Markham Lee_

Can The Gap Turn Things Around?

By breaking the pattern of selling Uniform Clothing, I'm referring to a product mix with a mixture of "Standards" or "Uniforms" with a wider variety of other types of clothing. At the end of the day, your standards provide a nice base, but your wider product breadth is what can drive growth. At J-Crew, I know I can always get certain things, but they always mix in new stuff and gradually update the standards.

For me personally, I shop at their Banana Republic Brand simply due to the fact that their clothes fit me off the rack, thus saving me a few bucks on alterations (ex college athlete who actually stayed in shape) and most other places create pants for, well, 120 lbs male models/or just require a lot of alterations.

Still, going to your comment about "What's the Hook?" that's what I mean about establishing a Brand Identity, your question is a clear indicator that their brand identity is lacking.

Thank you for the feedback.

Can The Gap Turn Things Around?

First - thank you for the comment.

Second - I think your idea about liquidating Old Navy is probably a good one, as it presents a negative halo effect for the larger brand. Selling it to Wal-Mart would probably destroy it though, I'd sell it to Target or JC Pennys.

Third - I think BR just needs to push solidly upscale instead of wavering between upscale and being a pricier version of the Gap. My suspicion is that their higher end items sell better anyway, so just making a strong move in that direction is probably the best way to go.

Fourth - I think the diversified product mix is a good idea. Young people shop at J-Crew and Nordstroms and so do their parents, as there seems to be enough for everyone.

Fifth - The move towards managing themselves as a mature company is a good one, but I think they need to put a stop to their rapidly eroding earnings growth first.