Old Navy is an American clothing retailer owned by Gap Inc. that focuses on affordable fashion for families. It began in 1994 and has grown to over 1,000 stores worldwide. Old Navy aims to offer trendy clothing and accessories for every member of the family at low prices. Their target customer is families with incomes between $30,000-$60,000 annually. Old Navy sells a wide range of women's, men's and children's clothing including tops, bottoms, dresses, activewear, shoes and accessories. Their mission is to make current American fashion essentials accessible to every family.
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Brand analysis of old navy
1. NATIONAL INSTITUTE OF FASHION TECHNOLOGY,
GANDHINAGAR
APPAREL MERCHANDISING
SELECTION OF INTERNATIONAL APPAREL RETAILER/BRAND
OWNERS & RESEARCH & DESCRIBE THE RETAILERS.
SAYANTAN RAHA (MFT)
2. CONTENTS -
1. Introduction…………………………………………………………………………………….3
1.1. Company Profile……………………………………………………………………..…3
1.1.1 OldNavy at a Glance………………………………………………………………3
1.1.2 Company History……………………………………………………………………3
1.1.3 Company Perspectives…………………………………………………………..5
1.1.4 International Debut of the company………………………………………5
1.2 Principal Competitors………………………………………………………………….6
1.3. Organisational Structureandits value……………………………………….7
1.4. Mission &Vision of the company……………………………………………….8
2. Target Customers……………………………………………………………………………..9
3. Product Types offeredby OldNavy ………………………………………………….9
3.1. Men’s Product……………………………………………………………………………9
3.2. Women’s Product…………………………………………………………………….10
4. Price Range offeredby Old Navy …………………………………………………….11
4.1. Women’s Product Prices…………………………………………………………..11
4.2. Men’s Product Prices………………………………………………………………..11
5. Sales Revenue &Growthof OldNavy……………………………………………..12
6. OldNavy: CSR Policies…………………………………………………………………….13
7. OldNavy: Vendor SelectionCriteria………………………………………………..17
8. Conclusion………………………………………………………………………………………19
9. References………………………………………………………………………………………20
3. 1. INTRODUCTION
1.1. CompanyProfile¹ :
1.1.1 OLD NAVY AT A GLANCE - Old Navy is an American clothing and
accessories retailing company owned by American multinational corporation Gap Inc. It has
corporate operations in the Mission Bay neighbour hood of San Francisco. The largest of the
Old Navy stores are its flagship stores, located in New York City, Seattle, Chicago, San
Francisco, Manila, and Mexico City.
TYPE DIVISION
INDUSTRY RETAIL
FOUNDED MARCH 11, 1994; 25 YEARS
AGO (AS OLD NAVY)
HEADQUARTERS SAN FRANCISCO, CALIFORNIA
NUMBER OF
LOCATIONS
1,106
KEY PEOPLE SONIA SYNGAL (CEO AND
GLOBAL PRESIDENT)
PRODUCTS CLOTHING
PARENT GAP INC. (1993–PRESENT)
WEBSITE OLDNAVY.COM
1.1.2 COMPANY HISTORY1 - In the early 1990s, Dayton-Hudson Corporation the parent
company of Target, Mervyn's, Dayton's, Hudson's, and Marshall Field's by that time, looked
to establish a new division, branded as a less expensive version of Gap called Everyday Hero;
Gap's then-CEO Millard Drexler responded by opening Gap Warehouse in existing Gap
outlet locations in 1993.
On March 11, 1994, Gap Warehouse was renamed Old Navy Clothing Co. in order to
establish a separate image from its parent company Gap Inc. The new stores were about
15,000 square feet (1,400 m2), compared less than 10,000 square feet (900 m2) for Gap
Warehouse stores. On March 11, 1994, the first Old Navy locations opened in the northern
California towns of Colma, San Leandro and Pittsburg According to Kevin Lonergan, Gap's
director of stores, Old Navy stores were intentionally designed like grocery stores, with
flowing aisles, shopping carts, and small impulse items near the checkout counters. The
4. cement floor, metal shelving, and checkout counters built from polished pressed board and
galvanized metal gave the stores an industrial warehouse feel, while the colourful
arrangements and large number of employees working set it apart from other discount
clothing stores. Later that year, 42 other Old Navy stores opened, and most of the 45 Gap
Warehouse stores were renamed Old Navy. Old Navy had campy television ads featuring
Morgan Fairchild and its mascot, Magic the dog.
