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Marketing Management | "Impact of Celebrity Endorsement on Overall Brand"

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Impact of Celebrity Endorsement on Overall Brand

- by Rahul Dhanuka *

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The final vista sees the celebrities personally get into the act themselves and go for Personality Branding. This strategic climb is still in its nascent stages in the Indian scenario but a rabid act abroad. Latino singer Jennifer Lopez, who released her first perfume "Glow by J. Lo" in 2002,
is estimated to have grossed over $45 million in sales of this perfume, within four months of its launch! The stars really shine; on themselves.

So is the celebrity endorsement strategy impeccable? Apparently not. Like any other strategic move in the warfield, it too suffers from its own flaws - overexposure, cluttering, confusion and scepticism - an all too familiar scenario. Only the brand managers are smart enough to keep changing their pawns timely. Brands employ a smart technique which can well be called 'positioning by association'. The qualities attributed to the personality, rub-off on the brand image and become associated with it in the consumers' minds. But the moment there is a breakdown, this position backfires in the first instant. Whenever the celebrity is out of line in his personal or social behaviour, he becomes liability as an advertisement device. We are all well aware of the George Michael fiasco or the O. J. Simpson cases where the brands instantly shunned them due to fear of negative publicity.

It is pertinent for the brands to realize that two things should not happen at any point of their communication, if they are to sustain the streak of popular celebrity endorsements. First, while the brand should enjoy the positive vibes of the celebrity, it should be flexible enough to wriggle out of any undesirable situation that the endorser might present. Get a celebrity, create a hype and brand buzz, fleece the surge and move on to the next. Second, under no circumstances should the celebrity be allowed to overshadow the brand - never let him/her become your brand. Shahrukh 'Mayur' Khan, Madhuri Dixit for Emami and Sunil Gavaskar for Dinesh Suitings are classic examples in this case. The moment you cease brand relationship with these over-portrayed endorsers, the euphoria is beaten and confusion reigns in the customer's mind. Smart brands follow a strategy similar to the ocean-wave phenomenon - Roll a big wave, generate customer delight, submerge his loyalty towards competition, and then, bring another huge one.

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* Contributed by: -
Rahul Dhanuka,
Class of 2006,
Indian Institute of Management, Indore.


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