ManagementParadise.com : Worlds Leading Management Portal. MBA | Classroom, Boardroom and Beyond


Go Back   ManagementParadise.com Forums - Your MBA Online Degree Program and Management Students Forum for MBA,BMS, MMS, BMM, BBA, students & aspirants. > BMM Paradise - Bachelors in Mass Media > BMM Paradise for Bachelors in Mass Media > Introduction to Advertising

Negative impacts of Celebrity Endorsement on the brand

Negative impacts of Celebrity Endorsement on the brand

Discuss Negative impacts of Celebrity Endorsement on the brand within the Introduction to Advertising forums, part of the BMM Paradise for Bachelors in Mass Media category; More often talked about is the extreme usage of a celebrity called 'lazy advertising', that is inadequate content masked by ...

Reply

 

LinkBack Thread Tools Display Modes
Advertisements
Negative impacts of Celebrity Endorsement on the brand
Old
 (1 (permalink))
Abhijeet S
abhishreshthaa is a splendid one to beholdabhishreshthaa is a splendid one to beholdabhishreshthaa is a splendid one to beholdabhishreshthaa is a splendid one to beholdabhishreshthaa is a splendid one to beholdabhishreshthaa is a splendid one to beholdabhishreshthaa is a splendid one to behold
 
abhishreshthaa
Operations Manager at Management Paradise
Management Paradise Guru
 
Status: Offline
Posts: 7,045
Join Date: May 2010
Negative impacts of Celebrity Endorsement on the brand - October 15th, 2010

More often talked about is the extreme usage of a celebrity called 'lazy advertising', that is inadequate content masked by usage of a celebrity15 . A good example is the use of Boris Becker by Siyaram and Steve Waugh by ANP Sanmar. Also as said earlier, associating with a star, in itself does not guarantee sales. There is also the fear of Brand-celebrity disconnect which points out that if the celebrity used represents values that conflict with the brand values, the advertising would create conflict in the minds of the target audience.



Clutter in brand endorsements is very prominent these days and such kind of over-exposure can be bad for the brand as the recall value drops by a huge margin. A popular drawback of celebrity endorsement is the 'Vampire Effect' or the celebrity overshadowing the brand16. Some viewers forget the brand that a celebrity is approving. Others are so spellbound by the personality of the celebrity that they completely fail to notice the brand being advertised. Two new drawbacks can be seen these days what marketers call Celebrity Trap and Celebrity Credibility17.


Celebrity trap is when the celebrity becomes an addiction for the marketing team and the task to find substitutes becomes more and more difficult, leading to surfeit of celebrities. Celebrity credibility refers to skepticism by the consumers regarding the celebrities, especially when there is anything negative regarding the celebrity associated with the brand in the news, then brand is bound to be affected. For example, Air Jordan's generated revenue sales of $130 million in the first year. The sales dropped miserably in the second year when Jordan missed 62 games due to a broken foot18. Another main worry of the advertisers is that their celebrity endorser would get caught in a scandal or an embarrassing situation.


Multiple product endorsement also has a negative impact on customers' purchasing intentions. Tripp et al.19 investigated the effects of multiple product endorsement by celebrities on customers' attitudes and intentions. They found that the number of products a celebrity endorses negatively influences consumer perception of the endorser and the advertising itself. It was suggested that when as many as four products are endorsed, celebrity credibility and likeability, as well as attitude towards the ad, may attenuate.


Superstar Amitabh Bachchan endorses multiple brands like Pepsi, Mirinda, ICICI, BPL, Parker pens, Nerolac, Dabur, Reid & Taylor, Maruti Versa, Hajmola, Tide, Cadbury and a few social messages. It has worked in some cases, while in some cases it has not. D. K. Jain, Chairman and President, Luxor Writing Instruments Pvt. Ltd, the marketer of the Parker brand said, "Using Amitabh Bachchan as our brand ambassador has helped in strengthening our brand image and recall within the target audience". Tarun Joshi, Communications Custodian, Reid & Taylor said, "Amitabh Bachchan is an icon with universal appeal and has helped us to reach out to the real 'Bharat.' In fact, agents and retailers have told us that already customers have started asking about the 'Amitabh wali suiting.'" Incase of Nerolac Paints, which was endorsed by Amitabh Bachchan, around 80% of the respondents when asked to associate Bachchan with any paint, did so with Asian Paints, which is the biggest competitor of Nerolac20.



