GAP may close down their stores in Ireland

GAP Ireland

GAP may close down their stores in Ireland

GAP may close down their stores in Ireland

In Irish fashion news, American fashion retailer Gap could be a thing of the past across Europe. The Gap (AKA) Gap has warned all of their networks across Europe that they are considering closing all of their stores in the coming months including Ireland.

The American US fashion retailer which was established back in 1969 in San Francisco are also on the lookout for other potential partners to front their brand across their current European network.

This type of franchising would also ensure they maintain brand awareness in Europe which would also be supported by their on-line presence.

The US fashion house have released a media statement on their own website to confirm the company’s intention that they are reviewing their options across their European business network.

CEO of GAP, Mark Breitbard has informed all European employees in stores in Ireland, UK, France and Italy may possibility shut down their operations in these territories as well as reviewing all of their current warehouse and distribution facilities in Europe.

The UK could fair badly from this deal with their distribution centre in Rugby that services all of their European stores also now under review.

The US fashion giant sees franchise partnerships as a possible way to maintain their European presence while at the same time reducing any real financial risk and further capital injection to propping up their presence in Europe.

Back in June, Gap Inc. announced that they expect to shut a number of Gap and Banana Republic stores within the coming 12 months.

Gap like so many other retailers around the world have burden by the brunt of the global COVID-19 pandemic. Consumers have turned to on-line buying due to restricted movement and temporary shutdown for their fashion needs.

GAP haven’t been immune to this and have recorded over €60 million dollar losses in their second quarter of the year. However, it’s not all bad news for the GAP brand who have seen on-line sales performing well which will see them concentrating their focus more on the e-tail side of the business.

In the middle of this year’ GAP singed a 10 year deal with American rapper, Kayne West for the Yeezy Gap branding part of the business. They see this as a huge opportunity in attracting Kanye’s fans of his Yeezy line to the co-branded GAP lines.

 

GAP may close down their stores in Ireland

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