PR Communication Eassy Need help getting started with short eassy W14775 PAUL FRANK AND NATIVE AMERICAN STEREOTYPES: A CASE OF MISAPPROPRIATION

PR Communication Eassy Need help getting started with short eassy W14775

PAUL FRANK AND NATIVE AMERICAN STEREOTYPES: A CASE OF
MISAPPROPRIATION

Stefanie Beninger and June N.P. Francis wrote this case solely to provide material for class discussion. The authors do not intend to
illustrate either effective or ineffective handling of a managerial situation. The authors may have disguised certain names and other
identifying information to protect confidentiality.

This publication may not be transmitted, photocopied, digitized or otherwise reproduced in any form or by any means without the
permission of the copyright holder. Reproduction of this material is not covered under authorization by any reproduction rights
organization. To order copies or request permission to reproduce materials, contact Ivey Publishing, Ivey Business School, Western
University, London, Ontario, Canada, N6G 0N1; (t) 519.661.3208; (e) cases@ivey.ca; www.iveycases.com.

Copyright © 2015, Richard Ivey School of Business Foundation Version: 2015-05-12

It was September 2012, and the executive team at Paul Frank Industries (PFI) had just finished taking
immediate action in response to a backlash over its annual marketing event, “Fashion’s Night Out.” PFI
prided itself on celebrating diversity, but the company’s recent activities had caused offence among the
members of the Native American community. PFI’s brand had succeeded in the past because of the
creative freedom it allowed its young and dynamic staff, but this particular choice had obviously been a
huge misstep, and the executive team needed to sit down and examine what had gone wrong.

PFI’s annual Fashion’s Night Out extravaganza was a public relations and marketing event for the fashion
industry that had started in the midst of the 2009 recession in New York. Fashion’s Night Out events had
sprung up in several cities, including Los Angeles, and they were intended to highlight fashion designers
and fashion brands, as well as raise money for charity by providing a fun night out. In PFI’s words, it was
“a star-studded shopping event held in major cities around the world.” This event usually attracted pop-
culture icons, and it showcased a variety of brands amid its activities, including Paul Frank.

What should PFI do to avoid future issues, while still maintaining the edgy, creative atmosphere and
approach that had made its brand so successful in the past?

BACKGROUND

Paul Frank Industries

Based in California, Paul Frank Industries began as a privately held company that designed, licensed and
sold apparel and accessories. The company was founded in 1995 by Paul Frank Sunich, John Oswald and
Ryan Heuser, who initially set up shop in a garage and started making wallets and handbags as gifts for
their friends. The accessories became a local sensation, and the company gradually grew into a global
brand with more than 30 franchised and company-owned stores worldwide. The “Paul Frank” brand was
recognizable to many because of its iconic logo and mascot, Julius the Monkey. Julius was a twist on the
“old-school sock monkey,”1 and he was joined by a stable of about 150 other characters, including a
giraffe and different versions of Julius.

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PFI was formally incorporated 1998, but Paul Frank Sunich, one of the founders, stopped his association
with the firm in 2005. In 2010, PFI was acquired by Saban Brands, a company that acquired, developed
and managed a world-class portfolio of consumer brands and that held significant investments in media,
entertainment and communications. It also managed other well-known, children-focused brands such as
Power Rangers, Digimon, and Popples. Saban Brands licensed the Paul Frank brand to other
manufacturing companies. Although the Paul Frank brand was “the hottest line going”2 in the 1990s,
Saban Brands faced a challenge in maintaining the brand’s popularity and ensuring that its iconic status
would endure.3

PFI targeted its products primarily at the youth market, from toddlers to teens, and described its product
lines as “offbeat and unique.”4 The Paul Frank product line included a variety of fashion accessories,
books, bedding, bikes, eyewear, helmets, furniture, mobile games, and audio products. The average age of
PFI’s employees was just 27 years old,5 and the majority of the company’s designs came from a relatively
small creative team of fewer than 20 people.6 When creating its designs, the company noted that “Paul
Frank always strives to celebrate diversity and is inspired by many rich cultures from around the world.”7
Among other inspirations, the company cited the infamous artist Andy Warhol.8

PFI expanded from its U.S. home market into Europe (Denmark, Germany and Slovakia), Asia (China,
Thailand and Malaysia), and South American (Venezuela, Colombia and Panama) through its flagship,
company-owned stores and through retailers like Target and Macy’s. Paul Frank products were also sold
through online distributors like Amazon and USOutdoor.com, all of which increased the firm’s global
reach. In addition to its business endeavours, PFI donated to a variety of charities involving children, arts
and entertainment, including the Children’s Hospital of Los Angeles.

