Quote:
Originally posted by Chemical X.
The Samsung thing is more than a simple endorsement though. $25 million... that's way too much for it to be a simple "endorse our product" kind of deal. That's enough to pay all the recording sessions, tour prep, album rollout... in return she will have to do a lot for them. They will get paid back regardless of what happens, which means they could be getting cuts from her other endorsement deals. The goal is that it's mutually beneficial, but if things don't work out on Rih's end they're still getting their millions back one way or another.
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But that's not how sponsorships work. This money (25million) isn't going into Rihanna's pocket so why on earth would she give them a cut of revenues or even worse, allow them to have a cut of her endorsements? The point of a sponsorship is for the sponsor to utilize an event (Rih's tour) or brand to promote their own brand and thus generate their own revenue. For instance, when Beyonce got her $50mil endorsement from Pepsi she didn't have to give them a dime of the money she made from her tour or her album. Sponsorships are not like stocks or investments where you buy a share of a company and thus make money from their revenues. She will likely give them losts of exclusives, starting with an exclusive release via Samsung/Tidal.