 "Is celebrity overdose killing brands? HRX, Kay Beauty shine; some struggle")
A quick look into the state of celebrity-backed brands in India reveals that while some have strongly resonated with the audience, others are struggling to survive despite the initial buzz.
According to a report by Storyboard18, brands like Deepika Padukone’s ‘All About You’, Shahid Kapoor’s ‘Skult’, Anushka Sharma’s ‘Nush’, ‘YouWeCan’ by Yuvraj Singh, once well-known in the market, are failing to make a mark among the audience due to many reasons.
The report said that cricketer Virat Kohli’s fashion brand WROGN’s revenue declined by 29.2 per cent to Rs 243.75 crore during the financial year 2023-24 (FY24). The same was recorded Rs 344.3 crore in FY23.
Similarly, Padukone’s skincare brand 82°E generated Rs 22.82 crore in revenue from operations in the first nine months of FY24. While this marks a notable increase from Rs 11 crore in FY23, the brand reported a loss of Rs 25.1 crore at the EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortisation) level.
Alia, Katrina & Hrithik ace the race
On the contrary, Katrina Kaif-owned Kay Beauty is a hit among skincare enthusiasts. According to Storyboard, 82°E is considered "overpriced," which is one of the factors hampering its popularity. In contrast, Kay Beauty, in partnership with Nykaa, claims to have over 1.5 million customers.
Likewise, actress Alia Bhatt's kidswear brand, Ed-a-Mamma, saw its revenues jump four times to Rs 16.2 crore in FY22. Recently, Mukesh Ambani-owned Reliance Retail acquired a majority stake in the brand. Another thriving brand is Hrithik Roshan-backed HRX, which recently crossed the revenue mark of Rs 1,000 crore.
Experts believe that one of the reasons behind unfavourable response towards some of these brands is the “overdose” of celebrity hype.