They gave him 3x more royalties than Michael Jordan.
His shoes resold for $3,000. Their stock rose 150%. They became relevant again.
Until it cost them $1.3 billion in a single day.
The story of how Kanye West brought a $60 billion company to its knees:
2013: Kanye walks into Adidas HQ with a bold claim:
"Nike treats celebrity collaborators like mascots. I want to build an empire."
Most thought he was crazy. But Adidas saw something different:
A chance to transform from Nike's little brother into a cultural powerhouse.
See, Nike had a formula:
Athletes = Performance
Celebrities = Marketing
But Kanye wanted to blur those lines...
He demanded:
• Full creative control
• Royalties on every sale
• A dedicated design team
Nike said no. Adidas said yes.
The deal was unprecedented:
While Nike gave Michael Jordan 5% royalties, Kanye got 15%.
In exchange, he promised to make Adidas cool again - something they hadn't been since Run DMC wore Superstars in the 80s.
The sneaker world laughed. But then:
The first Yeezy drop broke the internet:
• 9,000 pairs sold out in 10 minutes
• Websites crashed globally
• Resale prices hit $3,000
People camped outside stores for days.
As Adidas' stock jumped 7% in a single day, this was becoming a cultural movement.
By 2021, Yeezy was a phenomenon:
• Bots were crashing websites within seconds
• Shoes were selling for 10x retail price
Even "ugly" designs became grails.
Yeezy wasn't just making money - it was making Adidas relevant to an entire generation.
Then it all fell apart:
October 2022: Kanye appears on InfoWars.
His anti-semitic views made the world stand still.
People were outraged. But Adidas?
Complete silence.
Why didn't they act immediately?
Because Yeezy wasn't just another product line.
It was:
• 50% of Adidas' online sales
• Their main cultural relevance
• The reason their stock rose 300% since 2015
They were paralyzed by success.
Meanwhile...
Other brands cut ties within hours:
• Balenciaga cancelled $100M in projects
• Gap pulled products from shelves
• Even JPMorgan Chase closed his accounts
But Adidas kept quiet. Why?
They had $1.3 billion in Yeezy inventory, thousands of jobs at stake & stock already down 66% that year.
They needed to find the least damaging solution.
But the damage was already done:
#BoycottAdidas trended for 2 weeks.
Jewish organizations staged protests.
Employees threatened to quit.
Finally, on October 25th, Adidas made their choice:
They terminated the partnership, knowing it would cost them their first annual loss in 31 years.
The aftermath?
Instead of burning $1.3B in inventory, they got creative:
They'd sell the shoes and donate proceeds to anti-hate organizations.
The result? $750M in 2023 sales alone.
But the story doesn't end there...
2024: Kanye's not done.
While Adidas sells off old inventory, he launches a bizarre comeback:
• Drops a low-budget Super Bowl ad filmed in his car
• Sells YZY PODS (sock-shoe hybrids) for just $20
• Moves 260,000 pairs despite no major backing
That's not all...
The Yeezy website is now so overwhelmed with orders, they've had to pause new sales...
Even without Adidas, Nike, or Gap, even after the controversies, even with DIY marketing...
His brand power remains undeniable.
One man's personal brand became so powerful that a $60B company couldn't cut ties - even when he violated everything they stood for.
That's the double-edged sword of personal brands:
They can build empires... or destroy them overnight.
The takeaway?
Every founder needs a personal brand today.
But unlike Kanye, build yours on value and authenticity.
Cultivate it carefully & consistently.
When done right, it becomes your biggest asset:
Attracting customers, investors, and opportunities on autopilot.
Think about it:
If one person's brand could make Adidas bend their principles...
Imagine what a powerful, authentic personal brand could do for your business.
The question is: will you start?
Founders: We’ll build your personal/company brand on 𝕏 (and beyond) without you lifting a finger.
To date, we've already helped 60+ founders get 2+ Billion combined views.
Interested in how we can do this for you? Book your free discovery call here: https://t.co/idPRe1WHrX
Thanks for reading! A bit about me:
2 years ago, I cofounded @ThoughtleadrX — a premium personal branding agency for world-class founders, executives, and investors looking to dominate socials.
If you enjoyed this, hit "follow" for more breakdowns!
