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Old Navy will continue to be Gap Inc.’s flagship. The apparel retailer will open 60 Old Navy stores in North America this year, bringing its total to upwards of 1,000 Old Navy stores in the U.S. by this summer.
Gap Inc. will also remodel 150 existing Old Navy stores over the next several months — of which roughly 10 percent will be getting a full makeover. "We're really focused on technology that delivers a meaningful benefit to customers," Gap CEO Art Peck told CNBC. That includes updating the retailer's mobile apps, which would enable shoppers to check availability of in-store stock, browse customer reviews quickly and track loyalty points. The company is also testing a "buy online, pick up in-store” service at some locations.
Old Navy's physical stores give the company an edge against Amazon.com, which is positioned this year to become the No. 1 clothing retailer in the U.S., Peck noted.
"I have huge respect for what they're doing," he said. "I would characterize [Amazon.com] as excellent and hyper-efficient for buying, but it's not a great discovery platform. ... And a big part of fashion apparel is discovery."
By Brannon Boswell
Executive Editor, Commerce + Communities Today
