Wednesday, November 25, 2009

Celebrity Endorsements

Nike is a renowned name in all sporting apparel and equipment. When it comes to golf, the Nike Company claims to be the “industry-leading golf manufacturer.” Therefore, they have chosen the biggest name in golf, Tiger Woods, to be the celebrity endorser of Nike Golf. Since 1996, over a decade ago, Nike has continued to renew Tiger Woods’ multi-million dollar endorsement contract and have given him a cut from the sales profit. The company believes Tiger “has helped take Nike Golf from a ‘start-up’ golf company earlier this decade to the leading golf apparel company in the world” (Sports Business Radio) and generously show their appreciation. Tiger can be seen wearing Nike products from head to toe and playing with Nike golf equipment. Tiger Woods is an appropriate choice to market this product because he knows everything about golf and can effectively use the different products including clubs, range shooters, and balls in commercials and ads. This deal is very profitable for Nike because Tiger is able to wear their clothing line when he does ads for other businesses and can be seen with the Nike swoosh in the millions of photos taken of him. Nike’s choice to use Tiger Wood’s as an endorser may have been the smartest decision they ever made. Since his amateur years, Tiger Wood’s has had an impeccable golf record, lived a scandal free lifestyle and has been very appealing to the public; this makes him the perfect candidate to advertise Nike golf products. In addition, the Nike Company faces little to no risk using Tiger Wood’s as an endorser because it is unlikely Tiger’s actions will damage the Nike Company’s reputation. Especially, since Nike products are sold to children and adults alike. In general, it is more likely parents will buy products advertised by someone considered a role model, like Tiger, versus someone considered a felon, like Michael Vick, providing the endorsement deal with a desirable outcome.

1 comment: