- Pages: 2
- Word count: 491
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Gap Inc. is an American clothing and accessories retailer based in San Francisco California. The company was founded on August 21,1969 by Donald and Doris Fisher. Gap is one of the largest specialty retailers. They operate four of the most recognized apparel brands in the world:Gap, Banana Republic, Old Navy and Forth and Towne.
Place/Distribution Gaps main opportunity to reach out to its customers through its stores. Gaps operate stores in the United States, Canada, the United Kingdom, France, Ireland, Korea and Japan. The company also has franchise agreements with unaffiliated franchises to operate Gap or Banana Republic stores in Singapore, Malaysia, United Arab Emirates, Korea, Kuwait, Qutar, Bahrain Oman, Saudi Arabia, Cambodia, Indonesia and Mexico.
Promotion Gaps promotion strategy has been very excellent for reeling in their consumers. The company’s internet commerce website has been cited numerous times as a model of stylish efficiency. Gap promotes its product through gift cards, catalogs, advertising programs(commercials), magazines. Gap focuses on being a casual wear retailer in fair price.
Pricing At Gap Inc they offer discounts at all of their locations. Also because Gap is such a broad company all of their branches of stores (ex. Gap, Banana Republic, etc.) they all have different pricing. Banana Republic is an upscale clothing retailer which can price range from $25-and up. Old Navy offered great fashion at great prices, for everyone. Gap, Old Navy, Banana Republic, and Pipelime also offers special prices on special items each week. Old Navy is still the place to go for the latest fashion at good prices.Gap Inc offers discounts at all of their branches of franchises of locations. Gap is always usig this advertising to increase sales. This brings loyal cutomers and new customers into the stores. The new customers get to try the product at a discount and if they like it, they will buy more. Competition
Old Navy targets middle class who look for basic apparel and accessories at low prices and consequently competes with value based department stores like Kohl`s and discounters like Walmart. Old navy has been decreasing sales growth for the past 3years, largely due to merchandising issues. Management believes that in time the brand will recover after refocusing the merchandise Gaps middle of the road approach to providing basic pieces of apparel(tshirts, khakis, blouses,jeans and etc.) at mid range prices puts in competition with stores such as American Eagle Outfitters, and Aeropostale.
Gap also competes with some department stores that provide simlar apparel at mid range prices like JC penny. As a near luxury retailer Banana Republic faces strong competition from other “purveyors” of higher quality apparel and accessories such as Polo Ralph Lauren, J. Crew Group, Zara and Ambercrombie and Fitch Company. Target Market
When GAP was founded in 1969 its targeted market were younger generations(hence the name of the store) which refers to the generation gap. Of that time GAP hottest seller was its “basic” look which consisted of its signature blue jeans and white cotton t-shirts.