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Articles #ase Analysis

#elebrities an$ the Na%e &cono%y - Brian Moeran ne feature of contemporary economies is that they function according to a logic of names. Some of us drive a Toyota, smoke a Marlboro, or drink a Guinness. We might wear ike shoes or a !hanel dress. "n offices, we may well use Scotch tape, #ost$its and, in %apan, a &otchkiss 'the name of an early stapler manufacturer(. ames are consistently confused in our everyday conversations. Sometimes, we use the name of people 'a !ardigan, a Sandwich(, at other times those of companies 'a %aguar, a )urberry(, to talk about products. We also use abbreviations 'a !oke, a Mac(, even metaphors 'Golden *rches(, and substitute a brand name for the thing itself 'a Walkman(.
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ames are found in three distinct interlocking social spheresof people '!+Os, celebrities, personalities, and stars like )eckham(, products 'brands( and organi,ations 'corporations, including Manchester -nited and .eal Madrid /ootball !lubs(. We make use of names to give 0personalities1 to inanimate things and to forms of social organi,ation. ames tend to take on particular importance in two ways in fields of cultural production 'of which a sport like soccer is one(. /irstly, we find an active use and dissemination of names as part of the promotional strategies of those in the field. "n the fashion industry, for e2ample, the names of fashion designers and the houses they work for, of photographers and their assistants, of models, stylists, hairdressers, as well as of fashion maga,ine personnel, are of crucial importance for the functioning of the field as a whole. +ach name Tom /ord, Gucci, aomi !ampbell, #atrick 3emarchelierstrives to 0make its mark1 in a struggle for power and so legitimate fashion1s categories of perception and appreciation. The same is true of the world of soccer where the names of teams, players and managers occupy positions in a field of competing forces and hence, encourage the transfer of individuals between organi,ations. *s part of this 4ostling for position, models, for e2ample, will make forays into film, music videos, recording, publishing and clothes design, and )eckham, like many other celebrities 'think film stars(, will make a crossover liaison 'by marrying a pop singer( and thereby encourage media hype. The underlying phenomenon here is clearly that 0power lies in being recogni,ed and talked about.1 Secondly, the primary means of linking organi,ations 'corporations( to the products that they sell 'and, in this sense, soccer is a product rather than a sport( is through celebrities of one sort or another. Thusthe e2ample is again taken from the field of fashiondesigners and fashion houses will take a lot of time and trouble preparing special clothes 'which may not be worn( for actors and actresses attending the *merican film industry1s annual *cademy *wards 'known popularly as the Oscars(. %ewellers will also lend coveted necklaces and earrings to actresses for the evening, on the basis that they may be caught for a moment or two in the glare of network television coverage of the occasion. Soccer players 'and their celebrity wives( themselves participate in this game of cross$industry promotional

