In recent years, Bollywood actresses have ventured beyond their on-screen roles, taking on the challenge of creating and managing their own beauty brands. However, the shift from glamour to entrepreneurship in India’s booming $21 billion beauty market has proven to be more challenging than anticipated.
Kay Beauty: The Exception to the Rule
Among the seven actress-founded beauty brands, only Katrina Kaif’s Kay Beauty, in collaboration with Nykaa, has managed to secure profitability. Launched in 2019, Kay Beauty has seen consistent success, with revenues increasing by 45.83% to reach Rs 88.23 crore (approximately $10.6 million) in fiscal year 2024. The brand also reported a 66.17% surge in profits, reaching Rs 11.3 crore ($1.36 million). Kay Beauty’s continued profitability for the third consecutive year highlights its ability to maintain a steady footing in a competitive market.
Struggles of Other Celebrity Brands
In stark contrast, most other actress-founded beauty ventures have faced significant challenges. Deepika Padukone’s 82°E, which invested Rs 19.65 crore ($2.36 million) in aggressive marketing, reported substantial losses despite a rise in revenue. Similarly, brands from Kriti Sanon, Sunny Leone, Lara Dutta, and Anusha Dandekar have struggled to break even, operating in the red.
For instance, Sunny Leone’s StarStruck, launched in 2018, reported minimal revenue of just Rs 26,872 in FY 2024, along with a loss of Rs 10,304.30. Anusha Dandekar’s BrownSkin, launched in 2020, saw a 74.2% increase in losses, while Kriti Sanon’s Hyphen reported a significant loss of Rs 7.2 crore in FY 2024.
The Changing Dynamics of the Beauty Industry
These struggles reflect a broader shift in India’s beauty sector, where consumers are becoming increasingly discerning. While celebrity endorsements used to be enough to drive sales, today’s customers prioritize product quality, value, and sustainability over star power. As an industry analyst pointed out, “Face value alone isn’t enough to win customer trust in today’s market.”
Local brands have capitalized on this shift. Minimalist, a homegrown direct-to-consumer brand, earned Rs 350 crore ($42 million) in FY 2024, surpassing the earnings of celebrity-backed brands like Kay Beauty. This highlights the growing importance of product quality and consumer loyalty in an already crowded marketplace.
Bollywood Actresses Face Reality Check
The entry of Bollywood actresses into the beauty market represents a significant change in how celebrities engage with their audience. While they may have the appeal to market products, building a successful, sustainable business is a different ball game. It requires more than just a familiar face—it demands an understanding of customer needs, product innovation, and operational excellence.
As India’s beauty market continues to grow at a rate of 10-11% annually, the challenges faced by these celebrity entrepreneurs reflect the evolving dynamics of the sector. The beauty business, once reliant on star power, is now driven by consumer-focused strategies and innovative products. For Bollywood’s leading ladies, the shift from beauty icon to businesswoman has proven to be a more complicated plot than they initially envisioned.
