Celebrities in Bollywood have been turning entrepreneurs for years, maybe decades now. First it was film production houses and then more diverse businesses. Today’s A-list stars run businesses in various fields and sectors, buoyed by their own star power. But do these businesses earn profits, or even break even for that matter? A new study of some of these star-led business ventures has shown surprising trends. 

Most celeb-led businesses are facing losses

A recent analysis of celeb-led brands by Storyboard 18 found that a large majority of them are facing losses or struggling to stay afloat. Deepika Padukone’s skincare brand 82°E showed a loss of ₹25.1 crore at the EBITDA level during the first nine months of FY24. The report noted that Virat Kohli’s WROGN also had its revenue decrease by 29%. Along with these, Shahid Kapoor’s Skult, Anushka Sharma’s Nush, and Rheson by Sonam Kapoor had diminishing returns and market presence.

“When a brand doesn't genuinely represent the celebrity's interests or seems like it's just there for quick gains, consumers pick up on that. Overexposure can also be a killer—if a celebrity endorses too many products, it dilutes their credibility and the brand's impact,” Storyboard 18 quoted Ambika Sharma, Founder and Chief Strategist, Pulp Strategy as saying.

Hrithik’s HRX and Katrina’s Kay Beauty only profit-making ventures

But all is not lost for celebrity-led brands, the analysis finds. For instance, Alia Bhatt’s Ed-a-Mamma saw its revenue increase four-fold before it was acquired by Reliance Retail. Similarly, Katrina Kaif’s Kay Beauty has acquired 15 lakh customers in partnership with Nykaa and is expected to grow at a rate of 62%. The biggest success story, perhaps, has been Hrithik Roshan’s HRX, which has witnessed more than five-fold growth and recently crossed the revenue mark of ₹1000 crore.

An expert quoted by the report attributed HRX and Kay Beauty’s success to clear identity and a connect with the core user base, something the other brands lacked.

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