American Eagle’s Sydney Sweeney and Travis Kelce Campaigns Grew Customer Loyalty by 4%

The numbers

• 4%: The growth in customer loyalty from campaigns with Sydney Sweeney and Travis Kelce.

• $1.4 billion: American Eagle’s third-quarter revenue, a 6% year-over-year increase.

• $303 million to $308 million: Expected full year adjusted operating income, up from a previous estimate of between $255 million to $265 million.

• 44 million: The number of ad impressions from the Sydney Sweeney and Travis Kelce campaigns.

• $552 million: Gross profit for the third quarter, up 5% year-over-year.

•11%: The comparable sales increase from Aerie, the activewear and intimate brand owned by American Eagle Outfitters. American Eagle’s comparable sales grew 1%.

The watercooler talk

Despite the initial backlash, American Eagle Outfitters credits its Sydney Sweeney campaign and a separate campaign with Travis Kelce to attracting new customers and driving engagement. 

After American Eagle debuted its Sydney Sweeney campaign this summer, some accused it of promoting eugenics, and others criticized its overt sexuality.

CMO Craig Brommers has said that most consumers approved of the ad. Soon after, American Eagle collaborated with NFL star Travis Kelce on a line of clothing.

Jennifer Foyle, president and executive creative director for American Eagle and Aerie, said that the two campaigns have generated 44 billion ad impressions. She added that customer loyalty grew 4% during the quarter. 

“Although it’s still early days of our renewed marketing strategy, we know that having the right talent amplifies our brand and product at key moments,” Foyle said.

However, it is American Eagle’s sub-brand Aerie that is seeing a bigger growth spurt, thanks to products like sleepwear and leggings, compared to the core American Eagle brand. Aerie drove about a 33% of American Eagle’s total revenue this year.

When asked by an analyst about why Aerie’s growth is higher than American Eagle’s despite the recent splashy ads for American Eagle, Foyle said that Sydney’s jeans sold out at American Eagle in days. She also said that American Eagle’s sales in men’s apparel increased by a “mid single digit.”

Foyle added that American Eagle’s marketing is increasing brand awareness. “Sometimes there’s a halo effect in marketing,” she said.

The key quote

Foyle also highlighted American Eagle’s current campaign with Martha Stewart as an example of its focus on brand awareness.

“As a company, we’re leaning into advertising—we need to compete when we see what our competition is doing,” Foyle said.