activitieswitness )eckham1s appearance on the cover of the %apanese edition of the fashion maga,ine Marie Claire during the World !up in the summer of 5666, and his regular appearances with 7ictoria )eckham at media and entertainment events. The integrating force in these various fields of cultural production 'advertising, fashion, film, media, music, sport, and other entertainment industries(, is promotional advertising. Whether doing what they are best at, or shifting into other fields structurally related to the e2pertise that they have developed to become famous, celebrities like )eckham are clearly important intermediaries in the channelling of meanings from producer to consumer, from one sphere of culture to another, andcruciallyfrom the 0economic1 to the 0cultural1 and back again. "t is the use of celebrity endorsements in advertising that integrates celebrities as people, the products that they pitch, and the corporate institutions on whose behalf they act, into what might usefully be called a 8name economy.8 The importance attributed to such advertising may be seen in the estimate that in the mid$9::6s, 56; of all T7 commercials in the -S featured a famous person and 96; of all advertising dollars were spent on celebrity endorsements. One basic criterion in marketing is that there should be a match between celebrity and the product 'or service( that s<he endorsesa credibility that is e2emplified in )eckham1s contracts with )rylcreem and *didas, but which is less obvious in his deals with !astrol and #olice Sunglasses. )ut there also needs to be a match between celebrity endorser and targeted consumers based on factors like age, gender, class, personality and lifestyle. This, too, we see in )eckham1s endorsements for, say, #epsi, 7odafone, and Marks and Spencer. *s is evident from these promotional e2amples, a celebrity like )eckham helps in global marketingwhether of the football club to which he belongs or the products he endorses. )ut celebrities also use these endorsements as part of their own global marketing strategieswitness the synchroni,ation between organi,ational and personal deals made possible by )eckham1s transfer to .eal Madrid. "t is the struggle among names that maintains a structured difference synchronically 'think )eckham, =idane, /igo, .aul, .oberto !arlos, and so on( and diachronically 'think #el>, )obby !harlton, 3iego Maradona, etc.(, within and between the fields in which they operate, and thus creates and sustains a field of cultural production1s 0distinction.1 There is, however, a parado2 here. "n his actions on the playing field, )eckham contributes to the maintenance of social stereotypes about different 0kinds1 of soccer players, as well as helping make soccer a sport different from rugby, basketball, cricket, *merican football, and so on. "n his commercial activities off the field, however, he blurs this distinctionas do other sports personalitiesby endorsing all kinds of different products and participating in all kinds of media and entertainment events. Soccer thus becomes 4ust one more promotional industry incorporated into an overall name economy. !elebrities forge links both between a producer and its products, on the one hand, and between economic and cultural aspects of commercialism, on the other. *s 0household names1, they 4oin together producers and consumers by means of the products 'commodities, cultural productions( with which they are associated. "n this respect, we can see that celebrities are involved in a long$term accumulation of social and cultural capital thatas this case study neatly e2emplifiesis then converted into economic capital and back again. Through the diversity of their activities, celebrities help link different economic and cultural spheres in which other cultural intermediaries 'sports personalities, advertising creatives, marketing e2ecutives, television directors, fashion designers and so on( are active. Thus, )eckham acts as both cultural and economic intermediary in the name economy. The author is Professor of Culture and Communication, Copenhagen Business School, Denmark.

On A 'rie( Note 3avid )eckham is a self$made man. /rom a young age, he dreamt of becoming a good soccer player, and managed to make this dream come true . *s a result of this, he came to be seen as a symbol of achievement. The fact that )eckham was never involved in controversies 'family$related or otherwise( added to his 0clean1 image. &is wife 'a celebrity in her own standing, though not as popular(, provided a synergy for )eckham which became his -S#. The only negative development, if one may say so, is the conflict with his manager. otwithstanding this, he continues to be highly regarded for his achievements and carefully nurtures his career and family life. This aspect of )eckham1s personality and his family oriented life, worked wonders for his endorsements and career. -sing a celebrity is like using a double$edged weapon. "n the short run, undoubtedly, it is very advantageous, but in the long run, it is hard to predict the popularity curve1s maturity and decline stages. Therefore, contracts ranging from five years to life time are very risky. "t is not necessary that the endorsements would fare well as they 'celebrities( grow in their own personal careers 'going by the popular phrase, 0every hero becomes a bore at last.1( So, companies<brands need to find a cut$off point. *lso, it is very sensitive to associate a brand with a celebrity, as much as the celebrities think, it is sensitive for associating themselves with a brand. Most importantly, it has to be ensured that brands do not suffer due to changed lifestyles, divorces, and controversial social and professional behavior. Rao Karna is faculty, School of Management, ni!ersity of Tasmania, "aunceston, Tasmania, #ustralia.

)he #elebrity &n$orse%ent *ec+oner - Naval K Bhargava ompanies have been using celebrity endorsements for a long timemy earliest recollections are of ?u2 bath soap, which was endorsed by leading "ndian film actresses. "n fact, it was advertised as the soap of the film stars. Gavaskar, #ataudi and many others also endorsed various products.
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+ndorsements have become a big marketing trend now, possibly due to factors such as@

)etter understanding and research in this area. The celebrity getting significant media coverage and attention outside the advertisements, making the entire e2ercise a mutually beneficial one. The opportunity to advertise the product during the event<program in which the celebrity is a participant. "ncreased clutter in media and other forms of advertising and promotion.