With a self-declared “unusual, almost anti-marketing approach to business,”9 the company followed a co-
branding approach until 2006. This approach generated at least $2 million in annual revenue through
partnering and collaborating with companies such as Barbie, John Deere, Oscar Meyer, and the Elvis
Presley Estate.10 PFI generally avoided traditional advertising and did not pay for product placement but,
rather, focused on publicity in media such as through creating custom-made items for magazine features11
and films, including Austin Powers, American Pie, and Charlie’s Angels, as well as adorning well-known
music groups such as the Foo Fighters, Weezer, and The White Stripes.

After finalizing its purchase of the Paul Frank brand in 2010, Saban Brands decided to relaunch Paul
Frank through a “promotional blitz to catapult Julius . . . into a bankable media star.”12 Elie Dekel,
president of Saban Brands and also of PFI, hoped that these initiatives would “delight parents, who wore
the monkey T-shirts when they were teenagers, and their children.”13 Saban’s marketing strategy included
launching a Christmas cartoon special featuring the well-known character driving a branded recreational
vehicle to malls and music festivals across the United States, flying a giant helium balloon in Macy’s
Thanksgiving Day Parade in New York, and hosting other retail events and parties, such as Fashion’s
Night Out. In the words of Elie Dekel, “Julius is ready for the big time.”14

FASHION’S NIGHT OUT 2012

Fashion’s Night Out was an annual “after-hours shopping extravaganza”15 that took place in 500 stores
across the United States and in 30 cities around the world. Running from 2009 to 2013, the global
initiative attempted to “celebrate fashion, restore consumer confidence, and boost the industry’s economy
during the recession.”16 Brands could choose to participate in the event under the Fashion’s Night Out
banner through hosting events with the aim of increasing attention and driving sales. Events included

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celebrity appearances, fashion shows, concerts and shopping parties. In the fall of 2012, in Hollywood,
PFI hosted a Fashion’s Night Out after-hours shopping party that featured refreshments and entertainment
for invited guests after regular store hours.

PFI, with support from a hired public relations company, decided to feature a Native American-themed
party for Fashion’s Night Out 2012 presentation. According to PFI, “The goal of the Hollywood event
was to share the brand with fans, in this case, around a Native American-inspired theme, interpreted at the
event as ‘Neon Native.’”17 The Hollywood Reporter covered Hollywood’s version of this citywide event,
held on September 7, 2012, and the news coverage included a brief piece about the Paul Frank party:
“Paul Frank celebrated Fashion’s Night Out with a neon-Native American powwow theme. Glow-in-the-
dark, war-painted employees in feather headbands and bow and arrows invited guests to be photographed
on a mini-runway holding prop tomahawks.”18

Professional photographs of the event taken by PFI representatives were uploaded online, and various
attendees posted personal photos of the event onto PFI’s Facebook page. The photos of the event showed
a variety of people, including young children, “[playing] Indian.”19 In addition, the event provided
alcoholic drinks with names such as “Rain Dance Refresher,” “Dream Catcher,” and “Neon Teepee.”
There were also accessories provided for use at the event such as “bows [and] arrows, tomahawks,
antlers, and feather headwear … [and] ‘war paint’”20 in the form of brightly coloured face paint, applied to
the guests’ faces. There were also “images of mock scalpings . . . on a runway”21 and individuals
“pretending to behead one another.”22 The party also featured the addition of a headdress to the iconic
Julius the Monkey in the company’s logo.23