The Old Navy division grew quickly; in 1997, it became the first retailer to pass $1 billion in
its first four years in business, and opened 500 stores by 2000. In 2001, Old Navy began its
international expansion with the opening of 12 stores in Ontario, Canada.
The brand also experimented, opening a coffee shop inside one location in San Francisco in
December 1995, and opening an Old Navy Kids location in Littleton, Colorado, in April 1997.
This in turn did not work out for the company, and was terminated the following
September.
The third Old Navy logo, used from 2005 through 2009.
In 2005, Old Navy's then-president Dawn Robertson looked to address the competition she
saw in Hollister Co. and American Eagle Outfitters by rebranding the division with a "high
fashion feel". In addition to a new logo, several locations were built or remodeled to reflect
the "New Old Navy."; one such location in St. Petersburg, Florida cost roughly $5 million to
develop. Unlike the traditional industrial warehouse style most Old Navy locations possess,
the new stores were boutique in nature, featuring green building materials, rock gardens,
large murals, and posters, as well as many mirrored and silver accents. Also, advertisements
began to be created in-house, and substituted the original kitschy and humorous feel for a
high fashion and feminine directive. These stores proved to be a disappointing investment
and Robertson was asked to leave the company.
In 2011, Old Navy began a second rebranding to emphasize a family-oriented environment,
known as Project ONE. It targets Old Navy's target customer (the fictional "Jenny", a married
mother of at least one child) and features better lighting, vibrant colours, layouts that make
shopping easier, quick-change stations, and a more efficient cash wrap design. By July 12,
2011, one third of the company's North American locations had adopted the redesign.
In 2012, after several years of Old Navy losing sales to rival retailer H&M, Gap Inc. hired
H&M executive Stefan Larsson to run its Old Navy division. Larsson instituted a number of
changes, including hiring designers away from Coach, Nike, Reebok, and North Face to
design exclusive Old Navy clothing. By 2015, Old Navy's yearly sales had reached $6 billion
per year in the United States, almost equaling those of Gap Inc.'s Gap and Banana Republic
divisions combined. In September 2017, Old Navy joined Orlando Vineland Premium Outlet.
Larsson left the company to join Ralph Lauren in 2015 and was replaced by current
President and CEO, Sonia Syngal.
On October 26, 2017, Old Navy opened two new flagship stores (one in Times Square). The
Times Square flagship caters to New York City crowds with extended store hours and
significantly more retail space than the average Old Navy location.
On February 28, 2019, Gap Inc., announced that Old Navy and Gap Inc. would split up into
two separate companies, making Old Navy an independent company from Gap Inc.
5. Old Navy Store
1.1.3 Company Perspectives2
:
Old Navy's mission is to offer affordable, fashionable clothing and accessories for adults,
kids, baby, and Moms-to-be. All of our merchandise is sold under the Old Navy name and
only in our stores or on our website.
Old Navy stumbled for the first meaningful time in 2000, and the timing could not have
been worse for The Gap. The sprawling retailer began recording declining sales, guilty,
according to critics, of pursuing fickle teenage customers and alienating its over-30
customers. By October 2000, the company had posted five consecutive months of same-
store sales declines, while its stock value plummeted 57%. The downward spiral dragged on,
culminating in a $7.7 million loss in 2001—two years after the company had recorded $1.1
billion in net income. Old Navy, which for several years had helped to compensate for The
Gap's miscues, offered little help. Plans for the company's international expansion were
derailed by distribution problems that bogged the chain with excess inventory. "Right now,"
an analyst commented to the San Francisco Chronicle in August 11, 2000, "Old Navy is
driving in reverse."
1.1.4 International Debut in20012
:
Although The Gap continued to suffer during the beginning of the new century, Old Navy
managed to recover from its choked-up distribution system. In 2001, the chain made its
international debut, compensating for the delay with a forceful entry into Canada. In April
2001, Old Navy opened 12 stores in the province of Ontario, orchestrating on the same day
early in the month, the first multiple store openings executed by the company on the same
day. "We really wanted to be able to have a strong presence from the start," Old Navy's
director of public relations explained to the San Francisco Chronicle on April 10, 2001.
