Celebrity Endorsement has always been seen as a viable option for companies to promote their products. Many companies believe having their products associated with a popular celebrity will help drive sales. Consumers seem unsure of their influence with 51% stating that celebrity endorsement makes little to no difference on their purchasing decisions.
While the ROI on many marketing techniques is measureable – ROI on celebrity endorsements can be more difficult to quantify. There are many potential benefits associated with celebrity endorsements but there are also many potential pitfalls that need to be monitored carefully.
These pitfalls are created when you rely solely on one celebrity to promote your product. The reputation of your company is potentially in the hands of one person whose image can change overnight as a result of some celebrity scandal. Is it really worth running this risk?
As a result of this, the success of celebrity endorsements vary greatly and it really is a case of some working and others not. The importance of choosing an appropriate celebrity is paramount to minimizing the risk of negative publicity for your company. It is worth keeping in mind that the risks associated with celebrity endorsement can never be nullified completely, and reacting to the negative impact of celebrity endorsement will need to be dealt with carefully.
This infographic from Sign A Rama Toronto provides you with the statistics on how influential celebrity endorsement really is, as well as the stories behind the successful and unsuccessful celebrity endorsements throughout the years.