December 1, 2025 • 6 mins
Catalyst Brands CEO Marc Rosen discusses the state of the US consumer following a strong Black Friday. He speaks with hosts Matt Miller and Dani Burger.
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Speaker 1 (00:02):
Bloomberg Audio Studios, podcasts, radio news.
Speaker 2 (00:07):
The US consumer remains resilient. Data from MasterCard showing retail
sales rose four point one percent on Black Friday. That
surpasses last year's three point four percent growth, So better
than last year and better growth as well for our
boots on the ground. Look at the consumer. We welcome
Mark Rosen, Catalyst Brands CEO. Catalyst is a parent company
(00:28):
of retailers like jcpenny, Brooks Brothers, Eddie Bauer, Aeropostyle, Lucky Brand, Nautica,
you know all the names. Mark, Welcome to the program.
Thanks for joining us here in studio. How is how
was Black Friday?
Speaker 3 (00:40):
And how is Cyber Monday shaping up?
Speaker 1 (00:43):
Thank you for having me so. Black Friday was as
it always is. I think it just a super exciting
day for all of us in the retail business. I
was out in stores that morning and we had lines
around the store at our jcpenny stores that morning of
customers coming in for our five deals. They were waiting
to get a snow globe, which is one of our
historic nostalgic giveaways, but also a coupon book. I think
(01:07):
consumers were really focused on value and deals this holiday.
I will say the other big thing that we noted
on on Black Friday was gen Z was fully in
on Black Friday this year, and it was really exciting
to see gen Z shoppers out in the malls. Our
Aeropostyle brand did really, really well with strong sales and
(01:27):
you know, a really strong presence of gen Z coming
out here.
Speaker 2 (01:29):
It does feel like there's like a nineties comeback somehow.
I don't know when aeropostyle really hit the first time,
but there's definitely a second wave for these kind of brands.
Speaker 3 (01:42):
And you own a lot of them. How is that
shaping up and what's driving it?
Speaker 1 (01:46):
It's you know across the portfolio, right. I think the
thing that brings our brands together is, you know, we
have historic brands that the consumer knows and loves, and
the thing that brings them together is it's also incredible
fashion at a really affordable price.
Speaker 2 (02:03):
I think.
Speaker 1 (02:03):
So if you look at Aeropostol for the team customer,
all the trends, Y two K is actually the trend
right now. Right it's the wide leg, the baggy, the
low rise denim, and that's doing really well, and so
we're seeing consumers really come in for that Brooks Brothers,
which I know.
Speaker 3 (02:19):
You're a show near and dear to my heart.
Speaker 1 (02:21):
Exactly right. So Brooks Brothers also had a great Black Friday,
and we're moving into Cyber Monday. But there it was
all about sweaters, so Marino wool sweaters, Cashmere sweaters, and
the quarter zip is actually we have a quilted quarter
zip that was our number one selling item on Black Fridays.
Consumers are coming in for that.
Speaker 3 (02:42):
What are the common themes among the brands.
Speaker 2 (02:44):
You've had significant growth over the past few years, and
you've developed a great portfolio of brands. What are the
common threads behind all of these businesses that you've put together.
Speaker 1 (02:54):
I think the common theme, if you put it all together,
is really accessible for the American consumer with brands that
they know and love. And that's really the thing is
we've been able as we put the whole portfolio together.
If you think across JC Penny, if you think about
Lucky Brand, and if you think about Aeropostyle just as
(03:15):
the primary brands for denim, and you think about the
amount of denim that we source and buy for consumers
across all of those brands. With a combination which was
just formed in January. Has allowed us to do is
put together all of that sourcing and really make sure
that we're bringing the best value for the consumer by
finding the best prices on denim and really giving that
to the consumer on days like Black Friday, and in
(03:38):
this time where the consumers really value focus. That is
what's making the difference right now.
Speaker 2 (03:41):
So how have you navigated what's been of all lit
all year in terms of policy? Right, Tariffs I imagine
must have a huge effect on the amount you pay
for textiles. How do you equal the hit of that margins?
