Three interesting facts and tips about athletes and endorsements.
Choosing the right one
Choosing an athlete for your brand is one of the more difficult parts of celebrity marketing. Brands look for different characteristics in athletes both on and off the field. On the field characteristics generally speak for themselves; anything to do with skill level, performance, potential ability, or style of play all help brands make a decision on which athlete they want to use for their campaign. As a result many brands look to sign players with the potential to become the next superstar. For example, Steph Curry signed a variety of deals with multiple brands as he started to emerge as an NBA talent. Then, in 2015, Curry won the MVP and the NBA Finals, making him infinitely more valuable to brands. The brands who signed him prior to his breakout season benefited immensely from this.
Another important aspect to consider when signing athletes to deals is their off the field qualities. Things like their personality or charisma, how well they interact with fans, their looks, and their background are all important. A good example is David Beckham, who ticks off all the good measurables from that list. Combined with the fact that he is a world class player it is no wonder Beckham is such a sought after name in the advertising industry.
Finally, it is important to consider how the athlete is viewed by the targeted audience. Ensuring that the sport is popular in the campaign’s region and making sure the demographic in question likes the team the athlete plays for are both important things to consider when choosing an athlete.
Adds 4% to sales
Athletes can bring plenty to the table in terms of success. A study by Harvard Business School concluded that athletes bring in up to 4% more in sales than other celebrities. This number may sound relatively small but it translates to gains of over 10 million dollars annually. In addition, this study also concluded that an athlete’s performance over time goes hand in hand with sales. For example, if a player wins a championship, the amount they bring in for the exact same promotion or ad rises.
How much the athletes make
A contributing factor in signing an athlete to a brand is the endorsement money. This is one area that athletes are especially keen on. This is because endorsements tend to make athletes much more money than their typical salary. According to a study by Forbes, LeBron James makes 53 million dollars from endorsements, compared to only 19 million from his salary and winnings.
photo credit: Degree/Unilever (Disclosure: Unilever is a Burns Client)