Old Navy

Summary

Old Navy, Inc., a subsidiary of The Gap, Inc., is a chain of stores marketed as low-priced apparel for men, women, children and infants.

History

In the early Nineties American retailer Dayton-Hudson Corporation — parent company of Target, Mervyn’s, Dayton’s, Hudson’s and Marshall Field’s — aspired to open a less expensive version of Gap and with this in mind Gap CEO Millard Drexler opened Gap Warehouse in existing outlet locations in 1993. On March 11, 1994 it was renamed Old Navy. To establish its own identity Old Navy stores opened in northern California and Gap Warehouse stores were renamed Old Navy.

With the financial strength of The Gap supporting its expansion Old Navy had 59 stores generating reportedly $120 million in sales by the end of its first year in business. In 2001 Old Navy began establishing its presence overseas with twelve stores in Ontario Canada and opened a coffee shop in one of its stores in San Francisco.. and Old Navy Kids in Littleto Colorado. However this did not work out and was terminated.

In 2005 Old Navy President Dawn Robertson rebranded the division with a ‘high fashion feel’. In addition to a new logo.. several stores were built or remodelled and one such store in St. Petersburg in Florida reportedly cost $5 million. Unlike the industrial warehouse look of Old Navy the new stores were luxurious boutiques. However this proved to be a bad investment and Robertson was asked to leave the company.

In 2011 Old Navy began focussing on a family-oriented look.. targeting its original customer: the fictional ‘Jenny’: a married women with children. In 2012 after several years of losing revenue to rival H&M, Gap Inc. hired H&M executive Stefan Larsson to run Old Navy. Larsson made several changes including hiring designers from Coach, Nike, Reebok and North Face to design the apparel. In three years Old Navy’s annual revenues were reportedly $6 billion in the United States. Larsson left the company shortly and was replaced by President and CEO Sonia Syngal.

In 2017 Old Navy opened a big flagship in Times Square New York with extended hours. In 2019 Gap Inc. announced that Old Navy and Gap Inc. split into separate brands to allow Old Navy to grow independently but this decision was reversed in 2020. Per a company release: ‘The plan to separate was rooted in our commitment to value creation from our portfolio of iconic brands’ said Robert Fisher Gap Inc. interim president and chief executive officer. ‘While the objectives of the separation remain relevant, our board of directors has concluded that the cost and complexity of splitting into two companies, combined with softer business performance, limited our ability to create appropriate value from separation.’ In November 2020, Old Navy appointed Nancy Green as CEO.

The company is now committed to selecting fibers that have a lower carbon footprint, use less water, create less waste and support efforts to protect biodiversity. It focuses on the materials that account for nearly all of its fiber consumption: natural fibers- synthetics and manufactured cellulosics. These efforts are helping Old Navy meet its broader ambitions to achieve carbon neutrality and to have a net-positive water impact by 2050.

Vision

Dayton-Hudson Corporation wished to open an inexpensive version of Gap and subsequently Old Navy was conceptualised. With the motto “we believe in the democracy of style and service”, from the very first day Old Navy was a revolution. The brand envisioned and offered affordable fashion for men, women and kids. It opened the first store in 1994 and was the fastest retailer to reach $1 billion in sales within four years.

Mission Statement

Old Navy is an apparel brand that believes in fabulous fashion at affordable prices. Per the official website: “From day one, we’ve been on a mission to democratize fashion and make shopping fun again. To bring incredible style and quality to everyone. It’s a bold idea.”

At Old Navy the team is on a mission to ensure the world runs right by creating a better tomorrow for future generations through the three pillars of its Imagine Mission: inclusivity- opportunity- sustainability. Old Navy is imagining a place where everyone feels like they belong and all the clothes are made with love- not just for Mother Earth- but for our kids and their kids too.

Products and Services

Low-priced fabulous fashion for men, women and children

Recognition and Awards

Old Navy is recognised for offering fabulous affordable prices while keeping it in sync with the brand’s broader sustainability and inclusivity values.

Key Team

Nancy Green (CEO)

References

• Official website Old Navy
• Old Navy CEO Nancy Green Forbes
• At Old Navy, Optimising for Positive Impact BoF
• Ethos of Old Navy Gap Inc.
• Old Navy’s Renewed Zest Is Likely to Lift Gap WSJ
• Protecting bioDiversity Old Navy
• Gap and Old Navy are splitting up CNN
• Why Gap’s Decision to Scrap the Split is Good Forbes
• Gap Inc. No Longer Pursuing Separation Of Old Navy Gap Inc.
• Old Navy thrives after a style-conscious rebirth NY Times
• LinkedIn page of Old Navy LinkedIn
• Empowering Women Old Navy
• Instagram page of Old Navy Instagram
• Sustainability and Inclusivity at Old Navy Old Navy
• Twitter page of Old Navy Twitter
• Pintrest page of Old Navy Pintrest
• Facebook page of Old Navy Facebook
• Old Navy snapchat account SnapChat
• Wiki page of Old Navy Wikipedia
• Old Navy Inc. History Funding Universe