6. As Old Navy closed in on its tenth anniversary, its pace of adding at least 100 new stores
annually began to slow. By the end of 2002, the chain consisted of 842 stores, having added
44 units during the year. In 2003, the company increased its store count by only one store.
The same was true of 2004, as Old Navy ended the year with 844 stores. The majority of the
expansion during these years took place in Canada, where Old Navy operated 33 stores in
2004.
Despite the negligible expansion achieved in the years leading up to its tenth anniversary,
Old Navy represented a powerful retailing force. After only a decade, the chain accounted
for approximately 40% of The Gap's nearly $16 billion in revenue, figuring as an incredibly
important business to its parent company. As Old Navy prepared for its second decade of
business, the chain promised to remain the lifeblood of The Gap and a popular choice
among bargain hunters for years to come.
Key Dates2
:
1994: The first Old Navy opens in Colma, California.
1997: Old Navy becomes the first retail chain to reach $1 billion in sales in less than four
years.
2000: The chain suffers from distribution problems.
2001: Old Navy opens 12 stores in Ontario, Canada, its first units outside the United States.
2004: Old Navy celebrates its tenth year of business.
1.2. Principal Competitors2
:-
1. Wal-Mart Stores, Inc.;
2. Target Corporation;
3. J.C. Penney Corporation, Inc.
4. H&M;
5. Satin-Mart;
6. TJX;
7. Kohl’s;
8. Hansae;
**Competitive Analysis –
1. Kohl'sis a topcompetitorof OldNavy.Kohl'swasfounded inMenomoneeFalls,Wisconsinin
1962. Kohl'scompetesinthe Apparel Retailindustry.ComparedtoOldNavy,Kohl's
generates$13.3B more revenue.
2. TJX isOldNavy's#2 competitor.TJXisheadquarteredinFramingham, Massachusetts,and
was foundedin1977. TJX competesinthe Retail Distributorsfield.TJXgenerates60.8% the
revenue of OldNavy.
7. 3. Wal-Mart has beenone of OldNavy'stopcompetitors.Wal-Martisa Publiccompanythat
was foundedin1962 inBentonville,Arkansas.Like OldNavy, Wal-Martalsocompetesinthe
Retail Distributorsindustry.ComparedtoOldNavy,Wal-Marthas 2,191,087 more
employees.
1.3 Organisation Structure & its value3 :-
OrganisationalChart
8. CHANGES TO THE ORGANIZATIONAL CHART
There are a number of reasons that an organizational chart might change since the chart
must reflect any alterations to the organizational structure. The structure may change due
to a company's growth, decline, or restructuring.
GROWTH OR DECLINE -
All organizations progress through a life cycle of growth, maturity, and decline, and in each
stage the organizational structure is likely to be different. In the growth stage, the company
is expanding rapidly, gaining customers and market share. Growth will occur when a
company is just beginning and products and services are gaining a foothold. It may also
occur when an organization develops a new product or expands into new markets, perhaps
in other countries. With growth, the organizational chart will change. Levels of management
may be added, along with new departments.
In maturity, an organization is no longer growing at a rapid rate and is stable in its
production and sales. The organization may introduce minor changes to a product or
service, but there are unlikely to be major changes to its structure.
In the decline stage, the organization is losing ground in the marketplace. It may be that its
products or services are becoming obsolete or that its competitors are taking over the
market. In decline, the organization may shed levels of management or positions in all
divisions. Additionally, it may outsource work in some areas and thus remove those
departments from its structure. Or, as certain products or services are dropped from the
organization, the work units needed for these products and services also may be eliminated.
Thus, in the decline stage the organizational chart is likely to be streamlined or shrunken.
THE FUTURE
Industry consolidation—creating huge global corporations through joint ventures, mergers,
alliances, and other kinds of inter organizational cooperative efforts—has become
increasingly important in the twenty-first century. Among organizations of all sizes, concepts
such as agile manufacturing, just-in-time inventory management, and ambidextrous
organizations are impacting managers' thinking about their organizational structure. Indeed,
few leaders were likely to blindly implement the traditional hierarchical structure common
in the first half of the century. The first half of the twentieth century was dominated by the
one-size-fits-all traditional structure. The early twenty-first century has been dominated by
the thinking that changing organizational structures, while still a monumental managerial
challenge, can be a necessary condition for competitive success.
