Ad today, Sad Tomorrow – A Brand Ambassador’s soon to be story!!!

Since the time, Sindhu won a Silver and Sakshi a Bronze for India at the Rio Olympics, their phones (probably endorsed by a Kareena or an Alia) I guess haven’t stopped ringing. Or perhaps their managers’. For, many brands are on their way to signing them as brand ambassadors. For now it’s O.K., for Sindhu or Sakshi to sign on the dotted line in these endorsement contracts and make hay while the medal shines. However not if the Government pushes forth the changes in the Consumer Protection bill which proposes jail term and fine for celebrities in case of misleading advertisements for products they endorse. The intention being to make celebrities also responsible for products they endorse apart from the manufacturers. “Consumers tend to get influenced by the promise made by the celebrities in ads” is the argument behind the proposed move.

As a marketing professional I have never been very excited about using celebrities in ads to push a product. In B-schools every year, one popular project students carry out with the blessings of their professors is to find out the effectiveness of celebrities in an ad campaign. That the study is done regularly conveys that the jury is still out on that. At a superficial level though, it is commonly accepted that use of a celebrity helps break the clutter and differentiate the ad. Though as per me, this is “laid back, lazy creativity” as there are indeed many other ways to break the clutter. Using celebrities is of course a low hanging fruit for those with big budgets and is often deployed as a creative strategy when one can afford. I just realized that this piece is not on whether to use celebrities or not in ads. We will keep that for another Sunday. But on the proposed changes in the law which could stop the party on its tracks for the so called Brand Ambassadors.

Going back in time, I think ads whether print or TV just had people featuring in them and were called as models. And then slowly the practice of plugging in celebrities like actors, sportspersons,… crept in as I mentioned, probably to make the communication stand out. I am not sure when this “celebrities modelling” for an ad morphed into “endorsing the product” and then as we see now becoming “brand Ambassadors” for the company.

She looks like Sonia Sahni to me.

As long as celebrities “featured” in ads for products I guess they were just plain actors parroting some lines. But when they started endorsing brands (making a killing in the process) – that’s when I guess they came into the ambit of influencing buyers’ decision and of course within the prying eyes of lawmakers. In my understanding there are 2 types of celebrity endorsements. First, where a celebrity is used to promote a product which is related to what he/she is doing and is a direct endorsement. For example – A Sachin or a Kapil Dev being used to promote ‘Boost’- an energy drink for children. When Kapil says – “Boost is the secret of MY energy” there is a clear communication to moms that “if you want your child to become like me, do consider giving Boost to your kid”.  Or when Katrina Kaif says – “if you want a smooth skin like mine, use Lux Soap”!

The second category is where brands just use a celebrity as a face in the ads and the products may not be related at all. For example – Amitabh Bachchan featuring in Binani Cement ads.

And probably there exists a third category – where the product is not related to the celebrity’s field of normal work but companies tap into the credibility of the star to push their wares. Though this is not common, we have started seeing this of late. For example, when Cadbury’s wanted to make a comeback after they got hit by the “worms inside chocolate” tornado, they dialed in Amitabh. Amitabh featured in the commercial as “himself”. See the ad here. As you can see in this TVC, he was clearly putting his personal credibility at stake to communicate to consumers that with the many steps taken by the company, “All is well” with the chocolates!

(I’m not considering the social awareness campaigns using celebrities for the moment)

In the whole business of celebrity endorsements, many questions do arise. Do the celebrities who extol the virtues of brands use the product/service themselves? Have they first checked if the claims they are making are true? In the case of endorsing for investment projects,.. do the celebrities vouch for the credibility of the promoters?

The thinking behind the proposed changes in the law seems to be after many instances of consumers landing in the pit after they invested their hard earned money in projects which also had big stars endorsing the same.  At the same time, there have been so many cases where consumers lost money in projects where stars were not at all involved!

It is difficult to believe that consumers are so gullible that they buy a product just because a star endorses it. This premise seriously underestimates the intelligence of a consumer. If just a star endorsement can make a product tick, all those mobile phones with celebrity brand ambassadors must be outselling the I-phone isn’t it???

But whatever it may be, punishing celebrities for wrong claims of a product because they feature in the ads seems a bit farfetched.  A consumer is expected to do his/her bit before deciding to buy a product/service. More so in the case of big investments. Putting the blame on a M.S.Dhoni just because a real estate project he endorsed didn’t see the light of the day is sheer escapism, I believe. I think we should consider celebrities featuring in ads as enhancing the entertainment quotient and nothing beyond that. At the same time as a socially conscious individual a celebrity should be careful in lending his/her name or face to a product which has inherent health concerns a la Gopichand who refused to feature in Cola ads in his prime time! And also do a bit more homework on the credibility of the brand/promoter before signing on the dotted line for the next 1 crore endorsement deal. Or else post the new law it will be “Ad today, Sad tomorrow”!!!