THE BACKLASH ENSUES

The news of this event, as well as the numerous Facebook photos, came to the attention of blogger Dr.
Jessica Metcalfe when a pre-set Google Alert for the words “Native American” and “fashion” directed her
to The Hollywood Reporter article and to PFI’s Facebook fan page. Metcalfe’s blog, Beyond Buckskin,
profiled Native American artists and designers, in turn “advancing the quality of Native American fashion
through education while providing an in-depth podium for societal participation.”24 Dr. Metcalfe
criticized the theme of PFI’s Fashion’s Night Out event for using the “worst stereotypes that [Native
Americans] have”25 in a post on her blog’s Facebook page, which included a photo of the event.

As well as covering the event on her Facebook page, Metcalfe covered the issue on her Beyond Buckskin
blog, by discussing the “Dream Catchin’ Powwow” party and the Paul Frank merchandise line called
“Dream Catcher,” which featured Julius the Monkey wearing a headdress.26 In her blog post, Metcalfe
wrote an open letter to the company, including a list of demands, such as calling for an apology and
asking for removal of the images (see Exhibit 1). Metcalfe believed that, given its interest in Native
American cultures, PFI should aim to “work with actual Native American artists, and . . . . [the company
is] profiting on the caricature of our people and putting that misrepresentation out there, I think [Paul
Frank Industries] should be giving back to Native people.”27

Dr. Adrienne Keene, writer of the blog Native Appropriations, which “[examines] representations of
Indigenous Peoples,”28 also expressed her outrage that this event was approved internally by both PFI and
its public relations company, and she went on to discuss “how these images were problematic.”29 She
posted about it on her Facebook page and on her blog, where she expressed her concern about “the
number of people of color engaged in ‘playing Indian’ (at this event). I don’t kid myself to think that
these issues are limited to the dynamics of power between white folks and Native folks, but it’s honestly

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hard to see people from other marginalized communities jumping on the bandwagon to oppress another
group.”30

Keene ended her blog post with an open letter to PFI (see Exhibit 2) and e-mailed a copy to the public
relations agency that was responsible for the creation of the event. She aimed to raise awareness of the
issues, to call attention to and critique the use of the stereotypical images of Native American peoples in
society. Dr. Keene has more than 17,000 followers on her Native Appropriations Facebook page, with the
majority coming from diverse backgrounds and falling between 20 and 30 years of age.31

These actions led to a “huge” backlash in the form of “thousands of hits” on PFI’s company Facebook
page and on its Twitter account. Social media users posted their feedback concerning the images of the
event, reported the images as racist to Facebook administrators, and tweeted their criticisms to the
company.

The open letters to PFI quickly reached the company, which then took immediate action by removing the
photos from PFI’s Facebook page and from some other sources, although images from the party remained
available on Zimbio.com.32 According to Metcalfe, the company also erased the comments and
complaints left by people on PFI’s Facebook page, including the comments by Metcalfe herself. Metcalfe
stated, this action “is bothersome if Paul Frank had my posts erased from Facebook . . . it would be like
an attempt to erase this moment.”33 Within 10 minutes of both blog posts going up, PFI released a brief
statement through its Twitter and Facebook account, as well as the following statement on its Facebook
page:

Paul Frank celebrates diversity and is inspired by many rich cultures from around the world. The
theme of our Fashion’s Night Out event was in no way meant to disrespect the Native American
culture; however, due to some comments we have received, we are removing all photos from the
event and would like to formally and sincerely apologize. Thank you, everyone, for your
feedback and support.34

Dr. Adrienne Keene felt this apology was not enough, writing on her blog that “clearly it’s the classic
‘sorry you were offended’ rather than ‘sorry we were offensive’ response.”35 Overall, she felt it was a
“boilerplate apology”36 response to their open letters, and Dr. Keene did not anticipate any further actions
by PFI.

