Impacts Of Celebrity Presence In Advertisements On Product Sales

Published by MBA Skool Team, Published on January 19, 2014

When a matinee-buff was asked about the reason behind the purchase of his new mobile phone, his answer was simple : “My favourite hero endorsed it”. This example is a clear indicative of how effective “celebrity marketing” can be. However, before arriving at a conclusion, let us understand the various factors that determine that determine a product’s sale and a celebrity’s influence in it.

A product gets sold due to three reasons :

1. Brand image

2. Meeting needs

3. Uniqueness

A lot of times, products are sold just because of the brand that they develop. It may so happen that the brand is recognised more than the product itself. A product also gets sold if it meets the needs of the people due to its appropriate positioning. Uniqueness of the product also impacts the sales. Now, let us look at the impacts that a celebrity’s presence can have to each factor.

A celebrity endorsement would build the brand image of the product. In today’s world where corporate branding has assumed importance, the presence of a celebrity would help in building the brand image of the product. Boost is an example and it is an accepted fact that Sachin Tendulkar is the secret of boost’s energy, to a large extent.

Celebrity branding helps in wider penetration of the product among the fan base. The example stated in the beginning of the article illustrates the same. As the followers of a celebrity would be interested in purchasing what his/her favourite celebrity is endorsing, celebrity branding would help in more sales in the fan base. The celebrity need not directly impact the sales. A lot of advertisements which are targeted at the kids segment feature celebrities. It is due to the celebrity inclusion that propels sales. In this regard, cartoons or animated characters that are used as celebrities help in impacting sales.

When a new product is launched, celebrity branding would help in improving the visibility of the product. There are instances where new products which would have otherwise been ignored got a great response because of celebrity branding. Celebrities act as channels through which new products are launched and sold.

An ad featuring a celebrity relevant to its product would indicate the trust od the celebrity on the product and the quality it has got to offer. For example, if M.S.Dhoni endorses a company that manufactures cricket bats or wicket keepers’ gloves, it would indicate that these products are suggested by Dhoni and hence his presence would impact the sales.

However, there is an important aspect that should not be forgotten. If the product is not liked by the consumers or if the product does not meet the needs of the target market, then irrespective of the presence of a celebrity, its sales would be hit. Also, celebrities add little value to the ads in which they are irrelevant to the product’s context and target market. It would be a bad idea to feature a celebrity who has good image only in the masses in an ad that promotes business class products. In other words, wrong positioning of a celebrity would result in high costs and low sales.

To sum up, sensible usage of the presence of a celebrity can help in building a product’s brand and in return the sales of a product. However, celebrity can open the first and second doors but it is the product itself that has to unlock the final door of success.

This article has been authored by Sravanth Vangara from IIFT Delhi

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