Which gap stores are closing

GPS has announced that it is shuttering all of its Gap stores in the U. The retailer said it will undergo a phased wind-down of the locations that will commence at the end of August at its company-operated Gap Specialty and Gap Outlet stores located in the two countries. Gap stores have been open in the U.

The U. The closures will affect 81 locations across the two countries, CNN reported. Experts say that the chain, which began in San Francisco selling only Levi's and LP records, fell behind with fashion trends in recent years.

Consumer and retail expert Kate Hardcastle agrees that Gap failed to adapt and "embrace the new customer," by not offering enough variety and not being as cheap as competitors such as Primark.

Another criticism is that Gap failed to invest heavily enough in its online sales. Richard Lim from retail analyst group Retail Economics says the company "lagged behind the curb in terms of the sophistication of online competitors". He cites brands such as Next as "scooping up Gap customers" because they invested hundreds of millions in creating a strong internet presence that resulted in over half of their sales coming from online.

And Gap's switch to online-only trading may not guarantee it success, Mr Lim thinks. Whilst offering money off can be appealing for customers, Gap did it too often, says Natalie Berg. This lack of agility in costing products left them in a "race to the bottom", according to Ms Berg. She says if fashion chains continually offer discounts, it can make the clothes feel undesirable and create a perceived lack of value.

Retail experts also argue that Gap increasingly failed to stand out from the crowd and didn't keep up with changing trends across its core customer group.

Diane Wehrle, insights director at customer data business Springboard, agrees that Gap lost out because it was "not a new and exciting concept anymore". Its clothing ranges have not evolved significantly, she says, and very similar products are available from competitors such as Superdry and Hollister. The industry has warned that action is needed by the government to adjust business rates, a property tax which they say unfairly burdens high street retailers and helps online rivals.

This article is more than 4 months old. Stores are due to close between late August and the end of September. Topics Retail industry news. Reuse this content.