US based apparel marketer Gap Inc said it will close its Piperlime brand, including the online platform and the only store in New York, by the end of the first quarter of fiscal year 2015.
The Piperlime brand is by far the smallest of the company’s portfolio with yearly revenue below $100 million, representing less than 1 per cent of Gap Inc.’s total revenue base of over $16 billion.
Going into the new fiscal year, the marketer will focus on its portfolio of five brands, Gap, Old Navy, Banana Republic, Athleta and Intermix, as well as digital and global growth.
According to Gap, it is committed to executing against its long-term strategy of driving profitable top line sales, powered by its global brands and innovative ability to reach customers in new ways.
“We are incredibly grateful to our fashion-focused, loyal customers, and proud of our dedicated employees who have been working hard to test out new ideas,” said incoming CEO Art Peck.
He added, “We plan to keep on pushing new ideas and look forward to seeing how we can apply what we have learned to the rest of the company as we continue to bring great shopping experiences.”
“The wind-down costs associated with the decision are not material to the company’s financials,” Gap observed.
Gap Inc. reported fiscal year 2013 net sales at $16.1 billion and its brands are available in more than 90 countries through 3,200 company-operated stores, over 400 franchise stores and e-commerce sites. (AR)
