Bollywood Presents

Exotic locations where popular Bollywood movies were shot

You are here: Home / Film & Media Business / Snapdeal Not to Renew Contract With Aamir Khan: Intolerance Row

Snapdeal Not to Renew Contract With Aamir Khan: Intolerance Row

by

Aamir Khan

E-commerce giant Snapdeal have decided not to renew its contract with PK star Aamir Khan, after Aamir Khan got entangled in the ‘intolerance’ controversy. For the same reason, Aamir Khan’s contract with Incredible India was also not renewed.

While there are many who feel that Snapdeal should have retained Aamir Khan as the brand ambassador, considering the fact that Aamir Khan was instrumental in increasing the brand awareness of Snapdeal and helping it bring on par with the likes of Amazon & Flipkart, business experts feel that this is the right business decision to make.

Replying to one of the tweets (which said that Snapdeal’s statment that it shouldn’t face consequences due the @aamir_khan’s statement is like BJP saying it shouldn’t be liable for Sadhvi Prachi’s statements), Sachin Bansal (co-founder os e-commerce platform Flipkart which then took over Snapdeal) said it was a flawed logic.

So is this the only reason (Aamir Khan getting entangled in the intolerance controversy) that Snapdeal decided not to renew the contract with the ‘3 Idiots’ star?

Here’s another perspective given by a business analyst.

The e-commerce market in India is seeing fierce competition between the top players, and Snapdeal has been feeling the heat of rising debt. Add to that, Aamir Khan is one of the highest paid celebrities (especially when it comes to endorsements). Because Aamir Khan endorses only 2-3 brands (similar to his strategy of doing films), Aamir charges a hefty amount for brand endorsements.

Aamir KhanReportedly, Aamir Khan was paid close to 15-20 crore rupees (around $3 million) by Snapdeal (Aamir Khan charges many times over Shah Rukh making him one of the most expensive ‘brands’).

Considering this aspect, it definitely does not make any business sense for a loss-making company to have an expensive brand ambassador, particularly when the ambassador is currently involved in a controversy and bringing in bad press for the parent company.

Here are a few examples where the brand ambassadors were dropped after they did or spoke something in public that hurt the brand.

  • Lance Armstrong (Cycling Champ) – After it emerged that he had been taking performance-enhancing drugs, Lance Armstrong lost lucrative sponsorship’s’ with Nike, Trek Bicycle Corp, and more.
  • Michael Phelps (winner of the most Olympic gold medals in history) – After a photo emerged of Michael smoking a bong at a party, he lost sponsorship with Kellogg.
  • Donald Trump (US President Candidate) – After his racist comments where he said that most Mexican immigrants were rapists and drug dealers, several leading firms in the US (NBC, Univision, and more) dropped him as their brand ambassador.

    • RELATED POSTS

    Top 10 Best Street Food Destinations In the World

    Nothing can beat street food when it comes to having a quick bite or snacks. We all love our bhel puris, gol gappas, chaats, pav bhaajis, dosas (street food in India), and at most times that is also our meal. For long, travelers have turned towards Street food as a great way to experience new […]

    Bollywood in Jordan – Beautiful & Safe In a Region of Conflict

    One of the best things in Jordan, from a filmmakers perspective, is its terrain, which fits the canvas, scale and story of big budget films that needs exotic locations. For most Indians, Jordan is an undiscovered country (despite being spectacular) and for filmmakers its an absolutely fresh location. Surprisingly, not many Bollywood movies have been […]

    Top Bollywood Actors (Actresses) Who Survived Despite Poor Hindi Language Skills

    Bollywood is the Hindi film industry, and because the various actors have to deliver their dialogues in Hindi (India’s national language), one would expect all of them to be familiar with the Hindi language. Surprisingly, that’s not the case, despite the known fact that being able to communicate in Hindi is a must if you […]

    Thugs of Hindostan: Bloated & formulaic

    Thugs of Hindostan, Bollywood’s ‘Pirates of the Caribbean’ sinks after critics pan the movie and the subsequent poor word of mouth. The film is based on pirates who revolt against the British (reminds you of the Pirates of the Caribbean series though). The movie has good action scenes and Amitabh Bachchan almost steals the limelight […]

    For ‘A Gentleman’, Sidharth Malhotra jums from top of a 60-story building in Miami

    Rappelling from mountains and waterfalls is a common adventure sport, and it has now found its way to cities too — translating to urban rappelling where you replace nature with skyscrapers or monuments. For one of the most extensive stunts in the action thriller, ‘A Gentleman’, Sidarth Malhotra jumped from the terrace of a 60-storey […]

    Ace director Rohit Shetty reveals his big plans for the future

    His debut film ‘Zameen’ as a director (starring Ajay Devgan of course) may have been disaster but that definitely didn’t stop Rohit Shetty from dreaming big. Today he’s considered one of the top directors in Bollywood, has given several back to back hits, is friends with the likes of Ajay Devgn & Shahrukh Khan, and […]

    Bollywood Comes to the Rescue of Kabaddi

    Bollywood’s interest in the game of Kabaddi, good media coverage, and big money pouring in, could change the perception of the sport that is primarily played in Indian villages. Almost everybody laughed when the idea of a Pro-Kabaddi League in India was first discussed. But once the tournament started, many more people (than expected) were […]

    RGV Says SRK Losing to Salman & the Reasons are the Same Why Kamal Lost to Rajinikanth

    Filmmaker Ram Gopal Varma (RGV), popularly known for making crime-related movies, is back to making movies, after a break. He’s actively promoting his latest movie ‘Veerappan’ by appearing on television shows, and also by making some controversial statements. Some time back, when Amy Jackson shared a selfie with Rajinikanth, Ram Gopal Varma had tweeted how […]