Bollywood celebrities have long ventured into the business world, launching brands across various sectors like beauty, fashion, and fitness. However, while some have found success, many celebrity-led brands are facing significant challenges, as revealed by a recent analysis.
Success Stories: HRX and Kay Beauty on the Rise
Hrithik Roshan’s fitness brand, HRX, has emerged as one of the biggest success stories in the celebrity business world. Launched in 2013, HRX has crossed the ₹1,000 crore revenue mark, becoming one of India’s leading fitness and lifestyle brands. This success is attributed to its clear identity, product range, and connection with its target audience. A partnership with Myntra also boosted HRX’s market presence, helping it dominate the fitness apparel and accessories space.
Similarly, Katrina Kaif’s beauty brand, Kay Beauty, has made significant strides in the beauty industry. In collaboration with Nykaa, the brand has attracted over 1.5 million customers and is projected to grow at a rate of 62%. Kay Beauty’s authenticity and quality offerings have been key drivers of its success, with many customers appreciating its connection to Katrina’s own personal beauty philosophy.
Alia Bhatt’s kidswear brand, Ed-a-Mamma, also saw substantial growth, with revenues increasing fourfold before being acquired by Reliance Retail. The brand’s emphasis on sustainability and ethical practices resonated with consumers, further cementing its position in the market.
Struggling Brands: Deepika Padukone’s 82°E Faces Losses
While some celebrity brands are thriving, others have struggled to make a mark. Deepika Padukone’s skincare brand, 82°E, reported a loss of ₹25.1 crore at the EBITDA level during the first nine months of FY24. Despite the brand’s innovative approach and Deepika’s global fame, 82°E has faced criticism for its high pricing and limited market reach, which may have deterred potential customers.
Virat Kohli’s youth fashion brand, WROGN, also saw a sharp revenue decline, with earnings dropping by 29%. Other brands like Shahid Kapoor’s Skult, Anushka Sharma’s Nush, and Sonam Kapoor’s Rheson are grappling with diminishing returns and weakening market presence.
Why Some Brands Fail
Experts believe the downfall of many celebrity brands is due to a lack of authenticity and over-reliance on star power. Successful brands, such as HRX and Kay Beauty, align with their celebrity founders’ personal values and identities, making them feel genuine to consumers. In contrast, struggling brands often lack this connection, leading to consumer skepticism.
Overexposure can also be a significant problem. Celebrities endorsing multiple products may dilute their credibility, causing consumers to perceive their ventures as cash grabs rather than genuine business efforts. As consumers become more discerning, they are increasingly seeking quality and authenticity over mere star appeal.
The rise and fall of celebrity-led brands highlight the importance of long-term brand-building strategies, product quality, and a genuine connection between the celebrity and their business ventures.
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