Billion-Dollar Celebrity Brands: What Happens After They Sell?
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Hailey, Kylie, and Clooney - the $1b club
In the ever-evolving landscape of celebrity entrepreneurship, a select few have not only built successful brands but have also achieved the coveted billion-dollar exit. Hailey Bieber's recent sale of her skincare brand, rhode, to e.l.f. Beauty for a staggering $1 billion has once again spotlighted the lucrative intersection of fame, social media, and brilliant marketing.
But what happens after these high-profile sales? Do the brands continue to thrive, or do they lose their luster without the founder's direct involvement? In this article, Hollywood Branded explores the journeys of Kylie Cosmetics, Casamigos Tequila, and Rhode, analyzing the marketing strategies that propelled them to success and predicting what the future holds for these celebrity-founded empires.
Kylie cosmetics - the power of social media & scarcity
Kylie Jenner launched Kylie Cosmetics in 2015 with a $29 Lip Kit that sold out within minutes. But it wasn’t just the product that made headlines. It was the strategy. Jenner’s social media empire was the brand’s primary launchpad. Her Instagram posts became direct marketing channels, creating anticipation and turning followers into frenzied customers.
Kylie Cosmetics also mastered the art of scarcity. Limited product drops and “back in stock” announcements built a sense of urgency that kept fans clamoring for more. This strategy, combined with an influencer’s face as the brand, turned the beauty line into a cultural phenomenon.
The 2019 sale to Coty Inc. for $600 million (valuing the company at $1.2 billion) allowed Kylie Cosmetics to scale rapidly. Coty expanded distribution to Ulta Beauty and beyond, but some industry watchers note that Kylie’s reduced day-to-day involvement may have slightly cooled the brand’s buzz. For marketers, it’s a testament to the power of authentic influencer marketing, but also a reminder that the founder’s voice often defines the brand’s long-term resonance.
Photo Credit: Kylie Cosmetics
casamigos tequila - authenticity and lifestyle branding
Casamigos Tequila wasn’t built on flashy marketing. Instead, it leaned heavily into the idea of authenticity. George Clooney and Rande Gerber claimed they created the brand “by accident” for themselves and friends. That origin story became a central part of its marketing DNA. It was approachable, personal, and refreshingly low-key.
The brand’s visual identity, from minimalist bottles to relaxed lifestyle campaigns, felt organic, not overly corporate. Casamigos events often looked more like intimate dinner parties than celebrity bashes, reinforcing its genuine charm.
In 2017, Diageo acquired Casamigos for up to $1 billion, betting that the brand’s approachable luxury could scale globally. They were right: post-acquisition, Casamigos expanded internationally while maintaining its authentic feel through influencer collaborations, user-generated content, and sleek packaging. For marketers, this is a lesson in the enduring power of brand narrative and staying true to core identity, even when scaling up.
Photo Credit: The Shelf Wine and Spirits
rhode - minimalist aesthetic meets viral marketing
Hailey Bieber’s rhode brand hit the market in 2022, blending minimalist aesthetics with Bieber’s global appeal. rhode’s branding was clean, modern, and aspirational - perfectly aligned with the minimalist skincare trend. But it wasn’t just about pretty packaging.
Bieber took an active role in the brand, sharing behind-the-scenes product development and incorporating personal skincare routines. This gave fans a sense of ownership and trust, transforming them into loyal customers.
Photo Credit: ELLE Canada
The brand’s viral marketing also deserves a shoutout. rhode’s carefully orchestrated social campaigns (think close-ups of Bieber’s dewy skin and authentic testimonials) sparked a frenzy on TikTok and Instagram. Influencers and micro-creators were looped in early, generating organic buzz that felt less like an ad and more like a trusted friend’s recommendation. And let’s not forget about the now iconic iPhone case with a pocket perfectly sculpted to hold a rhode lip product of choice.
With the 2025 $1 billion sale to e.l.f. Beauty, rhode enters a new chapter. Bieber will stay as Chief Creative Officer and Head of Innovation, which marketers should note as a strategy for brand continuity. It’s a textbook case of leveraging influencer power, authentic storytelling, and social-first marketing to build - and sustain - a billion-dollar brand.
the $1B+ valuation club (but not sold... yet)
Not every celebrity brand with a $1 billion+ valuation has taken the exit route… at least not yet. These brands have built formidable marketing machines that marketers can learn from:
- Fenty Beauty by Rihanna: Known for championing diversity and inclusion, Fenty’s marketing strategy redefined beauty standards. With a $2.8 billion valuation, it’s clear that authentic representation resonates, and pays off.
- SKIMS by Kim Kardashian: Valued at $4 billion, SKIMS is a masterclass in innovative product positioning and influencer-driven launches. The brand built hype with limited drops and collaborations that turned shapewear into a cultural phenomenon.
- The Honest Company by Jessica Alba: Eco-friendly and celebrity-endorsed, Honest’s 2021 IPO valued it at $1.44 billion. Its marketing playbook? Thoughtful messaging around sustainability and transparency.
These brands show that a strong marketing foundation, driven by authentic voices, social-first strategies, and innovative products, can catapult a brand to the $1 billion+ club, even without a sale.
Photo Credit: Allure
marketing lessons from celebrity brand success
For marketers, these stories aren’t just entertainment, they’re case studies. The billion-dollar exits of Kylie Cosmetics, Casamigos, and rhode underscore how powerful marketing can turn a personal passion into a billion-dollar payday.
Key takeaways:
Authenticity matters: Consumers see through the noise. Brands that stay true to their stories resonate deeper.
The power of social: Social media isn’t just a platform. It’s the lifeblood of modern branding.
Scarcity and hype work: Limited drops build buzz, but consistency builds loyalty.
Post-sale marketing matters: Keeping the founder’s voice or core narrative alive post-sale is crucial for long-term success.
As celebrity-founded brands continue to shape the future of consumer goods, marketers can glean valuable insights about building emotional connections, scaling authenticity, and creating brands that last, with or without a celebrity front-and-center.
Photo Credit: Retail Dive
Eager To Learn More?
The billion-dollar journeys of Kylie Cosmetics, Casamigos, and rhode offer endless inspiration for marketers. If you’re hungry for more insights on influencer-driven marketing, brand authenticity, and strategic partnerships, check out these related Hollywood Branded blog posts.
- How Celebrity Endorsements Drive Brand Success
- The Impact of Influencer Marketing on Consumer Behavior
- Building Authentic Brand Stories: Lessons from Celebrities
- How Hollywood Branded Can Help Your Brand Dominate 2025
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