Gap's upbeat quarterly results show improving demand for Old Navy apparel
CEO Richard Dickson's plans to push ahead with reinventing Gap's brands, mainly Old Navy, have helped drive consumer interest in its apparel and accessories.
CEO Richard Dickson's plans to push ahead with reinventing Gap's brands, mainly Old Navy, have helped drive consumer interest in its apparel and accessories.
The Minneapolis-based firm is expected to report a 4.6% drop in comparable sales for the holiday quarter and a 3.6% decline for the year, according to LSEG estimates.
Two US senators are urging President Joe Biden to crack down on duty-free packages from China, citing unfair competition from low-cost competitors relying on forced labor and state subsidies. The surge in shipments is threatening the US manufacturing and retail sectors and undermining the US economy
Shein, which was founded in China but is now headquartered in Singapore, is in the early stages of exploring the London option as it has judged it unlikely that the US Securities and Exchange Commission will approve its IPO, the people said, asking not to be identified discussing confidential information.
Inditex expands Lefties to compete with Shein. Lefties, originally for Zara's excess inventory, expands to 17 countries, including emerging markets. In Spain, Lefties operates 25 stores and experiences significant growth. Inditex targets the value-focused market segment with budget-friendly options.
The rapid growth of Shein, an online marketplace with no physical stores, is putting pressure on retailers like Inditex and Sweden's H&M to find ways to respond to its budget prices. Zara has become less competitive on price since Inditex started hiking prices at its core brand to protect profit margins from inflation and as part of a shift towards more upmarket customers.
Amazon plans to wheel cart down value aisle, mirror Meesho model in fashion, lifestyle categories to tap value customers. It competes with Meesho, Flipkart's Shopsy, and Reliance Industries' Ajio Street, while also facing competition from Shein, Temu, and Pinduoduo in its home market.
The leadership change came as H&M said sales for December and January fell by 4% compared to the previous year, a bad sign for the key Christmas shopping period. The world's second-biggest listed fashion retailer after Inditex, H&M has struggled to compete with Zara and low-priced fast fashion giant Shein, both of which have seen strong sales growth.
H&M, which sold more than $22 billion in clothing and accessories in its 2023 financial year, aims to reach an operating margin of 10% by the end of 2024. Faced with falling sales, the retailer with around 4,300 global stores is intensifying cost-cutting, prioritising profitability over revenues.
A Temu spokesperson on Thursday confirmed the company's plans, which was first reported in Chinese media. The company declined to provide additional details, saying that "many of the business details are still in the process of being finalized."
Shein investors are trying to sell shares in private market deals that value the online fashion giant at as low as $45 billion, reflecting dwindling appetite for a company struggling with intensifying competition and regulatory scrutiny ahead of a long-awaited US debut.