George Foreman (Photo credit: Michael Schick via Flickr cc)
As a brand, using a celebrity as your spokesperson can have a huge payoff. Celebrities have the potential to share your brand with millions of fans since they already have a high level of recognition. This awareness often translates into profits. . .but there are cases where celebrity spokespeople can hinder a brand. When celebrity scandals hit the press it not only drags their name through the mud, but the brand’s name as well.
Fail: Jared Fogle
An example of when endorsements did not go well was seen not long ago with Jared from Subway. Fogle began endorsing Subway around 2000, promoting the sandwich shop as a healthier alternative to most fast-food restaurants. This past summer, Fogle pled guilty to distributing and receiving child pornography, landing him in jail for up to 12.5 years. Although Fogle’s endorsement with Subway officially ended in 2008, his name is still strongly affiliated with the brand, as he is not known aside from his work with Subway. It’s unsure if the scandal will affect Subway long-term, but for now, Fogle’s scandal continues to bring Subway’s name into the headlines in a negative way.
Win: Michael Jordan
One of the biggest celebrity endorsements in history is Michael Jordan’s affiliation with Nike. The Air Jordan sneaker boomed into the market and was used worldwide by basketball players. Its multiple renditions are still being worn today. Throughout his career, the biggest scandal Jordan faced was his relationship with Karla Knafel, which did not seem to affect Nike in any way. Jordan turned out to be a very low-risk and lucrative spokesperson for the brand, driving sales sky-high.
Fail: O. J. Simpson
One of the first athletes to endorse a brand was O. J. Simpson. Simpson was the spokesperson for Hertz before he was linked to the murder of Nicole Brown and Ron Goldman. Although he was never convicted for the crime, Hertz cut Simpson from their endorsement deal. Simpson was too closely identified with the car rental company and even the NFL at that time, as the brands felt that he was too much of a risk to be associated with.
Win: George Foreman
It’s often difficult to distinguish George Foreman from his “Lean, Mean, Fat-Reducing Machine.” With Foreman’s help, Salton appliances sold millions of grills, and is said to have made over $300 billion in profits. Throughout his endorsement with Salton, the boxer-turned-minister was able to keep a positive image, resulting in excellent media exposure for the brand.
Good spokespeople can make bank for a brand, and although most companies don’t go bankrupt after a celebrity scandal. It’s never amusing to see your brand associated with a bad name.