1. 12-1 Chapter 12 Endorsements McGraw-Hill/Irwin©2007 The McGraw-Hill Companies, All Rights Reserved

2. 12-2 Celebrity Spokesperson Special Case of Sponsorship Referred to as Personality Sponsorship Used in Marketing of: –Sports Products – Nike & Michelle Wie –Nonsports Products – Pepsi-Cola & Yao Ming

3. 12-3 Matching Process Celebrity (Personality) Needs to Fit: –The Target Market –The Product –The Brand

4. 12-4 Types of Personalities Used Entertainer (Bon Jovi & Duracell Batteries) Politician (Bob Dole & Pepsi-Cola) Dignitary (Sarah Ferguson & Weight Watchers) Athlete (Michael Jordan and Hanes)

5. 12-5 Endorsement Applications “I Use It, So Should You”

6. 12-6 Endorsement Applications “I Am an Expert, and I Think that You Would Be Smart to Use this Product” Please see Figure 12.2 in the Sports Marketing textbook

7. 12-7 Endorsement Applications “I Think Its Cool, So You Should Use It”

8. 12-8 Athletes as Endorsers Prominent Roles in Society Recent Concerns Regarding Legal and Moral Transgressions Longevity Concerns – Injury & Retirement

9. 12-9 Factors Favoring Use of Athletes as Endorsers More Effective with Sport-Specific Products (i.e. Tiger Woods & Nike Golf) Recognition Can Help Cut through Clutter Meaningful Recognition Rates for Association between Athlete and Brand

10. 12-10 Factors Impacting Endorsement Effectiveness Endorser: –Is a High Achiever –Has Believability/Credibility –Is Known –Is Likable/Popular/Admired –Is Recognizable –Provides Ease of Recall –Is Congruent with Target Market –Is Physically Attractive –(Provides Prospect for) Continuity

11. 12-11 High Achiever Winners Have Greater Impact on Consumers Winners Are More Expensive David Beckham, Michael Jordan, Serena Williams, Tiger Woods

12. 12-12Believability/Credibility Trust What They Say - Sincerity Accept Their Endorsement as Informed PGA’s Arnold Palmer

13. 12-13Known Target Market Familiarity with Endorser Know the Name Even if the Face Is Not Quickly Placed by Consumer Athletes Who Compete in Popular Sports Soccer’s Ronaldo

14. 12-14Likable/Popular/Admired Use of Athletes Not in this Category Might Have Negative Impact on Sales & Image Regional Implications – One Country versus Another; One City versus Another NHL’s Wayne Gretzky

15. 12-15Recognizable Not Only the Name, but also the Face Athletes in Some Sports Have Advantage –Absence of Protective Equipment –Close Proximity to Fans at Event (and On TV) NBA’s LeBron James

16. 12-16 Provides Ease of Recall Recall of the Product by the Consumer In Retail Store, Consumer Will Remember the Relationship between an Athlete and the Endorsed Product NASCAR’s Dale Earnhardt Jr. and Budweiser

17. 12-17 Is Congruent with Target Market Similar Demographic Profile Similar Lifestyle – Regardless of Demographics Allen Iverson’s “Street Cred”

18. 12-18 Is Physically Attractive Consumers Rate Ads Featuring Attractive Endorser Higher They Also Rate Product Higher Anna Kournikova

19. 12-19 Continuity Prospects Like Traditional Sponsorship, Impact is Maximized Over Long Term Risk Involved for Both Parties NBA’s Kobe Bryant

20. 12-20 Best Return on Endorsement Investments (Global Perspective)

21. 12-21 Selection Process Like Traditional Sponsorships, an Endorsement – AKA a Personality Sponsorship – Should Be Evaluated Prior to Making Any Substantial Investment Reduce the Risk of Making an Inappropriate Selection for the Spokesperson for Your Product

22. 12-22 Selection Process Set Budget for Personality Sponsorships Identify Potential Spokespersons that Match the Values Characteristic of the Marketer Evaluate Each Potential Spokesperson Using an Objective Measurement Tool

23. 12-23 Selection Process – Q Scores Some Marketers Use Independent Consulting Services such as Q Scores from Marketing Evaluations, Inc. for Information to Aid in this Process www.qscores.com

24. 12-24 Selection Process – Q Scores Examples of Recent Q Scores (Typically Range between 0 and 60) –Tiger Woods50-55 –Michael Jordan40-50 –Sarah Hughes31-36 –Barry Bonds20-30 –Brandi Chastain10-20

25. 12-25 Selection Process – Assessment Select Relevant Endorser Criteria Assign Weight to Each Criterion Assign Rating to Each Criterion Using an Appropriate Rating Scale Determine Overall Assessment for Each

26. 12-26 Selection Process – Assessment

27. 12-27 Problems with Celebrity Endorsers The Criminal The Prima Donna The Fading Star The Lightning Rod The Tongue-Tied

28. 12-28 Other Potential Problems Involving Celebrity Endorsements Ambush Marketing Costs Misrepresentation of Use Endorsement Conflicts Conflicts with Sport Regulatory Bodies (Impact on) Amateur Status Unwholesome Nonsports Products Overexposure

29. 12-29 Closing Capsule Endorsements Represent a Special Case of Sponsorship – Personality Sponsorship May be Used for Both Sports and Nonsports Products Emphasis In this Chapter Was on Nonsports Products (Domain-Focused Strategies)

30. 12-30 Closing Capsule Personalities Employed May be Local, Regional, National, International or Global May be Athletes, Entertainers, Politicians, Dignitaries, Recognized Personalities Help Cut through Advertising Clutter Not Devoid of Risk