Speaker 1 (03:56):
We work closely with our suppliers. Again, I think the
combination this year was probably really well timed with tariffs
to give us the combined volume of things like denim,
like fleece and looking at that combined by across the
total total portfolio, and then working with our suppliers to
get the lowest possible cost for consumers. And we've been
(04:17):
committed to that throughout the year. Back to school season,
we talked about it. But again at Black Friday, if
you look at J C. Penny for example, a well
over half of the items that we offered at Black
Friday Deals matched the pricing of last year, because that's
really the job of our merchants is to make sure
that they can deliver that pricing for the consumer. At Aeropostal,
we delivered the same promotion that we had last year,
(04:38):
which was buy one, get one free denim, and again
that's our merchant teams working with our suppliers to make
sure that we can bring that to them. And at
Brooks Brothers it was the Cashmere and the Marino wol
sweaters the same pricing as last year.
Speaker 2 (04:52):
So I mean, good deals for Black Friday and for
Cyber Monday is great for the consumer, but you must
have to take price somewhere, right, So what's what's it
look like over the totality of twenty five and going
into twenty six.
Speaker 1 (05:04):
As we look across the total portfolio, Again, it is
the job of our merchants to make sure that they
are working to get the best costing from our suppliers
and deliver that in value to the consumers, and we
mix that out across the total portfolio. And so we
are really focused on making sure that the key items
that our customers are looking for at the big moments
like Black Friday and throughout the year. Back to school
(05:26):
that we are delivering like item at like value.
Speaker 2 (05:29):
In terms of twenty six What do you expect for
next year? Because the consumer has been resilient. The US
consumer is always resilient, right, don't count out the US consumer.
Speaker 3 (05:39):
But consumer confidence numbers were low.
Speaker 2 (05:41):
There's real worry about the labor market, and I was
surprised to see such growth in this season.
Speaker 3 (05:47):
So what do you expect for next year?
Speaker 1 (05:49):
I think the interesting thing about the consumer is we
definitely see that the consumer has stretched wallets right now,
but we also know that the consumer is going to
make sure that those moments that matter for the family,
their family and the ones that they care about, that
they are going to make the most for those moments.
And so the consumer is going to have Holiday and
Christmas this year. What they're searching for is really more
for value, and that's where we really win at j C. Penny.
(06:12):
For example, this was the fourth year that wallet hub
named us as the best place to find Black Friday deals.
So we're making sure that we have the deals that
we're showing the value, and that is what's really important
to the consumer, because although the wallet's stretched, they're also
committed to taking care of their families all right.
Speaker 3 (06:29):
Mark, great having you here in studio. Thanks so much.
Speaker 2 (06:31):
Thanks for joining us on this cyber Monday. Mark rosen
there of Catalyst Brand
Bloomberg Audio Studios, podcasts, radio news.
Speaker 2 (00:07):
The US consumer remains resilient. Data from MasterCard showing retail
sales rose four point one percent on Black Friday. That
surpasses last year's three point four percent growth, So better
than last year and better growth as well for our
boots on the ground. Look at the consumer. We welcome
Mark Rosen, Catalyst Brands CEO. Catalyst is a parent company
(00:28):
of retailers like jcpenny, Brooks Brothers, Eddie Bauer, Aeropostyle, Lucky Brand, Nautica,
you know all the names. Mark, Welcome to the program.
Thanks for joining us here in studio. How is how
was Black Friday?
Speaker 3 (00:40):
And how is Cyber Monday shaping up?
Speaker 1 (00:43):
Thank you for having me so. Black Friday was as
it always is. I think it just a super exciting
day for all of us in the retail business. I
was out in stores that morning and we had lines
around the store at our jcpenny stores that morning of
customers coming in for our five deals. They were waiting
to get a snow globe, which is one of our
historic nostalgic giveaways, but also a coupon book. I think
(01:07):
consumers were really focused on value and deals this holiday.
I will say the other big thing that we noted
on on Black Friday was gen Z was fully in
on Black Friday this year, and it was really exciting
to see gen Z shoppers out in the malls. Our
Aeropostyle brand did really, really well with strong sales and
(01:27):
you know, a really strong presence of gen Z coming
out here.
Speaker 2 (01:29):
It does feel like there's like a nineties comeback somehow.
I don't know when aeropostyle really hit the first time,
but there's definitely a second wave for these kind of brands.
Speaker 3 (01:42):
And you own a lot of them. How is that
shaping up and what's driving it?
Speaker 1 (01:46):
It's you know across the portfolio, right. I think the
thing that brings our brands together is, you know, we
have historic brands that the consumer knows and loves, and
the thing that brings them together is it's also incredible
fashion at a really affordable price.
Speaker 2 (02:03):
I think.
