Monday, October 18, 2010

Gap Logo Fiasco


Gap Logo Fiasco
 
The Gap logo fiasco started when sales in Gap when down by 4%. In order to raise sales the advertisement teams proposed a change in logos. The new logo first appeared on their website, and received a lot of criticism. The logo was typed in what looks like Helvetica type and had a dark blue square above the ‘e.’ Change in logo made the company look cheap, the exact opposite of the former logo, which presented the company as being regal and rich. The change in logos angered loyal customers and did not help with sales. The change in logos did not go over well because they had to re-establish the company. In the long run the change of logo ended up hurting Gap because they had to change all signage and promotional materials used to promote Gap. The cost of the change in logo ended up costing the company far more than investing additional money in advertising. Personally I think Gap should have taken a better look at the economy and other factors that could have been affecting the decrease in sales. I think the problem with decreasing sales was more to do with the economy than their logo. Also I feel that the new logo is very cheap looking and not what Gap clothing is all about, while their old logo presents their company as being exclusive and rich. I don’t think that the change in logos would have brought in more customers; I think that has more to do with the cost and value of the clothing. They learned that you have to take in to consideration what loyal customers like and also that there is a lot more work that goes in to a logo change than just making some adjustments. In order to have a successful logo change there needs to be support of the company
because you have to make sure that customers still feel a connection with the company. Ultimately changing the brand of your company cost more than losing 4% in sales.

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