Key to Alcohol Industry? Celebrity Endorsements
Everyone has the dream of starting an awesome product and it getting bought out for millions. If you’re trying to do this with an alcohol company, don’t bother unless a celebrity is backing you.
Beverage giant Diageo recently purchased Aviation Gin for $610 million. The gin brand is co-owned by Ryan Reynolds and this follows Diageo past investments in Casamigos tequila and Ciroc vodka, which were backed by George Clooney and P. Diddy. Why is having a celebrity backing your brand so important? It provides visibility that others are likely not able to provide. When it comes to alcohol brands that aren’t wine, people make their purchases based on familiarity with a brand over the taste. Why? Alcohol brands rarely differentiate compared to others, so brand equity is so important. Celebrity backers provide a familiar face in advertisements to customers and a comfort level in knowing this super famous person is backing the product.
What’s also interesting is what happens AFTER the purchases as well. Not only does distribution and advertising rapidly increase thanks to an investment by a company like Diageo, people love contributing to a famous celebrity’s wealth. George Clooney and P. Diddy getting richer off of an alcohol company just feels so awesome and luckily for Diageo, others will feel the same with Reynolds, since he cemented himself in American culture thanks to “Deadpool”.
You may not even like gin, but next time you’re at a bar and the bartender offers a drink with gin, you’ll likely ask if it’s Aviation Gin. Everyone did the same with Casamigos and Ciroc. It may be tough to give up on your dreams, but don’t bother going through with an alcohol company if you can’t get a celebrity backer.