Gap Inc. ($GAP) announced Thursday it will enter the beauty and personal care segment this fall, beginning with products sold under its Old Navy brand. The expansion aims to diversify revenue beyond apparel amid tariff pressures and soft consumer demand.
- Gap shares rose 2.4% in early trading following the announcement.
- A phased rollout will start at 150 Old Navy stores in a test-and-learn format.
- Offerings will include skincare, makeup, hair products, and nail polish, mostly priced under $25.
- Gap-branded stores will carry beauty products starting in 2026.
- The company also plans to grow its accessories business alongside beauty.
- Gap recently reported weaker-than-expected comparable sales due to slowing discretionary spending and warned of tariff impacts on margins.
Relevant Companies
- GAP – Gap Inc. is diversifying into beauty and personal care, a move to offset weak apparel demand.
Editor’s Note: This is a developing story. This article may be updated as more details become available.
