Tag Archives: celebrity endorsements

When Celebrity Endorsements Go Bad: Adidas and Kanye West

Brands and marketers love to use celebrities to help endorse companies’ brands and products. Consumers think that if a product is good enough for someone famous that they respect, then it’s good enough for us as well. Using a celebrity’s image in advertising campaigns helps to promote products and raise its awareness. Marketers hope that the positive response to a celebrity will be passed on to the products or brands. 

There are advantages to this approach. Celebrity endorsements help consumers remember advertisements and makes a brand more memorable than a brand that lacks a celebrity. But it doesn’t always work; it can backfire on both the brand and the celebrity when things go astray. Since by their very nature, celebrities are often in the news, and are monitored constantly, a celebrity who takes an unpopular stand risks damaging his or her image, as well as the brand. Scandals can immediately provoke a negative consumer perception and harm the brand.

Celebrity endorsements can be a great boon to brands, linking brands tightly to the fortunes of the celebrity. We can think of many great partnerships and athletes and celebrities, but there have also been some notable failures.

A recent celebrity endorsement upset is the dissolution of the partnership between rapper and designer Kanye West and Adidas a result of antisemitic remarks made by West (Adidas manufacturers West’s Yeezy shoe line). The two have been in business together since 2016. The Yeezy partnership is estimated to account for 8% of Adidas’ annual sales.

While there are many news reports available about what happened and the timeline of the Adidas decision, the entire case is really about power of celebrity endorsements.

What is your opinion?

Group Activities and Discussion Questions:

  1. Discuss the effects of celebrity endorsements on brands.
  2. In teams, have students list both positive and negative celebrity endorsement deals.
  3. Show the 2016 announcement of the Adidas/Kanye partnership: https://www.adidas-group.com/en/media/news-archive/press-releases/2016/adidas-and-kanye-west-make-history-transformative-new-partnershi/
  4. A GMA video about the recent breakup can be viewed at: https://youtu.be/MFUH_A3mApg
  5. Poll students about their opinions about the situation.
  6. What should Adidas do to recover from the situation?

Source: Safdar, K. and Pacheco, I. (27 November 2022). Adidas top executives discussed risk of staff’s ‘direct exposure’ to Kanye West years ago. Wall Street Journal.

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College Athletes Can Now Make Money

It’s been a long time coming, but finally college athletes can make money! A new NCAA policy allows student athletes to earn compensation by marketing their name, image, or likeness (NIL). This is a big shift in policy from the NCAA which has long banned college athletes from receiving any compensation other than tuition.

The new NIL rule will let student athletes earn income from licensing merchandise, podcasting, offering lessons, promoting brands, opening businesses, and other deals. In addition, student athletes can use their personal brands to earn money. Many athletes have a strong social media presence that can be leveraged into marketing brands and products.

On July 1st, hundreds of student athletes announced deals for NIL.  Big winners right away were sisters Hanna and Haley Cavinder, basketball players at Fresno State who are now spokespersons for Boost Mobile. Auburn football players Bo Nix and Shaun Shivers also announced partnership deals (with Milo’s Tea and Yoke respectively).

Some athletes will be paid for appearances, others will endorse products for payments, and still others are launching merchandise lines. The deals are not necessarily tied to sports. Athletes are now able to earn income from gigs as musicians, designers, and artists also.

It’s important to note that of the hundreds of thousands of college athletes, many will not benefit from the NIL policy. Athletes still cannot be paid directly by colleges beyond their attendance costs, nor are athletes to be considered employees of the colleges. But the opportunities are now there and will certainly influence sports and business.

The times are indeed changing.

Group Activities and Discussion Questions:

  1. Poll students: What is their opinion on the new NCAA policy that allow student athletes to profit off their name, image, and likeness?
  2. What are the positives and negatives for the policy?
  3. How will this policy impact marketing activities?
  4. Show video about the college athlete pay debate: https://youtu.be/q8dtMX_wXNY
  5. Show Open Sponsorship website: https://opensponsorship.com/
  6. Divide students into teams. Have each team develop ideas on how businesses could use college athletes in their marketing.

Source:  Ad Week; Assoc. Press; CNBC; NBC Sports; New York Times; other news sources

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Victoria’s Secret Updates Brand Personality

Branding is a critical thing – while usually a strong marketing point, it can also be used to defeat you. Think about brands that need to be revised, even if they have a strong position.

Let’s try it. What is the first brand that comes to mind for the phrase “sexy women’s lingerie?” Go ahead, think. I’ll wait. (Yeah, right, I don’t need to wait more than a brief second.) You said “Victoria’s Secret,” right?

Now, picture the Victoria’s Secret’s advertisements and images. The images focus on bodies that would be at home in Playboy magazine; bodies encased in wings, feathers, bangles, and sparkles.  Sexy supermodels. Remember the Victoria’s Secret Angels and TV fashion show? Certainly glitzy and entertaining, but not really an honest portrait for or of the average woman, and certainly not an image that connotes strong, fearless, women and their accomplishments.

The brand has recognized that it needs a refresh for today’s culture, and to that end has garnered representation from female trailblazers and icons including: Megan Rapinoe (soccer), Eileen Gu (Chinese American skier), Paloma Elsesser (biracial model and size 14), and Priyanka Chopra Jonas (Indian actor and tech investor), Valentina Sampaio (Brazilian trans model), Adut Akech (South Sudanese refugee and model), and Amanda de Cadenet (photographer).  Not a supermodel in the bunch.

Victoria’s Secret new approach is to become a leading global “advocate” for female empowerment, focusing on women’s reality rather than male fantasy images. The stakes are high. With a market share of 21%, revenue of more than $7 billion, 1,400 stores, and 32,000 retail jobs the company has a lot on the line. Critics decry the company’s links to a misogynistic culture that honored sexism, sizeism, and ageism.

Looks like rebranding can be a good thing.

Group Activities and Discussion Questions:

  1. Poll students: What brand comes to mind when you say “sexy female lingerie?”
  2. What images come to mind for Victoria’s Secret? What do the models look like? What is the focus of the advertising?
  3. Does this focus reflect today’s female culture?
  4. What do students think could be done to bring Victoria’s Secret branding to a more relevant place?
  5. Show a recent video: https://youtu.be/Pe3Nob7QM28
  6. Show the website: https://www.victoriassecret.com/us/
  7. What brands compete with Victoria’s Secret?
  8. What is their positioning?

Source:  New York Times; other news sources

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