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How hip-hop went from big business shunning to multimillion-dollar partner

Innovative spirit has helped push hip-hop past big business91Ƶ initial resistance
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FILE - Dr. Dre performs during the halftime show during the NFL Super Bowl 56 football game, Feb. 13, 2022, in Inglewood, Calif. The signs of hip-hop91Ƶs influence are now everywhere from Pharrell Williams becoming Louis Vuitton91Ƶs men91Ƶs creative director to billion-dollar brands like Dr. Dre91Ƶs Beats headphones and retail mainstays like Diddy91Ƶs Sean John and the Rocawear line started by Jay-Z. It didn91Ƶt start out that way. Companies at first balked at partnering with hip-hop acts because they felt that the genre that appealed to Black and brown teens and young adults didn91Ƶt align with their brands. (AP Photo/Steve Luciano, File)

The signs of hip-hop91Ƶs influence are everywhere 91Ƶ from Pharrell Williams becoming to billion-dollar brands like Dr. Dre91Ƶs and retail mainstays like Diddy91Ƶs Sean John and Jay-Z91Ƶs Rocawear.

It didn91Ƶt start out that way.

The music genre germinated 50 years ago as an escape from the poverty and violence of New York City91Ƶs most distressed borough, the Bronx, where few wanted to invest in its businesses or its people. Out of that adversity blossomed an authentic style of expression, one that connected with the city91Ƶs underserved Black and Latino teens and young adults, and filtered through to graffiti, dance and fashion.

As hip-hop spread throughout New York, so did a culture.

91ƵHip-hop goes beyond the music,91Ƶ said C. Keith Harrison, a professor and founding director for the University of Central Florida91Ƶs Business of Hip-Hop Innovation & Creative Industries certificate program. 91ƵHip-hop always knew, as Nipsey Hussle would say, how to get it out of the trunk, and so they91Ƶve always had to have innovative business models.91Ƶ

That spirit of innovation has helped push hip-hop past big business91Ƶ initial resistance to align with the genre to become the most popular music form in the United States since 2017. Hip-hop91Ƶs impact on the $16 billion music industry and beyond is now so widespread, experts say it becomes difficult to quantify.

Author Zack O91ƵMalley Greenberg estimates that hip-hop91Ƶs were worth nearly $4 billion in 2022 by themselves.

Hip-hop artists have achieved that level of success because they are much more than their music. They are tastemakers and trendsetters in lifestyle-defining products from fashion to high-end champagne.

91ƵHip-hop knows how to put butts in seats, no matter what context you91Ƶre in, and that91Ƶs what businesses want,91Ƶ said Harrison, who is also a professor in the University of Central Florida91Ƶs DeVos Sport Business Management Graduate Program. 91ƵEmotion, return on emotion 91Ƶ that91Ƶs what hip-hop does differently. They have another level of emotion.91Ƶ

Because rappers often tell stories fans relate to or aspire to, weaving brand shout-outs into their rhymes and product placements 91Ƶ sometimes paid for, sometimes not 91Ƶ into their videos becomes a powerful marketing tool.

In her forthcoming book 91ƵFashion Killa: How Hip-Hop Revolutionized High Fashion,91Ƶ pop culture expert Sowmya Krishnamurthy addresses what people get out of 91Ƶputting somebody else91Ƶs name or logo across your chest or across your back.91Ƶ

91ƵIn America, in a capitalist society, how else do you show you91Ƶve made it?91Ƶ Krishnamurthy said. 91ƵOne thing I kind of joke about is: People can91Ƶt see your mortgage. But they can see a nice chain. They can see the clothes that you have on. That is an immediate signal.91Ƶ

In hip-hop, that pressure to fit in and show off is heightened.

91ƵYou have a genre that historically has a lot of people who grew up with little to nothing,91Ƶ Krishnamurthy said. 91ƵThe aspiration is inherent.91Ƶ

And probably no product has been as successful at connecting with hip-hop as footwear. Consequently, rappers get their own sneaker lines without ever taking part in a sport, said Harlan Friedman, host and creator of the Sole Free podcast on sneakers and street culture.

91ƵA seventh grader can91Ƶt afford a $20,000 rope chain and medallion, but maybe he could afford a pair of (Nike) Dunks or a pair of (Air) Jordans or a pair of Adidas,91Ƶ Friedman said. 91ƵThat gives him that little bit of clout, that he91Ƶs like his favorite artist or athlete, and it kind of gives him that feeling like, 91ƵOh, I91Ƶm like them.91Ƶ91Ƶ

Adidas was the first major company that saw rappers as potential business partners, Friedman said. But they had to be convinced.

Even though the company had seen an unusual spike in sales of its Superstar shoes in the Northeast in 1986, it wasn91Ƶt ready to attribute that to rap group Run-D.M.C. and their hit 91ƵMy Adidas.91Ƶ

When company execs saw the group ask fans to show off their Adidas and thousands removed their shoes and waved them in the air at a Madison Square Garden performance, they were sold. They signed Run-D.M.C. to a $1 million deal that resulted in their own shoe line in 1988.

Now that hip-hop is a multibillion dollar industry with widespread influence, it91Ƶs easy to forget it wasn91Ƶt always Courvoisier and Versace for its stars.

Even after Adidas91Ƶ success, companies still balked at partnering with hip-hop acts because they felt that 91Ƶhaving young Black and brown people wearing their clothing simply wasn91Ƶt on brand and, in many ways, it was kind of denigrating their brand,91Ƶ said Krishnamurthy.

91ƵBut when that kind of money is being spent and people really saw the power that rappers had to change what somebody might wear 91Ƶ they started taking notice,91Ƶ she said.

Companies of all sorts now court rappers and their audiences, hoping to join the ranks of Timberland 91Ƶ which at first resisted associating with the genre it saw as being counter to its working-class base 91Ƶ Hennessy cognac and anything Gucci as hip-hop approved brands.

Few events in hip-hop culture91Ƶs ongoing march into the mainstream can match McDonald91Ƶs introduction of Saweetie 91Ƶn Sour sauce for the fast food giant91Ƶs Chicken McNuggets in 2021.

At the time, the California rapper was far from a household name. But Jennifer Healan, McDonald91Ƶs USA91Ƶs vice president of brand, content, and culture, said Saweetie was a natural fit for the company91Ƶs 91ƵFamous Orders91Ƶ campaign, which has also featured Travis Scott as well as one of hip-hop91Ƶs biggest celebrity couples, Cardi B and her husband, Offset, for Valentine91Ƶs Day.

91ƵSaweetie is a longtime McDonald91Ƶs fan, and she brought a unique twist to our campaign by mixing and matching her favorite menu items 91Ƶ which tapped into our fans91Ƶ passion for food hacks and new flavor combinations,91Ƶ Healan said.

The promotion worked well for both McDonald91Ƶs, which Healan said saw a spike in sales for the Big Mac, and Saweetie, who soon had her own Netflix show and was a musical guest on 91ƵSaturday Night Live.91Ƶ

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