Gap offers Old Navy
Old Navy is Gap's value apparel brand with about 1,142 stores and $8.2 billion in 2023 net sales.
Old Navy - About
Old Navy is an American apparel retail brand owned by Gap that sells value-priced clothing, activewear, and accessories for women, men, children, and babies through about 1,142 company-operated stores, e-commerce, and franchise partnerships.
Launched on March 11, 1994 after beginning as Gap Warehouse in 1993, Old Navy opened its first stores in Colma, San Leandro, and Pittsburg in the San Francisco Bay Area. Corporate operations are based at Two Folsom Street in San Francisco's Mission Bay neighborhood, and the brand generated roughly $8.2 billion in net sales in 2023 as Gap's largest revenue division.
Old Navy - Research Notes
Old Navy benefits from Gap Inc. scale in sourcing, supply chain, and store operations while maintaining a distinct value brand identity separate from Gap and Banana Republic.
Its family-focused assortment, frequent promotional pricing, and large store footprint give it reach across mass-market shoppers. The brand also leverages Gap Inc. corporate infrastructure while targeting a younger, budget-conscious customer base with broad kids and baby categories.
Old Navy faces margin pressure from fast-fashion rivals that refresh assortments faster and from mass merchants with strong private-label apparel lines.
Its heavy promotional cadence can train shoppers to wait for discounts, while mall traffic declines and supply-chain costs weigh on a value-priced model tied to Gap Inc. corporate decisions.
Old Navy began inside Gap Inc. as Gap Warehouse in 1993, when Gap CEO Millard Drexler opened lower-priced warehouse-format stores in existing Gap outlet locations.
On March 11, 1994, Gap Warehouse was renamed Old Navy Clothing Co. after Drexler chose the name from a Paris building sign, and the first stores opened in Colma, San Leandro, and Pittsburg near Gap headquarters. The Colma debut used a grocery-store layout with flowing aisles, shopping carts, cement floors, and industrial shelving.
Old Navy operates in the competitive U.S. value apparel market against fast-fashion chains, specialty teen retailers, and mass merchants offering private-label clothing.
Gap Inc. has positioned Old Navy as a growth brand within its portfolio, including a previously considered but later abandoned plan to spin it off as a standalone public company in 2019-2020. The brand remains a core revenue driver as Gap Inc. focuses on profitability across its multi-brand retail portfolio.
Old Navy - Classification
- Industry
- Ownership
- Geographic Exposure
- Global
