The Speed of Culture Podcast: Engaging Gen Z in Retail

Episode: Engaging Gen Z in Retail: American Eagle CMO Craig Brommers on TikTok and Brand Loyalty
Release Date: November 21, 2024
Host: Matt Britton, Founder and CEO of Suzy
Guest: Craig Brommers, Chief Marketing Officer of American Eagle Outfitters

Introduction

In this insightful episode of The Speed of Culture Podcast, Matt Britton engages in a comprehensive discussion with Craig Brommers, the Chief Marketing Officer (CMO) of American Eagle Outfitters. Brommers brings a wealth of experience from leading iconic global brands and shares his expertise on brand collaborations, connecting with Gen Z, and creating purpose-driven marketing strategies. The conversation delves deep into the evolving landscape of the apparel industry, emphasizing the pivotal role of social media platforms like TikTok in shaping consumer behavior.

Craig Brommers' Journey into the Apparel Industry

Michelle Britton begins by exploring Brommers' career path, highlighting the influence of personal passions on professional choices.

• Quote [02:30]:
  Craig Brommers: "I got some great advice from someone pretty close to me, my mom, and she said, do what you love and love what you do. And I've architected my career around industries that I love."

Brommers discusses his transition from sports and politics into retail and fashion, ultimately leading to roles at renowned brands such as Calvin Klein, Gap, Abercrombie and Fitch, and currently American Eagle Outfitters.

Transformation of the Apparel Industry Over the Last Decade

Matt Britton probes into the significant changes Brommers has witnessed in the apparel sector, focusing on the emergence of TikTok.

• Quote [03:10]:
  Craig Brommers: "There's one thing that's changed at the most. It's called TikTok. And I'm actually not joking. The reality is social media has certainly influenced consumers, especially our young Gen Z customer."

Brommers emphasizes TikTok's monumental impact on virality and consumer purchasing patterns, noting how the platform has reshaped how brands interact with their audience.

The Power of TikTok and Influencer Marketing

The conversation delves into the mechanics of how TikTok influences sales and brand loyalty among Gen Z consumers.

• Quote [04:01]:
  Craig Brommers: "Alex Earl is one of the top creators on TikTok. [...] that fit was the 65th best seller on the day I went to sleep the next morning, it was already in our top five sales."

Brommers recounts a real-life example where a TikTok influencer's endorsement led to a significant spike in sales, underscoring the platform's effectiveness in driving consumer behavior.

Evolving Marketing Mix and Strategic Flexibility

Matt Britton explores how the rise of TikTok has necessitated a shift in traditional marketing strategies.

• Quote [05:13]:
  Craig Brommers: "We actually have to be more flexible, more nimble and make decisions way closer."

Brommers explains that modern marketing requires agility, with brands needing to respond swiftly to trends and consumer feedback. He contrasts his current approach with previous high-control marketing roles, highlighting a move towards enabling communities and supporting dynamic strategies.

Scaling Creator Partnerships

The discussion advances to the operational challenges and strategies involved in managing a vast network of creators.

• Quote [07:54]:
  Craig Brommers: "We work with somewhere between 700 and 800 creators in any one given season. [...] scale is going to be the name of the game."

Brommers outlines American Eagle's approach to collaborating with a large number of mid-range creators, emphasizing the importance of scalability and authentic content creation. He also highlights the role of store associates as content creators, integrating both digital and physical brand ambassadors.

Collaborations with Traditional Celebrities and Sports Stars

Brommers discusses the integration of traditional celebrities and athletes into American Eagle's marketing campaigns to enhance brand appeal.

• Quote [10:47]:
  Craig Brommers: "Athletes, whether it's through tunnel walks or what they're wearing on the court, [...] what they're wearing in their daily lives has become a public source of fascination."

He elaborates on collaborations with sports stars like Coco Gauff and Trevor Lawrence, explaining how these partnerships bridge the gap between sports, fashion, and Gen Z's interests. Additionally, Brommers mentions collaborations with streaming talents from popular shows, reflecting the diverse interests of their target audience.

Navigating the NIL (Name, Image, Likeness) Landscape

The conversation shifts to the impact of NIL legislation on marketing strategies and partnerships with college athletes.

• Quote [14:47]:
  Craig Brommers: "We are using tools to build on our core brand value. [...] student athletes have really hit a nerve in a particular way that maybe a typical influencer does not."

