Gap to Close Piperlime Website & Store

After multiple attempts to revamp its Piperlime e-commerce site, Gap Inc. has opted to close down the business.

The San Francisco-based company issued a statement on Monday saying that the online platform, as well as its single brick-and-mortar location in New York, will shutter by the end of the first quarter of fiscal year 2015. The company aims to focus on its five remaining brands — Gap, Old Navy, Banana Republic, Athleta and Intermix — and work toward digital and global growth.

“We plan to keep on pushing new ideas and look forward to seeing how we can apply what we’ve learned to the rest of the company as we continue to bring great products and shopping experiences to our customers,” said incoming CEO Art Peck, who will take over leadership of the retailer in February, replacing Glenn Murphy.

Gap launched Piperlime in 2006 as a multibrand online footwear destination with a carefully edited assortment targeted to youthful, fashionable consumers. Footwear brands carried on the site have ranged from Steve Madden and Seychelles to Loeffler Randall, Rebecca Minkoff and Schutz. Over the years, Gap slowly developed the site into a full lifestyle e-tailer, adding accessories and apparel in 2009 and introducing celebrity tastemakers such as Rachel Zoe and Olivia Palermo as guest editors.

Despite a strong start, however, the digital business has remained small for Gap. The retailer stated last week that Piperlime’s yearly revenue was below $100 million, representing less than 1 percent of the company’s total revenue of $16 billion.

This past fall, Gap attempted to reboot the site with a new design and an expanded roster of guests editors, including Chrissy Teigen, Shoshanna Gruss, Poppy Delevingne and more. As a part of the initiative, the site also bowed its first Piperlime Collection, with apparel designed by Jamie Lewin. The collection appeared online and in the Piperlime Soho store, with prices ranging from $37 to $170.

Gap stated that the wind-down costs associated with the closure are not material. However, FN sister publication WWD reported that about 90 Piperlime headquarters employees could be impacted by the decision.


Access exclusive content