Old Navy Launches Subbrand Old Navy Sport to Focus on Activewear
Gap Inc. has announced the launch of a new subbrand, Old Navy Sport, consolidating its activewear offerings under one identity with updated styles and performance features. The move aims to capitalize on strong consumer demand for active wear while addressing weaker sales in other categories like casual summer dresses this year. Old Navy currently ranks fifth in the U.S. activewear market according to Circana data. CEO Richard Dickson highlighted that Old Navy's strength lies in its denim, active wear, and kids' apparel segments, which will receive increased marketing focus moving forward. The strategy contrasts with struggles at Gap Inc.'s Athleta brand and Lululemon. Analysts suggest the activewear market remains competitive but growing due to rising consumer interest in health and fitness activities like running and cycling. Old Navy's affordable pricing has helped it maintain a top-five position, and giving its activewear line a distinct identity is expected to strengthen customer loyalty.
Topics: activewear brand strategy market competition retail performance