Kellogg drops Phelps after photos
We won’t be tempted by puns. Or any sort of lame wordplay. We’ll play this straight. Seriously. Here goes: After all the bad publicity caused by a photo of Michael Phelps apparently taking a bong hit, Kellogg has decided to dump the superswimmer.
Okay, now that’s out of the way. Here’s the basics from Reuters:
The world’s largest cereal maker said on Thursday it would not extend a contract with Phelps, who charmed audiences in Beijing last year with a record-breaking, eight-gold medal haul, saying the photo of the swimmer was inconsistent with its public image.
Phelps, estimated to make millions of dollars annually from marketing deals, issued an apology this week after a British newspaper published a photograph purportedly showing him smoking marijuana during a student party at the University of South Carolina in November.
The move doesn’t come as a complete surprise. Marketers often get nervous about this sort of thing, especially when forking out big bucks in this economy. Phelps has other deals worth millions of dollars with brands including Speedo swimwear, Omega watches, Visa Inc, Subway sandwiches and Hilton Hotels. Phelps’s agency, Octagon, said earlier this week that it had been in touch with his sponsors and that none had indicated any intention of backing out of their deals.
What changed? What’s the deal with Kellogg? The difference? One marketing executive tells AdWeek that it’s all about the kids.
Springsteen popping up in newspaper ads
How bad is the economy? New Jersey’s largest food bank is in danger of running short of groceries for the low income individuals and families who need them. How do we know this? A new advertising campaign featuring home-grown rock star and activist Bruce Springsteen.
The Springsteen advertisement for the Community FoodBank of New Jersey will be running in The New York Times, The Star-Ledger, The Bergen Record, and the Daily Record on Sunday, Nov. 16th.
The campaign is titled “We Can’t Let This Bank Fail” — a play, of course, on the collapse of Lehman Brothers, Bear Stearns and others — and comes amid worries that the current economic crisis will take a toll on charitable giving even as more folks need some help. The FoodBank says the sickly economy has driven a 30 percent state-wide rise in those needing food.
Good for Bruce! Although, I am sure Mr. Springsteen, could save that bank with a considerable donation. Most likely, one of his accountants, who live up on “bankers hill” could even provide Springsteen with the tax loophole to reduce his tax liability with such a donation. Just another roll of the dice.
The thing is, obviously the AOL subscribers who have commented about this incident with Michael Phelps don’t understand business and endorsement ethics.This was a very serious breach of contract regardless of how young Michael is.When you sign a contract to represent a brand® you have an obligation to look outfor the interests of the payee above your own by keeping your personal behavior within the bounds of the law and moral standard. By allowing himself the freedom to participate in the Bong Photo and activity he disrespected his Agents, his Sponsors, the USOC and himself most importantly. There is no reason why we should not expect our Heros and Icons to behave with wisdom, knowledge and good sense, if we trust them with millions of dollars and the dreams of our own children! He had been warned previously with his DUI in 2004 after returning from Athens, Greece, that was his wake up call; He chose to ignore it. Everyone should wake up and take notice. America needs to protect integrity and honor. Simply put Michael Phelps did not honor his word and actions by risking some much for so little. “To whom much is given much is expected.”