On September 10, 2012, the day after PFI posted its apology on Facebook, the Indian Country Today
Media Network featured a story entitled “Paul Frank Industries Offends With ‘Dream Catchin’ Party,”37
followed the next day by a similar story from The Huffington Post, amidst coverage from other blogs and
mainstream media. This media flurry was followed by a press release from Paul Frank Sunich, one of the
founders of PFI and creator of Julius the Monkey, who had been unaffiliated with Paul Frank Industries
since leaving in 2005. He stated that he was both “saddened and disappointed by [the event] . . . and [by]
how the new owners are using my creation, Julius the Monkey.”38

A few days later, much to her surprise, Dr. Keene received an e-mail from PFI’s president, Elie Dekel
(see Exhibit 3). This e-mail correspondence eventually led to an invitation for a conference-call meeting
for Metcalfe, Dr. Keene and Dekel so the three could discuss the situation. Although Metcalfe was unable
to join the conference call due to technology problems, Dr. Keene and Dekel had an in-depth
conversation. Dr. Keene described the conference call in her blog post:

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The phone call went so much better than I could have even imagined. Elie was gracious, sincere
and kind from the beginning, and truly apologetic. He took full responsibility for the event, and
said he wanted to make sure that this was something that never happened again, and wanted to
learn more so he could educate his staff and colleagues. We talked about the history of
representations of Native people in the [United States], and I even got into the issues of power
and privilege at play – and the whole time, he actually listened and understood. Such a refreshing
experience!39

Dr. Keene said that Dekel “couldn’t have been kinder and more gracious on that . . . phone call . . . and
[Dr. Keene] was blown away” by the response from PFI.40 The promises made during the conference call
included the removal of all Native-inspired designs from PFI’s digital/online imprint and the removal of
all Native American imagery from PFI’s current and archived style guides. As well, PFI sent a letter to its
manufacturers and partners concerning the removal of these images and asked for the cessation of all
production of merchandise that contained the offensive figure. Dekel also expressed his desire for PFI to
“co-operate with the Native artists to make designs, where the proceeds would be donated to a Native
cause.”41 Further, Dekel invited both Dr. Keene and Dr. Metcalfe to collaborate on a panel about the use
of Native imagery at the upcoming International Licensing Merchandisers Association tradeshow.
Working with the bloggers, PFI also outlined a year-long series of initiatives designed to address the
issue, heighten consumer and industry awareness, and continue a dialogue with key audiences and
partners.

The goals behind engaging with the blogger, in the words of PFI executives, were multifaceted:

As we strive to celebrate diversity, our number one goal in responding to the bloggers was to
formally and sincerely apologize for our lack of judgment in choosing the event theme.
Additionally, we approached the bloggers directly to better understand our misjudgments and
how to positively incorporate culturally accurate and sensitive representations of Native
American culture within the Paul Frank brand.42

The authors would like to thank the Executive MBA in Aboriginal Business and Leadership at Simon Fraser University for
supporting the development of this case.

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EXHIBIT 1: THE LETTER ADDRESSED TO PAUL FRANK INDUSTRIES FROM DR. JESSICA
METCALFE

To whom it may concern:

Thank you for removing the Powwow pictures from your Facebook page. However, the party still happened, and the
images are still out there. We want an apology, Paul Frank.

Since you are profiting off of a caricature of our cultures, a donation to a Native American youth arts program would
be fitting to accompany your apology. Furthermore, if you are genuinely interested in Native American design, I
suggest you collaborate with Native American designers in the future.

Your actions are highly offensive, and it is ridiculous to see this level of racism still occurring in 2012.

Sincerely,
Jessica R. Metcalfe, PhD (Turtle Mountain Chippewa) Beyond Buckskin

Source: Jessica Metcalfe, “Paul Frank’s Racist Powwow,” Beyond Buckskin, September 9, 2012,
http://beyondbuckskin.blogspot.ca/2012/09/paul-franks-racist-powwow.html, accessed November 3, 2012.

EXHIBIT 2: THE LETTER ADDRESSED TO PAUL FRANK INDUSTRIES FROM DR. ADRIENNE
KEENE

Dear Staff of Paul Frank LA and Red Light PR,

My name is Adrienne K. I am a citizen of the Cherokee Nation, and I write a blog called Native Appropriations. I write
about representations of Native people in the media and popular culture, and last night (9/8/2012), photos from your
Fashion’s Night Out event “Dream Catchin’ with Paul Frank” were brought to my attention. I am extremely troubled
and concerned with many aspects of the event, and I honestly felt like someone had punched me in the stomach
when I first loaded the photos posted on your Facebook page.

