American Eagle’s Celebrity Marketing Drives Customer Growth Amid Controversy
American Eagle Outfitters has seen a notable surge in its customer base, attributed to its innovative celebrity marketing strategies featuring stars like Sydney Sweeney and Travis Kelce. Executives now describe this moment as an “inflection point” for the brand, amidst ongoing debates about its campaign messaging.
The marketing initiatives, particularly the back-to-school campaign starring Sweeney, generated significant attention and controversy, to the point where critics alleged connections to outdated theories of eugenics. Notably, even former President Donald Trump voiced his opinion on the matter. However, Chief Marketing Officer Craig Brommers remains unfazed, stating, “The new American Eagle history has just begun.”
Strong Performance Indicators
- 40 Billion Impressions: The recent campaigns with celebrities have collectively garnered remarkable visibility.
- 700,000 New Customers: The brand reported a significant increase in customer count during Q2.
- 3% Decline in Year-Over-Year Sales: While the overall sales figures showed a dip, the response to celebrity collaborations was overwhelmingly positive.
The collaboration with Sydney Sweeney launched in July, while a partnership with NFL star Travis Kelce’s Tru Kolors debuted just ahead of the Labor Day weekend, generating around 40 billion impressions. Executives termed this exposure as “staggering,” and emphasized the unprecedented rise in customer acquisition over the summer months.
Jennifer Foyle, the brand’s president and executive creative director, noted that while net revenue for the parent company dipped 1% year-over-year to $1.28 billion in Q2, the momentum from these collaborations is crucial as they head into the holiday season. They plan to continue promoting Sweeney’s campaign throughout the year and are set to release a second drop with Kelce on September 24.
Despite current macroeconomic challenges, marketing executives remain optimistic about converting this heightened interest into sustained business growth. Brommers affirmed, “We know that purchase intent is significantly and meaningfully up, and we’ll be looking to convert this buzz into business all through the back half of the year.”
