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First look at Old Navy

This weekend, Old Navy was doing the “stuff the bag and save 20%” promotion that they do several times during the year. My girlfriend got one of the bags in mail, so we took a ride to the local store yesterday.

Good news for shoppers is that nearly all of the Summer items are on clearance. The place is full of cheap shorts and cheap t-shirts. The bad news is that, at full price, I had already bought the two items from this Summer’s collection that I had wanted to buy. Even at reduced prices, nothing really stuck out at me.

But it was good to see that the store had started rolling out there Fall/BTS collection. First thing I noticed is that all of the new items are coming in on different hangers. They’ve made a switch to clear plastic hangers that look nicer, but are probably cheaper than the hangers they already had. Why the reason for the switch? I have a feeling it is a cost move, but, to tell you the truth, I always hated the Old Navy hangers. Interesting way to signal a new direction in the company, though.

They did have more than a few items out already, and, I have to say, that I am impressed by what they have out. Variations of polos, wovens, and denim – but with great detail. I linked to an article in last week’s Retail Notes that talked about Old Navy paying more attention to detail and construction than they had before. If the sample I saw today is any indication, I think they may have hit the mark they were aiming for. They have new “destroyed polos” with a level of detail (stitching, hems, design) that was unlike anything they’ve had in previous seasons.

On the other side of the store was still the same thing – the new denim offerings for Women look a lot better. New washes, new detail, and better construction. The new waffle-knit hooded pull-over that they had for women is very cute.

Add in a new graphic package, redesigned merchandise tags and labels, and whatever else they have up their sleeve – this could be the start of a turnaround for Old Navy. They will have to be gaurded, though, as I don’t believe investors will expect much from their second quarter numbers nor will consumers respond to them overnight. Gap, as a whole, has to overcome a few seasons of negative image in order to send the company in the right direction.

12 months from now Gap/Old Navy could be a different beast than they are today. It’s all about how quickly, and how well, consumers respond.

I am anxious to go back next week to see their full floor set and all of the Fall offerings.

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