the family clothing industry struggles to grow
At present, the family clothing industry struggles to grow because of the threats from competing enterprises. Most family clothing companies have retail stores that sell outfits for men, women, and children that do not have a precise specification for age and gender. Over the years, time has seen the emergence of luxury malls with clothing stores that sell gender-specific outfits. Sense of style and fashion has evolved, and people are more sensitive to the outfits in the market. As opposed to earlier where family clothing retail outlets sold clothes that were non-specific to gender or age, clothing stores in luxury malls have precise specifications on age, gender, color, and even texture. Therefore, the strategic group map of the clothing industry looks challenged because of the change in the preference of the target market.
Currently, Gap Inc. is not well-positioned. The ever-changing consumer preference affects the sales of the company. According to Dudovsky (2016), Gap Inc. tried to segment and position their stores in a way that attracted a specific group of buyers. The move was meant to adjust to the luxury malls which had gender and age-specific outfits. However, according to Thomas (2018), Gap Inc. is looking to close hundreds of stores in malls quickly and aggressively. The CEO of the company said that the stores to be closed do not fit their vision for the future of the Gap brand specialty store. Therefore, the segmentation and positioning that had been implemented earlier did not meet the needs of target customers. Gap Inc. should research the requirements of the current generation and tailor their stores to fit the needs and preferences of the market.
In conclusion, the family clothing industry should go back to the drawing table and come up with a new entrepreneurial strategy. Luxury malls have changed the game, whereby clothing stores sell gender and sex-specific clothes. Gap Inc is suffering a significant blow because the company offers outfits that differ from the preference of the millennial generation. Millennials are sensitive to fashion, and most of them prefer stylish and gender-specific clothes. Therefore, Gap Inc. should go back to the drawing table and strategize with consideration to the preference of the new generation.
References
Dudovskiy, J. (2016, October 28). Gap Inc. Segmentation, Targeting and Positioning: An Effective Application of Multi-Segment Positioning. Retrieved July 22, 2019, from Research Methodology: https://research-methodology.net/gap-inc-segmentation-targeting-positioning-an-effective-application-of-multi-segment-positioning/
Thomas, L. (2018, November 21). Gap looking to close hundreds of stores at malls ‘quickly and aggressively’. Retrieved July 22, 2019, from CNBC: https://www.cnbc.com/2018/11/21/gap-to-close-hundreds-of-stores-at-malls-quickly-and-aggressively.html