Breaking Down Beyonce’s Pepsi Deal

How the reigning queen of Pop & B changed the sponsorship game

(File)

Beyonce’s just made a major stride on her path to world domination.

Her’s isn’t the average attach-your-name-to-our product and we’ll pay you situation. Beyonce’ may have broken ground on a new way to market and created a true collaboration with the company.

The iconic soda water company calls the deal a “brand ambassador” contract with a focus on collaboration. Beyonce will be the face of the company, appearing on Pepsi products, star in Pepsi commercials and perform in the Pepsi-sponsored Superbowl half-time show. In exchange, Pepsi will create “a multimillion dollar fund to support the singer’s chosen creative projects.”

Essentially, Beyonce created a high stakes Kickstarter situation. For her efforts, Beyonce will receive a considerable amount of time and publicity from Pepsi to support projects that have nothing to do with the company. Few, if any stars of this generation, or generations previous for that matter, have been the beneficiaries of such creative control from a major brand. And yet, Beyonce now has the leeway to shine some light on her photo shoots for her brands of clothing and perfumes and even promote her humanitarian efforts.

It’s smart business for Pepsi as they know “All that transfers into brand equity for Pepsi, and ultimately, sales,” according to a Pepsi executive in a PR Newser piece.

Knowles-Carter is ushering in a new era of artistic patronage that other companies are sure to follow. PR Newser points to the fact that music companies are hemorrhaging revenue while soda companies have more money than a little bit to spend on marketing their brands. It only makes sense to go where the money is.

Who else is a big enough star to lure brands into a deal like this? Holler at me @KeishaJenkins.

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