As Oscar hosts Anne Hathaway and James Franco mentioned during the (boring) telecast of this year’s ceremony, winning the coveted award can bring an actor prestige. It can also bring cold-hard cash.
We did an e-mail Q&A with Pete Kranik CEO of The CMO Club who talks about the dollars and cents of winning an Oscar, as well as the brand value it brings. Read on after the jump.
What is the dollar value of winning an Oscar?
For actors winning an Oscar, the ability to leverage that win is worth $250,000 to $2 million in revenue in 2011 based on new sponsorships, endorsements, print and TV ads, and participation in branded videos on social media.
Brands care about the fit with their target consumers and customers and their ability to differentiate their brands. Actors that more clearly link to a brands essence will have a 40 percent increased likelihood of being approached by brands versus other actors, [according to] a recent survey of over 150 CMOs in The CMO Club.
What’s the difference for Best Actor/Actress and Supporting Actor/Actress?
For brands it’s all about differentiating themselves. If a supporting actor or actress is well known within the target segment and aligns nicely with a brand, they will be asked to participate versus best actor/actress. This holds true for both products and services companies.
What is the value to a brand that partners with an Oscar winner as a spokesperson?
From a brand perspective again, the value of an Oscar winning spokesperson falls into three categories: 1) Building brand awareness 2) Engaging consumers with the brand, and differentiating that brand in their minds 3) Make money.
The biggest shift in endorsement deals today is the ability for the brand to make money and capture ROI directly from the spend with actors and actresses. Additionally actors and actresses that can communicate and articulate easily with customers and partners to the brand [increase] the probability for endorsement deals.
How do you capitalize on an Oscar without diluting its cache?
The world today is about transparency and seeing how real actors/actresses really are. Oscar winners have leverage to have someone listen to them, their causes, their personal thoughts with their fans through Twitter, Facebook, etc. Realness trumps dilution for Oscar winners.
Are Anne Hathaway or James Franco damaged by hosting the awards?
They will only be damaged if sponsors or brands had plans for them to engage with customers in a similar setting, etc. Poor writing and bad dialogue will not hurt them or what consumers align with them. That’s what brands care about.