Speaker 1 (02:03):
So if you look at Aeropostol for the team customer,
all the trends, Y two K is actually the trend
right now. Right it's the wide leg, the baggy, the
low rise denim, and that's doing really well, and so
we're seeing consumers really come in for that Brooks Brothers,
which I know.
Speaker 3 (02:19):
You're a show near and dear to my heart.
Speaker 1 (02:21):
Exactly right. So Brooks Brothers also had a great Black Friday,
and we're moving into Cyber Monday. But there it was
all about sweaters, so Marino wool sweaters, Cashmere sweaters, and
the quarter zip is actually we have a quilted quarter
zip that was our number one selling item on Black Fridays.
Consumers are coming in for that.
Speaker 3 (02:42):
What are the common themes among the brands.
Speaker 2 (02:44):
You've had significant growth over the past few years, and
you've developed a great portfolio of brands. What are the
common threads behind all of these businesses that you've put together.
Speaker 1 (02:54):
I think the common theme, if you put it all together,
is really accessible for the American consumer with brands that
they know and love. And that's really the thing is
we've been able as we put the whole portfolio together.
If you think across JC Penny, if you think about
Lucky Brand, and if you think about Aeropostyle just as
(03:15):
the primary brands for denim, and you think about the
amount of denim that we source and buy for consumers
across all of those brands. With a combination which was
just formed in January. Has allowed us to do is
put together all of that sourcing and really make sure
that we're bringing the best value for the consumer by
finding the best prices on denim and really giving that
to the consumer on days like Black Friday, and in
(03:38):
this time where the consumers really value focus. That is
what's making the difference right now.
Speaker 2 (03:41):
So how have you navigated what's been of all lit
all year in terms of policy? Right, Tariffs I imagine
must have a huge effect on the amount you pay
for textiles. How do you equal the hit of that margins?
Speaker 1 (03:56):
We work closely with our suppliers. Again, I think the
combination this year was probably really well timed with tariffs
to give us the combined volume of things like denim,
like fleece and looking at that combined by across the
total total portfolio, and then working with our suppliers to
get the lowest possible cost for consumers. And we've been
(04:17):
committed to that throughout the year. Back to school season,
we talked about it. But again at Black Friday, if
you look at J C. Penny for example, a well
over half of the items that we offered at Black
Friday Deals matched the pricing of last year, because that's
really the job of our merchants is to make sure
that they can deliver that pricing for the consumer. At Aeropostal,
we delivered the same promotion that we had last year,
(04:38):
which was buy one, get one free denim, and again
that's our merchant teams working with our suppliers to make
sure that we can bring that to them. And at
Brooks Brothers it was the Cashmere and the Marino wol
sweaters the same pricing as last year.
Speaker 2 (04:52):
So I mean, good deals for Black Friday and for
Cyber Monday is great for the consumer, but you must
have to take price somewhere, right, So what's what's it
look like over the totality of twenty five and going
into twenty six.
Speaker 1 (05:04):
As we look across the total portfolio, Again, it is
the job of our merchants to make sure that they
are working to get the best costing from our suppliers
and deliver that in value to the consumers, and we
mix that out across the total portfolio. And so we
are really focused on making sure that the key items
that our customers are looking for at the big moments
like Black Friday and throughout the year. Back to school
(05:26):
that we are delivering like item at like value.
Speaker 2 (05:29):
In terms of twenty six What do you expect for
next year? Because the consumer has been resilient. The US
consumer is always resilient, right, don't count out the US consumer.
Speaker 3 (05:39):
But consumer confidence numbers were low.
Speaker 2 (05:41):
There's real worry about the labor market, and I was
surprised to see such growth in this season.
Speaker 3 (05:47):
So what do you expect for next year?
Speaker 1 (05:49):
I think the interesting thing about the consumer is we
definitely see that the consumer has stretched wallets right now,
but we also know that the consumer is going to
make sure that those moments that matter for the family,
their family and the ones that they care about, that
they are going to make the most for those moments.
And so the consumer is going to have Holiday and
Christmas this year. What they're searching for is really more
for value, and that's where we really win at j C. Penny.
(06:12):
For example, this was the fourth year that wallet hub
named us as the best place to find Black Friday deals.
So we're making sure that we have the deals that
we're showing the value, and that is what's really important
to the consumer, because although the wallet's stretched, they're also
committed to taking care of their families all right.
Speaker 3 (06:29):
Mark, great having you here in studio. Thanks so much.
Speaker 2 (06:31):
Thanks for joining us on this cyber Monday. Mark rosen
there of Catalyst Brand
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