The Hospitality Celebrity Index
Why some celebrity restaurants last 30 years and most die in 18 months
Celebrity hospitality is the one celebrity business category that behaves differently from every other category. The outcomes are bimodal. Celebrity hospitality brands either die inside 18 months or they survive past 30 years, with almost no middle territory.
Industry trade data places the failure rate for celebrity restaurants at approximately 60 to 70% within five years of opening, more than double the failure rate of comparable non-celebrity independents. Of the celebrity restaurants that survive their first five years, a meaningful majority go on to operate for two or three decades.
The Hospitality Celebrity Index is 5WPR's research report on this pattern. The 43-page study covers four sub-categories — restaurants, hotels, branded residences, and nightlife — with case studies on Nobu, Tao Group Hospitality, Catch Hospitality Group, E11EVEN Miami, and Robert De Niro's Barbuda development. The report includes the first published benchmarks for celebrity hospitality deal pricing and the proprietary Hospitality Fit Index scoring framework.
Download the report or Read the report online:
The study is authored by the team at 5WPR, one of the largest independently owned public relations firms in the United States. Additional commentary from Ronn Torossian on the study's findings is available at 5wpr.net and at everything-pr.com.
Published by 5WPR Research. 5wpr.com