1.4. MISSION & VISION OF THE COMPANY4
:-
Old Navy is part of Gap Inc. Their mission statement is “Making current American fashion
essentials accessible for every family.”
Imagine a place where we can find all of our wardrobe "must-have's" at prices that we can’t
believe. Everything from our favourite t-shirts and jeans to our seasonal fashion choices. A
place where every family member is invited. Where everything has great style and quality
and the shopping experience is actually fun, not a chore. That place is Old Navy, making
9. current American fashion essentials accessible for every family. As one of the largest apparel
brands in the world, Company offer customers fabulous fashion online as well in our 1,000+
stores around the world.
By trying to offer fashionable clothing for every member of the family at low costs. As an
example, kids tees are only $4, men shorts are $15. On top of this, they always have sales
and 40% off events. How fashionable? I think the quality and fashion are very good, for the
price. But that’s very subjective.
Relationship between goals and objectives and organizational vision, mission and values
An Organization has to put into consideration its mission statement which consists of the
vision, mission and values when establishing goals and objectives. This is because the
mission statement acts as a guide for the individuals running the business as well as the
daily operations of the organization. The goals on the other hand give statements about
what the organization wants to achieve while objectives give statements about what is
going to be achieved and when (Hofstrand, 2006).
2. TARGET CUSTOMERS5
:-
I think Old navy is trying to appeal to younger families, or younger parents with children and
a slight infasis towards middle class for an upper middle class appeal.
Target’s demographic is 90% women. Everything in the store is geared with that
overwhelmingly in mind. Specifically middle, upper-middle, and upper/elite class in mind.
The $30k-$60k or more a year, median income family. Wine, apparel, groceries, furniture,
everything but electronics, is all geared for that demographic.
And the hottest retail shoppers are also a sizable part of that 90% too.
Because Old Navy sells clothes for everyone, (Women, Men, Kids & Babies) They have a
wide demographic. Because of this, they have more products that even include maternity.
Old Navy’s audience is, not surprisingly, 90% female, but also over-indexes for being
between the ages of 35-44, having children in the home, being married, and having only a
high school education. Geographically, there is higher affinity in smaller cities like Columbus,
Miami and Philadelphia, and below average in New York, Chicago and Boston.
3. Product Types Offered by Old Navy6
:-
WOMEN’S
o Tops
o Tees
o Graphic Tees
o Blouses & Shirts
o Dresses
o Jumpsuits
o Bottoms
o Jeans
o Pants
o Leggings
o Skirts
o Shorts
10. o Sweatshirts & Sweatpants
o Sweaters
o Coats & Jackets
o Swim
o Pajamas & Loungewear
Old Navy Active
o Activewear Tops
o Activewear Bottoms
o Jackets & Hoodies
o Sports Bras
Shoes & Accessories
o Shoes
o Handbags
o Socks & Hosiery
o Cold Weather Accessories
o Accessories
o Sunglasses
o Jewelry
o Beauty
Special Sizes
o Plus
o Maternity
o Petite
o Tall
MEN’S -
o Polos
o Bottoms
o Shorts
o Shirts
o Jeans
o Pants
o Sweatshirts & Sweatpants
o Sweaters
o Coats & Jackets
o Swim
o Pajamas & Loungewear
o Shoes
o Accessories
o Socks & Underwear
Old Navy Active
o Activewear Tops
o Activewear Bottoms
o Golf Essentials
Special Sizes
o Big
11. o Tall
OTHER’S – also available products for baby, toddler, boys and girls.
4.PRICE RANGE OFFERED BY OLD NAVY6
–
4.1. WOMEN’s (in Dollars) =
4.2. MEN’s (in Dollars) =
Tops & Tees ($8-40)
Bottoms -jeans,pants,leggings,skirts ($5-45)
Sweat shirts,Sweaters,Jackets, suits($10-90)
Swim wear($5-50)
Pajamas & Loungewear ($5-40)
Active Wears - Sports bra,hoddie,tops ($5-50)
Shoes,Hand Bags($10-50)
Shirts,T-Shirts,Polo shirts ($5-40)
Bottoms - shorts,jeans,pants ($5-50)
Sweat shirts,Sweaters,Jackets, suits($10-90)
Swim wear($5-50)
Pajamas & Loungewear ($5-40)
Socks & Under wear ($4-45)
Assessories -belts,watches,($3-30)
12. 5. Sales Revenue &Growthof OldNavy7 8
:-
When Old Navy stepped onto the scene in 1994, it seemed certain to shake up retailing. And
it did just that.
