Gap Inc takes Old Navy to Saudi Arabia under franchising deal
By Angela Gonzalez-Rodriguez
Oct 28, 2014
Fashion retail group Gap Inc has inked a franchising deal with Fawaz A. Alhokair & Co that will see the company open Old Navy stores across Saudi Arabia. The San Francisco-based group will first open two stores in the Riyadh and Dammamdistricts in spring next year.
Meanwhile, several more Old Navy shops are set to open over the coming months, as announced by the US fashion group.
Gap has already partnered with Fawaz A. Alhokair & Co to bring 41 Gap and Banana Republic stores to seven countries across the Middle East, North Africa, Central Asia and Caucasus regions.
"Entering the Middle East is an important milestone in our strategy to share Old Navy with a broader, global customer base. Given the family-centred culture of the region, we believe Old Navy's iconic American apparel and focus on fashion, family and value will really resonate with customers," commented the deal Robert Frank, executive vice president of Old Navy International.
Likewise, Alhokair, which also works with the likes of Zara, Topshop and Marks & Spencer, said that Old Navy's offering "is just as relevant" to consumers in Saudi Arabia as it is for the US market.
"It is a retail success story that we can't wait to develop and grow here, drawing on our own local market expertise," explained Simon Marshall, CEO of Alhokair.