Quote:
Originally Posted by h0twired
Banana Republic Factory (aka Outlet) stores have a completely different (and lower quality) product lines.
You can tell it is their lesser quality line based on the three diamonds on the tag.
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It's not a big secret that most "outlet" stores actually have product specifically made for sale there, often at a lower quality than the flagship stores of the same banner. The outlet stores also receive a limited amount of off season or overstocks from the parent brand.
In terms of fast fashion, Zara is the biggest chain we don't have in Winnipeg. Unilqo is still in the early stages of their Canadian plans, likely 2-5 years out at least.
My thinking is if Gap Inc. (aka the overseeing corp) was smart they would start winding down Gap stores. Instead they would shift that name to a line of trendy, fast fashion items sold through "select" (aka where there is space) Old Navy stores. This would let them keep the profitable "Factory" stores, shed the money losing mall stores and keep their mother brand alive. It would also help strengthen Old Navy as it faces increasing pressure from the more trendy fast fashion brands. The other advice I would give them is to kill the Old Navy work out clothing line in favour of the Athleta brand, again maybe bring an "Athleta Basics" line to Old Navy in place of the retired Old Navy specific lines. They could even look at a strategy to transition Gap store leases to Athleta where there is not overlap and the conversions made sense.