In four years, Old Navy hit $1 billion in annual sales by hawking trendy, low-priced clothes
for Americans across age groups. Old Navy reached kids and teens in a big way, as well as
their parents. Last year, Old Navy's sales were about $8 billion.
The retailer's strength shows how Americans have become addicted to super cheap
clothing. It's a chain that is emblematic of the staying power that kind of merchandise has in
retail — both in boom times, and in bust.
"Customers want exceptional value," said Oliver Chen, analyst at Cowen. He said the
country is gravitating to retailers where "price is part of their DNA."
Now, after 25 years, Old Navy has become so successful that it is breaking off from its
parent company, Gap, Inc. (GPS) and while there will probably be some bumps ahead for
Old Navy, its future looks bright compared to the Gap's prolonged slump.
13. 6. OLD NAVY : CSR POLICIES9 10
:-
(1)OLD NAVY NAMED ONE OF THE 2018 BEST WORKPLACES FOR DIVERSITY BY GREAT
PLACE TO WORK AND FORTUNE -
‘Great Place to Work’ and ‘FORTUNE’ have honoured Old Navy as one of the 2018 Best
Workplaces for Diversity. The Best Workplaces for Diversity not only stand out for how
diverse each organization and its management team is, but for how employees themselves
report they are really treated in their workplaces. To determine the list, Great Place to Work
analysed the experiences of women, people of colour, LGBTQ people, employees who are
Boomers or older, and people who have disabilities, comparing their survey results to their
colleagues’ at the same organizations. All told, these anonymous survey responses on more
than 60 survey questions reflecting day-to-day workplace treatment represented more than
4.4 million employees’ work lives. Old Navy was also named to the 2018 “Best Workplaces
in Retail” list.
“Optimism and inclusivity have been part of Old Navy's brand DNA since 1994 when we set
out to make fashion for everyone," said Sheila Peters, Senior Vice President, Old Navy
Human Resources and Communications. "But it takes hard work, investments in programs
and people, and on-going conversations to live up to that commitment and help ensure our
world runs right. We're proud to celebrate the diversity of our teams and customers alike --
it's what makes Old Navy fun, and everyone feel like family."
The Best Workplaces for Diversity stand out for creating great workplaces for all, and as part
of the Old Navy’s on-going commitment to customers and employees, in 2018, the brand:
Hosted a series of learning opportunities, including unconscious bias training, for its store
leaders and headquarters’ employees focused on inclusive practices.
14. Joined a coalition of advocacy organizations and companies committed to combating
discrimination and bias by signing the Open to All Business Pledge. This pledge reaffirms the
company’s workplaces and stores are welcoming spaces for everyone.
Significantly grew one of the company’s diverse talent pools, This Way Ahead, through a
new national expansion of our partnership with Boys & Girls Clubs of America. The program
is a life-skills, coaching and on-the-job training program in stores for young people from low-
income communities seeking a first job.
Celebrated gender equality and women’s empowerment on International Women’s Day by
adorning the five female historical statues in New York City with beautiful floral installations,
honouring the social, economic, cultural and political achievements of these and all women
around the world.
“The 2018 Best Workplaces for Diversity are at the forefront of creating workplaces that are
better for business and better for their people,” said Michael C. Bush, CEO of Great Place to
Work. “These workplaces not only pay attention to how diverse their workforce and
management teams are, but close critical gaps in how all their people are treated and
developed day-to-day.”
The Best Workplaces for Diversity list is one of a series of rankings by Great Place to Work
and FORTUNE based on anonymous employee feedback from Great Place to Work-
Certified™ organizations. Old Navy was also recognized as a Best Workplace for Giving Back
by Great Place to Work and FORTUNE in 2017.
