Gap Inc. to move into new product categories
A new day is about to dawn for Gap Inc.
The struggling retailer has named licensing giant IMG as its first-ever multi-brand, exclusive licensing representative. Through the partnership, IMG will deliver cross-category product extensions of Gap’s brands, starting with Gap, Banana Republic and Janie and Jack. The deal will open up new channels of distribution for Gap, including wholesaling.
The companies are exploring such categories as baby equipment and baby care, home décor and textiles, and furniture.
“We are excited to explore new market segments and complementary points of product distribution for Gap, Banana Republic and Janie and Jack in an asset-light way that harnesses their individual strengths,” said Roy Hunt, head of Gap Inc. franchise and strategic partnerships. “This partnership with IMG presents a unique opportunity for us to bring our fashion and lifestyle brands to life in new ways for customers around the world, while still maintaining the creative integrity that make each of our brands so distinctive and recognizable in the marketplace.”
“Distribution channels and consumer purchasing habits have evolved significantly since Gap’s founding, and never more so than in the last few years,” said Bruno Maglione, president of licensing, IMG. “As one of the world’s leading fashion retailers, Gap Inc. recognizes this omnichannel opportunity and the power of its brands to attract existing and new consumers from more than one angle and via more than one format. We are proud to be partnering with them on this bold new strategic move, which we believe will highlight consumer affection for these brands while showcasing their relevance in everyday life.”