Future of Partnerships – Celebrity brand partnerships extend beyond endorsements and #sponcon.
A growing number of brands are finding new ways to work with celebrities and public figures, including bringing them on as consultants or employees and exchanging equity as payment for the collaboration.
celebrity new appointments
Recently, Delta Airlines announced that Tom Brady will be brought on as a strategic advisor. According to an official statement from Delta, Brady will be involved in strategic initiatives related to Delta’s employees and customers.
What does that mean exactly? Delta hopes some of Brady’s teamwork and leadership skills will rub off on their employees. According to Fast Company, Brady will take on an advisory-type role, working with Delta to develop training and team-building materials for employees and support some marketing initiatives.
Only time will tell if the ROI is fruitful for Delta, although it makes sense that Brady would be looking for a long-term partnership to keep him busy now that he is no longer playing in the NFL.
Similarly, Sofia Richie Grainge joins the Nudestix team in 2022 as the brand’s first beauty director. In this role, Grainge supports new product development, brand development, and community-building. Grain has also invested in the brand.
Recent data shows that the partnership with Grange has been profitable for Nudestix. Earlier this year, when Grange quickly gained popularity on TikTok after extensive coverage of her wedding, Nudestix products used by Grange’s makeup artist on her wedding day saw a 2,849% increase in sales.
pay me in equity
Some celebrities are opting out of cash payments in favor of equity in the companies they work with. In 2015, Beyoncé refused $6 million in cash from Uber to perform at a corporate event, instead taking payment in equity, valued at $300 million in 2019.
Ryan Reynolds made a similar move in 2018 by acquiring a stake in Aviation Gin. As of 2020, Aviation Gin sold for $610M and Reynolds has since remained on board as a spokesperson.
As the entertainment industry becomes increasingly precarious due to worker strikes and barriers to monetizing their work, and for advertisers who do not have as many opportunities for placement, brand-celebrity partnerships developed due to lost income. And can be an attractive way to pursue opportunities.