Celebrities and the future of their image contracts. (English)
How many sales can Leo Messi generate for Adidas? A lot, and not only of the lines with his name, but of the whole store.
Today it's time to talk about some very special Influencers, the TOP of the TOP, the most, the unreachable and stratospheric: the celebrities.
Who can fall into this category? In this category are those who perform some task that brings them fame and audience. For us there are 2 species of celebrities, those who have earned it with what they do and those who somehow have achieved audience without doing anything special. As we all know there are profiles and TV programs and other media full of this second specimen. And for the love I have for them I am not going to give them any more attention. Audience they have but I guess it is at the level of their actions.
Therefore, today we are going to talk about the first ones, the genuine ones, that is, singers, sportsmen and women, actors and actresses, writers, film and theater directors, politicians, humanists, religious people and, in our era, many businessmen and professionals.
There are a lot more professions that I'm sure I'm leaving out, sorry for those of you who belong to them.
Well actually today's reflection is thought in two senses, one purely economic and the other a little more solidary.
Let's go to the easiest example and from there you can make a composition of place and you can think about how it can help you with your e-Commerce. Let's think about the big contract that Roger Federer signed with UNIQLO for 300M dollars for 10 years. The Swiss tennis player had been with NIKE for 20 years when he broke his tie. It seems that they were not as interested in the renewal as UNIQLO. The fact is that the contracts of these celebrities normally do not go to variable, but with the new technologies of tracking sales of e-Commerce, the truth is that agreeing a fixed a little lower and negotiate a percentage of sales generated by the celebrity can be much, much more profitable for everyone. And if not, at least they will have data on the sales generated in the brand's online store.
Imagine the sales that Roger Federer can bring to UNIQLO's websites and imagine that you can monitor them all. It's relatively easy with today's tools. You can even look at the comparison between Kei Nishikori and Roger Federer. A local sportsman from Japan, origin of the brand and the most important figure in world tennis of all time. With this they could check the return on investment (ROI) and know perfectly how much they can determine they are investing in branding and how much goes directly to advertising to generate sales.
With the technology provided by Vendfy™ the UNIQLO and Roger Federer move could be the gateway for all sports brands using sponsorship as an Influencer Marketing campaign. It is the most balanced way to be able to value the results from both sides of the contract.
Actually if I were an elite athlete like Roger and I negotiated, I would like to know how many sales I would be able to generate and how much it would be to have 20% of each of them. If we do a calculation with an "old fashioned account" to see how many garments pay $30M per year at 20% commission on an average $50 ticket (although it will probably be higher). If I make $10 out of every $50 that UNIQLO sells with the deal, just by selling 3M tickets worldwide I just matched the amount of money UNIQLO pays me annually.
The question is easy In the whole year, is Roger able to sell more or less than 3M average tickets? Honestly, I think it must be more, many more. Maybe less tickets than when he was wearing NIKE, true, but Roger's engagement capacity is off the charts.
Remember that Rolex, Mercedes, Sunrise, Credit Suisse, Net Jet, Wilson, Nike (now only shoes), are other brands that sponsor the Swiss star. Can you imagine receiving commissions from everything he manages to sell? There are strategies and technology today to be able to use this way where everything is fairer. So much you sell so much you get paid.
And now imagine the same with Rafa Nadal, Leo Messi, Pau Gasol, Tiger Woods or Marc Marquez... Performance Marketing is a good ally for the contracts of the figures and that can encourage brands that can not afford a high initial fixed, play in the first division of sponsorship.
Welcome to Performance Sponsoring thanks to tools like Vendfy™. Track what your Influencers generate and make decisions based on their results.