1. ENDORSEMENTS

2. Endorsements
Businesses are willing to pay an athlete much more than his/her salary to endorse a product.

3. Endorsement defined:
A person’s public expression of approval or support for a product or service
Any advertising message that consumers are likely to believe reflects the opinions, beliefs, findings or experience of a party other than the sponsoring advertiser.

4. Are Endorsements Effective?
Endorsements are a promotional tool
Give credibility to a product because it is supported by someone who is admired

5. Endorsement Example
A well known race car driver speaks in a TV commercial, it is an endorsement because the public:
Knows them as a real professional driver
Assumes the comments are personal opinion
Assumes they wouldn’t have said it unless they believed it

6. Is this an Endorsement?
An ad for golf balls in which a famous golfer hits the balls but never speaks…
… is still an endorsement

7. Some Guidelines For Endorsers and the Sponsoring Company (FTA)
Endorsements must always reflect honest opinions of the endorser
The endorser must have experience with the product
Cannot be taken out of context or reworded
The endorsements may not contain deceptive or misleading statements
The endorser must use and continue to use and believe in the product
If the product changes the endorser must be notified

8. How Endorsements Benefit Businesses
Consumers buy products endorsed by celebrities more often than products that are not

9. How Endorsements Benefit Businesses
Viewers, listeners and fans are less likely to skip an ad featuring a celebrity rather than a fictitious character

10. How Endorsements Benefit Businesses
Consumers tend to believe celebrities —especially those chosen for their good image

11. Drawbacks to Endorsements
Very expensive
Endorser may not agree to endorse only one product which creates lack of exclusivity and the possibility of consumers’ doubting the sincerity of the endorser
Risk of negative publicity when the endorser commits a crime or serious ethical blunder

12. What To Look for In A Celebrity
Fit with the media
Match with product
Match with target market
Their values
Cost of acquiring them
Controversy risk
Profession
Attractiveness
Credibility
Brand user
Age
Still performing
Role Model
High achiever
Recognizable

13. What To Look For In a Celebrity
Someone with a positive, charismatic, trustworthy image
Someone respected by consumers

14. Why Celebrities Wouldn’t Want To Take Deals:
Concerned about control over their exposure
Don’t want one deal to cost them others
Uncomfortable with a certain type of media
Cannot sign because they are prohibited

15. Basic Rules When Marketing Your Celebrity:
Not too much too soon
Budding celebrities need time to develop
Too much marketing can be distracting and seductive
Leads to overexposure

16. Basic Rules When Marketing Your Celebrity:
Product selection is paramount
Cal Ripkin said no to underwear but yes to milk
You still have to deliver!
Marketability depends on performance

17. Basic Rules When Marketing Your Celebrity:
Risk of overkill
Research is indicating that sports gods are beginning to lose their shine
How do you prolong the mystique?

18. Can You Overlook It?
Many fans overlook an athlete’s tasteless or criminal behavior as long as they perform and entertain
Mike Tyson earned $100 million dollars in 1995 AFTER he got out of prison

19. Can you Overlook It?
Michael Vick- Animal Cruelty, sentenced to 2 years in prison. Signed
Endorsement Deals with Nike & Unequal Technologies
60 mins on what he did
The Wall Street Journal

20. Ross Rebagliati
There's no arguing with success. The Canadian snowboarder endured scandal when his gold medal at the 1998 Olympics in Nagano, Japan, was yanked after he tested positive for marijuana. He got the medal back, arguing the drug traces in his blood came from second-hand smoke - and it would appear the court of public opinion forgave him. Canadians snapped up half a million red poor-boy hats like the one he was seen wearing at the Games. Roots Canada Ltd., which made the hats, made Mr. Rebagliati their spokesman and made him the star of the company's first television commercial, even after he had admitted inhaling the second-hand smoke, and smoking pot in the past.
Roots may not have had a lot to lose from the scandal. "Attitudes to drugs these days are more accepting than they ever have been," Mr. Kerr said, noting that this helped in Michael Phelps's case, as well.
(Kai Pfaffenbach /Reuters)