Brand-Owned Entertainment: Why Not All Will Succeed

Brands are increasingly establishing in-house production studios to create original entertainment content designed to compete with traditional Hollywood movies and television shows. This shift toward brand entertainment marks a transition from a theoretical marketing goal to a functional business reality for several major corporations.

Recent industry developments show that companies are investing in internal capabilities to produce high-caliber content. Nike has established Waffle Iron Entertainment, and LVMH has launched 22 Montaigne Entertainment to manage their original production efforts.

Dick’s Sporting Goods has also entered this space with the creation of Cookie Jar & A Dream Studios. In March 2026, the studio made its debut at the South by Southwest Film & TV Festival with the release of Summer of ’94, a documentary detailing the journey of the U.S. Men’s national team to the 1994 FIFA World Cup.

Strategic Implementation and Risks

The move toward original content production is tied to a disciplined strategy where creativity is supported by marketing frameworks. However, the transition into entertainment production does not guarantee success for all participating brands.

The broader media landscape currently faces significant challenges that may impact these corporate ventures. As of January 3, 2025, reports indicated that the media industry has been affected by strained budgets and layoffs, which have directly influenced content production capabilities.

This trend toward brand-led entertainment mirrors other celebrity and personality-driven business ventures, which often face specific failure points. Analysis of celebrity-owned businesses suggests that a lack of passion or first-hand industry knowledge can lead to poor decision-making when operational difficulties arise.

the tendency to hire employees who prioritize their own career advancement over the success of the business, or the reliance on assistants who do not challenge the owner, has been cited as a reason for the failure of some high-profile celebrity companies.

Market Context and Comparisons

Some figures have successfully transitioned from entertainment to business. Jessica Alba founded The Honest Company, focusing on eco-friendly household goods, and Gwyneth Paltrow established the wellness brand Goop.

Other celebrities have used their entertainment earnings to invest in existing businesses. Justin Timberlake holds a stake in the audio company Bose, and Ryan Reynolds has invested in Aviation American Gin.

The scale of these ventures varies significantly. Kylie Jenner’s cosmetics company has reached a valuation of over one billion dollars, positioning it as one of the largest cosmetic businesses globally.

For brands moving into entertainment, the challenge lies in building long-term value. Industry perspectives suggest that celebrity marketing often fails when treated as a one-off strategy rather than a path integrated into entertainment and pop culture partnerships.