The budget or cost is an important factor for celebrity endorsement21. Depending on the status of the celebrity, remuneration could run into millions of rupees for several years or may also include a profit sharing plan. For example when S. Kumar's used Hrithik Roshan for their launch advertising for Tamarind, they reckoned they spent 40 - 50 per cent less on media due to the sheer impact of using Hrithik. Sachin's endorsements got him $18 million over five years. When Aamir first endorsed Pepsi in 1995, he received Rs 17 lakh for it; his Coke commercials in 1999 got him Rs 2 crore. Hrithik Roshan in his highflying days reportedly made over Rs. 20 crore in endorsements and events by 200122.
Advertisements


Help Others > Network > Grow


Work with us part time/full time as forum moderator. Email us your resume on careers @ managementparadise.com PLS PRESS THANKS BUTTON IF U LIKED MY POST.

Friends: (0)
Reply With Quote
Related to Negative impacts of Celebrity Endorsement on the brand
 

Similar Threads

Thread Thread Starter Forum Replies Last Post
Positive Impacts of Celebrity Endorsement on the Brand Abhijeet S Introduction to Advertising 0 October 15th, 2010 12:33 PM
Negative impacts of Celebrity Endorsement on the brand Sunanda K. Chavan Marketing Management ( RM , IM ) 0 September 20th, 2010 05:22 PM
Positive Impacts of Celebrity Endorsement on the Brand Sunanda K. Chavan Marketing Management ( RM , IM ) 0 September 20th, 2010 05:20 PM
celebrity endorsement... Krishnankur Sarkar PUBLISH / UPLOAD PROJECT OR DOWNLOAD REFERENCE PROJECT 0 June 13th, 2010 01:57 PM
Celebrity Endorsement Wasiqh Ulla Ulla Marketing Management 0 April 26th, 2010 05:19 PM
 

Reply

Bookmarks

Tags
brand, celebrity, endorsement, impacts, negative

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Trackbacks are On
Pingbacks are On
Refbacks are On


Login
Forgot Password?  New User?
  

» Ads





» Recent Threads

Norvell and Associates...
Last post by Joanne Choo
1 Hour Ago 06:16 AM
0 Replies
Principles of Management...
Last post by Nilanjana Naha
9 Hours Ago 09:45 PM
2 Replies
Principles of management... ( 1 2 3... Last Page)
Last post by Nilanjana Naha
9 Hours Ago 09:35 PM
43 Replies
Topics for MBA HR project
Last post by Vinod Gupta
10 Hours Ago 08:56 PM
2 Replies
Marketing Strategy of...
Last post by Vinod Gupta
10 Hours Ago 08:53 PM
1 Replies
TYPES OF PRODUCTION...
Last post by Vinod Gupta
10 Hours Ago 08:52 PM
9 Replies
Free mobile recharge... ( 1 2 3... Last Page)
Last post by Pramit Singh
10 Hours Ago 08:44 PM
39 Replies
List of Courses in...
Last post by Pramit Singh
10 Hours Ago 08:37 PM
1 Replies
Human Resource...
Last post by Pramit Singh
10 Hours Ago 08:36 PM
1 Replies
Benefits of Quality...
Last post by Pramit Singh
10 Hours Ago 08:31 PM
1 Replies
Solution manual on... ( 1 2 3... Last Page)
Last post by Kim Anh ?inh
11 Hours Ago 08:16 PM
43 Replies
Solution Manual on... ( 1 2)
Last post by Ganesh Shinde
12 Hours Ago 07:08 PM
16 Replies
Solution manual on... ( 1 2 3... Last Page)
Last post by Ganesh Shinde
12 Hours Ago 06:51 PM
38 Replies
MBA Colleges in Junnar
Last post by Ashish Paul
13 Hours Ago 06:03 PM
0 Replies
MBA Colleges in Jowai
Last post by Ashish Paul
13 Hours Ago 06:02 PM
0 Replies

» Projects Helpline

Summer Internship...
Last post by Reena Dapat
1 Day Ago 05:33 PM
topics related to 100...
Last post by Dharmik Moni
2 Days Ago 05:33 PM
ManagementParadise.com is not responsible for the views and opinion of the posters. The posters and only posters shall be liable for any copyright infringement.


Management Paradise
About Us
Press
Jobs
Contact Us
Kartik Raichura
Legal
Terms & Conditions
Privacy Policy
Disclaimer
Copyrights
Help
Zeitgeist
Support
FAQs
Tour
Feedback
Partners
Follow
Copyright © 2004 - 2013 Management Paradise. Site Developed by Available.co.in