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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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Page - 8

This reverence is what is later harnessed by the brands in the commercial angle. You grow in stature with the person. No matter how much we raise a hue and cry over one celebrity being all over the place and marketing just about everything, it still works for most of us.

Indeed, the premise that celebrity advertising has the power to propel a brand and drive the sales can be argued. The Pareto Principle is widely debated and the 80-20 rule does not have many takers in the advertising industry. That, "20% of advertising creates 80% of demand or sales", may or may not be true. In either case it does not help. The word remains that for a scintillating endorsement, you need much more than a glowing face and aesthetic advertising. You should back it up with your operational and communication skills.

Using a celebrity in advertising is no panacea and the success of this process depends on several factors as discussed above. The careful selection of celebrity, matching the target segment and brand values, should be inherently stressed upon. The advertisers can use the Q Score, developed by a U.S. based marketing research agency, which considers two factors - awareness and likeability, while evaluating the celebrity. Another important factor is the flexibility with which the companies can go in for hedging the risks associated in hiring a celebrity. They choose personalities from various fields or even appealing to various consumer perceptions, so that they can minimise the damage in cases of negative publicity due to any celebrity mistake. The cola brands spread their endorsements across a wide 'variety' of celebrities such that even if one falls, the others are still holding the fort.

In terms of the future, celebrity endorsements are here to stay. Their ability to cut across the classes, caste barriers and apprehensions are simply too important to be sidelined. They have been time-tested and delivered results repeatedly, given good hands. One could continue to wonder if these celebrity-hawkers are worth the money and the tantrums, but in a world of brand clutter and product muddle, celebrities seem to hit the nail on the head, more often than not. And to be honest, let's look around ourselves, why only Jane, aren't we all in a little appreciation of those stars gazing back at us!

Concluded.


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


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