The celebrities, by virtue of their superior performance and the roles they play in their field of e2pertise, have a set image in the public1s mind. When they endorse a product or service, the characteristics associated with them rub off on the product<service as well. The effect is obviously more pronounced on the fans than the public at large. /or e2ample, renowned "ndian actor *mitabh )achchan has repeatedly played the role of an angry young man fighting for a cause. So, when he endorsed the 0#ulse #olio !ampaign1 as a very concerned citi,en who is angry with those, who do not get the polio vaccine for their children, it made a strong impact. &is endorsement was e2tremely successful as many people could be persuaded to take their children to the vaccine booths. "n fact, this campaign1s success was one reason

why he was chosen by - "!+/ as an ambassador. One can see similar linkages of characteristics and attributes in #ataudi endorsing men1s suitings, Aapil 3ev endorsing #almolive shaving creams and =eenat *man becoming the brand ambassador for 7?!!. While the positive attributes of the celebrity rub off on the product, the reverse can also happen. That is, if a product has a low image in the market, the image of a celebrity endorsing it would suffer 'and vice versa(. Therefore, when choosing a celebrity, companies should be careful about@

the popularity of the celebrity within the target market. the e2tent to which characteristics of the celebrity can be matched with the product<service being promoted.

3avid )eckham is considered one of the most successful endorsers of recent times. &is popularity e2tends way beyond the frontiers of his own country. &is success lies in his popularity and the characteristics, he is associated with. "nterestingly, he built his image using even his wife and children. The reasons for )eckham becoming a successful endorser can be identified as follows@

* media favorite. The Manchester -nited connection. &ighly talented and a person of many achievements. Good looking and photogenic. "mage of a good, caring husband and father. ?ifestyle of a pop star. * style icon who was 0approachable and real1, yet with an image of e2clusivity and lu2ury.

)ecause of the above, )eckham was associated with attributes such as 0winning,1 0world class1 and 0powerful.1 *t the same time, he was a stylish and caring family man who was approachable. #eople of different demographics could relate to him easily. )eckham1s image as a 0clean$cut1 family man who 0did not smoke,1 0drank very little1 and was committed and caring towards the family, were particularly endearing to the +astern societies, where these characteristics are important. &e was therefore considered a very 0honorable1 person. *ll these characteristics naturally rubbed off on the brand, he endorsed. While .eal Madrid was more accomplished in the game of football, had won more championships and had an array of better players, they were weak commercially. .eal Madrid1s marketing research revealed that particularly in +ast *sian countriesa crucial market for them )eckham1s appeal was much more than any other player. associating with him was e2pected to e2tend the club1s merchandising potential considerably. The club planned to become much more formidable this way and get a boost to its Buest for overtaking its 0competitors both on and off the pitch.1 "n the *sian region, Manchester -nited was estimated to have over 9C million fansit was e2pected that at least D million of these would shift loyalties to .eal Madrid. /ans in the region rooted for the players and not so much for the clubthus, if the players moved, the fans moved with them too. Thus, .eal Madrid would clearly gain in popularity in )ritain and *sia. "n short, by getting )eckham on its side, .eal Madrid not only got a player with superior skills, but also one with immense marketability. This would help to further raise the standard of their game as well as increase the club1s popularity. Their revenues would increase due to@

"ncreased ticket salesas more people would like to see )eckham in action. "ncreased media rightsin view of )eckham1s popularity with the media.

Merchandisingwhich would generate ma2imum increase in revenues.

The price paid for )eckham is 4ustified going by his current popularity and form. &owever, the risk involved is high as well. &is marketability and fan following is based on factors such as playing skills, personal image and media interest. *ll these can change suddenly due to various factors and reduce earnings. *ll said and done, opportunities like )eckham are rare, and " think .eal Madrid did well to go for the deal. The author is $aculty in the area of Marketing at Mudra %nstitute of Communications &M%C#', #hmeda(ad. .eference E 9F$6F$69$69