Question

Should Under Armour keep paying huge amounts of money to famous athletes to be part of their campaigns? Or should they start using everyday people? Be sure to provide support for your point of view. A minimum of 3 articles to support your point-of-view for the questions. Please cite your sources.

Answer 1

Yes,Under Armour keep paying huge amounts of money to famous athletes to be part of their campaigns

• It is necessary for underarmours to pay huge amounts of money to famous athletes to earn more and more revenue, as everyday people have a good impression of their favorite athletes in mind. As the famous athlete participate in the campaigns of a particular product, people always try to follow him and buy that product according to their requirements. Endorsements matter most for basketball and golf. Basketball is full of shoe heads and shoe culture. Basketball shoes are about style, and teens shooting hoops in their driveway want to wear the jersey and shoe of their favorite player.
• Under Armour has been incredibly successful with some its sponsorships. On his way to winning the NBA's MVP title for the last two seasons, Curry has helped the brand's footwear sales explode. The success of its sponsored athletes seems to be one reason Under Armour's international sales rose. As it continues to build new partnerships, its visibility grows, which helps the company maintain its high sales growth rate.
• Having athlete endorsements are great, but it doesn't guarantee of earning revenues as to retain the customers it is necessary to produce and sell the quality products. Lot of companies with strong athlete sponsorships have faded or died. Star endorsers always don’t boost sales
• Everyday people doesn't have any known affiliation. Why would it matter even if i am wearing Nike shoes?

Reference:

• Let's Look At Under Armour Athlete Endorsements, "Seeking Alpha".
• Are Under Armour's Expensive Sponsorships Worth the Cost?, Bradley Seth McNew, The Motley Fool.
• The Under Armour lesson: Athlete endorsers can't save a brand, Daniel Roberts,Yahoo Finance.