Gap Inc. is refining both its digital and in-store channels as it works to reinvigorate its apparel brands. The company shared these updates during its quarterly earnings call on Thursday, November 21.
For the Old Navy brand, Gap Inc. President and CEO Richard Dickson highlighted efforts to deliver more clarity around pricing and a greater promotion of value through both in-store and online communications. “We see an exciting opportunity in active as consumers continue to migrate to more active lifestyles,” Dickson said.
“Active is the No. 1 category in the U.S. apparel industry with a total size of $70 billion.”
Focusing on the Gap brand, the company aims to enhance the customer experience by improving its “digital dialogue” and upgrading the service and aesthetics at its stores. The goal is to strengthen the Gap brand with existing customers while attracting new ones through collaborative initiatives.
Enhancing customer experience and engagement
Between our relentless repetition of our campaign methodology, punctuated by our relevant collaborations, we’ve seen resonance with a broader customer base and increased engagement with the brand,” Dickson stated. The Banana Republic brand is being reestablished in the premium lifestyle space with new product assortments, better fit, and innovative approaches in both its digital and physical stores.
We’ve continued to shift Banana’s media mix towards more social and influencer marketing, which is putting the brand back into the cultural conversation with our compelling social narrative,” added Dickson. The company is also optimizing its store footprint to better align with customer preferences and the new brand aesthetic. Athleta is also seeing significant improvements in product, marketing, and store experiences.
The brand has adopted a new marketing methodology and media mix aimed at attracting higher-value customers. The momentum Athleta has had growing new followers on TikTok is noteworthy, with the brand becoming one of the platform’s fastest-growing sportswear retailers since its launch in February,” Dickson noted. In each case, Gap Inc.’s comprehensive “brand reinvigoration playbook” has made significant strides in both product and marketing.
We’ve made great strides on product and marketing and are focused on continuous improvement as we expand our aperture to include enhancements to both the in-store and online experiences for our customers,” Dickson concluded.
