Lately, it seems like every celebrity has an alcohol brand. From George Clooney’s tequila to John Legend’s wine, there’s star power attached to everything from gin to rum and every expression in between. But what is the connection, and why is there so much appeal?
The Profit Potential Behind Celebrity Alcohol Brands
Ultimately, alcohol is a wise investment. During the pandemic, even as so many industries suffered, alcohol continued to do well. Liquor stores were considered essential businesses. Many bars and restaurants tried takeout cocktails for the first time, and alcohol delivery apps were more popular than ever, catering to so many people stuck at home. The tequila industry alone jumped more than 46% in 2020, according to Forbes.
Celebrities love smart investments and making passive money off their income, and a booze brand fits the bill. Then, if they grow tired of the day-to-day operations, they can sell their brand for a considerable profit. For example, George Clooney sold Casamigos to Diageo for $1 billion in 2017.
When Clooney was asked why he’s not acting as much these days and told The Sunday Times: “Acting used to be how I paid the rent, but I sold a tequila company for a billion f—ing dollars. I don’t need money.” Fair enough!
You don’t have to be a celebrity to start an alcohol business. However, being one can sure help get you noticed.
Would we have picked up Kate Hudson’s gluten-free vodka if she wasn’t Kate Hudson? Maybe. But her name alone ensured instant publicity and media coverage.
The same is true for all celebrity-backed spirits. Just the name on the label or the face on the commercial and ads can serve as the crucial jumping-off point necessary to get that product onto menus and into home bars.
Why the Attraction Right Now?
The rise of social media and celebrity accessibility worked in tandem with the surge in celebrity-backed spirits. It’s a mutually beneficial relationship.
When we see celebrities like Jon Bon Jovi drinking their wine on their own Instagram, it makes us want to be like him and do the same. Personality and accessibility are a big part of social media. But they’re also instrumental in making spirits seem fun and lively – and those components work well together.
Recipe for Success
The best and most profitable celebrity spirits will always be those that, of course, taste good. But being a celebrity brand helps them stand out from the pack and get tried in the first place. And, as any business of any sort knows, that’s a big part of the battle. But a high-quality spirit from a beloved celebrity? That’s a recipe for tremendous success and huge profits.
The entertainment industry, be it acting or music, is a hard one. Today’s biggest stars may be yesterday’s news tomorrow. But smart investments, like alcohol, can ensure that celebrities like Clooney are financially set up for the long haul. That’s something relatable to all of us – billions in the bank, excluded.
How can we help you get your name on a bottle?