Additional Coverage:
- American Eagle shares jump 25% after retailer touts ‘success’ of Sydney Sweeney’s denim campaign (foxbusiness.com)
American Eagle Outfitters (AEO) saw its shares soar 25% in after-hours trading Wednesday following the release of its second-quarter earnings report. The company attributed the surge to several factors, including successful marketing campaigns featuring actress Sydney Sweeney and Kansas City Chiefs tight end Travis Kelce.
AEO CEO Jay Schottenstein highlighted the “Great Jeans” campaign featuring Sweeney, launched in July, as a key driver of increased customer engagement, comparable sales growth, and brand awareness. He stated the campaign solidified the company’s position as the American jeans brand, attracting record numbers of new customers across various demographics.
The company also acknowledged the positive impact of its recent partnership with Kelce, whose lifestyle brand, Tru Kolors, launched a limited-edition collaboration with AEO last week. Schottenstein emphasized the combined influence of both the Sweeney and Kelce campaigns in driving the company’s recent success. In a statement, he expressed optimism for continued growth and profitability, building on the strength of the brand to enhance shareholder value.
The Sweeney campaign, which sparked a mixed reaction on social media upon its release earlier this summer, was praised by some and criticized by others for its alleged racial undertones. The campaign features Sweeney interacting with a billboard bearing her image and the tagline “Sydney Sweeney Has Great Genes,” which she playfully alters to “Great Jeans.”
AEO, known for targeting Gen Z consumers, has previously collaborated with other notable figures, including actress Jenna Ortega and tennis star Coco Gauff.