Brommers explains how NIL has opened new avenues for engaging college athletes as creators and influencers, highlighting their multifaceted roles as students, athletes, and entrepreneurs. This approach resonates deeply with Gen Z's appreciation for hustle and versatility.

The Role of Artificial Intelligence in Marketing

Matt Britton inquires about the integration of AI in enhancing consumer experience and marketing efforts.

• Quote [21:51]:
  Craig Brommers: "AI will be in fact the next massive shift. [...] we will absolutely embrace this new AI future."

Brommers discusses American Eagle's proactive use of AI in media planning and execution, particularly in hyper-targeting audiences. He acknowledges the complexities of maintaining brand values while leveraging AI technologies to enhance personalization and efficiency.

Personalization and the Future of Marketing

The duo delves into the significance of personalized marketing in the age of AI and vast consumer data.

• Quote [24:05]:
  Craig Brommers: "We're just scratching the surface. The amount of content that will be needed to serve personalization is overwhelming. [...] tools like AI will help us greatly."

Brommers highlights the necessity of delivering tailored content to meet the sophisticated expectations of Gen Z and Gen Alpha consumers, emphasizing the role of AI in managing and executing personalized marketing strategies at scale.

Leadership Philosophy and Building Successful Partnerships

Brommers shares his insights on what makes a valuable partner and the importance of meaningful collaborations.

• Quote [26:01]:
  Craig Brommers: "People matter more than technology, more than tools, at least for me. [...] push you into some uncomfortable places."

He underscores the value of partners who are passionate, challenging, and deeply invested in the brand's success. Brommers emphasizes fostering an environment where team members and partners feel empowered to contribute unique perspectives and take creative risks.

Balancing Pace and Well-being in a Dynamic Role

The conversation touches on the intense pace of a CMO's responsibilities and strategies to maintain decision-making quality.

• Quote [28:33]:
  Craig Brommers: "I make better quality decisions or support my team better if you just have a little bit of breathing room."

Brommers discusses the importance of incorporating brief breaks into a hectic schedule to maintain clarity and effectiveness. He reflects on the non-linear nature of leadership roles, where flexibility and the ability to pivot are crucial for success.

Career Decisions Leading to Success

In wrapping up, Brommers highlights key decisions and traits that have propelled his career to leading marketing at American Eagle.

• Quote [29:26]:
  Craig Brommers: "Always be curious. [...] get in there and get in the environment that your customer is."

He identifies curiosity, networking, embracing failures as learning opportunities, and immersing himself in the customer environment as pivotal factors in his professional growth and effectiveness as a CMO.

Conclusion and Final Thoughts

As the episode draws to a close, Brommers shares his personal mantra, emphasizing passion and enjoyment in his work.

• Quote [31:44]:
  Craig Brommers: "Love what you do, do what you love. [...] create a very fun environment."

Matt Britton echoes the sentiment, expressing his appreciation for the engaging and informative discussion. The conversation concludes with a mutual acknowledgment of the importance of passion and strategic agility in driving brand success.

Key Takeaways

1. TikTok's Influence: TikTok has revolutionized the apparel industry by enabling rapid virality and directly impacting sales, especially among Gen Z consumers.

2. Creator Partnerships: Scaling collaborations with a vast network of creators, particularly mid-range influencers, is essential for authentic and impactful brand engagement.

3. Traditional and Modern Collaborations: Integrating traditional celebrities and sports stars with modern streaming talents bridges diverse interests, enhancing brand resonance with younger audiences.

4. NIL Empowerment: Leveraging NIL opportunities with college athletes as multifaceted influencers aligns with Gen Z's values of hustle and versatility.

5. AI Integration: Embracing AI for hyper-targeted marketing and personalized consumer experiences is pivotal for staying ahead in the competitive landscape.

6. Leadership and Partnerships: Building meaningful, challenging, and passionate partnerships fosters innovation and drives brand success.

7. Personalization and Data: Utilizing vast consumer data to deliver personalized marketing content meets the sophisticated expectations of newer generations.

8. Career Success: Curiosity, networking, embracing failure, and customer immersion are critical for professional growth and effective leadership.

This episode of The Speed of Culture Podcast offers a deep dive into the dynamic strategies employed by American Eagle Outfitters to engage and retain Gen Z consumers. Craig Brommers' insights provide valuable lessons for brands aiming to navigate the ever-evolving cultural landscape with agility, authenticity, and a commitment to meaningful consumer connections.