About the Best Workplaces for Diversity
Great Place to Work based its ranking on a data-driven methodology applied to anonymous
Trust Index™ survey responses representing more than 4.4 million employees at Great Place
to Work-Certified organizations. To learn more about Great Place to Work Certification and
recognition on Best Workplaces lists published with FORTUNE, for information visit
Greatplacetowork.com.
About Great Place to Work
Great Place to Work® is a global people analytics and consulting firm that helps companies
produce better business results by focusing on workplace culture. Powered by more than 30
years of research and gives companies access to the assessments, data, and reporting
needed to build a high-trust, high-performance culture.
(2)Strategy toincrease the use of renewable energy andreduce waste across
the company -
When they publicly announced their target to reduce greenhouse gas emissions (GHG) 50%
from all owned and operated facilities globally by 2020 from a 2015 baseline, it was an
ambitious goal that was designed to push us well beyond their previous climate efforts. And
today’s announcement that they have secured a path to achieve our 2020 goal is not the
end of this work. They also introduced the next step: that Old Navy will reach 100%
renewable energy across its global owned and operated facilities by 2030. But what did it
take to get there and what does it mean for an apparel retailer like us?
Behind the scenes and across the business they have been hard at work to achieve their
target. Their 90-megawatt wind power contract, which covers the equivalent electricity use
15. of approximately 1,500 Old Navy stores, is the final piece to the puzzle that will allow them
to have the emissions impact of their stores, headquarter offices, and distribution centres
from their 2015 baseline.
(3)The main tenant of Gaps Social Responsibility program10
-
This is the idea that investing in the community, stakeholders, employees, and shareholders leads to
collective benefit for everyone. The Old Navy is an example of acompany trying to leverage it’s
business and assets to help innovate for social challenges. Every year, along with it’s corporate annual
report, Old Navy published aseparate accompanying report and statement about its CSR program.
Their corporate social responsibility program isdeveloped into three elements. First, the supply
chain; which includes factories, vendors, suppliers and the distribution channels to market. The
second element includes environmental impact, and thirdly iscommunity and charitable giving.
1. LABOR AND CORPORATE GOVERNANCE
The supply chain element of Old Navy’s CSR program is based on their realization of the varying
degrees of influence that they have within the product life cycle. For example, the most influence the
Old Navy has within their supply chain iswithin their retail stores, then graduating with less influence
up the product life cycle to toward the raw material suppliers and farms.
In 1992 the company developed global factory compliance guidelines and avendor code of
conduct. This practice has now become the mainstay and more or less standard within the apparel
manufacturing industry. This includes such regulations as the use of independent monitoring, child
labour restrictions, safe working conditions, transparent record keeping, and right of association.
The Old Navy has taken akey step with using independent factory auditing as well their own internal
factory monitors. They have partnered with the International Labour Organization, and The Ethical
Trading Initiative. In addition, in order to support the daily living needs of labourers inthe most rural
and underdeveloped communities they have collaborated with the International Finance Corporation
which asub branch of the World Bank. According to a their annual report highlights, the Old Navy
has 99% of allit’s factories monitored.
2. ENVIROMENT
Old Navy’s focus on the environment includes energy conservation, sustainable design, and
reduction of waste. At the company’s San Francisco headquarters, employees sort their meal waste
by use of composting and recycling bins in the cafeteria.
The company has alsotaken steps to decrease their environmental impact and reduce dependence
of fossil fuels. In 2008 they completed the installation of asolar power system grid in their west coast
distribution centre. In their other DCs’ across the US, they have installed energy efficient fluorescent
lights their distribution centres saving 2 million dollars annually in energy cost. They are
currently rolling out aprogram that includes changing the lighting, paint and fixtures in Old Navy
16. stores to more energy efficient design. Some the recycling programs they are implementing
include the reduction of corrugated cardboard use, and aggressive reduction of solid waste in their
retail stores.
3. COMMUNITY
Again OldNavy iscollaborating with outside business organizations such asCERES and the National
Defence Council, aswell seeking industry recognition and the accreditation for Leadership in Energy
Environmental Design or LEED.
The design office has started to explore working with sustainable fabric and trims that are
commercially viable and cost effective for the business. The design teams have been challenged to
using hemp, paper and soy in their product collections while keeping the garments an accessible price
point for the consumers. Part of the focus on environment movement also consists of the
innovation and use of recycled packaging and recycled denim.
