A turnaround story
Over the past 18 months, Gap Inc. has been focused on turning around its business and reviving its stable of brands–including Gap, Old Navy, and Banana Republic–under group CEO Richard Dickson, who joined the company in late 2023 from Mattel.
As part of that turnaround, earlier this year Gap Inc. appointed Zac Posen–a designer who has dressed the likes of Michelle Obama, Sarah Jessica Parker, and Rihanna–as evp and creative director of the brand portfolio and chief creative officer of Old Navy.
Ghahraman joined Old Navy as CMO in September 2023. She previously worked at fashion brands including Gucci and Ralph Lauren.
So far, the turnaround seems to be working. Across the business, Gap Inc.’s Q2 2024 net sales rose 5% year on year to $3.7 billion. Old Navy’s net sales during the quarter rose 8% to $2.1 billion, representing the fourth consecutive quarter of positive comparable sales at the brand.
Peak 90s nostalgia
Like at the Gap, nostalgia has been a key part of Old Navy’s marketing strategy. While each brand has separate identities, Old Navy’s lean into 90s nostalgia is about “gaining more style credibility and bringing new audiences into [our] world,” Ghahraman explained.
Gen Z, a demographic that has discovered and embraced 90s culture through social platforms like TikTok, is one of Old Navy’s target audiences.
