How Donald Trump made millions selling his name

Before becoming president of the United States, Donald Trump made millions by selling his name for branding products made by other people. In the American market there were Trump’s neckties, deodorants, steaks, underwear, furniture, and even stripes for urine testing.

Now almost all of them have disappeared, writes Chicago Tribune.

In 2015, Trump called 19 companies that paid him for the right to manufacture or distribute goods under the brand. Trump.

Currently, only two companies have confirmed that they are still selling brand goods. Trump. One of them is a Panamanian company that sells bed linens and home goods; the other is a Turkish company that sells furniture.

Of the rest: some of Trump's partners refused to cooperate because of the rhetoric of his presidential campaign regarding immigrants and Muslims. Others have stated that their agreements have expired. A part of his former partners confirmed the termination of cooperation, without explaining the reason. The goods of the trademark left at these companies Trump now often sold at a discount: for example, the price of one of the colognes under this brand has decreased from 42 to 9,99 dollars per ounce.

Reducing the number of products under the brand Trump is one of the signs of how politics has influenced Donald Trump's business. On the one hand his club Mar-a-Lago and a hotel in Washington were able to monetize his new political ties, but the president lost partners who were willing to pay for his name, which was associated with ostentatious wealth and luxurious life.

Trump Organization sells its brand name. Last year, she opened the site www.TrumpStore.comwhere you can buy T-shirts, toys and key rings with the name of Trump.

But selling his name was a very profitable business for Trump, because for that he did not need to produce or invest his money. He simply gave other manufacturers the right to label their products with his name.

For the first time this idea occurred to Trump in 2004. His emissaries contacted the executive director of the men's clothing company. Phillips-van heusen and offered him to pay for using Trump's name when selling his goods.

But a company representative was not interested in the idea.

“He laughed,” Jeff Danzer, who was working with Trump at the time, later recalled.

At that moment, Trump was still struggling with 1990's losses: huge debts, corporate bankruptcies, divorces, so few people would like to see his name on their products.

But after that a show appeared on television. The ApprenticeTrump's popularity has skyrocketed, and using his name on products no longer looked like such a ridiculous idea.

Suits, shirts, ties, shoes and many other goods were named after him. By the end of 2004, Trump made a deal with Phillips-van heusen — and a collection of clothes was named after him.

But this was not enough. In the end, his name was called perfume, chandeliers, steaks, golf shirts, alcoholic beverages, coffee, and even a urine test.

In 2009, Trump announced that his partners sold goods around the world named Trump for 215 million dollars. This allowed him to take 80-th place in the list of 125 largest merchandisers according to Global magazine. After a few years only Phillips-van heusen paid him over 1 a million dollars for using his name.

For Trump, the advantage was not only in money, but also in the fact that his name was becoming popular in homes around the world.

By the 2015 year, when Trump entered the presidential race, some of these collaborations are already over. But the remaining 19 companies still paid him 2,4 a million dollars a year for the right to simply state Trump’s name on their products.

But then their number began to decline rapidly due to the end of contracts, breaks in these agreements in protest or for unnamed reasons.

In 2017, Trump's revenues from the sale of a brand in his own name were reduced from more than 2,4 million to just over 370 000 thousand, paid to him by two companies.

One of them is HomeStudio which produces carpeting Trump and home furnishings for the Latin American market. Another - DoryaTurkish furniture manufacturer Trump Home Collection.

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