One of the most successful environment program they have had as to date, was the “Recycle Your
Blues “denim drive launched in April 2010. In collaboration with Cotton Inc., and their “From Blue to
Green” campaign, the company help market their environmental efforts and awareness to
consumers. Customers were encourage to bring in their used and unwanted denim to Old Navy
stores across the US to be recycled, and in return received 30% off their next purchase of denim. Old
Navy collected over 270,000 denim jeans that year for conversion into the “Ultra Touch Denim
Insulation” by Bonded Logic for insulating homes and donating to those communities in need.
Old Navy has been one the apparel industry’s front-runners in improving the use of water in the
manufacture of denim products. Their goal is the reduction of the total amount of water volume used
in denim processing as well and the use re use of the wastewater. Becoming aClean Water Program
member of the BSR group along with other denim apparel companies, Gap Inc. istaking proactive
steps to reduce the use and the lowering the limit of heavy metals and chemical in water for a
positive sustainable impact on the environment.
17. 7. OLD NAVY : Vendor Selection Criteria11 :-
Old Navy use many types of fibers in products: natural fibers, including plant-based items
such as cotton and linen, and animal-based materials such as wool, leather and cashmere;
synthetic fibers, including polyester and spandex; and man-made cellulosics, including pulp-
based materials such as rayon and modal. Each type of fiber has a social and environmental
impact, and they are empowering our designers with the knowledge needed to make
informed choices within the design process.
Today, they focus their raw materials strategy on the top fibers that account for
approximately 97% of their fiber consumption: cotton, polyester, nylon and man-made
cellulosics. Historically, fiber traceability has been a challenge, as fabric sourcing is done
separately from supplier selection, so they have improved their internal reporting systems
to provide detailed data on their fiber consumption and volumes and to meet their goals.
Cotton
Cotton is essential to their business. As one of the world’s leading apparel brands, they use
a significant amount of the global cotton supply. Cotton cultivation requires large amounts
of land, human labour, machinery, pest- and weed control measures, and it is also water-
intensive. Cotton is also an important crop for the economy, supporting the livelihoods of
250 million people, many of whom are women.
They endeavour to use more sustainable cotton across all their brands, and Old Navy have
committed to using 100% sustainable cotton. This includes organic, recycled and Better
Cotton Initiative (BCI) cotton. They joined BCI in 2016, and they are proud that Old Navy is
now the world’s third-largest user of BCI cotton. Across all of their brands, more than 40%
of the cotton Gap Inc./Old Navy sourced in 2018 was through BCI.
Synthetic
They also use synthetic materials in their products, including polyester, spandex and nylon,
which provide essential performance properties. However, synthetics are often derived
from non-renewable, petroleum-based sources. They also have fewer end-of-life solutions
than natural fibers because they may never biodegrade.
To address these challenges, they are taking steps to ensure sourcing more sustainable
synthetic fibers. However, converting recycled polyester into fabric can be costly and there
are challenges with sourcing a sufficient supply. In 2018, Old Navy conducted a life cycle
assessment of recycled polyester and has been slowly increasing their use of recycled
polyester where possible. They are also an active member of the Textile Exchange Recycled
Polyester and Bio-synthetics Working Groups, investigating industry innovations toward
more sustainable fibers.
Man-Made Cellulosic
They are working closely with their top suppliers to support their companywide policy to
eliminate their use of wood-derived fibers from ancient and endangered forests by 2020.
This commitment helps protect critical forests and also supports their efforts to tackle
climate change, as forest ecosystems are vital natural resources that promote biodiversity,
protect watersheds and help mitigate the release of carbon dioxide into the atmosphere.
Their policy — which they developed in partnership with Canopy’s sustainable fashion and
forestry initiative, Canopy Style — aims to ensure that their suppliers do not use ancient,
18. endangered, high-conservation or high-carbon value forest areas to make cellulose-based
textiles, including rayon, modal, viscose and lyocell.
7.1 There are many exports companies which helps to manufactures the complete products
(garments and textiles) are also includes the vendor selection criteria’s. Some of them are
described below.
