Advertisers see stars as drug investigation net widens
Agencies advise go-slow on endorsements by those in the dock
The ongoing investigation into the use of drugs in Bollywood has compelled advertisers to err on the side of caution. Advertising agencies that Business Standard spoke to admitted that conversations had begun with their clients to exercise restraint while using brand endorsements featuring film actors whose names appeared in the probe.
“There is a level of caution among advertisers as the investigation has widened in the past few months. Most brands prefer celebrities who are perceived to be clean. It will, therefore, be a negative for an endorser whose name figures in the probe,” said Manish Bhatt, founder director of ad agency Scarecrow M&C Saatchi.
“We were considering a celebrity endorsement recently for a brand. But with the ongoing probe gaining pace, we advised the company to defer the decision for now,” Bhatt said, without revealing the name of the advertiser.
Film actors are typically used by a cross-spectrum of brands wanting to induce brand recall or propagate their message quickly, riding on the goodwill of the endorser.
TAM Adex data for the period between January and June 2020 showed a trend emerging in favour of a lower preference for film actors.
This was because the Covid-19 pandemic and lockdown forced advertisers to redraw their advertising strategies and budgets. The drugs probe has only forced advertisers to continue playing down celebrity endorsements led by film stars in July-august, despite television advertising in general increasing from June onwards after the Unlock process began, TAM Adex said.
Celebrity endorsements, led by film actors, have fallen 30 per cent in July-august versus last year, the TAM Adex data shows. And endorsements by sportspersons, especially cricketers, have increased 17 per cent in the period versus last year, it said. Some experts argue the preference for cricketers as endorsers is a result of IPL, which began last week in the UAE. "Cricketers are a safe bet at this point because the IPL is on. Second, a dope test is part of their routine, so at least brands do not have to worry about a drugs issue tainting the endorser," N Chandramouli, CEO of brand advisory firm TRA Research, said.