The US textile group Gap Inc. is making its next attempt to gain a foothold in the Indian market. On Wednesday, the apparel retailer said it had entered into a long-term franchise partnership for its Gap brand with local retailer Reliance Retail Limited.
The Americans ended their last engagement in India in autumn 2020. At the time, the collaboration with the local textile group Arvind Fashions Limited had ended after strict restrictions resulting from the Covid 19 pandemic had removed the economic basis for the collaboration.
As part of the new partnership that has now been announced, Reliance Retail will act as the “official retailer” of the Gap label in India, according to a statement. Sales should therefore take place via brand stores, e-commerce platforms and multi-brand providers. The aim of the cooperation is to combine Reliance Retail’s “proven competencies” in omnichannel retail and local production and delivery with the strengths of the Gap brand, the two companies said.
Adrienne Gernand, Managing Director of International, Global Licensing and Wholesale responsible for Gap Inc.’s global partnerships, explained the strategic importance of the collaboration: “We look forward to growing Gap’s businesses in important international markets,” stated them in a message. “Working with regional experts like Reliance Retail in India gives us the opportunity to bring our relevant, targeted brand to consumers around the world while further diversifying our business portfolio through the partner model.”