82°E faces massive loss, HRX and Kay Beauty are in profit

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Posted: 1 months ago
#1

Bollywood celebrities have long leveraged their star power to venture into entrepreneurship. Over the years, this trend has seen a rise, with A-list celebrities launching their own brands in fashion, beauty, fitness, and lifestyle. While some of these ventures have become success stories, many others struggle to gain traction or turn profitable. A recent report by Storyboard 18 analyzed various celebrity-led brands and revealed stark contrasts in their financial performances.

One of the most prominent success stories is Hrithik Roshan’s HRX, which has now crossed the ₹1000-crore revenue mark. Launched in 2013 as a fitness and lifestyle brand, HRX has witnessed a remarkable growth trajectory, becoming one of India’s leading celebrity-endorsed brands. Its success is attributed to its strong brand identity, which resonates with Hrithik Roshan’s personal image as a fitness icon. HRX offers a range of products, from fitness apparel and shoes to accessories, and its partnership with Myntra has further boosted its market presence.

Similarly, Katrina Kaif’s beauty brand, Kay Beauty, has also emerged as a profitable venture. Launched in collaboration with Nykaa, Kay Beauty has garnered a loyal customer base, with over 15 lakh customers in its portfolio. The brand is expected to grow at a rate of 62%, driven by its innovative product offerings and Katrina Kaif’s influence in the beauty segment.

Deepika Padukone’s 82°E Faces Losses

On the other end of the spectrum is Deepika Padukone’s skincare brand, 82°E, which has shown a significant loss of Rs 25.1 crore at the EBITDA level in the first nine months of FY24. Despite Deepika’s stature as a global celebrity and her active involvement in promoting the brand, 82°E has struggled to gain a foothold in the competitive skincare market. The report suggests that the brand’s high pricing and limited market penetration could be contributing factors to its underperformance.

Challenges Faced by Celebrity-led Brands

The report also highlights the challenges faced by other celebrity-led brands. Virat Kohli’s WROGN has seen a revenue decline of 29%, while Shahid Kapoor’s Skult and Anushka Sharma’s Nush are experiencing diminishing returns. Even Sonam Kapoor’s Rheson is grappling with market presence and return on investment issues.

The analysis attributes these struggles to a lack of clear brand identity and overexposure. According to Ambika Sharma, Founder and Chief Strategist of Pulp Strategy, “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.

”What Sets Successful Brands Apart?

The success of Hrithik Roshan’s HRX and Katrina Kaif’s Kay Beauty is rooted in a clear brand identity and alignment with the celebrities’ public personas. An expert quoted in the report emphasized that these brands have managed to connect with their core user base, something other ventures have struggled with. For instance, HRX’s association with fitness and active lifestyle perfectly complements Hrithik’s image, while Kay Beauty’s focus on easy-to-use beauty products resonates with Katrina’s style.

Alia Bhatt’s Ed-a-Mamma is another example of a brand that found success by aligning its values with the actress’s personal brand. After being acquired by Reliance Retail, Ed-a-Mamma saw its revenue increase four-fold, solidifying its position in the children’s apparel segment.

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Swetha-Sai thumbnail
Posted: 1 months ago
#2

Since celebrities earn in crores, loss in their business venture would mean their side business is not successful. They will earn more and invest in better business venture.

Grumpydwarf24 thumbnail
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Posted: 1 months ago
#3

I have gone through Deepika's skincare line. She really does not have seem to put much of an effort into it. Is she really into skincare? Or is she just starting a beauty line because other celebs have one?

1285102 thumbnail
Posted: 1 months ago
#4

Eh old news but yeah yeah…her brand was a ‘success’ only on Twitter and Reddit


https://x.com/bollypopgossip/status/1813446670551589343?s=46


rckRadhe thumbnail
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Posted: 1 months ago
#5

Originally posted by: Surly_Devil

Eh old news but yeah yeah…her brand was a ‘success’ only on Twitter and Reddit


https://x.com/bollypopgossip/status/1813446670551589343?s=46


Such a hilarious events with branding! smiley37

1285102 thumbnail
Posted: 1 months ago
#6

Originally posted by: rckRadhe


Such a hilarious events with branding! smiley37


With equally absurd labels like Ashwagandha Bounce or whatever smiley37


Another confirmation of what a big fail her brand is by insiders from the corporate world


https://www.reddit.com/r/BollyBlindsNGossip/s/V6oRb4ZLUl


rckRadhe thumbnail
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Posted: 1 months ago
#7

Originally posted by: Surly_Devil


With equally absurd labels like Ashwagandha Bounce or whatever smiley37


Another confirmation of what a big fail her brand is by insiders from the corporate world


https://www.reddit.com/r/BollyBlindsNGossip/s/V6oRb4ZLUl


Truly makes a lot of sense!

1078471 thumbnail
Posted: 1 months ago
#8

They should start giving out Hubs flop sexual health products free with the Makeup.

"GIft 82E and you might just get lucky"- Marketing Genius 😎


Waise bhi nobody is buying either of the couples stuff, might as well get rid of the inventory.

1285102 thumbnail
Posted: 1 months ago
#9

Originally posted by: Haila_tu

They should start giving out Hubs flop sexual health products free with the Makeup.

"GIft 82E and you might just get lucky"- Marketing Genius 😎


Waise bhi nobody is buying either of the couples stuff, might as well get rid of the inventory.


You are killing it lately and how! smiley37smiley37


Edited by Surly_Devil - 1 months ago
CuckooCutter7 thumbnail
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Posted: 1 months ago
#10

Why should this be surprising? Loser ke losses toh honge, yeh duniya ki purani reet hai smiley17smiley36

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