Celebrity brands are on the rise. In recent years, we've seen an explosion in businesses and products created by celebrities. And it's not just the A-listers anymore – social media influencers with a large following can command serious power when it comes to promoting or creating a product or brand of their own. What does this mean for the future of celebrity brands? Here are some predictions and trends to watch out for.
The age of social media celebrities is in full swing and they have demonstrated their ability to go far beyond traditional brand partnerships. They are taking it upon themselves to create and monetize their own brands. Social media provides a unique platform for celebrities and influencers to be authentic while demonstrating why they stand out from the rest - an authenticity that encourages engagement and buy-in from their audiences. This has lent into an entire industry where social media stars are empowered to create, monetize and sustain their own businesses without having to rely on big labels or companies.
A perfect example is the meteoric rise to fame of the D’amelio family. It all started with a Tik Tok posted by Charli D’Amelio that led to her amassing over 150 million followers and has resulted in herself and her family launching their own brand studio. The D'Amelio's are no strangers to brand deals but they are now creating and launching their own brands which they have full control of not only the way they promote it but the products themselves. The tools and resources to launch a brand are more accessible than ever and celebrities are increasingly making the choice to launch one of their own.
In the age of social media and the instant sharing of information, it's crucial for celebrities to understand the importance of personal branding. The way they present themselves online can make or break their careers, as it's now easier than ever for fans and critics alike to share their opinions and thoughts about a celebrity's behavior or statements. One controversial tweet or ill-advised Instagram post can lead to a viral scandal, resulting in significant damage to a celebrity's reputation and career. We believe this will continue to influence the communication and public facing strategy of all celebrities and public figures.
Recently, it has been reported that Kanye West lost over $2 billion in one day after his anti-semitic comments via social media. This is obviously on the extreme side of the spectrum but it goes to show the real impact on a celebrity's personal life, business and the direct link to their finances.
On top of this, the day of the celebrity slapping their name on a product and it flying off the shelves is over. Celebrities are now tasked with not just launching a product but being truly authentic, relatable, and building a strong connection with their fans around the product they choose to launch.
The days of brands paying top dollar for celebrity endorsements may be coming to an end. It is more likely that today's celebrities are looking to shift their focus towards creating their own brands where they have the ability to make more money than a typical fee for a partnership.
Celebrities often have a lot of marketing power due to their large social media followings, and launching their own product or service has proven to be much more financially rewarding in the long-term. On the flip side, it has been seen that celebrity endorsements have lost their shine in terms of ROI and many CMO’s have turned to cheaper content solutions such as User Generated Content (UGC) that drive higher performance for a much lower cost. With this, we believe that this trend means that we can expect to see a rise in celebrity-created products or services in the near future and a decline in celebrity brand endorsements and partnerships.
At Mates, we have witnessed this trend over the past few years and it is a part of our founding principles. Mates partners with brands and entrepreneurs to turn exceptional products into household names by matching a celebrity that genuinely aligns with a specific brand and/or product. We not only empower entrepreneurs with innovative product ideas but we also empower celebrities who are looking to launch their own brands themselves. Learn more about our process and how we work with entrepreneurs and celebrities.
With heightened awareness of climate change and other global issues, celebrities have been deservingly praised for joining the conversation on sustainability and philanthropy. From aligning themselves with certified green companies to donating millions of dollars, celebrities are making a global impact. Beyond the occasional announcement or press release, many celebrity brands now go the extra mile in backing up their good intentions with tangible actions that directly benefit local communities. A great example is Jessica Alba’s brand Honest Beauty. Her brand gives back in a multitude of ways like community service, sustainable practices, charitable donations and product donations to communities in need. By putting their public profile to good use, they are proving that their influence has far-reaching positive impacts and demonstrating that efforts towards sustainability and philanthropy can truly make a difference. On top of this, consumers have been shown to favor brands that make commitments to philanthropy and are driven by sustainability.
Overall, we believe that the future of celebrity brands is extremely bright and we are only at the beginning of their success. To sum it up, below are the trends and predictions that we believe will continue and expand over the coming years: