Skechers is treading on thin ice with some would-be customers after taking out a full-page ad in Vogue that many found quite fishy. The advertisement in question appears in the December issue of the magazine, notably curated for the first time by a guest editor, Marc Jacobs.
Allegations of the footwear company’s usage of AI began to swirl after creator @polishlaurapalmer posted a TikTok noting the oddities of the advertisement. Skechers did not immediately respond to requests for comment.
Featuring an illustration of two women walking down a city street carrying shopping bags and (funnily enough) wearing high heels, the image began to break down after further inspection by readers. One critique was that the Skechers sneaker being advertised was not as integrated into the ad, as the cartoon models wore heels while a photo of the sneaker in question seemed added in a corner.
“I look at the drawing for two more seconds and I’m like oh that’s AI,” @polishlaurapalmer said, admitting she previously felt that the advertisement was “kind of cool.”
In the video, she points to some potential warning signs of AI: indiscernible figures and faceless people in the background, garbled text on the store awning, and a chunk of the dress missing from one of the women. Ashwinn Krishnaswamy, partner at design agency Forge Design and TikToker known as @shwinnabego suggested the faces looked melting and demonic, calling the product “AI slop.”
The realization made the @polishlaurapalmer turn on the ad and Skechers itself. Calling the image “alarmingly ugly,” she issued a warning for companies looking to hastily integrate AI.
“I wish people who use AI for art understand that now I hate this. You actually didn’t save any money because now I hate you, now I don’t ever want to buy a Skechers shoe again,” she said.
She’s not the only one who appeared to find the advertisement grating. Commenters on the viral TikTok seemed shocked that the alleged AI image was published in a magazine as notable as Vogue. The conversation didn’t stick to just TikTok either. Social media users across the internet noticed and commented on the ad, with a Twitter user warning in response, “We are so cooked.”
No one likes to feel tricked, especially when they have their wallet in hand. The corporate world’s, at times, hasty implementation of AI has created a scavenger hunt for customers looking to find out what advertisements feel especially trite or robotic. These ads also generate controversy given their impact on real artists— representing a threat to their job security and simply creativity in general when AI is used to save a buck.
Most recently Coca-Cola came under fire for its usage of AI which some commentators called “soulless,” per NBC News. In response, the creator of the TV show Gravity Falls, Alex Hirsch, wrote the following, “FUN FACT: CocaCola is ‘red’ because it’s made from the blood of out-of-work artists!”
“We are always exploring new ways to connect with fans and experiment with different approaches,” Coca-Cola said in a statement to Fortune. “This year, we crafted films through a collaboration of human storytellers and the power of generative AI.”
But Ashley Rutstein, freelance creative director and creator of @stuffaboutadvertising, warned that sloppy AI raises red flags for customers and, “when they see that you’re cutting corners, they’re gonna dislike you.”
Calling the move not even half-assing but “quarter-assing,” she said badly implemented AI will get people thinking about a company, but not in a positive manner.
“AI ads make me think the brand is cheap and that’s never a good thing,” a commenter said on the original TikTok about Skechers.
Despite implementing AI in their everyday lives by turning to ChatGPT, Gen Z has mixed feelings about the future of said tool. Most (59%) of Gen Zers reportedly believe AI will have more of a negative than positive impact on society in the coming decade, according to a survey of more than 10,000 high school and college-aged students conducted by academic honors group the National Society of High School Scholars. Over half (55%) believe it will impact their privacy and 62% are concerned AI will take away the jobs they want to pursue.
It’s possible these feelings toward AI further fuel the negative reaction to companies using it in their art. “I am just begging brands to use better judgment when it comes to incorporating AI into their workflows,” Rutstein concluded. [“A]nd for the love of god please review the AI’s output before sending it off to print.”
Doomscrolling, Doom Spending: A Generational Challenge
The confluence of global crises, from climate change to political unrest, has led to a surge in a concerning trend: doomscrolling and doom spending. This phenomenon, particularly prevalent among younger generations like Gen Z and millennials, is characterized by excessive consumption as a coping mechanism for anxiety and uncertainty.
The Psychology Behind Doom Spending
The allure of immediate gratification, coupled with the psychological release of dopamine and serotonin, drives individuals to make impulsive purchases. Social media, with its constant stream of advertisements and aspirational lifestyles, further exacerbates this behavior. The desire to escape reality, even temporarily, leads to a cycle of spending that often exceeds financial means.
