Data on leading retail categories across talent-backed brandsAs 2024 kicked off, new products backed by Hollywood’s biggest celebrities were coming to market, including Beyoncé haircare brandas of November 2023, according to NielsenIQ, growing nearly 58% in a year — over five times faster than the beauty industry overall. setting in, it‘s become clear that it takes more than a big name or a strong following to attract customers initially.
The number of celebrity brands in the market is beginning to decline, with more facing challenges to stay afloat as performer entrepreneurs rush into new ventures without clear commitment and/or a business plan. This is especially true in the beauty market, as 53% of all celebrity retail brands involve beauty and cosmetics. The market is awash in rampant overvaluation, with optimistic creators not realistically accounting for established brands in each product category. This leaves little room for starry-eyed new entrants, as many of the brands have tried to scale too quickly. Grammy-winning rapper
Mistercaps are marketed as a “culinary mushroom,” prompting a clever adjacency to the hallucinogenic kind that may be more familiar to his fan base, and Khalifa leverages this synergy to help spread awareness for the niche brand, as well as the positive effects mushrooms can have on both body and mind.The singer-actress is intent on harnessing her strong social media following to promote the products, with mentions of Rare Beauty making up 25% of her Instagram posts as of January 2023.
In 2024, it is no longer an option for celebrities to simply start a brand as a quick cash grab, as the market is— named for the Santa Barbara region where she and Prince Harry have settled in the U.S. Despite any buzz factor over the initial homemade strawberry jam, Markle has said sheNaturally, stars are a fitting vehicle for companies to spread brand awareness, and that formula might be successful if the goal is to attract onetime buyers.