Olsen twins get rivals in teen celebrity retailing

“The minute I saw them they looked like a brand,” said Susan White, brand manager for the Sprouse twins. She met them in 2002 and signed them on as clients a year later. Last year, she introduced them to Dualstar, which forged an exclusive relationship as part of an overall goal to develop other personalities.

While building the Dualstar business, the Olsens themselves are further expanding their own brand, which got its big start with Wal-Mart seven years ago. This year, the twins expanded their accessories, cosmetics and jewelry offerings with Claire’s Stores Inc. Linens ’n Things carries rugs under their label.

Now that they’re aging out of this teen demographic, they’re also developing an upscale clothing collection and a contemporary collection, which will not bear their names. Reichenberger said both are slated to hit stores next year, but declined to provide any more details.

Celebrity marketing is nothing new. A parade of celebrities are designing clothes and marketing fragrance, from Jessica Simpson to Jennifer Lopez, but their audience focuses on the 20- to 30-something age group. Duff and the Sprouse twins are teens building merchandising empires aimed at their young peers, an age group where celebrity power is more influential than among adults.

According to a recent NPD survey of 3,500 consumers, 57 percent of the 13-to-18 age group polled said their purchases are influenced by celebrities or endorsements by celebrities, compared to just 21 percent of overall consumers.

It’s a lucrative market: According to NPD, for the year ended May 2006, apparel sales rose 7.4 percent to $12 billion among the 7-to-12 age group and 13.9 percent to $25 billion for ages 13-to-17.

Still, stars who have established their celebrity status at a young age have their own big challenges: attracting new generations to their products while legitimizing themselves to older customers as they grow older.

Constant reruns of the Olsens’ “Full House” on Nick at Nite and ABC Family cable channels have helped them lure new generations of fans, but their marketing power with customers in their late teens and older remains unclear. Their teen line, tested during the back-to-school and holiday 2003 seasons, was short-lived. Under the stewardship of Reichenberger, they are sharpening their focus on the fashion, beauty and home decor businesses.

Thorne noted that one lesson he learned is that it’s best for the celebrity to be at least 19 or 20 before going after an older teen. That’s why Duff is delaying the launch of her teen clothing line in certain overseas markets to late 2007 and in the States to early 2008. However, Duff’s fragrance for teens will be in stores this fall.

Meanwhile, the Sprouse twins will have an added challenge of marketing to boys. According to White, while girls place a priority on brands, boys are immersed in the experience — focusing on snowboard pants that dry quickly, for example. White is also tapping into the Sprouses’ strong fan base among girls, who are expected to buy products for their boyfriends.

Experts will be closely watching how Duff and the Olsen twins fare, although the young stars insist there’s no rivalry.

“I feel it is not competitive at all,” Duff said in an interview. “I feel inspired by them. They will definitely keep me working hard. But definitely there is room for everybody.”

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