Celebrity brands: Why fame alone isn’t enough to keep them afloat anymore

Date:

Share post:

By Omar H. Fares

Over the past decade, there has been a significant rise of celebrity brands. Recent data from NielsenIQ, a global marketing research firm, shows just how significant this boom has become. 

Celebrity beauty brands collectively achieved $1.1 billion in sales from November 2022 to November 2023. Interestingly, these brands experienced a growth rate of 57.8 per cent, far outpacing the overall beauty category’s growth of 11.1 per cent during the same period. 

Celebrity brands are products or services created, endorsed or owned by famous individuals who leverage their fame to influence consumer decisions. With the rise of social media and the emergence of digital celebrities, these celebrity brands have become increasingly prominent

On the surface, the appeal seems straightforward for both celebrities and consumers. Celebrities use their influence to develop brands that bypass the typical awareness stage, entering consumers’ consideration immediately upon launch. 

Consumers, in turn, expect that a celebrity they admire will offer high-quality products that resonate with their preferences and values. However, this trust can quickly erode when products fail to meet expectations. 

Why do some brands fail?

While some celebrity brands, like Selena Gomez’s Rare Beauty and Rihanna’s Fenty Beauty brands, are successful, not all manage to maintain their initial momentum. 

A notable example is beauty influencer Jaclyn Hill’s cosmetics brand, which faced major backlash when her 2019 lipstick launch was filled by complaints of defective products, leading to a recall and long-lasting damage to her brand’s reputation. Hill has since announced the brand will be shutting down, highlighting how even celebrity brands can falter when quality and consumer trust are compromised. 

There are three key reasons that can often lead to the downfall of these ventures: product quality, authenticity and misalignment of positioning with the target market. 

A close up of a young woman with shoulder-length hair in glamourous makeup
Selena Gomez poses at the Rare Impact Fund Benefit, on Oct. 4, 2023, at Nya Studios in Los Angeles. Her makeup brand, Rare Beauty, is one of the most successful celebrity beauty brands, making $350 million in 2023. (AP Photo/Chris Pizzello)

Consumers expect that products endorsed by their favourite celebrities will live up to a high standard. When this expectation is not met, trust is quickly eroded. This falls in line with the expectation confirmation theory, which suggests consumer satisfaction is shaped by the relationship between initial expectations and the actual performance of the product.

An example of this is Kylie Jenner’s skincare brand, Kylie Skin, which came under fire shortly after its launch for promoting a walnut scrub. Skincare professionals and consumers criticized the product, for being too harsh for the skin and potentially causing microtears. This raised questions about the product safety and hurt the brand’s reputation early on. 

Consumers expect products to deliver on promises, and if quality is lacking, no amount of celebrity endorsement can save the brand.

The value of authenticity

Younger consumers especially value authenticity in celebrity brands. Consumers are increasingly drawn to brands that feel like a true extension of the celebrity’s personal brand and values. 

When a brand feels disingenuous or disconnected from the celebrity, it often results in strong backlash. Given the heightened expectations surrounding celebrity-backed ventures, any perceived inauthenticity tends to amplify negative word-of-mouth, even more so than traditional brands.

For example, in the case of Millie Bobby Brown’s Florence by Mills, the brand faced early challenges, particularly regarding its authenticity and the quality of its marketing. 

Shortly after its 2019 launch, Brown was criticized for faking a skincare routine video in which she appeared to mimic applying her products without actually using them. This misstep raised doubts about her involvement in the brand and its authenticity, leading to public backlash.

Brown later apologized, saying she was “still learning” about the beauty space. Although the brand has since recovered, and Brown has recently announced that she is launching a fashion brand, this sort of hurdle can be a breaking point for other brands. 

Misalignment with target market

Misalignment between what celebrities think their target market wants and what the market actually desires can severely impact a brand’s success. An example of misalignment in brand positioning is Jessica Alba’s Honest Beauty

Initially launched as part of the Honest Company, which focuses on safe, non-toxic baby products, Honest Beauty faced challenges when it expanded into skincare. Issues like the 2015 sunscreen backlash where consumers reported sunburns despite using the product, and other allegations of misleading product claims, eroded trust. 

Additionally, while the brand was positioned as eco-conscious and affordable, some premium-priced products alienated a portion of the target audience, creating a disconnect between its mission and consumer expectations. 

In essence, successful brands must align their positioning — how the brand is perceived in the minds of the consumers — with the celebrity’s image and their audience’s expectations to avoid such challenges.

The future of celebrity brands

As the market continues to evolve and consumers become more discerning about the products they buy, the success of celebrity brands requires more than just star power these days. The era of slapping a famous name on any product and expecting it to sell is over.

Many consumers are also experiencing “celebrity fatigue” due to the oversaturation of celebrity brands. This year alone has seen the launch ofBeyoncé haircare brand Cécred, Dwayne Johnson’s skincare brand Papatui and Wiz Khalifa’s Mistercap’s mushroom growing kits.

With the market becoming increasingly competitive, longevity is now a critical measure of success. While some brands may enjoy an initial boost of interest upon launch, the real challenge lies in sustaining that momentum over time.

To stand out in today’s crowded marketplace, celebrity brands must demonstrate substance, quality and purpose. Today’s consumers are looking for brands that go beyond the surface, offering consumers real value, authenticity and a commitment to social responsibility. Celebrity brands must work to prove their worth and longevity to consumers. 

