Shaquille O’Neal did not just attach his name to Papa Johns when the company was in crisis. He walked in with conditions, leverage, and a simple pricing philosophy he calls the ‘$20 rule.’
Speaking on the Expeditiously podcast, O’Neal explained that when Papa Johns approached him in 2019, the company was reeling from controversy tied to founder John Schnatter’s public comments and eventual resignation. Sales were slipping, brand perception had cratered, and relationships within the Black community were strained.
‘They wanted to bring me on because they were having problems with us,’ O’Neal said, referencing the African American community. “So one of my stipulations was he can’t be down with that no more. If he’s down, I can’t do it.”
Schnatter had stepped down as CEO in late 2017 after controversial remarks regarding the NFL protests, and later resigned as chairman in 2018 following reports that he used a racial slur during a conference call. By the time O’Neal entered the picture, the company was in full rebrand mode.
Shaq invested approximately $840,000 for a 30% stake in a joint venture that included nine Papa Johns restaurants in the Atlanta area, with total acquisition costs around $2.8 million. The broader endorsement and equity deal reportedly exceeded $8 million in cash and stock over three years. He later extended the partnership in 2022 with another multi-year agreement worth more than $11 million. He also joined the board of directors and became a brand ambassador.
But beyond optics and ownership, O’Neal believed the real fix was cultural and practical.
“First thing I told them, I said I taught them the $20 rule. They said, ‘What’s the $20 rule?’ I said, ‘Us, if I got to break a $20, you’re not going to keep me long.’”
The logic was simple. If a customer walks in with a $20 bill and the large pizza costs $19.99, there is no flexibility left for sides or drinks. O’Neal argued that pricing needed to leave room for the full experience.
“So I had to teach them that. Let me get a large pizza for $10. Now, motherf***er, I got $10 against the motherf***ing chips. And give me a soda. Don’t charge us $19.99 for a large and then try to get us to break another 20.”
“So at my store here at Georgia Tech, which is I think one of the biggest stores, I like to go very affordable for small, very affordable for medium, very affordable for large. So you have some extra money to get motherf***ing chips and motherf***ing pineapple soda.”
His involvement also extended to product development and marketing, including the ‘Shaq-a-Roni’ pizza, a larger pie tied to charitable donations. The partnership helped reposition Papa Johns as more inclusive and community-focused during a critical transition period.
On the same podcast, O’Neal also reflected on the financial blueprint that drives every move he makes. Early in his career, his dream was simple: earn $8 million a year for ten straight years. That number represented long-term security, not flash.
He also reiterated the one rule that governs his endorsement empire, which reportedly brings him over $95 million annually: he must genuinely believe in the product.
The $20 rule was not just about pricing. It was about understanding customers on a ground level and rebuilding trust through accessibility.
For Shaq, the turnaround was not about a celebrity face on a billboard. It was about making sure the math worked for the people walking through the door.
