After Kanye West announced the end of the Yeezy Gap partnership, the three-letter brand has announced the elimination of jobs as margins shrivel
Gap has been stricken with one bad news after another, all in less than three months. In July, reports emerged that the Indian-born Canadian CEO Sonia Syngal was dismissed after a mere two-year tenure, with Bloomberg describing the move as somewhat unceremonious: She was “fired after failing to rescue struggling retailer”. The Gap has not announced a replacement. Then last week, the announcement that “Gap and Kanye West are Ending their Partnership” was made by The Wall Street Journal. Few people were surprised by that news. And now The Gap has said that they would be laying off staff—up to 500 corporate jobs—in offices in San Francisco, New York, and in Asia. Was Mr West’s bowing out timely for The Gap?
It has been speculated that the once-loved San Francisco brand was not terribly thrilled with what Ms Syngal had done, including signing up Mr West to bring about Yeezy Gap, and that what she put in place was taking too long to see real results. Ms Syngal was previously with The Gap’s sister brand Old Navy, having arrived at Gap Inc in 2004 with no background in fashion (before that, she was with Sun Microsystems and Ford Motor Co.). Yet she was considered to be instrumental during the family-centric Old Navy’s admirable height of success, escalating the brand’s revenue to more than double The Gap’s. But just because she was able to realise the potential of one sibling did not indicate that she could bring to fruition the aspirations of another.
For a while, The Gap as a fashion player has been languishing. The world has basically moved on and on, and without The Gap’s washed chinos and straight-legged jeans, and, most definitely, their logo-ed tees. Did the 53-year-old clothier ever consider that their all-American fashion, often described as “laid-back style”, has lost considerable appeal, especially since Donald Trump took office in 2017 and the US is a different place. But critics say that The Gap’s lost its punch even earlier, in 2004, a year before Uniqlo, who does American laid-back better then the Americans themselves, opened their first store in New Jersey. That year, when a chap Mark Zuckerberg launched The Facebook (later shortened to Facebook), The Gap scored Tommy Hilfiger alum Pina Ferlisi to tweak the retailers offerings so that things could look up again after two years of decline. Few remember The Gap from that period and later, and the brand continued to fizzle.
When they had Mr West onboard in 2020, it was thought that The Gap finally took a close look at their merchandise, and realised that a major refresh was desperately needed, and Mr West was their guy even when his own Yeezy clothing line was not the epitome of brand success. So convinced they were that they signed a 10-year deal with him to birth Yeezy Gap. But the first year was not all rosy for the new brand. News emerged that back of house, things were messy. Mr West’s pal Demna Gvasalia was called in to help and very quickly Yeezy Gap was “Engineered by Balenciaga”. Despite the added edge, it is not clear if the collab is making pots for The Gap. But one thing is obvious: many shoppers did not like buying merchandise out of bulk bags. Rapidly, Mr West revealed that he wanted out and had his lawyers make it happen, claiming The Gap did not open Yeezy Gap stores as they agreed to. According to Forbes, “Gap president Mark Breitbart immediately shot off an email to all Gap Inc. employees suggesting it was a mutual decision”. Still, it appears that Kanye West had The Gap in his grasp. We’re not near a cliffhanger yet.
File Photo: SOTD