Gap president stands downWednesday, 02 February 2011
“I expect more from our Gap business in North America,” said Glenn Murphy, chairman and CEO of Gap Inc. “The changes we’re making are intended to propel the brand to deliver the product and brand experiences our customers demand worldwide.”
Art Peck, responsible for growing the Outlet business over the past 3 years which now totals over 90 countries worldwide, has been promoted to president of Gap North America. And Pam Wallack, current President of Gap Adult North America will become head of Gap’s new Global Creative Center – which will be centred in New York. The global design team headed up by Patrick Robinson (Adult), who has elevated Gap’s fashion profile since his beginnings in 2007, and Jennifer Giangualano (Kids/Baby) will serve as an integral part of the new infrastructure.
According to Murphy, the changes are in a bid to think ‘big’ and come on the back of 2010 international store openings; Milan and Shanghai.(The Milan store opening achieved the highest opening day sales of the year)
And in a bid to support, there will be significant marketing changes too; Ogilvy & Mather Worldwide will become the marketing agency for the Gap brand globally and Seth Farbman, whose worked on campaigns such as Coca Cola, UPS, Unilever as part of Ogilvy, will become Gap’s
chief marketing officer.
It’s a strong move from a brand whose financial position has often been in question; last year sales were down 14% from 2007. Results were largely blamed on Gap’s marketing strategy, which sees items generally marked down by at least 30% within a few weeks of hitting the sales floor and Murphy remarked in the Wall Street Journal, “We have not been very happy with the performance since late 2007.”