Trump supports Sydney Sweeney in the controversy
Donald Trump praises Sidney Sweeney and her American Eagle ads after hearing that she is a Republican.
American Eagle Outfitters stocks rose 29% on Thursday, September 4th. The company announced a significant increase in traffic following its campaign with Sydney Sweeney and Travis Kels.
“The fall season is off to a positive start, supported by the stronger product offerings and the success of recent marketing campaigns with Sydney Sweeney and Travis Kelce. We have seen an increase in customer awareness, engagement and comparable sales.
Following the announcement, stocks rose 25% in the aftermarket on Wednesday, September 3rd.
American Eagle reports operating profit of $103 million, surpassing market expectations, with revenues of $1.28 billion rising by 2%. The company’s shares closed at $13.62 on Wednesday, trading at around $16.75 per share on Thursday morning.
Sydney Sweeney and Travis Kels boost the brand amid tariff disaster
American Eagle released an ad campaign on July 23rd entitled “Sidney Sweeney is Great Jeans.” On August 27, a day after Kelce announced his engagement to Taylor Swift, the company released a collaboration between him and the Tru Kolors brand.
It’s big news for a company that struggled to attract customers. Before the revenues went public, stocks fell 20% from two years ago. By noon on Thursday, it had recovered the loss.
In May, the company elicited guidance as many retailers were responsible for the potential impact of President Donald Trump’s tariffs. Since then, the company has said prices have been ongoing rise. The company estimates tariffs will cost $20 million in the third quarter and $40-50 million in the fourth quarter.
The Sweeney Campaign raises controversy
The Sweeney campaign faced backlash after accusing consumers of promoting eugenics due to the catchphrase and the actress’s blonde hair, blue eyes and white complexion.
The actress begins ads: “The genes are passed on from her parents to offspring, often determining characteristics such as hair color, personality, and even eye color. My jeans are blue.”
In response to criticism on August 1, the company said the ads were “and always about jeans, and always.”
“Her jeans. Her story. We continue to celebrate the way everyone wears AE jeans with confidence. Great jeans look great to everyone.”
Sweeney-backed apparel is sold out
Despite scrutiny, the company said the campaign items “sold out within a week” and sold out in a day. The Kelce campaign is just continuing its momentum. Both campaigns have been running for more than a year, the company said.
Since their launch, the company said it has increased its number of customers by 700,000.
Michelle Del Rey is a trending news reporter for USA Today. Contact her at mdelrey@usatoday.com
