Gap Branches Out

A big name both off and online, Gap is now planning to move beyond its own brands to try and make its mark on
one of the fastest-growing segments in e-commerce: shoes.
The company have just launched their shoe website Piperlime.com, which offers a " stylish
selection hand-picked by its staff" of shoes from over a hundred top brands, plus ‘expert’ advice from celebrity guest editors- the first one being the new queen of cool Rachel Zoe.

The venture outside of its own brands shows a full-circle return to the company’s origin- selling Levi’s and other brands in the ’70s- and demonstrates Gap’s understanding of brand power, leaning on the strength of their own brand loyalty to entice consumers and helping them to shop around for the exciting buys/ best deals from a wide range of labels. At least they’re getting it right online-

‘Gap, which rebuilt its e-commerce platform last year, generated online
sales of about $600 million last year, making it the biggest specialty
apparel chain online, according to Internet Retailer magazine. For the
first half of fiscal 2006, Gap’s online sales, including both shoes and
clothing, has averaged a 21% increase and help spur overall lagging sales.’

However ‘Gap’s sales at stores open at least a year,
have declined for eight consecutive quarters, though analysts say
improved merchandise is winning back customers. The company averaged a
7.1% decline in same-store sales in February through September.’

from USA Today