Joon Silverstein (Coach) | From Legacy to Cultural Icon: How Coach Won Gen Z
Timestamps are as accurate as they can be but may be slightly off. We encourage you to listen to the full context.
Podcast Summary
In this captivating holiday episode, Jim Stengel interviews June Silverstein, CMO of Coach, who has orchestrated one of fashion's most successful brand transformations. (04:00) Silverstein shares how Coach evolved from legacy accessible luxury to becoming the brand for Gen Z, driven by seven key principles including shifting from retention to acquisition and from product-led to purpose-led growth. (05:00) The conversation explores Coach's record-breaking performance with four consecutive quarters of double-digit growth, the groundbreaking launch of Coachtopia (their circular sub-brand), and how the company broke industry patterns by leading Black Friday with brand-first messaging instead of discounts.
- Core themes include courage-driven transformation, Gen Z consumer insights, circular fashion innovation, and building authentic brand purpose
Speakers
June Silverstein
June Silverstein is Chief Marketing Officer at Coach, part of Tapestry Inc., which achieved a record $7 billion in revenue this past fiscal year driven largely by Coach's double-digit growth. She joined Coach in 2014 as SVP of Global Customer Experience and has led digital, creative, sustainability, and North America marketing over her decade-plus tenure. Prior to Coach, she spent eight years at Boston Consulting Group (including an MBA sponsorship), followed by strategic roles at Victoria's Secret and six formative years at Louis Vuitton where she reimagined the global customer experience.
Jim Stengel
Jim Stengel is the host of The CMO Podcast and former Global Marketing Officer at Procter & Gamble. He has helped hundreds of major brands discover and activate their purpose, believing that when a brand's purpose is clear, compelling, and authentic, profit naturally follows.
Key Takeaways
Courage Comes Before Confidence in Leadership
Silverstein reveals a powerful leadership principle that has guided her unconventional career path: "courage comes before confidence." (11:14) This insight came from her experience stepping into roles where she wasn't the traditional choice, from reimagining Louis Vuitton's customer experience without luxury background to leading various functions at Coach. She explains that you must act before you're fully prepared, and each courageous step expands your sense of capability. This philosophy now anchors Coach's purpose of "Courage to Be Real" and shapes how she develops her team by giving them stretch opportunities before they feel ready, building self-trust as the foundation for genuine confidence.
Transform Growth Strategy from Retention to Acquisition
Coach fundamentally shifted from fighting for loyalty at the bottom of the funnel to acquiring new consumers at market entry points. (29:38) Silverstein identified that 25 million women turn 18 each year globally, representing Coach's target to become "their first luxury bag." This strategic pivot transformed their growth model from incremental market share gains to unlimited consumer-driven opportunity. The shift required overcoming internal fears that focusing on Gen Z would alienate existing customers, but actually reenergized every demographic. This approach moved beyond traditional retention tactics like loyalty programs and CRM to invest in brand-driven acquisition strategies.
Study People, Not Categories, for Breakthrough Innovation
Rather than analyzing competitors or industry trends, Coach invested heavily in ethnographic consumer immersions to understand Gen Z as humans, not just shoppers. (31:21) They conducted hundreds of immersions globally, focusing not on purchasing behavior but on identities, values, and emotional trade-offs shaping lives. This revealed that Gen Z is defined by dualities - caring about sustainability yet craving self-expression on budgets, being hyper-connected yet deeply lonely. Most importantly, they discovered this generation sees identity as multiple and fluid rather than singular or fixed, which unlocked Coach's "expressive luxury" positioning and purpose of inspiring people to explore and express their many selves.
Break Industry Rules During Peak Seasons with Brand Conviction
For the first time ever, Coach led Black Friday with brand messaging first, promotions second, breaking their pattern of shouting discounts during holidays. (07:22) This required tremendous conviction built over years of purpose-driven growth, with leadership aligned on the belief that discounting undermines brand value. Silverstein explains that when you build real brand desire, you don't need to compromise principles to win during holidays. This decision represented the culmination of Coach's multi-year transformation toward brand-led growth, demonstrating how sustained purpose-driven strategies enable companies to resist industry pressures during critical sales periods.
Build Circular Innovation Through Bold, Imperfect Steps
Coachtopia's success stemmed from embracing "the courage to take bold but imperfect steps" in sustainability innovation. (44:50) Silverstein recognized that waiting for perfect solutions paralyzes progress in sustainability work. Instead, Coachtopia challenged luxury's pursuit of perfection by utilizing "impeccable waste" and designing backwards from discarded materials. The sub-brand was co-created with a Gen Z beta community who shaped everything from product principles to circularity commitments. Key innovations include designing bags from waste generated by iconic products (like the Ultra Eagle made from Tabby bag waste) and pioneering systems to eliminate waste entirely rather than just managing it.
Statistics & Facts
- Coach delivered four consecutive quarters of double-digit growth, accelerating to 22% in the most recent quarter, with record gross margins. (27:32) This performance drove Tapestry Inc.'s record $7 billion annual revenue.
- In global markets, 25 million women turn 18 each year, representing Coach's target acquisition opportunity as they aim to become "their first luxury bag." (29:38)
- During COVID, Coach grew digital net sales by $1 billion in North America in a single year while June led global e-commerce transformation. (51:24)
