The Hidden Risks of Brand Ambassadors: How Scandals Can Harm Fashion Brands

Kim Soo-hyun’s scandal shows how a brand ambassador’s controversy can put a brand’s image and value at risk.

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Kim Soo-hyun’s scandal shows how a brand ambassador’s controversy can put a brand’s image and value at risk.

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In the fashion industry, selecting a brand ambassador is a crucial strategy for strengthening brand identity and connecting with consumers. However, when these ambassadors become embroiled in controversy, the brands they represent can suffer significant consequences.

A brand ambassador is more than just a promotional figure – they become intertwined with the brand’s image. When they face public scrutiny, the negative publicity doesn’t just affect them personally but also spills over to the brand they represent. For example, in October 2020, Red Velvet’s Irene, who was an ambassador for Prada, was accused of mistreating a fashion editor. The scandal sparked outrage, leading to a wave of criticism directed at Prada, especially in the Asian market. Even though the brand itself had no involvement in the controversy, its association with the star caused reputational damage.

Beyond image concerns, a scandal involving a brand ambassador can have direct financial consequences. Consumer boycotts, loss of brand credibility, and media scrutiny can lead to declining sales and, in some cases, even impact stock prices. A stark example is actress Zheng Shuang, who faced a surrogacy scandal while serving as Prada’s ambassador. As public sentiment turned against her, Prada’s stock price fell by 1.7% within a short period, demonstrating the immediate impact such controversies can have on investor confidence.

When a brand ambassador becomes the subject of controversy, companies are often forced to make difficult decisions, including ending partnerships or pivoting their marketing strategies. This process is not only time-consuming but also costly. Severing ties with an ambassador means investing in damage control, altering advertising materials, and launching new campaigns to re-establish brand credibility. Additionally, finding and signing a replacement ambassador requires careful planning and significant financial resources.

Kim Soo-hyun, who was appointed as Prada’s ambassador in September 2023, is now facing serious allegations regarding his past relationship with the late actress Kim Sae-ron. While the full extent of the situation remains unclear, the growing media attention has led to concerns about potential negative consequences for Prada. Given that scandals can spread rapidly, especially in international markets, brands associated with celebrities facing public backlash often find themselves caught in the storm, whether or not they choose to respond.

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Consumer trust is one of the most valuable assets a brand can have, but it is also fragile. When a celebrity ambassador is linked to unethical behavior, it can make consumers question the brand’s values and decision-making. In some cases, customers may feel that the brand’s choice of ambassador reflects poorly on its ethical stance, leading them to switch to competitors with a cleaner reputation.

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