16/12/2021
1. A celebrity is better than any advertisement
The manufacturer of sportswear and shoes Puma had a choice - to advertise their products or pay one person. They chose the second option.
Pele 's boot from the 1970 World Cup
Pele's boot from the World Cup, 1970
At the FIFA World Cup, in 1970, a few seconds before the start of the final match, the world football star and future world champion, Brazilian footballer Pele bent down to tie his shoelaces. These close-up shots flew around the world live.
Needless to say, the football boots on Pele's feet were Puma brands, and the company itself paid the footballer before the match - so that he would start tying his shoelaces a moment before the start?
This non-standard advertisement brought the German manufacturer fame and popularity for many years to come, and the cost of advertising turned out to be much lower than the cost of its placement at the stadium.
2. Sometimes, to sell, you need to buy
Is it possible to compete in sales volumes with megacorporations and win this? And if there is one person against several corporations? You will say - it is impossible. And we will answer - you can!
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Robert Taylor, already in the 70s of the XX century, understood that liquid soap would become a super-popular commodity and, practically, would displace traditional soap. That's why he started selling liquid soap. What immediately confronted him with problems — neither liquid soap nor packaging with a pump can be patented in order to obtain exclusive sales rights for them. Because - liquid soap, as well as the design of pumps (pumps are also pumps) - humanity has been using for a relatively long time and there was nothing new in them. Therefore, anyone can produce packaging, pumps, and everything taken together.
And, as soon as liquid soap becomes popular with consumers, large cosmetic productions will immediately enter the market and "erase" Taylor's business into powder, washing. Robert realized this right away, and therefore decided to act outside the box.
At that time, only two companies produced pumps for liquid soap in the country. Robert Taylor bought all their existing products for $ 12 million (which was much more than all of Taylor's available money), and also loaded their production for several years ahead. Thus, any, even the largest, cosmetic production for its liquid soap could receive the most important part of the packaging tube from these enterprises - the pump - only after a few years.
Taylor's risky move led to the fact that his small company conquered the entire US market in a few years, since he had no competitors in liquid soap, due to the lack of pumps. After that, Robert sold the business to the Colgate-Palmolive concern for an impressive sum - more than 60 million US dollars. Thus, he not only covered all his debts, but also earned a fortune.