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High Spirits In Hollywood: What’s Behind The Rise Of Famous Celebrity Liquor Brands?

High Spirits In Hollywood: What’s Behind The Rise Of Famous Celebrity Liquor Brands?

Why is actor Aaron Paul co-owner of a mezcal brand? The answer is very simple: “I like to drink.”

Along with his former “Breaking Bad” co-star best friend Bryan Cranston, the two co-founded Dos Hombres Mezcal in 2019 — joining a long list of celebrity-backed alcohol brands launched in recent years.

At the Oscars on Sunday, “Colors of the Flower Moon” nominee Robert de Niro can console himself if he loses with a sip of his own brand of Vdka 6100. The “American Fiction” actress and Academy Award presenter can toast with Isa Rae. Its new Prosecco line Viarae. Co-presenter Dwayne “The Rock” Johnson has his Terrimana Tequila. Other celebrities with Bespoke Teclas include Matthew and Camilla McConaughey (Pantalones), Eva Longoria (Casa del Sol) and Kendall Jenner (818).

This sudden increase in agreements represents a departure from Hollywood’s historical norms and practices. For decades, it was rarely seen that even big stars risked alcohol endorsements. No “Dirty Shirleys” in a Shirley Temple, no Warren Beatty brand champagne. Now, several dozen celebrity-branded spirits vie for space at the bar, and more are on the way.

Amidst the rise of cocktails, and with thousands of wines around the world trying to differentiate themselves, brands are knocking on the doors of Hollywood in search of star power.

Cranston told CNN it was an “opportunity, to be honest.” Celebrities are attracted to the spirit space because of their influence and connections, so the industry has “the door open. ‘Do you want to come in? It’s up to you.'”

The bottom line

Storms like this get attention in Hollywood.

Michael Yanover, head of business development for the powerhouse creative artists agency, told CNN that celebrities who create spirits brands usually hope to eventually sell them to “one of the big holding companies.”

Owning a stake in a company is more attractive than just endorsing it: Yanover explained that if the brand is sold, it results in a direct cash payment.

“Star status can create instant brand awareness and consumer interest,” Lisa Hawkins, senior vice president of public affairs for the Distilled Spirits Council of America, told CNN.

He mentioned that the trend is not losing momentum. Over time, actors and musicians have been putting their money into spirits, and now sports stars, models, and comedians are also capturing consumer interest with spirits and cocktails.

This fascination was partly fueled by the pandemic. According to data from DISCUS, more people started making cocktails at home, helping sales of spirits overtake wine and beer.

Tequila is a particular favorite of celebrities for two reasons. First, it’s growing: U.S. liquor sales rose 8% to $6.5 billion last year, according to DISCUS, and are expected to overtake vodka as the top-selling spirit within the next few years.

Second, tequila is faster to produce and sell because it does not require aging, like whiskey or scotch.

A star appeal

Retailers love star backing. About 54% of retailers surveyed in 2022 told Druzly, the now-defunct alcohol delivery service, that they intentionally stock celebrity-owned spirits because big names attract shoppers. Having a celebrity associated with a product can increase its retail price.

“Celebrities can tell a brand’s story, bring massive brand awareness and provide an incredible opportunity for trial,” Andrew Chrysomalis, co-founder of Aviation Gin and Pantalones Tequila, told CNN.

Cons too

A celebrity-endorsed sentiment has risks, because it relies on a single person’s image.

And not every partnership is successful. Last year, Diageo moved to sever ties with Sean “Diddy” Combs, ending a 15-year contract that ended in a racial discrimination lawsuit.

The troubled music mogul, who was later accused of sexual assault, claimed in a 2023 lawsuit that Diageo ignored and promoted his De Leon tequila, calling it “urban” in its marketing. Rejected as product. It made similar claims about its Ciroc vodka.

In January, Diageo and Diddy officially ended their partnership, saying in a joint statement that they had “now agreed to resolve all disputes between them” and that Combs had “disclosed all of his concerns” about Diageo. Charges withdrawn.”

In another example, Jennifer Lopez’s DeLola line of ready-to-drink bottled spirits made a splash last year. Fans accused Lopez of hypocrisy since she spoke out about not drinking — though Lopez later clarified in an Instagram post that she does enjoy “the occasional cocktail.”

Extension

Paul and Cranston want Dos Hombres to be one of those success stories — so they’re working to grow its fan base. The brand recently partnered with Applebee’s for a trio of cocktails, the first time the chain has served mezcal in its 44-year history.

Paul said he sees a “clear opening” in the market to bring agave-based spirits to the U.S. because “if you ask somebody, ‘Name your favorite mezcal!’ They’re like, ‘Uh, mezcal? What’s mezcal?’

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