The Gap just reported awesome earnings, with profits up 29 per cent in the second quarter. And CEO Glenn Murphy just said how the company, which includes Banana Republic, Old Navy and Athleta in addition to its namesake stores, became relevant again.
It’s (mostly) all in the marketing, Murphy said in a conference call to investors.
“The success had to do with great product and how store associates were marketing product in stores, because of marketing investments we were creating demand for our products on the very first day. We are still committed to making thoughtful investments in marketing to drive our holiday campaign. We’re marketing online, in social media, in stores. We have people testing new ideas in stores.”
The apparel retailer hired industry big wig Seth Farbman to oversee its marketing last year.
Murphy also said what’s next for Gap:
“Obviously, when you perform and deliver a 40 per cent increase in EPS, people are energized. I have to make sure everyone stays focused on what goes us here. We’re going to keep studying what got us here and what’s next.”
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