They gave him 3x more royalties than Michael Jordan.
His shoes resold for $3,000. Their stock rose 150%. They became relevant again.
Until it cost them $1.3 billion in a single day.
The story of how Kanye West brought a $60 billion company to its knees: 2013: Kanye walks into Adidas HQ with a bold claim:
"Nike treats celebrity collaborators like mascots. I want to build an empire."
Most thought he was crazy. But Adidas saw something different: A chance to transform from Nike's little brother into a cultural powerhouse.
See, Nike had a formula:
Athletes = Performance
Celebrities = Marketing
But Kanye wanted to blur those lines... He demanded:
• Full creative control
• Royalties on every sale
• A dedicated design team
Nike said no. Adidas said yes.
The deal was unprecedented: While Nike gave Michael Jordan 5% royalties, Kanye got 15%.
In exchange, he promised to make Adidas cool again - something they hadn't been since Run DMC wore Superstars in the 80s.
The sneaker world laughed. But then: The first Yeezy drop broke the internet:
• 9,000 pairs sold out in 10 minutes
• Websites crashed globally
• Resale prices hit $3,000
People camped outside stores for days.
As Adidas' stock jumped 7% in a single day, this was becoming a cultural movement. By 2021, Yeezy was a phenomenon:
• Bots were crashing websites within seconds
• Shoes were selling for 10x retail price
Even "ugly" designs became grails.
Yeezy wasn't just making money - it was making Adidas relevant to an entire generation.
Then it all fell apart: October 2022: Kanye appears on InfoWars.
His anti-semitic views made the world stand still.
People were outraged. But Adidas?
Complete silence.
Why didn't they act immediately?Because Yeezy wasn't just another product line.
It was:
• 50% of Adidas' online sales
• Their main cultural relevance
• The reason their stock rose 300% since 2015
They were paralyzed by success.
Meanwhile...Other brands cut ties within hours:
• Balenciaga cancelled $100M in projects
• Gap pulled products from shelves
• Even JPMorgan Chase closed his accounts
But Adidas kept quiet. Why? They had $1.3 billion in Yeezy inventory, thousands of jobs at stake & stock already down 66% that year.
They needed to find the least damaging solution.
But the damage was already done:#BoycottAdidas trended for 2 weeks.
Jewish organizations staged protests.
Employees threatened to quit.
Finally, on October 25th, Adidas made their choice:
They terminated the partnership, knowing it would cost them their first annual loss in 31 years.
The aftermath? Instead of burning $1.3B in inventory, they got creative:
They'd sell the shoes and donate proceeds to anti-hate organizations.
The result? $750M in 2023 sales alone.
But the story doesn't end there...2024: Kanye's not done.
While Adidas sells off old inventory, he launches a bizarre comeback:
• Drops a low-budget Super Bowl ad filmed in his car
• Sells YZY PODS (sock-shoe hybrids) for just $20
• Moves 260,000 pairs despite no major backing
That's not all... The Yeezy website is now so overwhelmed with orders, they've had to pause new sales...
Even without Adidas, Nike, or Gap, even after the controversies, even with DIY marketing...
His brand power remains undeniable. One man's personal brand became so powerful that a $60B company couldn't cut ties - even when he violated everything they stood for.
That's the double-edged sword of personal brands:
They can build empires... or destroy them overnight.
The takeaway?Every founder needs a personal brand today.
But unlike Kanye, build yours on value and authenticity.
Cultivate it carefully & consistently.
When done right, it becomes your biggest asset:Attracting customers, investors, and opportunities on autopilot.
Think about it:
If one person's brand could make Adidas bend their principles...
Imagine what a powerful, authentic personal brand could do for your business.
The question is: will you start? Founders: We’ll build your personal/company brand on 𝕏 (and beyond) without you lifting a finger.
To date, we've already helped 60+ founders get 2+ Billion combined views.
Interested in how we can do this for you? Book your free discovery call here: https://t.co/idPRe1WHrXThanks for reading! A bit about me:
2 years ago, I cofounded @ThoughtleadrX — a premium personal branding agency for world-class founders, executives, and investors looking to dominate socials.
If you enjoyed this, hit "follow" for more breakdowns!