Post script: Will be interesting to know in which category of celebrity endorsements does the Jio campaign featuring our PM fall into???😝😝😝

For more Olympic medals, need more Raghuram Rajans!

As I write this piece, the situation is slightly better. Only slightly. A tally of 2 medals – one Silver and one Bronze at the Rio Olympics for India. Just a couple of days ago, as a country it was all despair.  We were staring at a situation of returning empty handed and that was something for a proud and populous country like ours – ‘bilkul Shoba nahin deta’. The usual diatribes ensued. – “A country of 1.3 billion and just 1.3 medals!” “As long as we laud Cricket and applaud only Cricketers, there’s no hope for Olympic sports!” “So long as we keep praying for Engineers and Doctors in maternity wards, athletes will be hard to come by!” “As long as sports administration is in the hands of politicians, there is no chance for medals.” So on and so forth.  And these are nothing new. Every time our contingent returns with a modest performance it’s usually a repeat of the above template outrage.

Our rather modest performance in sports events historically could indeed be due to one or combination or all of the above causes. But I do believe there’s one more important bullet.  And that is the size and state of the economy. As we speak, USA is at the head of the medals table at Rio Olympics followed by Great Britain and then China. In terms of GDP, USA is at No. 1, EU of which Great Britain is a part as of now is at No. 2 followed by China. Russia which is at No. 4 has been a past economic super power.  The medals table at London Olympics looked almost similar.

olympics , gdp

China which has been at the 11th rank in terms of medal tally at the 1988 Seoul Olympics, has been at No.3 or better since 2000. Around the same time when China was deemed to have shrugged off the developing country tag and took guard as an economic powerhouse.

By this logic, we have hope. One would have thought that our good performance at the London Olympics in 2012 would be the tipping point as a country in so far as Olympic performance is concerned. However it seems that’s not to be. Drawing a parallel, doesn’t our economic performance mirror this?  A country which was on fire around 2011/Mid 2012 and gradually sort of lost its way and now seems to be on the recovery path once again.

While I am trying to draw a parallel here between the state of the economy and our sports performance, it could be just a coincidence.  But where I am coming from is, for a country to excel in sports and be at the top 10 of the medals table, it should be doing well economically.

Excelling in sports is today an expensive affair. It is not enough to have strong willed, talented and focused individuals. It calls for financial resources to be poured on infrastructure, training, coaches, equipment and the like.  And in a country like in India not just in cities but in fledgling towns as well which are now throwing up talent like never before. We keep hearing tales of talented girls stopping coaching sessions because of ill equipped toilets. Or those who give up when they cannot afford to spend money on professional coaches or facilities. And those who still cross all these hurdles and arrive at the National scene – need to be exposed at International levels for which you need to invest on foreign coaches or send them abroad for training for longer stints all which costs a lot of money that too when you need to do this not for 1 or 2 but 100’s of individuals.

An Abhinav Bindra did not have the need to fall upon the state or other sponsors to chase his Olympic dream. He was more than financially sound to acquire for himself the ecosystem required to win an Olympic Gold. But then all are not Abhinav Bindras. Ergo, you need the support of the state or private sponsors to adopt potential medal winners and provide all the support required without counting the last paisa.  Even for a noble movement like Olympic Gold Quest (OGQ) spearheaded by champs like Geet Sethi, V. Anand, Leander Paes, Padukone Senior,.. with a clearly stated mission “To Support Indian athletes in winning Olympic Gold Medals” the biggest challenge is to raise funds to achieve their mission. A fledgling economy doesn’t count the last rupee to sponsor a Sakshi’s stint abroad or a Narsingh’s 24*7 nutritionist. A struggling economy on the other hand will be hard pressed to focus on other priorities.

In much of our or water cooler or these days WhatsApp discourses, parents who think that their wards are better of chasing an Engineering / Medical dream than that of sports are at the receiving end. I do believe that in general, parents think of only the well-being of their kids. So if they do feel that a career in athletics is not remunerative enough to have a decent life, they can’t be blamed.  However this can change and it is changing. Olympic sports unlike in the past have started getting the attention from corporates who are willing to support athletes for a longer period of time. And just as we saw a few days back the bronze medal winner from HaryanaSakshi Malik is already a dollar millionaire based on the many announcements we heard. This kind of commitments are possible for both the Government and private players if their coffers are growing with tax collections and profits respectively.

So as a country as we transition ourselves from a “developing” country to a “developed” country in the next couple of decades our economy will be in a better position to afford to support the needs of churning out Olympic champions.  So we are back to Bill Clinton’s 1992 campaign theme – “it’s the Economy, stupid” here as well. Our country has to continue to grow as an economy, lift millions of people out of poverty, collect a lot of taxes which will help pour money on giving birth to Olympic champions. So, for more Olympic medals, we need more Raghuram Rajans to help steer the economy on a continued growth path 🙂 🙂