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How does Salman verdict affect broadcaster deals?

How does Salman verdict affect broadcaster deals?

Author | exchange4media News Service | Friday, May 08,2015 8:59 AM

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How does Salman verdict affect broadcaster deals?

Salman Khan’s conviction in the session court has put a big spot light on the actor’s endorsements when it comes to brands and his association with them. As with all big personalities that fall from grace, brands are the first to disassociate themselves. We have seen that with international stars such as Tiger Woods during his sex scandal and Lance Armstrong during the performance enhancing revelation brands such as Accenture and Nike, respectively, had broken their association with the celebs. 

Many brands and companies that Khan represented were also broadcasters as he was one of the few who has achieved success on television too. He has especially been synonymous with the show Bigg Boss on Colors which he has taken to new heights. The verdict would now mean that the host of the show would have to change for the next season. Khan has been hosting the show for the last five seasons and the show’s ratings have only risen. The actor had increased his price from Rs.2-3 crore per episode when he stated with show in 2010 to Rs.5-6 crore per episode during the eighth season. There were even rumors of him initially not being on the show after the eight season and was only replaced by Farah Khan during the show extension due to his tight shooting schedule.

Another broadcaster Star Network has signed a five year Rs.450-500 crore deal with Khan since 2013 for the satellite rights for all his films during the period. Currently only two films Jai Ho and Kick have been produced since the deal. He was also brought on board to promote Pro Kabaddi League after India exited the World Cup. If the conviction stands, the deal would be cancelled and see the actor as well as Star losing out on the deal.

He was also the host on the game show 10 Ka Dum from 2008 to 2009 on Zee TV. The show was quite successful during its stint.

Apart from this Khan represents 10 brands some of which are key on-air sponsors for the IPL this season. There were worries that any of the brands with him in their TVCs would look to pull those TVCs out. However, Rohit Gupta, President, MSM, who is the official IPL broadcaster, in a media report mentioned that they had not received this request from brands and said that he didn’t expect any knee-jerk reaction from brands.

As the dust around Khan’s conviction settles, brands and even broadcasters will wait to take a decision until they know if the actor chooses to move to higher court.      
 

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