Presentation on gap

Presented By Name ID

Hamid, Nazmul Bin 12-21699-2

Chowdhury Moktadir Alam 12-21735-2

Siddique ,Nayem 12-22533-3

Happy Atianaz 13-23132-1

Yesmin,Shakila 13-23761-1

HOSSAIN, SHAKHAWAT 12-21810-2

Mission and vision• Mission: GAP is a brand-builder. “We create

emotional connections with customers around the world through inspiring product design, unique store experiences and compelling marketing.” It’s goal is to simply make it easy for customers to express their personal style throughout their life.

• Vision: Gap Inc.’s vision is to be the first choice in family retail clothing while maximizing customer satisfaction and shareholder value

History• In 1969, Don Fisher and his wife Doris opened the first

GAP store in San Francisco. The company took name from “generation gap” and targeted the late-teen customers.

• By the end of 1970, there were six GAP stores already. Sales reach $2 million.

• In 1974 GAP introduced private label lines to pull it out of price-based competition with larger retailers. Private-label clothing lines gave GAP control over the entire supply chain.

• In 1976 GAP went public offering 1.2 million shares of stock on the New York and Pacific Stock Exchanges.

SWOTSwot analysis

• Strengths• Highly recognized brand name• Gap has wide category which could cover all customers • Gap treated as American icon • Effective inventory • Broad network of stores • Effective use of inventory program • Developed control of manufacturing process • Online store • Attractive employer brand

Weakness

• Low profitability • Low attraction to generation Y• Poor effects of investments • Decreasing sales • Decreasing margin • Low efficiency comparing to competitors • Competition between group brands • Limited marketing

Opportunity

• Generation Y are not brand loyal • Brand extension (Gap kids,gap baby)• International market • 92% sales from physical stores

Threats

• Rising cotton price • Cloth design is more important than price • Slowing U.S. economy • Slow target growth • Market and culture differences • Low market entry cost • Low customers’ switching costs

Strategic Marketing Plan Recommendation

Customers aged between 15 to 55.

Generation Y

Brand SwitcherPrice SensitiveFashion Sensitive

Generation X and Baby Boomers

Brand Loyal Special connection with Gap Prefer basic and classic design, esp, semi-casual

Advertising PlanStrategic Marketing Plan Recommendation

Advertising Objective:

Build Gap new brand image through advertising by differentiating Gap from other competitors and avoid cannibalization internally with Old Navy.

Recall the image of “American icon” among old generations (Baby Boomers and Generation X) in order to win back and reinforce their brand loyalty.

Emphasis “Classic is the new fashion” among young generations (Generation Y), and gradually help them build brand preference with Gap.

Promotion PlanStrategic Marketing Plan Recommendation

Consumer Promotion

(1)Coupon

Free sample give-away couponDiscount CouponTime-limited price-off coupon“Birthday gift for you” VIP coupon

(2)Premium: Membership Program

VIP only free- giftsVIP CouponsVIP exclusive event invitationsSeasonal Gap magazine

Promotion PlanStrategic Marketing Plan Recommendation

Consumer Promotion

(3)Contests:

“Gap and I” Photo Contests

(4)Events Promotion

Gap Fashion Show In-store VIP Appreciation NightIn-store Party“Welcome Home Old Sport, Come to Join Us, New Dude!”

Media Allocation & Media PlanStrategic Marketing Plan Recommendation

TV-60%Magazine-18%Outdoor-12%Catalog-7%Online-3%

Sales of Gap follows a seasonal pattern, and reach its peak before holiday season

Seasonal Priming Pattern

Media Allocation

Thank you !