Maybe “Tiger” Insurance Isn’t Necessary After All
I wrote a few weeks back about endorsers buying “disgrace” insurance to cover losses when a celebrity endorser misbehaves. This piece in Advertising Age indicates that Nike actually came out better by sticking with Tiger Woods than it would have by dropping him. The article also points out, though, that the entire golf equipment industry felt the impact. According to the article, “[s]ome people simply stopped playing golf in reaction to the scandal, leading to a loss of $7.5 million in profits for all golf-ball companies, researchers concluded.” No indication if sales of nine irons to angry spouses picked up, to offset that loss.