Film stars’ brand deals, public appearances under scanner

Media and entertainment industry experts say while their fate at the box office remains to be seen, credible, corporate brands that like to play safe may be shy of picking ambassadors like Deepika Padukone, Sara Ali Khan and Shraddha Kapoor who have been named in the drug scam following actor Rhea Chakraborty’s arrest. And even though she may be loved by a section of consumers, polarising figure Kangana Ranaut, known for her strong, often, bizarre opinions, may be avoided too.

For many of these celebrities who endorse brands such as L’Oreal, Tanishq, Britannia (Deepika Padukone) or Fanta, Puma, Vivo and Garnier (Sara Ali Khan), their fees could decline even as they struggle to get stage shows or appearances in reality TV shows.

The reduction in fee depends on how long the controversy lasts and if the stars get convicted.

“Brands are always cautious of people with polarised views. Given that India is such a large country, they are looking for people who can cut across and work as instant levellers,” Kishan Kumar, vice-president at media agency Wavemaker said. A research conducted by the Indian Institute of Human Brands mid-September said that at least 82% youngsters in the 18-30 year age cohort said drug abuse by a celebrity made them ‘untrustworthy’, and they would not buy a brand endorsed by such a celebrity.

Soumitra Karnik, chief creative officer at Dentsu Impact and mcgarrybowen India, said celebrities (like Padukone, Khan and Rakul Preet Singh) are getting judged and vilified even before the official legal verdict and they could end up suffering a huge financial loss as brands they endorse at present or those that were planning to sign them would apply hard brakes now.

“This may well be an expensive lesson for everyone. From now on, all contracts between celebrities and brands would be re-drafted. All personal facets of the celebrity which may hamper the brand’s image may have to be clearly notified—drugs, cigarettes, alcohol consumption, medical history, political leanings, social media history and criminal charges, if any. It’s like an insurance policy for the brand,” Karnik said.

Declining to be named, an executive working for a top brand whose leading ambassador has been named in the drug scandal, said the company is monitoring the situation closely and drug use is already a strict clause mentioned in all its contracts.

Besides, people dragged into the nepotism debate have been affected too. Allegations of substance abuse, debauchery and a toxic work culture have spared no one, with people like Karan Johar, Alia Bhatt and Sonam Kapoor having minimized social media activity and Star TV network reportedly not renewing Johar’s popular chat show Koffee With Karan for another season. Star did not respond to Mint’s queries for the story.

Ranaut, meanwhile, according to Wavemaker’s Kumar, enjoys a certain equity in small-town India and may work for a brand that, say, is trying to reach out to women in those places. Shardah Uniyal, vice president, branding and communications, Birla Cellulose that has Ranaut on board for its fashion brand Liva said the company has not faced any backlash because of the actor, who has acquired more of a following than ever thanks to her courage.

“Some may hold Kangana in high esteem as someone who takes upon herself to clean up what she thinks is muck. Others may despise her for exactly that reason, calling it vengeance to suit her purpose and political will. In either case, a brand would think a thousand times before signing her up as an ambassador,” Karnik said.

Kumar said India has a very short memory and the backlash on social media platforms is not a representation of what is going on in the country. However, Lulu Raghavan, brand expert and managing director Landor Associates believes that the past few months have definitely amplified the level of scrutiny around stars. “It’s like a can of worms has opened for the film industry and eroded the aura of invincibility around stars.”