As we move forward, the focus will shift from the sheer number of celebrity brand launches to which ones are truly deserving of consumers’ trust in a space that continues to be increasingly competitive.

Omar H. Fares is a lecturer of Marketing in the Lazaridis School of Business and Economics, Wilfrid Laurier University.

    Other “The Conversation” Article: What makes a retail street ‘cool?’ These Canadian cities have the world’s coolest streets

    RELATED ARTICLES

    Subscribe to the Newsletter

    Subscribe

    * indicates required

    RECENT articles

    Empire Plans ‘E-Commerce 2.0’ as Voilà Strategy Enters New Phase

    Empire is planning an “e-commerce 2.0” strategy as the Sobeys parent combines Voilà, third-party delivery and customer data to drive online growth.

    Flight Centre Canada expands physical retail footprint with two new stores

    The expansion follows what the company describes as a third consecutive record year for Flight Centre Travel Group, the parent company of Flight Centre Canada

    Supernatural brings longevity wellness to retail space with new Yorkville concept

    Toronto wellness destination Supernatural is bringing the growing longevity category into retail with a curated Yorkville space focused on sleep, recovery, performance and wellness products.

    Angelcare Group Expands Litter Genie Line and Retail Strategy in Canada

    Montreal-based Angelcare Group is expanding Litter Genie with new products, retail partnerships and a broader cat-care ecosystem in Canada.

    Faire report: Social media is reshaping fashion trends and giving independent retailers an edge

    Faire’s latest report finds social is accelerating fashion trends, with independent retailers using faster buying cycles to respond to changing demand.

    AI agents and the shopping experience: Myndlab

    The technology is advancing because AI-referred shoppers are commercially valuable.

    Daily Synopsis: September 17, 2026

    Stefano Ricci luxury boutique in Vancouver shuttering, Metro reaches deal with striking workers, Harry Rosen opens Toronto flagship September 22, GTA furniture retailer appears to go bankrupt, and other news.

    Reitmans (Canada) Limited reports Q2 financial results, net revenues decrease 1.9% y/y

    Net earnings were $10.1 million ($0.20 basic and diluted earnings per share) as compared with net earnings of $13.1 million ($0.26 basic and diluted earnings per share) a year earlier.

    Primaris Raises $200M With More Than $1B in Canadian Mall Acquisitions Under Negotiation

    Primaris is raising $200 million in new equity while negotiating more than $1 billion in potential mall acquisitions. The financing adds capacity as the REIT continues buying major Canadian shopping centres from institutional owners and expanding its national portfolio.

    Gen Z demands authentic digital experiences as AI reshapes retail: Sitecore

    Sitecore research finds 89% of Gen Z wants more authentic digital experiences, while nearly 70% have reduced engagement with brands they distrust.

    Dollarama’s $5 Ceiling Is Becoming a Test for Canadian Retail

    Dollarama is holding its $5 maximum price point as Canadian traffic continues to rise and cost pressures build. The widening performance gap with parts of mainstream retail raises questions about whether value shopping is becoming a permanent part of household spending.

    STRONG Pilates launches new connected training technology as franchise expands globally

    The technology is being introduced in two phases, beginning in Australia and the United States, with a second phase planned for later this year that will add expanded data capabilities, deeper technology integration and a global rollout.

    Bloor Street Retail Update: New Stores, Flagships and Major Changes Reshape Toronto Luxury Corridor

    Toronto’s Bloor Street is seeing another wave of retail change, with RH, Delysées and Tiffany arriving, Holt Renfrew evolving, Harry Rosen relocating and major redevelopment projects moving ahead.

    Verifran launches franchise intelligence platform to streamline candidate qualification

    The Toronto-based company is positioning the platform as an intelligence layer between an initial franchise inquiry and a franchise development team

    WestJet, Tim Hortons announce new in-flight coffee and loyalty partnership

    The partnership will see WestJet serve a new Tim Hortons coffee blend called Flight Roast on flights that currently offer in-flight refreshments, while members of the two companies' rewards programs will eventually be able to earn points through eligible Tim Hortons purchases.

    BCG: Canadian retail spending splits further as higher- and lower-income households diverge

    Higher-income buyers place more weight on service and the buying experience, especially for bigger purchases like appliances.

    Daily Synopsis: September 16, 2026

    Mine & Yours Marks 13 Years as Luxury Resale Starts Looking More Like, TryCanadian.ca launches as Consumers Search for Canadian Alternatives, Dollarama Q2 sales increase 17.6% y/y to surpass $2 billion, RBC says grocery prices likely to keep rising faster than overall, and other retail news.

    Cozey to open first permanent Montreal store as furniture retailer expands physical footprint

    The Montreal location is part of a broader expansion that has seen Cozey increase its physical retail presence while also entering new international markets.

    RONA names Alain Ménard CEO as J.P. Towner moves to Sycamore Partners advisory role

    The company says Towner and Ménard will continue to work closely together during the transition as RONA moves into its next phase of growth.

    Amazon invests more than $78 million in pay increases for Canada operations employees  

    Amazon is raising its average hourly base wage in Canada to $26.27 per hour — up from $25.27 in 2025 — representing a 4% year-over-year increase.