADDING A VALUE

Said local actor Adam Chen, 30, who endorses Swatch: 'The brand is an abstract thing. You need something or someone to characterise it.'

It's also important to match the right celebrity with the product, say industry watchers.

Ms Koh said: 'Celebrities add value and synergy to the brand name - they represent the values and qualities of the brand.'

That's why MediaCorp actress Felicia Chin, 22, believes it is important to be associated with products - Vitagen, SilkyGirl and Whisper - that she herself personally has faith in.

'We hope we help to increase sales, but it's not just about money. It's also about whether we believe in it too,' said Felicia.

And for some consumers, at least, celebrity endorsements do work.

Said Ms Emily Khan, 34, a financial analyst: 'I'm willing to try a brand that is endorsed by a celebrity because it makes it more credible.

'The celebrity's reputation is at stake after all.'