It’s very obvious now that this is Kanye West’s world, and the rest of us are just a part of it. He still retains his contract with Adidas, but he recently inked a new one with Gap. His net worth increased to $6.6 billion as a result of these two transactions, making him the richest Black American. For a man who was buried in debt only a few years ago, this is a remarkable turnaround. The value of West’s contracts with Gap and Adidas ranges from $3.2 billion to $4.7 billion. His new deal with the Gap is worth about $970 million on its own and will see Yeezy branded products hitting the shelves of Gap stores this summer. The Gap wants to emulate Yeezy’s success with Adidas. The brand is wholly owned by West. For a period of ten years, he will work with the Gap to create clothing under the Yeezy Gap brand for men, women, and children. His current Adidas contract is valid through 2026.
The Gap has been suffering in recent years from a lack of relevance with not just younger shoppers, but even its older customer base has largely moved on from the retail chain. Through its Athleta brand, the corporation has been investing in e-commerce and sportswear while reducing retail locations. According to Gap’s most recent quarterly earnings report, the company is still having difficulty attracting customers, losing market share, and seeing a sharp decline in sales. The collaboration with Kanye is seen as a way to infuse the Gap brand with new life and bring a whole new set of customers to the store. Shares of the Gap went up to their highest level in forty years as soon as the West acquisition became public.
During its first full year of sales in 2022, Gap anticipates that its Yeezy line will surpass $150 million in sales. The company can see it becoming a billion-dollar revenue generator within eight years though a surge in sales in 2022 and 2023 could make it a billion-dollar brand even sooner. Gap only needs to look at Yeezy’s Adidas sales, which during the pandemic increased by 31% to 1.7 billion in revenue. On that sum, West earned $191 million in royalties.
The contract West has with Adidas is by far his biggest asset. Every time, the limited-edition sneaker releases are sold out practically instantly. The sneaker industry as a whole is expanding at an astounding rate. Nike anticipates its fiscal 2021 results to increase by about 13 percent from the previous year. Kanye, who claimed owing $16 million in debt in 2015 and $53 million in debt in 2016, has benefited greatly from the sneaker industry. By 2018, West’s contract with Adidas had generated more than $100 million in royalties.
Biden signs a bill that helps reduce inflation
President Biden signed into law the Inflation Reduction Act on Aug. 16, which aims to dampen inflation, tackle climate change,...
With the creamy and cheesy topping, you’ll be able to forget about veggie casseroles
Add vegetables in to your daily diet by making this rich and creamy side dish.
Hear the epic sound as a 20B-swapped RX-7 tears up the dyno
Mazda's only turbocharged engine makes a hell of a noise in good racing specification.
Biden signs three bills that have been rushed though, which deal with climate change, prescription drugs, and corporate taxes
The law imposed new taxes on large corporations. It allowed for prescription drugs to be sold more cheaply.
Don Bolduc made his presence known in the New Hampshire Senate primary Many Democrats cheered and looked forward to seeing Don Bolduc’s win this election
Don Bolduc who is most likely to be the Republican nominee for Senate in New Hampshire. This bold prediction is...