To begin, the image of the Paul Frank monkey in “war paint” and a headdress is incredibly problematic. Headdresses
are considered sacred in Native communities and are reserved for the most respected and revered leaders. To place
one on the head of a monkey trivializes the sacred and respected nature of the war bonnet, and paints Native people
as sub-human. There is an entire painful history of people of color being equated with primates, and images such as
this echo to that past. I’ve written an entire post about why wearing “hipster headdresses” is offensive, which can be
found here, and breaks down the argument more completely.

In addition to the monkey imagery, party goers were encouraged to “play Indian” with plastic tomahawks and bows
and arrows, resulting in photos of fake “scalping,” “war whooping,” and other extremely hurtful stereotypes. I have
also written extensively about the issues surrounding “playing Indian” and dressing up as Native peoples for
Halloween and parties. This practice is exactly akin to providing props for party guests to dress in blackface for
photos, a practice that I’m sure would not bode well for your brand.

Powwows in Native communities are social events, but are also spiritual and closely tied to traditional culture. Photos
from your event show a sign on the bar reading “Powwow and have a drink now!” with drinks called “Rain Dance
Refresher,” “Dream Catcher,” and “Neon Teepee.” The vast majority of contemporary powwows celebrate sobriety
and are very explicit about the prohibition of alcohol and drugs on powwow grounds. To associate the consumption of
alcohol with a powwow is disrespectful, especially given the history of alcoholism in our communities.

There were also many children at the event, and your celebrity appearances were tween Disney stars. As a result,
now these children in attendance are being acculturated into thinking that Native peoples are one-sided stereotypes
of feathers, war paint, and weapons, and that playing Indian is perfectly acceptable and fun. My young cousins
worship anything to do with these starlets, and I know there are many other young girls who do the same, and that
worries me to no end.

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EXHIBIT 2 (CONTINUED)

The bottom line is this: your event stereotypes and demeans Native cultures, collapsing hundreds of distinct tribal and
cultural groups into one “tribal” mish-mash, thereby erasing our individual identities and contemporary existence. Until
1978 with the passage of the American Indian Religious Freedom Act, Native peoples could be arrested for practicing
traditional spirituality — many aspects of which you mocked in your party theme. While the theme may have seemed
“fun” and “playful” to you, to me as a Native person, it just represents our continued invisibility. When society only
sees us as the images you presented, it means that our modern issues of poverty don’t exist, nor do our modern
efforts like schooling and economic development through sovereignty and nation building. We have sophisticated
tribal governments and communities, but how will we be able to be seen as modern, successful people if we are
continually represented through plastic tomahawks and feathers?

You may have mental images of Native people stuck in the historic past, sitting around in teepees and smoking
peace pipes, but if last night’s reaction on Twitter and Facebook showed you anything, I hope it showed you that we
are contemporary peoples who enjoy fashion and fun, but don’t tolerate when our cultures are stereotyped and
sacred aspects are trivialized. We don’t all run around with tomahawks and bows and arrows, or war whoop and say
“how.” We do, however, mobilize as a diverse yet connected community through technology, and continue to fight for
our living cultures to be celebrated in respectful and meaningful ways.

While I commend you for taking down the thousands of photos from the Paul Frank Facebook page, I encourage you
to issue an apology or statement surrounding the event, and let us know how you plan to remedy the situation.
Hundreds of Native people and allies responded to the photos last night, and we are all waiting to hear from you.

Thank you,
Adrienne K.

Source: Adrienne Keene, “Paul Frank Offends Every Native Person on the Planet with Fashion Night Out ‘Dream Catchin’
Pow wow,” Native Appropriations, September 9, 2012, http://nativeappropriations.blogspot.ca/2012/09/paul-frank-offends-
every-native-person.html, accessed November 3, 2012.