The Financial Implications
Doom spending, especially when fueled by credit card debt and "buy now, pay later" services, can have severe long-term financial consequences. Young adults, already burdened with student loan debt, find themselves further entangled in a web of financial obligations. This can hinder their ability to save, invest, and achieve long-term financial goals.
Addressing the Issue
To mitigate the impact of doom spending, individuals can adopt the following strategies:
- Mindful Consumption: Practice conscious spending by considering the long-term implications of purchases.
- Digital Detox: Limit social media usage to reduce exposure to constant advertising and comparison.
- Financial Planning: Develop a budget and stick to it, prioritizing essential expenses over impulsive desires.
- Seek Professional Help: If anxiety and stress are overwhelming, consider consulting a therapist or financial advisor.
- Cultivate Healthy Coping Mechanisms: Engage in activities like meditation, yoga, or spending time in nature to manage stress.
By understanding the psychological drivers and financial risks associated with doom spending, individuals can take proactive steps to protect their financial well-being and mental health.
Costco is the latest retailer to share with investors its plans to combat the potential impact of high tariffs ahead of Donald Trump’s presidency. Gary Millerchip, chief financial officer of the membership-based big-box retailer, warned that increased taxes on imports, though only hypothetical, could impact the costs of some of its products.
“Of course, tariffs raise costs,” Millerchip told investors in a Thursday earnings call. “So that’s not something that we see as a positive in general.”
The CFO said it’s unclear the impact any tariff increases would have on the “timing and scope of changes” at Costco and other retailers. Quoting his predecessor Richard Galanti, Millerchip implied that any meaningful changes to how imports are taxed could impact the entire industry.
“When it rains, it rains on everybody,” he said.
Costco beat earning expectations for its fiscal first-quarter earnings, reporting a 7.5% growth in net sales and a 7.2% increase in membership card holders compared to a year ago, largely a result of its e-commerce business amid a renewed interest in spending as inflation simmers down.
Increasing tariffs has become a focal point of Trump’s economic policy proposals ahead of his second term. He pledged on the campaign train to raise the taxes by as much as 20% across all goods crossing the border into the U.S, while hiking up duties on imports from Mexico and Canada by up to 25% and by 60% from China. The push to raise tariffs comes from a desire to bolster American manufacturing muscle.
“President Trump has promised tariff policies that protect the American manufacturers and working men and women from the unfair practices of foreign companies and foreign markets,” Brian Hughes, a Trump-Vance transition team spokesperson, told Fortune in a statement. “As he did in his first term, he will implement economic and trade policies to make life affordable and more prosperous for our nation.”
But despite Trump touting the economic benefits of his plan, he’s shied away from promising the increased cost of goods won’t be passed down to consumers.
“I can’t guarantee anything,” he said in an NBC News “Meet the Press” interview last week. “I can’t guarantee tomorrow.”
Millerchip’s statements on the impact of tariffs mirror that of other retail executives, who have in no uncertain terms said that Trump’s proposed tariffs—though the consequences are still unknown—would likely impact customers’ wallets.
Dollar Tree CEO Mike Creedon similarly warned of price hikes—or the disappearance of some items entirely—following increased tariffs. And last month, Walmart CFO John David Rainey cautioned that the discount retailer would potentially and reluctantly raise prices, should Trump’s proposed tariff plan go into effect.
“We never want to raise prices,” Rainey told CNBC. “Our model is everyday low prices. But there probably will be cases where prices will go up for consumers.
Should Trump impose strict tariffs, Costco is unlikely to be heavily affected, Millerchip said, because the company has minimized its imported goods to just a subset of its non-food products, which make about 25% of its inventory. Nevertheless, Millerchip outlined several ways Costco plans to address the impact of tariffs, including considering alternative sources for once-imported products, pulling some products from shelves, and bringing forward shipments of certain items.
Consumers are seemingly trying to be as proactive as retailers in preparing for price hikes. About one-third of consumers plan to spend more ahead of the holidays with the fear of increased tariffs during Trump’s term as their top motivator, according to a survey of about 800 Americans by CreditCards.com. Many of those Americans are amassing essentials like toilet paper, medical supplies, and non-perishable foods.
Shoppers engaged in similar stockpiling ahead of a looming port strike in September, which threatened to disrupt shipments to retailers. The consumer anxiety ended up boosting September sales for Costco, despite the retailer saying it was prepared to weather the impact of the strike.
“We faced tariffs in the past,” Millerchip said Thursday. “And we believe that our merchants and buyers are equipped, as anybody is, to sort of work through and navigate and manage that situation.”