Celebrity endorsement of products has been around for years. But reading the paper this morning, I was surprised to learn just how far this type of marketing has gone and the power it now has.
It seems that Cristiano Ronaldo was frustrated that Manchester United (and Alex Ferguson in particular) would not allow him to take advantage of his commercial potential by endorsing products which one expert believes will allow him to earn over £85 million in the next decade.
The move to Real Madrid should allow him to take advantage of his potential. A professor of sport business strategy and marketing highlighted that Ferguson drives Manchester United's on-field success first and foremost whereas there is a greater belief that Real Madrid are an entertainment brand rather than a football club.
To pay for Kaka and Ronaldo, Real Madrid are going to aggressively market both players in developing markets, including Asia, much as David Beckham was when he signed. Shirt sales are estimated to have gone up 137% in Beckhams time in Madrid. Ronaldo and Kaka will also be encouraged to develop their individual commercial activities to expand their profiles globally, which will have a positive effect for Real Madrid.
With endorsements added to his his contract at Real, as well as good advice off-the-field, could see Ronaldo worth £175 million by the time he is 34.
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