Surreal illustration of Hollywood stardom pathways.

Hollywood's Talent vs. Popularity: Decoding How Stars Earn Their Millions

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Elliot Brynn in Culture & Society August 2025 • 4 min read.

"Uncover the surprising economics of superstardom in the movie industry—where talent isn't always the top ticket."


In the glittering world of entertainment, particularly within Hollywood's movie industry, the concept of superstardom is both captivating and complex. Superstars, those individuals who tower over their peers in terms of recognition and earnings, exist across various sectors, from sports and arts to business and science. The allure of extraordinary income opportunities for this select group sparks widespread debate, making superstardom a significant aspect of contemporary popular culture.

While superstars are not unique to Hollywood, movie stars hold a significant influence on how stardom is perceived and formed, especially throughout the 20th century. These stars are integral to producing movies and related media products. The financial figures are striking; top stars can command upfront fees ranging from $20 to $30 million USD per film, plus a share of revenues or profits, which seems astounding given that some actors may work on multiple large films each year.

The justification often lies in the 'drawing power' of these stars—their ability to attract large audiences, which is crucial for film success. However, the underlying components of this drawing power remain ambiguous. Academic theories propose that demand and income concentrate in the hands of a few suppliers through various processes, notably Rosen's emphasis on 'talent' and Adler's focus on 'publicity' as key drivers of stardom. This article delves into these theories, contrasting the resources that propel a star to the zenith of Hollywood's hierarchy.

Talent vs. Hype: What Really Drives Superstar Incomes?

Surreal illustration of Hollywood stardom pathways.

The challenge in empirically testing these theories lies in objectively measuring talent or quality. Unlike sports, where performance metrics are more defined, the arts lack a consensus or inherent unit of measurement for talent. Despite this hurdle, most studies analyzing superstar formation focus on sports, where demand for players is linked to talent and popularity metrics. However, the results often vary. Studies suggest talent and popularity jointly drive demand for star players, while others find only talent indicators positively affect earnings.

Given the extensive literature on the film industry's economics and the role of actors in movie success, it is surprising that research on actor remuneration remains scarce. While some studies highlight compensation schemes and gender-related wage disparities, there's a gap in understanding what mechanisms underpin superstardom among actors. This article addresses this gap by applying Adler's and Rosen's theories to Hollywood's top performers.

  • Rosen's Theory (Talent): Predicts the highest incomes are reserved for the most talented, where income differences depend on organizational and technological levers used to translate talent into earnings.
  • Adler's Theory (Publicity): Suggests income is driven by public recognition, focusing on publicity as the critical factor for stardom.
To empirically test these theories, the analysis draws from Forbes Magazine's Celebrity 100 lists, which rank powerful celebrities based on media presence and earnings. By observing the earnings and media presence of about 25 actors and actresses each year, the study aims to determine whether superstar incomes are driven by talent or publicity. This approach takes advantage of the data’s unique properties, revealing how Hollywood's top earners achieve their status.

Key Takeaways: How to Navigate the Star System

The study's findings provide practical implications for those aspiring to superstardom. For individuals with a strong artistic inclination, focusing on skill enhancement and strategic project selection is crucial. Engaging with leading actors, directors, or producers can further refine their skills and increase their artistic appeal. On the other hand, those leaning towards publicity should concentrate on generating broad media interest and increasing their visibility. In either case, understanding the dual paths to superstardom can help actors tailor their strategies and optimize their potential for success.

About this Article -

This article was crafted using a human-AI hybrid and collaborative approach. AI assisted our team with initial drafting, research insights, identifying key questions, and image generation. Our human editors guided topic selection, defined the angle, structured the content, ensured factual accuracy and relevance, refined the tone, and conducted thorough editing to deliver helpful, high-quality information.See our About page for more information.

This article is based on research published under:

DOI-LINK: 10.1080/00036846.2018.1527452, Alternate LINK

Title: Talent And Publicity As Determinants Of Superstar Incomes: Empirical Evidence From The Motion Picture Industry

Subject: Economics and Econometrics

Journal: Applied Economics

Publisher: Informa UK Limited

Authors: Kay H. Hofmann, Christian Opitz

Published: 2018-10-22

Everything You Need To Know

1

What are the two primary theories discussed that explain how movie stars achieve superstardom?

The two primary theories are **Rosen's Theory (Talent)** and **Adler's Theory (Publicity)**. **Rosen's Theory** posits that the most talented individuals earn the highest incomes, with income differences stemming from how talent is leveraged. **Adler's Theory** argues that public recognition, specifically publicity, is the key driver of stardom and income.

2

How does the article define 'drawing power' and why is it important in the context of Hollywood?

In the context of Hollywood, 'drawing power' refers to an actor's ability to attract large audiences to a film. This is crucial because it directly impacts a film's success and, subsequently, the financial returns. The higher the 'drawing power' of a star, the more likely the film is to generate significant revenue, justifying the high salaries and profit shares they command.

3

What is the main challenge in empirically testing theories about superstar formation in the entertainment industry?

The main challenge lies in objectively measuring talent or quality. Unlike sports, where performance can be quantified, the arts lack a universally agreed-upon metric for talent. This makes it difficult to directly correlate talent with earnings and media presence. While studies can analyze earnings, there is a gap in understanding what mechanisms underpin superstardom among actors.

4

What practical implications do the study's findings offer for those aspiring to superstardom in the movie industry?

The findings suggest two distinct paths. Individuals with a strong artistic inclination should focus on enhancing their skills and selecting strategic projects. This aligns with **Rosen's Theory (Talent)**. Conversely, those who lean towards publicity should prioritize generating broad media interest and increasing their visibility, which aligns with **Adler's Theory (Publicity)**. Understanding these dual paths allows actors to tailor their strategies to optimize their potential for success. Engaging with leading actors, directors, or producers can further refine their skills and increase their artistic appeal.

5

How do Forbes Magazine's Celebrity 100 lists contribute to the analysis of Hollywood's top earners?

The analysis draws from Forbes Magazine's Celebrity 100 lists, which rank powerful celebrities based on media presence and earnings. By observing the earnings and media presence of about 25 actors and actresses each year, the study aims to determine whether superstar incomes are driven by **Rosen's Theory (Talent)** or **Adler's Theory (Publicity)**. This approach uses the unique data to reveal how Hollywood's top earners achieve their status, providing insights into the drivers of superstardom.

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