Madhuri Dixit was one of the top actress of Bollywood from 1988–95. After 1995 her films started failing left, right and centre. She did a comeback in 1997 with Dil to Pagal Hai but all her other films failed or were average till 2002 when she did Devdas in second lead role.
Madhuri Dixit had a peculiar career as a lead actress.
Her first major hit was Tezaab in 1988, before which she gave series of underwhelming films including Abodh (disaster), Awara Baap (flop), Swati (critically acclaimed but flop), Mohre (flop), Manav Hatya (disaster), Uttar Dakshin (flop), Khatron ke Khiladi (average), Dayavan (average).
After Tezaab she gave series of hit after hit in 1989. She gave 7 hits and 2 average films in 1989 which made her second just next to Sridevi. Her hits included Ram Lakhan (Blockbuster), Tridev (Blockbuster), Ilaka (Hit), Prem Pratigya (critically acclaimed hit), Parinda (critically acclaimed hit), Vardi (Semi Hit), Mujrim (Hit).
After a great 1989 with Chandni and Chalbaaz, Sridevi's career declined in the 90’s with continuous failure of her film. After 1989, her next success came in 1993 with Gumrah, then 1994 Laadla and 1997 Judai. In between she gave more than a dozen flops. Madhuri Dixit took advantage of this situation and catapulted to the top position. Between 1988–95 she gave atleast one hit in the top 3 grossing film. Interestingly, even she gave only hit a year from 1992–95. Madhuri Dixit also delivered 3–4 flops a year but she also delievered the biggest hits of the year.
So, in 1990,
She gave Dil (Highest grossing film of the year)
Kishen Kanhaiya (5th highest grossing film)
1991- Saajan (Highest grossing film of the year), 100 Days (moderate success)
1992- Beta (Highest grossing film of the year)
1993- Khalnayak (Second Highest grossing film of the year)
1994- Hum Aapke hai Kaun (Highest grossing film of the year, of the decade and one of the highest grossers of all time)
1995- Raja (3rd highest grosser of the year).
After Raja, several of her big budget films failed including Yarana, Prem Granth and Rajkumar. Mrityudand was critically acclaimed but commercial failure. Except Dil to Pagal hai, where she was overshadowed by Karishma Kapoor, her films continue to fail between 1997–2002 with failures like Mohabbat, Wajood, Aarzoo, Pukar and Lajja (critically acclaimed but commercial failures).
So she remained the top because of her ability to churn out blockbusters year after year.
Filmfare Magazine did a special article on her defining her success. I don't agree with all of the points but still-
Firstly, her exceptional Dancing which played a massive role in the succes of her films. Be it ek do teen from Tezaab, Dhak Dhak karne laga from Beta and Choli ke peeche from Khalnayak.
Secondly, Her sexiness that was explored a lot in her earlier films (filmfare magazine pointed out that this I don't completely agree with it). So according to filmfare, Madhuri was open to doing bold scenes and raunchy songs from the outset. Her scenes in Dayavan, Vardi, Khalnayak etc grabbed a lot of eyeballs. Her dance numbers in Sailaab or Yarana were more popular than the film themselves which helped these movies recover their money atleast. She did special dance number in Bade Miyan Chhote Miyan which was the most popular song of the film.
Thirdly, (again I disagree with filmfare) Madhuri didn't cared about doing heroine centric films early in her career and catered to template male centric films where she had 4 songs and 4 scenes. All her early hits were make centric including Ram Lakhan, Tridev, Ilaka, Mujrim, Parinda, Kishen Kanhaiya. (The article ignored her exceptional performance in Prem Pratigyaa and her heroine centric films like Sangeet, Anjaam, Lajja, Mrityudand etc and her roles in artsy films like Prahaar, Dharavi etc). So she did contributed significantly in enhancing the male fantasy but she was not always a glam doll. It was more like a package where she could move her body as much as her facial muscles. That's why she received filmfare nominations for best actress every year from 1988–95.
1988- Tezaab
1989- Prem Pratigya
1990- Dil- won
1991- Sajan
1992- Beta- Won
1993- Khalnayak
1994- Ham Aapke hai Kaun - Won
1994- Anjaam
1995- Raja
1995- Yarana
1997- Dil to Pagal hai- Won
2000- Pukar
2002- Best supporting actress - Devdas- Won
2007- Best Actress - Aaja Nachle
Her success owes to multiple factors- the commercial succes of her films, her dancing skills and her performances.