MKTG4226– Social Media Management for Marketing

Prof. Aleem Visram

Created by: Amanda Yee

November 7th, 2012

• Regarding Celebrity Consumers and Spokespersons

Agenda

• Introduction

• Reasons for Sponsorships

• How to Pick the Right Spokesperson

• Good Example

• Bad Example

• Framework for What to Do

• Conclusion

Introduction

• Celebrity

High-profile candidate

• ‘Commercial Authority’ Figure

Word-of-mouth Marketing

Purchasing Behaviour

• Sales increase of +20%!

• Company Valuations of +0.25% on

the same day

Reasons for Sponsorship

1. Borrow Spokesperson’s Equity

Raises Awareness

“People wanted the shoes worn by the kid

who could fly through the air and was

averaging 28 points a game”

Increase Sales

Reasons for Sponsorship

2. Enhance Existing Brand Values

Premium Brand

$100+ per pair

Association with World’s

Greatest Basketball Player

How to Pick a Spokesperson

1. Attractiveness of Celebrity

Familiarity

Likeability

Similarity

2. Credible

Trustworthy

Expertise

3. Meaningful Transfer

Good Example – Bieber & Proactiv

• Proactiv Solution

Skincare Company

Acne-Prone Skin

Teenagers 11-18

• Popular amongst target market

• Launched in 2010

• So Successful it came back in 2012

Bad Example – Kardashian & Charmin

• Charmin Restrooms

• Kardashian = Luxury

• Charmin = Commodity with

Negative Connotations

• Unaligned Values/Goals

Framework – What to Do

• Evaluate FIT

• Maximize Exposure

• Keep Celebrity Happy

• Plan for Failure

Worst-case Scenario

Always Risk Involved

No Control

• Always have a Game Plan Ready

Conclusion

• WOM Marketing = Most Influential

• Increase in “Celebrities”

Through Online Discovery

Identify Niche Markets

• Competition Increase

• Identify Perfect Candidate

Better Positioning

Conclusion

Thank You!

Discussion Question - #1

Do you ever think word of mouth marketing (awareness

brought about by consumers/ customers) will exceed or

bring about the end of celebrity endorsements?

Discussion Question - #2

Where can celebrities draw the line between simply being a

consumer and an endorser?

Do you (and if you do, when do you) think it's appropriate for

them to ask for compensation?

Discussion Question - #3

Do you think the discovery of celebrities will continue to

increase online?

Conclusion

Thank You!