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The
World of Hip-Hop has evolved since it's Infancy from a fad that
started in The Park's of NY to the Gilts and glamor of Rodeo drive in
LA into a multi billion dollar industry. It has also evolved into a
platform where artists can become a brand and explore Business
ventures such as Clothing,Sports Drinks, Vodka and Headphones. For
people such as Jay-z and P.Diddy Business affairs outside of music
have been their most lucrative by far. Let's take a look back at the
top 5 business ventures in Hip-Hop history.
5.
Jay-Z Signs Reebok Deal in 2003
In
the year of 2003 Jay-Z made history becoming the 1st ever
non-athlete to have an endorsement deal with an Athletic Sneaker
Company when he signed with Reebok and released the S.Carter's. The
Shoe was a fashion statement when Released in 2004 and was selling
out in stores all across the country, It was the Fastest Selling Shoe
in Reebok History. Although the specifics of Jay-Z's contract were
never released this is here because of what it did for the business
of Rappers looking to expand themselves as far as Branding is
concerned. It was a Pioneering Deal that Paved the way for people
like Lupe Fiasco, Rick Ross and Swizz Beatz to have they're own
signature Sneaker.
4.
50 Cent Buys part of Glacieau company and Releases his own flavor of
Vitamin Water
When
looking to Invest in a beverage 50 Cent was looking to tap into an
untapped market at that time. Soda's were plenty, Gatorade and
Powerade were cornering the Sports drink market. In looking into an
alternative beverage 50 Cent invested into Glacieau to become a
majority owner of Vitamin water. Fifty even put out his own flavor
of the beverage titled “Formula 50” which sold pretty well. When
the company started to increase profit and the demand got higher
fifty cashed in on a buyout from the Coca-Cola Company which was
approximately 4.1 Billion dollars, the rapper owning 10% scored a
crisp 100 million Dollars on his investment. Not only did his
investment corner and untapped market but it is arguably the smartest
investment of his career, and he is a guy with pretty well
diversified portfolio.
3.
Diddy Signs to endorse Ciroc Vodka
In
2007 P.Diddy signed off on a deal that would make him an official
spokesmen and endorser of Ciroc. Since then Brand has increases it's
sales in the USA by 131% and has made the Brand a household name and
gold standard of vodka in a matter of 6 years. TV Ad's over the yes
have displayed Diddy as a central figure for the brand and he has
played a key role not only for the Branding of Ciroc but for the
visibility globally. Not only has he been the face for the product
but Didy has also brought in Hip Hop figures like Rick Ross to
further increase the Visibility for a brand that just continues to
grow year after year. Diddy has collected a nice 100 million Dollars
and still counting.
2.
Jay-Z Sells Rocawear
Sean
Carter better known as Jay-Z is a mogul who has his hands in a
numerous amount of business ventures but none bigger then what he had
with his clothing line Rocawear. In 2007 he sold the clothing line
for 204 Million dollars which is ridiculous and the fact that it's
somethin g he started himself and sold for that amount has him this
high up on the list.
1.
Dr.Dre Sells half of Beats Headphones stake to HTC
When
Dr.Dre released his brand of studio headphones named “beats” it
was revolutionary on so many levels Not only did it tap into and
monopolize an untapped market but made a huge impact Culturally or
Financially. As someone who is in the age Demographic of the products
top consumers not only can I tell you that the item flies off the
shelf but sells to the point where I get sick of looking at them. In
other words Dr.Dre's are popular among kids so it only makes sense
that Dre make a Profit, well thats what he did in 2011 when he sold
50% of the company to HTC for 310 Million Dollars which made beats a
huge success and the #1 best business venture in Hip-Hop history.
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