Cracker Barrel blinked. American Eagle banked.
Until recently, Cracker Barrel and American Eagle had little reason to appear side by side in any sentence. But this summer, both found themselves in the spotlight not for what they sell but for what their brands mean. In different ways, both companies are trying to solve the same puzzle: battling declining revenue by appealing to a broader customer base across generations and demographics. Nothing about that is easy. Each made bold moves, and each faced a swift public reaction that was likely not what it had in mind. One quickly reversed course, while the other persisted.
Established in 1977, American Eagle grew into a denim juggernaut and later expanded to include Aerie, a brand grounded in body positivity and inclusivity. American Eagle’s leadership has been consistent, shaped over decades by executives who understand the brand’s DNA deeply and have shaped it into a go-to for Gen Z (as a parent of two high schoolers, I can attest: American Eagle is well represented in their closets).
Established in 1969, Cracker Barrel began as a roadside sanctuary and has become a family dining staple built on a foundation of rural Americana (and, ironically, the very interstate system that helped kill the small-town general stores it evokes). Cracker Barrel’s leadership brings deep experience in restaurants, hospitality and retail, but most are very new to the company. Its executives have inherited a nostalgic brand of which Cracker Barrel’s rocking chairs, front porch charm and country store roots are iconic cornerstones—as is apparently the “Old Timer” named Uncle Herschel depicted in the brand’s logo. More on that in a moment.
American Eagle’s move was creative, calculated and contained. A campaign featuring actress Sydney Sweeney leaned into cheeky wordplay between “jeans” and “genes.” It sparked some cultural controversy online, with critics interpreting its message as tone-deaf or unintentionally suggestive of exclusion, but it also generated buzz. Cracker Barrel’s move was creative, calculated and comprehensive—a rebrand that entailed replacing the company’s familiar “Old Timer” logo and changing traditional design elements in its stores. The new direction quickly sparked a backlash, with political voices on the right criticizing it as a symbol of cultural drift.
The brands found themselves caught in cultural flashpoints not because of what they did but because of how people interpreted those actions through a political lens. In both cases, critics projected each brand into a narrative about which “side” it was on. But online outrage doesn’t always come from loyal customers. More often, it’s driven by a small, vocal minority amplified on social media. The backlash was swift, but whether it reflected true customer sentiment or just a passing firestorm in the echo chamber is harder to know.
Despite the backlash and controversy, American Eagle’s leaders didn’t waver, and the campaign appears to have been a marketing coup. The jeans Sweeney wears in the campaign have sold out, the company has reported gains in consumer acquisition in every county of the country and its stock surged 33% this week. It certainly doesn’t hurt that, in addition to its partnership with Sweeney, American Eagle has also recently partnered with Travis Kelce. American Eagle’s leadership has confidence in its research, strategy and execution. So far, the results suggest they are on the right track althought it’s still early days and sales are still down).
The backlash Cracker Barrel received—not to mention the more than $100 million it has lost in market value—was immediate, as was its reversal. The company’s retreat to its original logo and abandonment of its rebrand signaled a lack of conviction in its strategy, a disconnect from its customer base or both. For many loyal guests, the “Old Timer” logo with Uncle Herschel is more than a design; it’s also a visual shortcut for the warm, family-like feeling they associate with the Cracker Barrel experience. The company’s own website describes Herschel—the founder’s uncle—as the “soul” of the brand. Visitors are greeted with a photo of the Uncle Herschel memorial at Cracker Barrel’s Lebanon, Tennessee, home office and an invitation to “rest for a while and delight in the nostalgia.” For longtime customers—and employees—removing those elements felt less like a refresh and more like self-erasure.
What both experiences illuminate is how brands, particularly those with long-standing emotional equity, are judged not just on what they do but also on how they feel. Consumers don’t just buy products. They also buy identity, tone, trust, continuity and consistency. American Eagle tapped into cultural relevance and took a risk but appeared to understand where the edges were—as well as the distinction between superficial outrage on social media and substantive anger from its customer base. For Cracker Barrel, what might have been an opportunity to tell a story of thoughtful evolution was instead perceived as abruptly off-tone, inauthentic and dismissive of symbols that many see as the soul of the brand. A successful modernization strategy doesn’t require abandoning the past. But it does require knowing how to carry forward what makes a brand feel meaningful. In Cracker Barrel’s case, that means finding ways to evolve while still honoring the core values of hospitality, tradition and rural Americana that built its emotional equity in the first place.
The reactions and results of both stories underscore a larger truth: Constant change and reinvention are necessary, but setting context and connecting where you’re going with where you’ve been is essential. Ultimately, a brand is a relationship not just with consumers but also with its own people and its own past.