EXHIBIT 3: EMAIL FROM ELIE DEKEL TO DR. ADRIENNE KEENE

Dear Adrienne K.,

My name is Elie Dekel and I am President of Paul Frank Industries LLC. I am writing to see if you would be willing to
speak with me regarding the recent Paul Frank event. While we have not yet received your letter [AK note: I only had
emailed it to the PR company], we have seen the copy online and would like to address your concerns directly. This
is something we take very seriously, and since the event, we have begun to take numerous steps to address this
regrettable and unfortunate situation. I’d like to talk with you so I can update you on what we’re doing as well as hear
more from you, so we learn from this mistake. If you would be interested in speaking with me, please let me know
how best to reach you and when you might be available.

Sincerely,
Elie Dekel

Source: “Paul Frank Powwow Party Update: Am I Dreaming,” http://nativeappropriations.com/2012/09/paul-frank-powwow-
party-update-am-i-dreaming.html, accessed September 14, 2012.

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ENDNOTES

1 Meg James, “Haim Saban buys Paul Frank Industries,” Los Angeles Times, August 18, 2010,
http://articles.latimes.com/2010/aug/18/business/la-fi-ct-saban-20100818, accessed April 16, 2013.
2 Meg James, “Paul Frank Industries Trying to Turn Julius into a Media Star,” Los Angeles Times, June 14, 2011,
http://articles.latimes.com/2011/jun/14/business/la-fi-0614-ct-paul-frank-20110614, accessed April 16, 2013.
3 Ibid.
4 Paul Frank website, www.paulfrank.com/history, accessed March 7, 2013.
5
 Ibid. 

6 Meg James, “Haim Saban Buys Paul Frank Industries,” op. cit., accessed January 28, 2014.
7 Correspondence with Tracy Bunkoczy, vice-president, Design, for Paul Frank Industries, January 2014.
8 Paul Frank website, www.paulfrank.com/history, accessed March 7, 2013.
9 Ibid.
10 Paul Frank (as told to Lora Kolodny), “How I Did It: Paul Frank,” Inc., August 1, 2005,
www.inc.com/magazine/20050801/qa.html, accessed March 7, 2012.
11 Ibid.
12 Meg James, “Paul Frank Industries Trying to Turn Julius into a Media Star,” op. cit.
13 Ibid.
14 Ibid.
15 Fashion’s Night Out website, http://fashionsnightout.com, accessed November 10, 2012.
16 Vancouver Celebrates Fashion’s Night Out website, http://fnovancouver.com, accessed April 16, 2012.
17 Correspondence with Tracy Bunkoczy, vice-president, Design, for Paul Frank Industries, January 2014.
18 Rachel Garcia, “Fashion’s Night Out Fans Choose Kardashians over Real Designers,” The Hollywood Reporter,
September 7, 2012, www.hollywoodreporter.com/fash-track/fashions-night-fans-kardashians-kris-jenner-dash-
368810, accessed November 3, 2012.
19 Jessica Metcalfe, “Paul Frank’s Racist Powwow,” Beyond Buckskin, September 9, 2012,
http://beyondbuckskin.blogspot.ca/2012/09/paul-franks-racist-powwow.html, accessed November 3, 2012.
20 ICTMN Staff, “Paul Frank Industries Offends With ‘Dream Catchin’ Party,” Indian Country Today Media Network,
September 10, 2012, http://indiancountrytodaymedianetwork.com/2012/09/10/paul-frank-offends-with-dream-
catchin-party-133478, accessed November 3, 2012.
21 Interview with Dr. Adrienne Keene, October 2013.
22 Interview with Dr. Jessica Metcalfe, October 2013.
23 For a sample of photos and marketing materials from the event, please visit Zimbio, www.zimbio.com/pictures/CX_JBwva-
Is/Paul+Frank+Fashion+s+Night+Out/browse, accessed January 28, 2014.
24 Beyond Buckskin website, http://beyondbuckskin.blogspot.ca/p/about_16.html, accessed April 16, 2013.
25 Interview with Dr. Jessica Metcalfe, October 2013.
26 For photos of this image, please visit Native Appropriations blog at …