Pelé passed away today at 82 years old.
He was one of the world's most famous athletes and the only man to win 3 World Cups.
But my favorite Pelé story involves two brothers that became bitter rivals and a $120,000 payment that will be remembered forever.
Here's the story 👇
He was one of the world's most famous athletes and the only man to win 3 World Cups.
But my favorite Pelé story involves two brothers that became bitter rivals and a $120,000 payment that will be remembered forever.
Here's the story 👇
1) The story starts in 1924.
German brothers Adolf and Rudolf Dassler started a shoe company from their mom's laundry room.
It was called the Dassler Brothers Shoe Factory.
And as the sole manufacturer of athletic shoes in Germany, the brothers were onto something big.
German brothers Adolf and Rudolf Dassler started a shoe company from their mom's laundry room.
It was called the Dassler Brothers Shoe Factory.
And as the sole manufacturer of athletic shoes in Germany, the brothers were onto something big.
2) The company experienced early success, but sales took off when Adolf invented screw-in spikes.
The brothers then convinced sprinter Jesse Owens to wear them at the 1936 Olympics in Berlin.
And when he won 4 gold medals, sales exploded.
This is where it gets interesting...
The brothers then convinced sprinter Jesse Owens to wear them at the 1936 Olympics in Berlin.
And when he won 4 gold medals, sales exploded.
This is where it gets interesting...
3) As the company began to grow, the relationship between the Dassler brothers deteriorated.
In 1943, American soldiers picked up Rudolf, accusing him of being a Waffen SS member — the military branch of the Nazi Party.
Certain his brother turned him in, Rudolf was furious.
In 1943, American soldiers picked up Rudolf, accusing him of being a Waffen SS member — the military branch of the Nazi Party.
Certain his brother turned him in, Rudolf was furious.
4) By 1948, the brothers had broken up Dassler Shoe Factory, and they each set up their own shop on opposite sides of town.
Adolf named his new company “Adi-das”(a combination of his first & last name).
Rudolf tried a similar concept with ‘Ruda’ but eventually settled on Puma.
Adolf named his new company “Adi-das”(a combination of his first & last name).
Rudolf tried a similar concept with ‘Ruda’ but eventually settled on Puma.
5) Despite splitting up and each running their own successful business, the Dassler brothers became bitter rivals and refused to ever do business together again.
But in the late 1960s, that all changed.
Why?
Pelé, the world's most famous athlete.
But in the late 1960s, that all changed.
Why?
Pelé, the world's most famous athlete.
6) Athlete endorsements were becoming popular, so Adidas & Puma created the "Pelé Pact."
The idea was simple: a bidding war would bankrupt both companies, so they agreed neither company would sign Pelé.
But in 1970, Puma brokered one of the smartest marketing plays of all time.
The idea was simple: a bidding war would bankrupt both companies, so they agreed neither company would sign Pelé.
But in 1970, Puma brokered one of the smartest marketing plays of all time.
7) Before a 1970 World Cup quarter-final match between Brazil & Peru, Puma approached Pelé with a $120,000 offer — or $1 million once adjusted for inflation.
The kicker?
Puma requested Pelé walk to midfield seconds before kick-off and ask the official for time to tie his shoes.
The kicker?
Puma requested Pelé walk to midfield seconds before kick-off and ask the official for time to tie his shoes.
8) As Pele approached midfield to tie his shoes, cameras zoomed in, and millions of people realized all at once:
Pelé was a Puma athlete.
The funniest part?
To ensure they got a close-up, Puma even paid the cameraman.
Pelé was a Puma athlete.
The funniest part?
To ensure they got a close-up, Puma even paid the cameraman.
9) While the structure of the deal technically circumvented the "Pelé Pact," Adolf Dassler & Adidas were pissed.
Pelé became one of the greatest footballers in history, and Puma saw record annual sales.
But this only further deepened the "sneaker war" between Adidas & Puma.
Pelé became one of the greatest footballers in history, and Puma saw record annual sales.
But this only further deepened the "sneaker war" between Adidas & Puma.
10) Today, 50 years after Puma secretly signed Pelé, the citizens of their hometown, Herzogenaurach, take brand loyalty to new levels.
Shopkeepers favor one brand and refuse to serve customers wearing the other, regardless of the circumstances.
As they say, people don't forget.
Shopkeepers favor one brand and refuse to serve customers wearing the other, regardless of the circumstances.
As they say, people don't forget.
11) In the end, I like this story for one simple reason:
It shows what ambition, determination, creativity, and a hint of insecurity can push people to accomplish.
And the best part?
With Adidas and Puma now multi-billion-dollar companies, it worked out for everyone.
It shows what ambition, determination, creativity, and a hint of insecurity can push people to accomplish.
And the best part?
With Adidas and Puma now multi-billion-dollar companies, it worked out for everyone.
12) If you enjoyed this thread, you should:
1. Follow me; I tweet cool stories like this every day.
2. Join 75,000+ others and sign up for my free daily newsletter where I break down the business and money behind sports.
huddleup.substack.com
1. Follow me; I tweet cool stories like this every day.
2. Join 75,000+ others and sign up for my free daily newsletter where I break down the business and money behind sports.
huddleup.substack.com
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