TLDR:
- Don’t cut ties with the face of the brand and expect to still generate the same volume of profit you were off their name. Public sentiment is the real deal.
Adidas just said they may write off the remaining Yeezy stock worth $320 million. Even if they don’t, they still won’t be the same again.
Last year on October 25th, after Kanye West (or Ye as he calls himself these days) was consistently expressing antisemitic statements, Adidas decided to terminate their partnership with him.
But about 7 months later this year on May 31st, Adidas was selling some of its remaining Yeezy stock, with some of the proceeds to be donated to international organizations fighting antisemitism and racism.
It is rumored that the remaining stock will be sold at some point this summer and on Black Friday as has been the norm over the years.
It’s not officially known if Adidas will choose to continue producing the Yeezy line. Still, whether or not you were stuck on the queue yet again in hopes of copping a pair or were beaten by the bots, one thing we can all agree on is that Yeezys won’t be the same again, and here’s why.
Selling a brand without its face
The first two letters of Yeezy are literally a reference to Kanye’s current legal name: Ye.
Imagine if Nike cut ties with Michael Jordan and continued to sell the AirJordan line; it just doesn’t feel the same.
Just like AirJordans, Yeezys are a status symbol, that is a lineup designed by someone considered by many to be one of the greatest rappers of all time, which is why there’s been a rage for them all these years since its inception in 2013.
It is further made exclusive by the fact you have to be a part of the raffle and be lucky enough to be selected to buy a pair at its officially listed value, and because of this, the resale value of Yeezys often goes in excess of a thousand dollars.
To put this in perspective, the 350 Boost v2 line is $230. You can buy about 4-5 pairs at its official price if you’re lucky enough.
But if Kanye is no longer associated with Yeezy, its status symbol will die.
Sure it's a good-quality shoe and that resale will remain like this, but without Kanye, Yeezys aren’t Yeezys.
It becomes a shoe that was designed by him, not is. More specifically, it's just like any other sneaker that happens to be more expensive than your average pair.
Think about the reboot of iCarly on Paramount Plus. All of the original cast reprised their respective roles, except for Jennette McCurdy.
Along with Miranda Cosgrove, McCurdy is the face of the iCarly franchise. Without her, iCarly is obviously not the same.
At the surface level, it is certainly an iCarly show but deep down, everyone knows it's not the same as they grew up watching if McCurdy isn’t there. The same principle applies to Yeezys: if Kanye isn’t affiliated with them, they’re not Yeezys.
It’s like with prequels, sequels, and spinoffs of vastly successful franchises; they want to milk the cow to its very last drop even if it means losing familiar faces in the process.
Milking the Cow Until its Completely Dry
Many say that Adidas’ decision to sell its remaining Yeezy stock rather than burn it is them milking Kanye’s name, and why wouldn’t they?
The Washington Post reported that Yeezys generated close to an estimated $2 billion in revenue last year, which is about a tenth of the company’s annual revenue.
The Yeezy partnership was so successful that at the time it was announced Adidas would sell some of the remaining stock later in May, CNN reported that they were still financially hurting from its termination, losing around $441 million.
But selling the remaining stock without the Kanye partnership is like selling any other shoe, it's not the same without him.
There’s growing speculation that Adidas will eventually choose to resume the production of Yeezys, even if Kanye will no longer be affiliated with them, a classic example of milking the cow until it is completely dry.
Some speculation even goes as far as saying that the company is waiting for the outcry against Kanye to simmer down for good before taking this call.
What if Adidas chooses to bring back the Yeezy lineup under a different name but the design remains unchanged?
That’d be a telltale sign that Adidas wants to milk the Yeezy cow as much as possible.
It’s like when Nickelodeon went against Stephen Hillenburg’s wish to not produce any more Spongebob Squarepants content after the 2004 movie, as a result of which Hillenburg resigned as the showrunner.
And about two decades later, the show is still ongoing even though it didn’t remain the same after Hillenburg stepped down, because the cow still isn’t dried up for good just yet.
Conclusion
Adidas can do all they want to work around selling Yeezys without Kanye being a part of the brand, but no matter what they do, Yeezys won’t be the same again, for what they’re doing is off the grid.
Key Lesson
Cutting ties with someone who was the face of the brand yet continuing to sell their vision does not bode well with the general public. If you cut ties with them, also stop selling the product for good, or you risk a mass backlash.