The Risks of Celebrity Marketing
, 2022-11-29 05:30:00,
Kanye West’s fall from grace is going to cost Adidas $250 million this year alone. “Lipstick King” Austin Li left brands in the lurch during a crucial selling period in China before making a miraculous reappearance on Alibaba’s Taobao in September, attracting 50 million viewers. Johnny Depp’s defamation case drove a spike in publicity as well as soaring sales of the Dior Sauvage fragrance he fronts. Brand associations with larger-than-life personalities can be a rollercoaster of highs and lows, and social media has only raised the stakes.
Brands often turn to artists with larger-than-life personalities to boost brand awareness and turbocharge sales. But along with the prospect of big rewards, these associations come with inherent risk and can sometimes backfire, leaving brands running for cover.
Teaming up with West (now known as Ye) was a boon for multiple brands — until it wasn’t. His Yeezy collection for Adidas was a runaway success since its first release in 2015. Last year, it generated an estimated $1.7 billion in sales. Partners Gap and Balenciaga felt a less direct but valuable halo effect from their associations with Ye, too. But these links hit a tipping point of toxicity when the rapper began spewing racist, antisemitic bile last month.
Balenciaga was relatively quick off the mark when it came to cutting ties with Ye, who opened the brand’s Paris Fashion Week show on 2 October. Fifteen days later, the footage and associated images were wiped from…
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