GAP Is Hard To Fight Against Counter Attack.

GAP seized the group of young people who were in the forefront of the trend in the 90s of last century, and now they are struggling to keep the hearts of the millennial generation locked up.

In October 8th, the US apparel retailer group GAP declined 7% after announces that its sales fell 1% in September.

The group's namesake brand GAP's revenue did not change year by year, but its other two brands did not meet analysts' expectations.

The once popular brand Banana Republic (Banana Republic) had a 10% decrease in revenue in the 5 week ended October 3rd compared with last year, while another Old Old Navy sales increased by 4%.

The fashion brand, based in San Francisco, once occupied the wardrobe of young fashionable customers.

Shharon Stone (Sharon Stone) even wore a high necked shirt and a Valentino skirt to attend the Oscar prize presentation ceremony in 1996.

GAP has changed 4 CEO in the past 15 years, but sales have gone from bad to worse.

In the face of H&M, Zara and UNIQLO's rising stars, GAP seems to be getting weaker and weaker.

One of the reasons behind it is that the current situation of the American Apparel Retailing industry can not be ignored.

First, no matter what it has just been bankrupt.

American iconic brands including Abercrombie & Fitch and J.Crew are experiencing a colder market situation. The words "layoffs", "rectification" and "closing" appear frequently in various media headlines.

In June this year, GAP announced the closure of its 1/4 store in North America (175), while cutting 250 employees at headquarters.

This is also the first CEO Art Peck's first action on sales channels.

The Art Peck, who took office in February 1st this year, was responsible for the group's growth, innovation and digital sector. His high hopes were to reverse the situation.

As he said at the financial news conference in May this year, "I'm disappointed, but I'm not surprised," the Gap women's business is very difficult and it's faced with a couple of quarters.

With designers and executives taking the lead, the designers' response to the trend and cheap productivity have become the basis for the group to turn over.

However, compared to the new and fast replenishment Zara and H&M, GAP is obviously shorter.

In terms of pricing,

Still no advantage.

Art Peck announced in an interview with Bloomberg after announces its marketing results in September, "the failure of Banana Republic women's clothing is that they do not meet the needs of consumers."

After questioning, he admitted that the clothes had not reached the purpose and the overall effect that the price should provide.

This may be the key factor for clothes to be unpopular.

The biggest thing is static.

Its president, Stefan Larsson, was selected as CEO by Ralph Lauren last week.

After Stefan Larsson entered GAP in 2012, Old Navy achieved profit growth for three consecutive years, and its sales volume increased by US $1 billion (about 6 billion 345 million yuan).

Before that, he worked in another fast fashion company, H&M, for 15 years.

Paul Lejuez, an investment research analyst at Citibank, said: "Larsson's departure is just like the loss of the star quarterback, and it is even harder for GAP to reverse the situation."

He lowered the annual profit forecast for GAP.

And the Old Navy sister brand Banana Republic is also facing the dilemma of being without a master, and creative director Marissa Webb is leaving after 18 months in charge.

Although she says she will stay in the company as a creative consultant, she will focus on the operation of her brand.