In 1986, just two years after Pepsi’s groundbreaking endorsement with The Jacksons, the soda giant struck an even more historic deal—this time with Michael Jackson alone. With the massive success of the previous $5 million campaign still fresh, Pepsi aimed to secure Jackson’s unmatched global star power for themselves. As the King of Pop geared up for his post-Thriller comeback, Pepsi saw an unprecedented marketing opportunity—and they were ready to pay the price.
On May 6, 1986, it was officially announced that Michael Jackson had signed a record-breaking $15 million contract with Pepsi to film just three commercials. At 27, Jackson was already worth over $200 million. His fee for 90 seconds of screen time was five times what legends like Marlon Brando or Elizabeth Taylor earned for full-length feature films. Beyond Jackson’s fee, Pepsi spent another $15 million on production and $20 million on airtime, bringing the total investment to an astonishing $50 million.
The ads were set to be directed by Joe Pytka, with a strong visual style resembling Jackson’s music videos. Bob Giraldi, who had previously directed the infamous 1984 Pepsi commercial where Jackson was injured, was not invited back. The new campaign was filmed in Culver City in late 1986 and planned for global release—marking Pepsi’s ambition to leverage Jackson’s worldwide appeal.
Initially, the campaign was intended to debut during the 1987 Grammy Awards, but was delayed to coincide with Jackson’s long-awaited follow-up album to Thriller, expected in summer 1986. However, the album’s release was continuously pushed back, creating concern at Pepsi, especially after a June 1987 preview screening at a Pepsi bottlers event received muted applause and even boos. Some observers were put off by Jackson’s evolving appearance and more effeminate image.
Despite concerns, Pepsi stuck to its plan and announced that the commercials would begin airing in August 1987—album or not. Fortunately, Jackson met the deadline, and his album Bad was released on August 31, 1987. MTV premiered the first commercial, “Concert,” a high-energy ad capturing the chaos and excitement of a live Jackson performance. A second ad, “Backstage,” aired the following day, featuring a young fan sneaking into Jackson’s dressing room, only to be caught by the superstar himself.
These commercials were launched globally, boosting Pepsi’s visibility across markets including Japan, the UK, Canada, and Australia. The brand saw particularly impressive results in Japan, where Pepsi sales doubled, and the company offered free concert tickets and 35,000 Michael Jackson souvenirs.
The Jackson-Pepsi collaboration didn’t stop there. In March 1988, a second wave of commercials was announced at a press conference. This time, Jackson was portrayed as an action hero in a serialized four-part ad campaign, escaping from hordes of fans and media. These commercials debuted during the 1988 Grammy Awards, coinciding with Jackson’s U.S. leg of the Bad World Tour.
Pepsi aimed to refresh Jackson’s public image—now presenting him as a more mature and masculine figure. The campaign was a massive international push, even breaking into the Soviet Union, where Jackson’s Pepsi ads became the first paid American commercials to air on Soviet television. With Pepsi having operated in the USSR since 1974, this marked a revolutionary step in both advertising and international relations.
According to Beverage Digest publisher Jesse Myers, the high cost of Jackson’s endorsement paid off in spades. “Michael is beyond being just an entertainer,” he stated. “He is a global personality, and his impact has been spectacular.” With this deal, Jackson didn’t just change the game in music—he redefined what it meant to be a commercial icon, using his fame to influence global markets and even political boundaries.
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