Fame Doesn't Always Equal Fortune
What the data reveals about celebrity brands
In beverage, is the fame game worth playing? Does it offer the shortcut to scale so many hope for? Or have we finally reached “peak celebrity” when it comes to drinks?
I crunched the numbers (read: aggregated a number of relevant reports) to separate the fact from the fiction.
The Big Picture 🖼️
While hundreds of famous faces are flooding the aisle, the data shows the market is likely oversaturated, growth is stalling, and most brands are failing to stick. 📉
By the Numbers 📊
Since 2018, the number of celebrity-founded liquor brands has exploded by 1,525%—from roughly 40 brands to over 650 today. (Hot Start)1
Most are shrinking: Despite the hype, looking at the Top 50 celebrity brands, only 16 are actually growing in dollar sales. (3 Tier Beverages)
Declining sales: Over the past 4 years, the total dollar volume for celebrity brands has declined, even as they’ve pushed into more stores (distribution is up, but sales are down). This signals a potential delisting “tipping point” at retail 🛒. (3 Tier Beverages)2
The exit myth: Everyone is chasing George Clooney’s billion-dollar Casamigos payday, but only 7 brands have achieved meaningful exits above $100M since then. 💰 (Hot Start)
Why It Matters 💡
The basic “post on Instagram and get rich” strategy is dead. The data shows that celebrity brands are actually declining faster than their non-celebrity counterparts in key categories.
Tequila trouble: While celebrity tequila brands saw massive growth in 2022 (40%), they are now declining at a much faster rate (-13.2%) than the overall tequila category (+7.7%). (3 Tier Beverages & IWSR)3
The “moat” problem: Most of these brands lack a competitive advantage beyond a famous face. Without proprietary liquid or unique IP, they are just “commodity juice in a fancy bottle” fighting for the same 50 shelf spots.
The Silver Lining 🩶
Not every category is crashing:
Non-Alc is booming: Celebrity non-alcoholic brands are surging, with sales up 113.3% compared to a year ago. Stars like Tom Holland (Bero) and Katy Perry (De Soi) are pivoting to “sober curious” consumers. Here is where celebrities have the opportunity to solve unique problems rather than just copying a formula. (3 Tier Beverages)
Whiskey & Rum: In 2023, celebrity whiskies grew 8% (vs 2% for the category) and rums grew 11% (vs -4% for the category), showing there are still pockets of opportunity for the right product. (IWSR)
The Bottom Line 🏁
Fame can get you on the shelf, but it can’t keep you there. As retailers look at the declining sales data, expect a massive “shakeout” where underperforming star-studded bottles are cleared for brands with actual consumer loyalty.
This doesn’t mean we won’t keep seeing a deluge of new entrants, just fewer clear cut winners.
Happy Holidays!
There won’t be any new posts this week, but Ah So Insights will return on Friday, January 2nd.
“The Celebrity Liquor Gold Rush” by Scott Van den Berg