We live in a world where athletes and celebrities have a major influence over the purchasing power of a consumer. However, branding and incorporating celebrities in an upcoming launch or campaign can be a company’s best or worst decision. Studies have shown that signing a celebrity as an endorser of your brand will not only increase sales but build brand awareness and loyalty among consumers. A prime example of this is Tiger woods and Lebron James. Once Nike signed Tiger Woods in 1996, Nike saw a $50 million dollar increase in the sales of golf balls until 2002. As for Lebron James, he has been able to propel himself into a different league averaging over $200million dollars in sales of his exclusive brand annually. As a company, deciding whether or not to invest in a celebrity as a way to create a “Marketing Buzz” or build brand awareness, it is important to consider both the pros and cons that come with celebrity branding as a way to market a brand, service, or product. Let’s dive deep into its impact on the Experiential Marketing realm.
Is he or she worth the investment?
If you are considering whether or not to invest in acquiring a celebrity to represent your brand you must first identify what the goals and objectives are both short and long term for the brand. If a celebrity is being bought in for a short period of time to build brand awareness and connect consumers to the product or service, then knowing and understanding their buying power is crucial. Doing your research is key and knowing if the celebrities’ goals, morals, and values line up with your company’s must be taken into heavy consideration. As a client, you want to ensure that the individual representing your brand is also a representation of your brand in their day to day life. Professionalism is very important and if you have a celebrity scheduled to make appearances and they are never there or always running late, then the impression that you are leaving consumers and potential consumers will be a negative one. As a client, do your research and be sure to ask honest questions. If your gut or instinct is telling you to move away from a celebrity don’t ignore it. Nike learned a hard lesson with Tiger Woods in 2013 when the company lost a reported $5-12billion due to his personal scandals and life issues. Now, with the return of Tiger Woods to a major Championship in 2019, where will the profits for Nike & Tiger exceed to?
Does it make sense for our brand?
As a client, you must also establish if it makes sense from a financial and business standpoint to endorse a celebrity. Be sure to identify if a celebrity has alliances with prior brands. This is extremely important if you are looking to acquire a celebrity for the same services they were previously contracted for. Considering a celebrity that has many endorsements may damage the creditability of your brand so it’s important to consider all factors and risks involved. If you’re a brand that promotes a healthy lifestyle, then it’s important that you find a celebrity that also abides by the same principles and lifestyle themselves. It will make the communication easier and the individual will be more appreciative that you as a brand took the time to appreciate their lifestyle. Always be aware of how your brand will be perceived by consumers.
How else can we incorporate them into our branding?
In the Experiential Marketing field, programs are designed and executed annually which have celebrity endorsers at the forefront. As managers for various experiential marketing campaigns, consumers would pose the question all the time: “Will this celebrity be coming today? “ Or I would love for (blank celebrity) to come out and surprise my son today”. Consumers identify and connect with celebrities in a way which speaks volumes to the brand. Therefore, as a Fortune 500 company or business, connecting those celebrities with the consumers on a routine basis is vital for brand recognition. This principle can be most commonly applied at sporting, and charitable events. This allows consumers to connect with them in a tangible way that speaks volumes outside of a traditional TV or internet video campaign. Another way to incorporate celebrities into a marketing campaign is through social media marketing. In a world where technology and social media influence many by the masses, having a celebrity which has a strong social media following can increase sales. Many Fortune 500 companies identify these celebrities as influencers and are now paying mid-level and reality show celebrities to post updates and experiences with their brands /and or product.
Before considering any celebrity for any brand or product you are endorsing, be sure that you consider the pros and cons that come with celebrity branding. If you need any assistance with celebrity pairing, lifestyle and PR events, send us a message in our contact section.