Podcast Summary: The Agile Brand™ with Greg Kihlström
Episode #613: Building Brands Through Collaboration, Innovation, and Sustainability with Eric Liedtke, Under Armour
Release Date: December 11, 2024
Introduction
In Episode #613 of The Agile Brand™, host Greg Kihlström delves into the pivotal elements of building impactful and sustainable brands. Joining him is Eric Liedtke, the Executive Vice President of Brand Strategy at Under Armour, who brings a wealth of experience from his tenure at Adidas and as the founder of the sustainable fashion brand, Unless Collective. The conversation navigates through Eric’s career journey, his insights on e-commerce growth, sustainability in fashion, and his strategic role at Under Armour.
Career Journey: From Adidas to Unless Collective
Early Lessons at Adidas
Eric Liedtke reflects on his 26-year tenure at Adidas, highlighting a foundational leadership lesson that shaped his approach:
"Don't ask for permission, ask for my advice." (02:53)
Appointed as the first American Brand President at Adidas, Eric emphasizes the importance of empowerment and trust within large organizations. This philosophy steered him away from micromanagement, fostering a culture of confidence and autonomy among his teams.
"I try to really look to how I'm empowering teams and people around me..." (04:20)
E-Commerce Transformation
Eric recounts his pivotal role in transforming Adidas's e-commerce platform, which contributed to an impressive $8 billion revenue increase over six years. In the mid-2010s, before the surge of platforms like Shopify and the dominance of social media in brand expression, Eric spearheaded the development of Adidas’s digital presence.
He discusses the internal challenges between sales-driven and brand-driven objectives:
"There was always this constant struggle in the organization between the sales organization wanting to drive transactions and the brand side wanting to optimize for a brand experience." (05:18)
The decision to prioritize brand-led e-commerce strategies, in collaboration with Salesforce, ultimately balanced both sales growth and brand integrity through exclusive distributions and targeted AB testing.
Founding Unless Collective: Pioneering Sustainable Fashion
Origin and Vision
Inspired by Adidas’s collaboration with Parley for the Oceans, Eric founded Unless Collective in 2019 as an antidote to fast fashion and plastic pollution. His vision centered on creating regenerative fashion—products made from plants and minerals that degrade harmlessly, eliminating microplastics and other pollutants.
"Let's make stuff just out of plants and minerals that could harmlessly go away at end of life." (10:42)
Stepping Outside a Large Brand
Eric explains the necessity of leaving Adidas to fully realize his sustainable vision:
"If you want to get on this road, it just wasn't getting fed and there wasn't the patience to build something out like that." (13:52)
By founding a startup, Eric gained the flexibility and dedicated focus required to develop innovative, eco-friendly products without the constraints of a large corporate structure.
Acquisition by Under Armour and Strategic Role
Integration with Under Armour
In a strategic move, Unless Collective was acquired by Under Armour, aligning both brands' missions toward sustainability and systemic industry change. Eric’s role as EVP of Brand Strategy involves:
- Enhancing Under Armour’s operational model
- Developing strategic business plans
- Elevating brand marketing and storytelling
"I'm here to help in any way I can." (15:27)
Mission Alignment
Eric and Under Armour’s founder, Kevin Plank, share a mutual commitment to regenerative fashion and societal betterment, aiming to scale their sustainable initiatives through Under Armour’s extensive distribution networks.
Building Brands Through Collaboration, Innovation, and Sustainability
Creating Objects of Desire
Eric outlines his philosophy on brand building, emphasizing the creation of desirable products through the synergy of product excellence, compelling storytelling, and strategic distribution:
"What's an object of desire? It's the right product, times the right story, times the right distribution." (17:23)
He illustrates this with examples such as:
- Developing top-performing athletic shoes and promoting them through athletic achievements
- Incorporating regenerative materials to appeal to environmentally conscious consumers
- Collaborating with designers like Ronnie Fig to reach niche markets through exclusivity
Purpose-Driven Storytelling
Eric advocates for brands to adopt multiple, purpose-driven narratives that resonate with diverse consumer segments. He believes that authentic storytelling not only drives sales but also fosters brand advocacy and societal impact.
"The future is more stories, more creative stories and hopefully more purpose-driven stories." (20:50)
Advice for Brands: Authenticity Over Greenwashing
Eric emphasizes the critical need for brands to align their values authentically to avoid the pitfalls of greenwashing:
"The brand has to be 100% consistent in its values. If they just use it for virtue signaling, that's the most disgusting thing." (23:19)
He advises brands to:
- Align Mission and Actions: Ensure that sustainable initiatives are ingrained in the brand’s core operations and not merely superficial gestures.
- Start Incrementally: Acknowledge that meaningful change begins with small, consistent steps despite challenges in scaling and resource allocation.
- Leverage Unique Strengths: Utilize the brand’s unique capabilities and experiences to drive sustainable innovation.
Staying Agile in Leadership
Balancing a high-impact role requires personal agility and well-being. Eric shares his strategies for maintaining agility:
"You've got to take time out for yourself... take care of your mental health, take care of your physical health." (24:42)
His routine includes:
- Morning quiet time for reflection and planning
- Prioritizing mental and physical health to sustain long-term productivity
- Carving out moments for creative thinking away from work pressures
Conclusion
Episode #613 of The Agile Brand™ offers insightful perspectives on building resilient and sustainable brands through strategic collaboration, innovative practices, and genuine commitment to societal and environmental betterment. Eric Liedtke’s journey from Adidas to founding Unless Collective and now steering brand strategy at Under Armour underscores the importance of authenticity, purposeful storytelling, and agile leadership in today’s dynamic market landscape.
Listeners gain valuable lessons on balancing brand integrity with sales objectives, pioneering sustainable fashion, and fostering an empowering organizational culture. Eric’s experiences and advice serve as a roadmap for marketers and brand strategists aiming to create impactful, forward-thinking brands.
Notable Quotes:
- "Don't ask for permission, ask for my advice." — Eric Liedtke (02:53)
- "The micromanagement of management is real." — Eric Liedtke (04:57)
- "The brand has to be 100% consistent in its values. If they just use it for virtue signaling, that's the most disgusting thing." — Eric Liedtke (23:19)
- "You've got to take time out for yourself... take care of your mental health, take care of your physical health." — Eric Liedtke (24:42)
Timestamp References:
Learn More:
To explore more episodes of The Agile Brand™, visit www.gregkillstrom.com. Discover a range of best-selling Agile Brand Guides on Amazon or through the Agile Brand Guide website at www.agilebrandguide.com.