The Siyaram Celebrity Endorsement Experience

The Celebrity Endorsement Issue Contd...

If there is very little fit between the celebrity and the brand personae, the advertisement could prove counter-productive. Interestingly, the selection of Hansie Cronje for J.Hampstead was criticized on these very grounds by an executive from the advertising agency Ogilvy & Mather. He said, "Cronje is such a casual chap and he looks so awkward and uncomfortable in a suit."

The man behind the popular Pepsi ads, filmmaker Prahlad Kakkar said, "J Hampstead is a perfect example of using a celebrity without a script." In India, celebrity endorsements are believed to be particularly useful as the average consumer reportedly identifies more strongly with celebrities than in other countries.

Film stars and sports personalities (especially cricket players) are immensely popular among the masses.

This has encouraged the widespread use of celebrities in advertisements over the decades.

However, celebrity endorsements could become a 'double-edged sword' for most companies.

A popular star can help immensely in improving brand image and recall.

But the same star can cause major problems for the brand if he or she lands in trouble – either in their careers or in their personal lives.

Pepsi faced this problem with two of its most popular celebrity endorsers – pop singers Michael Jackson and Madonna. In 1989, right after Pepsi aired the first Madonna commercial, the singer released her sexually explicit and reportedly anti-Christianity music video 'Like A Prayer' on Music Television. The video led to widespread protests against the singer and Pepsi had to pull out the advertisement after airing it just twice.

Michael Jackson was signed by Pepsi in 1983 in what was the largest individual sponsorship deal in history. In 1993, Michael Jackson was charged with child abuse. Though the charges were not proved, Pepsi had to pull out of the contract after unprecedented media outrage against the brand's association with the singer.

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Case Details

Case Code : MKTG018
Themes: Advertising and Promotion
Case Length : 7 Pages
Period : 1995-2001
Organization : Siyaram Silk Mills Ltd
Pub Date : 2001
Teaching Note : Available
Countries : India
Industry : Commodities - Traded Goods

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