Blog: Gap pleased with progress
Leonie Barrie | 27 February 2012
Despite booking a 40% drop in fourth quarter profit amid higher costs, promotions and lower sales, US specialty retailer Gap Inc claims it is moving in the right direction when it comes to improving its revenues and earnings in the year ahead.
The San Francisco based retailer says boosting its business in North America remains a "top priority" and is planning to invest more to support growth in the region, especially in its products. Another change is to move from geographically based sourcing hubs to category teams for this year's holiday season.
Changes are also underway at department store retailer Sears, which intends to spin off its Hometown and Outlet businesses, and sell 11 stores, after swinging to a full-year loss of $3.1bn. The US retailer hopes to raise US$770m from the moves.
And Hong Kong based fashion retailer Esprit has reassured shareholders that its turnaround plans remain on-track, even though first-half profit slumped 73%. It now proposes to shutter its North American stores rather then sell them, but is not giving up on the region entirely, instead looking to work with a licensing partner there. The firm is also setting up new sourcing offices in Indonesia and India.
Scottish retailer Edinburgh Woollen Mill has won the race to buy collapsed UK discount fashion retailer Peacocks, with the sale protecting 6,000 jobs but also leading to more than 3,100 redundancies. The deal will see the acquisition of 388 Peacocks stores and concessions, but some 224 stores will close.
Sportswear firm Puma has been caught up in a shooting at one of its suppliers' factories in Cambodia. Three female employees at the Kaoway Sports factory were shot as they took part in a demonstration outside the premises for better pay and conditions. And sewing thread and yarn supplier Coats Plc has denied allegations that union leaders were held captive by factory managers at its Bangladesh head office, saying it is keen to negotiate to try to end an illegal strike there.
For garment factories and mills looking for strategies to succeed in a period of industry decline, the advice is to radically alter the way they market their products and focus on core competencies beyond the manufacturing process, according to two new articles on just-style last week.
Smart fabrics and wearable technology go hand in hand. And with strong growth forecast over the coming years, it's no wonder fashion and software companies are developing new products to tap into the ...
Esprit and Benetton have been quick off the mark to celebrate their ratings as “Detox leaders” in this year’s “Detox Catwalk” rankings. The online platform is designed to assess fashion brands’ record...
Fashion brands and retailers need to embrace “radical change” in their apparel sizing and fit strategies if they are to remain competitive in a changing environment, according to executives at a recen...
Bangladesh's textile and clothing exporters, still reeling from the impact of continuing political unrest in the country, now say they are facing a second shock wave: the freefall of the euro. Industr...
- Speed to market key to Adidas 2020 growth plan
- SuperGroup to adapt sourcing model for speed
- GAFTI gears up for change in apparel auditing
- Fast Retailing ramps up sustainability efforts
- FOCUS: Topshop suffers a setback in Japan
- Transparency call for German apparel firms
- Strike at Adidas and Nike shoe factory in Vietnam
- Lululemon Athletica on “strong growth” track
- Myanmar garments to benefit from export strategy
- H&M and Kering trial recycling technology
- Myanmar's Garment Sector - Opportunities & Challenges in 2015
- Global market review of workwear - forecasts to 2019
- Management briefing: Outlook 2015: Apparel industry issues in the year ahead
- Outdoor performance apparel: peaks, valleys, and green fields
- Apparel Retail: Top 5 Emerging Markets Industry Guide