Gap is Selling Subscription Boxes for Baby Clothes
This week, Gap announced it would test the market for subscription services. Yahoo Finance reports the apparel company's baby division has rolled out a subscription box offering. It's been reported that Gap initially offered the service with a limited number of loyal customers, and over time it has been expanded to a larger audience and is now available online. Each box contains six pieces of clothing, costing around $70 but worth $100 or more, according to Gap. Consumers have three weeks to decide if they would like to keep the items. New boxes will be shipped quarterly.
Total Retail's Take: Subscription commerce been a trend in retail over the past few years, with the companies testing it seeing varying degrees of success. The subscription channel has grown thanks to success stories such as beauty curating company Birchbox, apparel service Stitch Fix and the now acquired Dollar Shave Club. Subscription could be an opportunity for struggling Gap, however, it's entering a crowded market. Over the past few years, a few children apparel subscription services have been introduced, including startups Rockets of Awesome and KIDBOX. While Gap's announcement states the service is currently only for the baby division, it may only be a matter of time before it tries subscription for other customer segments.