Filed under: Deals, PepsiCo (PEP), Marketing and advertising, Business of sports
English soccer star David Beckham came to America earlier this year, joining the Major League Soccer’s Los Angeles Galaxy with a base salary of $5.5 million and guaranteed compensation of $6,5 million, making him by far the highest paid soccer player in the United States. Throw in some marketing opportunities and profit-sharing options offered by team investor Anschutz Entertainment Group, and he’s in a league of his own: Almost 30 percent of MLS players are paid either $17,700 or $12,900.
Beckham’s former team, Real Madrid, had paid him nearly $32 million annually. So, why the move for less money? Beckham isn’t just an athlete, but a fairly successful pitchman. His biggest endorsement, Gillette, pays him an estimated $9 million for three years, and he also lends his image to Pepsico (NYSE: PEP) products, Vodafone (NYSE: VOD), Adidas and — yep — Brylcream. Playing around the United States will give him a higher profile in the only market he hasn’t conquered yet: ours.
B. Brandon Barker is the author of the novel Operation EMU.
Be sure to check out more Money Winners of 2007.
Entries (RSS)