MEC releases its latest Sensor report on Celebrity Endorsements

MEC MediaLab, MEC consumer insight and ROI division, today releases the findings of its latest global celebrity Sensor report. MEC MediaLab research among more than 24,000 consumers across 25 countries reveals that while celebrity endorsement is still an effective marketing tool, consumer appetite for it is waning.

Almost a third of consumers (29%) across the globe said that celebrity endorsements influence their purchasing decisions and one in four (25%) have bought a product because a celebrity was promoting it. But the majority - 65% - of consumers now believe that too many products are promoted by celebrities in their country.

However, attitudes towards celebrity endorsement differ significantly across different regions with people in Latin America (LatAm) and Asia actually wanting more celebrity endorsement - but crucially from local celebrities:

• 52% of consumers in Latin America would like to see more local celebrities promoting brands in their country

• 46% of Asian consumers are keen to see more local celebrities promotion brands in their region

The level of influence that celebrities have also varies across regions, with consumers in Latin America and Asia being twice as likely to admit to being influenced by celebrity endorsements than those in Europe or North America.

The research shows that celebrity endorsement still plays an important role in generating brand salience and positively affecting brand image:
• over half of global consumers (55%) believe that celebrity endorsement makes a brand stand out
• 52% agree that it enhances a brand's personality

However, the role of celebrities in advertising is complex. What celebrity endorsement doesn't appear to do is build brand trust or belief in product efficacy, nor does it encourage word of mouth:
• Only 29% of consumers feel a celebrity helps them to trust a product
• Just 27% believe a celebrity helps them believe that a product actually works
• Only 26% say that a celebrity makes them want to recommend a brand

The research also highlights risks for brands that use popular celebrities with broad appeal.

39% of people find it hard to remember which celebrity promotes which product, but for celebrities who endorse more than one brand, this figure jumps to 68%.

At its most extreme, using popular celebrities with multiple endorsement deals can actually reduce brand saliency.

When asked which brand UK consumers most associate with Kate Moss, out of more than 29 brands named unprompted, only Rimmel (21%) and Topshop (10%) achieved more than 1% recall
• In Germany, only one brand endorsed by Kate Moss, Calvin Klein, achieved more than 2.5% recall
• In Mexico, unprompted recall fails to reach 2% for any brand endorsed by Kate Moss

While few celebrities endorse as many brands as Kate Moss, the research demonstrates that one of celebrity endorsement's greatest strengths - driving brand salience - can be completely negated by a celebrity who is spread too thinly across brands.

Damian Thompson, head of consumer insight, MEC MediaLab Global, says: "While the impact of celebrity endorsement may be waning, it remains an important and effective marketing tool for many brands, when done well; and it is still useful for reaching a wide audience, not just the minority who are actively interested in celebrities. However, interest in celebrity culture must surely have peaked in some countries, requiring brands to be more strategic in their use of celebrity endorsements. Brands must analyse and understand the fit between celebrity, brand and consumer, as well as a celebrity's relationship with the media to implement a well thought-through activation plan, and ultimately measurable return."

NOTES: The MEC MediaLab Celebrity Sensor study was conducted among 24,272 18+ adults in 25 countries across Europe, Asia, North and Latin America in December 2008.