Procuring celebrities to represent a brand continues to gain popularity across the region. Not only does it help with building brand equity and recognition, but when done right, a celebrity’s stamp of approval provides credibility.
On the flip side, a celebrity can sometimes severely tarnish a brand’s reputation. What happens if a celebrity goes rogue? What happens when a scandal breaks and your brand ambassador is involved?
Maurice Hamilton, Global CEO at The SMC Group, explains how to handle the situation:
‘Must-Have’ Contract ClauseÂ
When establishing a celebrity endorsement deal, make sure the contract is effectively drafted to cover all legal basics while also protecting your rights as the brand. Keep in mind any negative events that can occur and ensure the contract allows you to pull out immediately.
Payment Arrangements
Another way to safeguard your brand is to arrange celebrity payments in line with their contracted appearances. This motivates the ambassador to work professionally, while helping the brand achieve its goals in a cost effective manner; allowing payments to be stopped in case an incident occurs.
Ready for Crisis ManagementÂ
Always have a crisis management procedure in place. The minute a crisis hits, a brand needs to react in the most appropriate way to reduce the negative impact. Have a general holding statement ready as soon as possible…. Be prepared and ready to respond!
Open line of communication with the celebrity manager
Maintain an open line of communication with the celebrity’s agent/manager. A transparent approach will lower chances of the wrong message being communicated to all brand stakeholders.Â
Risk Management
Be aware of the risks that come with a celebrity brand ambassador. Before confirming the deal with your chosen celebrity, run a thorough background check to understand their past and potential issues.
