Willis has introduced a reputational risk quantification model for celebrity endorsement. Utilising datasets from Polecat, the model quantifies the reputational risk associated with celebrity endorsers and brand ambassadors.

The new model has been created to help businesses get a clearer view of their reputational exposures. It uses risk analytics with datasets from Polecat’s real-time intelligence platform to calculate the impact on sales and profits in a range of scenarios where celebrity endorsers could suffer reputational damage. This will provide brands with data-driven insights into potential negative impacts arising from celebrity partnerships, enabling more informed decision making and proactive risk management.

James Gillespie, head of data and analytics in the Willis direct and facultative team, said: “Reputation is increasingly being recognised as an asset class. Our new model translates what was once a subjective judgement into quantifiable insight. By measuring the potential impact of a celebrity endorsement gone wrong, we are helping clients put real numbers behind reputational risk and make decisions grounded in data.

“Celebrity endorsements can increase brand recognition by up to 80%, proving high success when it’s done right. But without the correct risk management, the damage can be insurmountable.”

James Lawn, CEO at Polecat, added: “For too long, reputation has been monitored but not measured. This model changes that. By combining Polecat’s real-time intelligence with Willis’s actuarial expertise, we are giving organisations the ability to quantify what was previously intangible and manage it accordingly.”

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