Dive Brief:
- Following the launch of Gap and Walmart's home line in June, the two are introducing a furniture collection in the coming weeks, dubbed Gap Home Furniture.
- The collection features more than 150 pieces of furniture — such as couches, TV stands, headboards and rugs — with prices ranging from $49.88 to $629, according to a press release Thursday.
- Gap Home Furniture will feature contemporary furniture styles inspired by Scandinavian, midcentury and modern designs, per the release.
Dive Insight:
The rise of the home category has brought together a seemingly unlikely pair.
Though the idea of two major retailers collaborating on a brand is by no means a new concept, with Target teaming up with Levi Strauss & Co. to release a lifestyle brand, some analysts voiced uncertainty about whether Walmart would make an ideal partner for Gap when the deal was first announced.
"While this may generate interest and sales, it smacks of desperation and short-term thinking. We question whether Walmart is the right partner. We are also confused as to how this fits with the wider strategy of working with the YZY brand," Neil Saunders, managing director of GlobalData, said in an emailed comment in May. "To us it seems like Gap is scrabbling around for short-term, random fixes rather than having a coherent long-term vision of where it wants it wants to take the brand."
Though the partnership may seem odd for Gap, especially as it tries to rebuild its image as a style icon, it gives the brand access to Walmart's broad consumer base. Meanwhile, Walmart emphasized that the Gap Home Furniture collection would be "the perfect complement" to its existing home offerings like Flower Home and Modrn.
Walmart is banking on consumers to continue elevating their personal spaces, a trend largely driven by the pandemic. Homeownership rates last year reached 65.8%, according to Statista. Experts said they expect this rising trajectory to continue post-pandemic.
The initial Gap Home collection had more than 400 products with seasonal and special collections unveiled throughout the year. At that time, Gap Home was only available on Walmart.com, but in the latest announcement, Walmart said it is bringing the brand to its stores.
"This nesting trend is one we anticipate continuing, and we are committed to offering Walmart shoppers a wide variety of accessible, on-trend styles so that a beautiful home is possible for everyone," Anthony Soohoo, executive vice president of home at Walmart U.S., wrote in the announcement. "Gap Home is a key part of this effort, and there is so much more to come."
