How impactful are celebrity-backed brands?

Tuesday, 1 October, 2024
IWSR
IWSR data shows that while celebrity-backed brands tend to outperform their total category, celebrity involvement doesn’t always guarantee success.

The past ten years have seen a ramping up of the relationship between celebrities and beverage alcohol, with a growing number of stars actively involved in creating, marketing – and profiting from – their own drinks brand.

Celebrity brands continue to grow and enter the global market, but the rate has slowed from 2022. Nevertheless, celebrity-backed brands do tend to outperform the overall market.

In 2023, celebrity whiskies grew 8% by volume, compared to 2% for the whisky category as a whole. In the same year, celebrity rums grew 11% – majorly outperforming a category that declined by 4%.

But the category where celebrity drinks appear to have the biggest impact is tequila. In 2022, celebrity tequilas grew at 40% (three times the category growth rate of 13%); last year the figures were 16% for celebrity tequilas against +3% for the category as a whole.

This is partly down to timing. The renaissance of the tequila category has coincided neatly with the rise of celebrity spirits. The category is attracting large numbers of new drinkers who are looking for something premium but reassuring – two things which celebrity endorsement can provide.

But IWSR consumer data also reveals that consumers of tequila and mezcal tend to be discovery oriented. Typically younger LDA drinkers are happy to try new brands rather than being sceptical of them.

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