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Predicting Consumer Tastes with Big Data at Gap By Ayelet Israeli, Jill Avery (Case Notes Answer with Free Case File)

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Casual apparel retailer Gap Inc. is struggling in a retail environment rocked by trends that make brick and mortar retailing more challenging, including declining apparel sales, the rise of fast fash... ion competitors that are commoditizing clothing, and consumers’ increasing adoption of e-commerce. Gap’s chief executive officer, Art Peck perceives the industry to be under disruption and at an important turning point where market share will be won or lost depending upon how companies respond to the rapidly changing retail environment. Following two years of declining sales, Peck is contemplating some changes to the company’s marketing strategy to help turn things around. First, he has recently fired the company’s creative directors, the artistic visionaries of Gap Inc.’s three major brands: Gap, Banana Republic, and Old Navy, and has replaced them with a more collective creative ecosystem fueled by the input of big data from Google Analytics and the company’s own sales and customer databases. Shifting the focus from “art” to “science,” Peck hopes that this change will allow the company to better predict consumers’ future fashion tastes. [Show More]

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