Gap Inc. has a new way of rewarding frequent shoppers.
The retail group announced yesterday the launch of a core loyalty program, where customers can earn rewards across its family of brands. Gap Good Rewards will serve guests at its namesake chain, while Old Navy shoppers can take advantage of Navyist Rewards. The company is also offering Banana Republic Rewards and Athleta Rewards.
“We are launching ahead of the holiday shopping season as this will be the beginning of a series of program enhancements designed to bring value to our customers,” head of loyalty and partnerships Anka Twum-Baah said in a statement.
As part of the program, which is available across the United States and in Puerto Rico, members will be able to earn and redeem rewards across the four labels. Shoppers will get two points for every $1 they spend in stores and online, earning rewards in $5 increments toward a future purchase after every 500 points. What’s more, through the end of October, Gap is offering new customers an additional 250 points for signing up at any of its brands.
The new program replaces Bright Rewards, which had about 9.5 million members. Those shoppers have been migrated to the program at the store where they had originally signed up.
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The announcement comes a month after Gap delivered an earnings and sales beat as its online business nearly doubled year-over-year amid coronavirus-related lockdowns. For the three months ended Aug. 1, the San Francisco-based company posted a loss of 17 cents per share and an 18% drop in revenues to $3.28 billion. Both figures, however, were still better than analysts’ forecasts of a loss of 41 cents and revenues of $2.91 billion.
In a press release that accompanied its second-quarter results, Gap attributed the performance to a 95% increase in online sales, offset by a 48% decline in physical store sales, which was impacted by partial closures during the quarter. Comps were up 13% as the company’s e-commerce platform added more than 3.5 million new customers in that period.
“Our strong performance in the second quarter reflects the customer response to our brands, products and experiences, particularly as we’ve rapidly adapted to the changing environment,” CEO Sonia Syngal said at the time. “I’m confident that our purpose-driven lifestyle brands, size and scale, and advantaged digital capabilities are helping us win now and position us for growth in the future.”