The Gap and Banana Republic were the top retailers that enjoyed great sales a decade or so ago. Now, they are facing plummeting sales that threaten to drive the retail chains out of business. In fact, the GAP is taking real desperate measures to save their brand. They are shutting down about 25 percent of their stores to keep the wolves away from their doors. However, there is light over the horizon for a large number of the retail chains like the Gap and Banana Republic. Sales for athleisure category are really skyrocketing. In fact, athleisure is a hot new trend that just might save the failing stores.
We’ve all seen people on the street, wearing those colorful and comfortable active wear outfits. They’ve quickly become the go to outfit for busy moms, dads, and people that just like to feel comfortable in their clothes. However, the biggest group attracted to the clothes are young teens that frequent retailers like the Gap and Banana Republic. The CEO of one major retailer stated that the active wear craze is even hotter than the skinny jeans were at the height of their popularity. They’ve heavily invested in the active wear market with hopes that the trend will probably last much longer than the skinny jean faze did. Perhaps, the trendy new active wear will help to drive those profits up and get the once profitable retailers back on the road to recovery. Of course, the comfy active wear appeals to a much wider audience than your skinny jeans.
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Madison Street Capital is a middle market investment banking firm. Their headquarters is located in Chicago, Illinois. The investment banking firm provides private equity and debt financing investments. The firm is considered one of the leaders in the industry.
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