Mumbai, Maharashtra, Celebrity endorsement has become another name in the world of advertisement. Almost every company is roping in famous celebrities to increase the sale of their brands. But is it working?

A recent research conducted among over 1000 adults in India reveals that while celebrity interest among consumers is high, multiple brand endorsements by celebrities confuses consumers and reduces correct brand and celebrity associations. To be an effective marketing tool, celebrity endorsements need consistency over time and should go beyond the obvious to make a strong connection between the brand value and the celebrity.

Cyrus M Gonda H.O.D. - General Management with Rizvi Institute of Management Studies says that the role of celebrities in advertising is complex. What celebrity endorsement doesn appear to do is build brand trust or belief in product efficacy, nor does it encourage word of mouth:

• Only 35% of consumers feel a celebrity helps them to trust a product
• Just 32% believe a celebrity helps them believe that a product actually works
• Only 31% say that a celebrity makes them want to recommend a brand

People find it hard to remember which celebrity promotes which product, but for celebrities who endorse more than one brand it gets even more difficult. Like Amitabh Bachchan endorses 36 brands across 23 categories. He was seen in commercials for approximately 3.16 million seconds in 2007. Then, there are cricket superstars like Sachin Tendulkar (21 brands), MS Dhoni (24 brands). Dr. Kalim khan Director of Rizvi Institute of Management Studies & Research says When someone buys mobile for example they ask their friends, family etc. no one looks at an advertisement to buy a mobile phone. Commodities are sold out on the basis of word of mouth and not the endorsements."

At its most extreme, using popular celebrities with multiple endorsement deals can actually reduce brand saliency. When asked which brand Indian consumers most associate with Kareena Kapoor, out of 51 brands named unprompted, only Airtel (17%) and Boroplus (10%) achieved double digit recall. Likewise, M.S Dhoni had 81 unprompted brand associations in consumers minds, but only Boost (12%) and Pepsi (10%) reached double digits. With most Indian celebrities endorsing multitude of brands, one of celebrity endorsement greatest strengths - driving brand salience - can be completely negated by a celebrity who is spread too thinly across brands.

"Celebrities are a lazy alternative for brand-building," quotes Dr. Kalim Khan. "Lazy, as well as a foolish," He argues that celebrities offer nothing but instant gratification. "More than a fourth of these celebrity associations don add value to the business. In most situations, the brand managers dont have an answer as to why they are spending a fortune."

All figures from: Seal The Hole in the bucket; a book by Cyrus Gonda & Dr.Kalim Khan Embassy books copyright 2010.

Notes to Editor

Dr. Kalim Khan ; Director Rizvi College has challenged marketing fundas in this book. A must read for students, practitioners and academicians.