BANGLADESH -
Factory Name City State Country Category
No. of
Workers
Brandix Casualwear Bangl
adeshLimited
Comilla Chittagong zilla Bangladesh Apparel 1,001‐5,000
AnantaGarments Ltd Savar Dhaka Zilla Bangladesh Apparel 5000-10000
CrownWears (Pvt) Ltd Valuka Mymensingh
Zilla
Bangladesh Apparel 5000-10000
DenimachLtd Gazipur Gazipur Zilla Bangladesh Apparel 5000-10000
NHT Fashions Ltd. Chittagong Chittagong Zilla Bangladesh Apparel 5000-10000
SterlingStylesLtd Savar Dhaka Zilla Bangladesh Apparel 1000-5000
COMBODIA –
Factory Name City State Country Category
No. of
Workers
CamboHandsome Ltd Dangkor Phnom Penh Cambodia Apparel 1,001‐5,000
Chu HsingGarment Phnom
Penh
Phnom Penh Cambodia Apparel 1,001‐5,000
Glory KnitwearLtd AngSnuol Kandaa Cambodia Apparel 1,001‐5,000
OptimumFashion Manufa
cturingCo Ltd
Samraong T
ong
Kampong Cambodia Apparel 1,001‐5,000
19. CHINA-
Factory Name City State Country Category
No. of
Workers
NananNan Fa Woolen Kni
twearCo
Quanzhou Fujian China Apparel 1,001‐5,000
Ji XingClothingCoLtd Of
QingXin
Qingyuan Guangdong China Apparel 1,001‐5,000
GuilinEsquel TextilesCoLt
d ‐ OldLocation
Guilin Guangxi China Apparel 1,001‐5,000
GuangdongEsquel Textiles
Co Ltd Yangmei GmtFty
Dongkeng Guangdong China Apparel 5000-10000
INDIA –
Factory Name City State Country Category
No. of
Workers
Shahi ExportsPvtLtd ‐ Odi
sha
Bhubaneswar Odisha India Apparel 1,001‐5,000
ArvindGoodhill Suit Manu
facturingPvtLtd
Bangalore Karnataka India Apparel 1000-5000
Gokaldas India Bangalore Karnataka India Apparel 500-1000
OrientCraftLimited Gurugram Haryana India Apparel 1000-5000
Pearl Global Industries Lim
ited‐ Chennai
Chennai Tamil Nadu India Apparel 500-1000
8. Conclusion :-
OLD NAVY is one of the world's leading designer lifestyle brand (Parent company is GAP Inc.)
and is internationally recognized for celebrating the essence of classic American style and
preppy nature. The dynamic framework supporting the brand community is complex. It
requires a significant effort to foster the relationships that need nurturing in order that the
customer experience as many aspects of the brand as possible. Multiple marketing tools
must be used to understand what the product can truly offer the customer in terms of a
relationship experience in order that the price, place, and promotion aspects can be
adjusted to acquire and maintain the customer’s business. Once the marketer has assessed
the needs and initiated a model, he/she must continually measure customer satisfaction
and adjust the company’s offering or product and the pieces that build the total brand
community experience and its market segmentation.
Old Navy is a great company and their online store continues to thrive. There is
always room for improvement in every area of business. Consistent analysis of a
company’s website will only create room for improvement and overall growth for the
20. company itself. I know that implementing the outlined recommendations will improve the
company’s business implications of the Web for the future.
9. REFERENCES -
1. https://en.wikipedia.org/wiki/Old_Navy
2. https://www.referenceforbusiness.com/history/Oe-Pa/Old-Navy-Inc.html#ixzz629wydpQl
3. https://www.referenceforbusiness.com/management/Ob-Or/Organizational-Chart.html
4. https://oldnavy.gap.com/
5. https://www.helixa.ai/blog/old-navy-audience-analysis
6. https://oldnavy.gap.com/browse/category.do?cid=72091&mlink=5151,,flyout_women_Sho
pbyCategory_Tops&clink=15682852
7. https://edition.cnn.com/2019/03/03/business/old-navy-gap-banana-republic/index.html
8. https://www.google.co.in/imghp?hl=en&tab=wi&ogbl
9. https://www.gapinc.com/content/gapinc/html.html
10. https://fashionwithaheart.wordpress.com/2011/05/18/gap-inc/
11. https://www.gapincsustainability.com/product/sustainably-sourcing-raw-material