Dive Brief:
- Following the closure of its Gap flagship in the same area, Gap Inc. on Wednesday announced the opening of a Banana Republic flagship store in its hometown of San Francisco.
- The store, which is located at 152 Geary St. in the city’s Union Square shopping district, is two floors and 3,500 square feet.
- The flagship is the “natural next step in the Banana Republic’s transformation into a leading destination for high-quality apparel, accessories and home goods,” according to the company.
Dive Insight:
Three years after closing sister brand Gap’s Market Street flagship store, Banana Republic is opening a new location only blocks away.
“As we embark on the next chapter in the BR story as the premium lifestyle brand, we remain driven by a desire for exploration and connection,” Banana Republic CEO Sandra Stangl said in a statement. “Our Banana Republic Geary Street store is our brand’s pinnacle flagship, showcasing our continued transformation in our historic hometown.”
The location includes products from the brand’s newly launched BR Home line, including seating, dining furniture and lighting.
As Banana Republic opens a new location, a number of retailers have made the decision to exit downtown San Francisco, including Urban Outfitters’ Anthropologie, Nordstrom and Nordstrom Rack, with Office Depot and Saks Off 5th reportedly intending to leave the area this year. Target also announced a store would shutter in San Francisco as part of nine theft-related closures.
A little over half the stores that were in the Union Square area in 2019 are still around, not including those, open or closing, in the Westfield San Francisco Shopping Centre mall anchored by Nordstrom’s full-line store, The San Francisco Standard reported earlier this year.
In its latest earnings, Banana Republic stated that net sales fell 11% to $480 million, while comps fell 8%. Overall Q2 net sales for Gap Inc. fell 8% to $3.5 billion. “We need to make these brands matter more, and ultimately that is going to be the pursuit,” newly appointed Gap Inc. CEO Richard Dickson said at the time.
