India's leading hosiery brands Dollar Industries and Rupa Company have significantly reduced their celebrity endorsement spending, with costs now representing less than 10% of their total advertising budget. According to company executives, this represents a dramatic shift from five years ago when top-ranked actors could command ₹6-10 crore annually for underwear brand advertising. As reported by company executives during their first-quarter earnings calls, both brands are now prioritizing media spend, IPL campaigns, digital marketing, and local branding over celebrity endorsements.
According to Dollar Industries CFO Ajay Patodia, the bulk of advertising expenditure now goes towards media costs, while celebrity fees represent only 1-2% of total advertising spend for a two-year period. Since Dollar Industries caps its annual advertising budget at around ₹100 crore, a 2-3% allocation to celebrity endorsements would imply a combined annual payment of roughly ₹2-3 crore for all four stars. The company has secured endorsements from Akshay Kumar, Saif Ali Khan, Yami Gautam, and Mahesh Babu across different product segments.
As reported by The Knowledge Company's Madhulika Tiwari in her innerwear trends report, brands are now focusing on micro- and nano-influencers who deliver higher engagement rates and are perceived as more authentic by followers. Companies are also strategically collaborating with regional influencers to penetrate Tier-2 and Tier-3 markets using local voices to build trust in new geographies. This shift represents a move away from traditional celebrity endorsements toward more targeted and authentic marketing approaches.
Rupa Company reported ₹21 crore in total marketing and advertising spend during the first quarter, representing 10.5% of their total revenue of ₹202.4 crore. The company has endorsement agreements with Ranveer Singh, Ranbir Kapoor, Vicky Kaushal, and Yash, with celebrity fees comprising only 10-12% of their ad budget. Despite these celebrity endorsements, both brands are facing challenges with Dollar's economy-focused Dollar Man range experiencing 3-3.5% year-on-year volume decline in the first quarter, even as the company implemented price hikes to protect margins.
