Ad Campaign: Gap Goes Discount

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From Business 2.0 Marketing Focus

Business 2.0 – Web Article – The Gap Tries On Discounts

It wouldn’t be the holidays without a new marketing push from the Gap (GPS). But stepping away from its traditional groovy-hip fashion campaigns (models writhing in tight jeans or loose khakis), this year the company is trying to boost sales with — gasp! — discounts. It’smailing shoppers “mystery” gift cards, which offer price cuts of $5 to $100 (naturally, you have to visit a Gap store to find out how much yours is worth). It’s also sending out, via newspaper inserts, special cards that take 15 percent off purchases of $50 or more. The company is even experimenting with the old sweepstakes standby — a contest that tantalizes shoppers with the dream of appearing in a Gap print ad. The $14 billion retailer, of course, isn’t giving up on peddling fashion (it is also running holiday TV spots featuring the song “Love Train”), but the focus on price is something novel, and comes about a month after the arrival of new chief executive Paul Pressler.

I think we will all miss those fun cute little commercials we always used to see around the Holidays but I guess when sales are down, unfortunately brand awareness campaigns give way to more direct discount campaigns.

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Steve Hall

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