. Retail experts say Old Navy’s sales growth comes from updates to inventory, store layout, and product design. As Neil Saunders, managing director and retail analyst at GlobalData, told Inside Retail, “Old Navy has always been one of Gap’s better brands, but it has undergone something of a reinvigoration over the past couple of years. “There has been a concerted effort to simplify the offer and focus on fashionable pieces, blended with quality basics. Stores have become more disciplined and decluttered. There are fewer promotional signs and greater emphasis on showcasing the offer. All of this has strengthened Old Navy’s value credentials.” How Posen is leading the charge with Old Navy’s comeback Old Navy has also been gaining attention with a new product launch. On April 15, Old Navy released its second designer collaboration under Posen’s direction. The first, with Anna Sui, came out in October 2025. The newest is with American designer Christopher John Rogers. Starting Wednesday, the 46-piece collection, priced from $24.99 to $84.99, will be available online and in select Old Navy stores nationwide. The collection taps into 90s nostalgia by featuring supermodel Kimora Lee Simmons. It also appeals to Gen Z by featuring her daughters, models Ming Lee Simmons and Aoki Lee Simmons. According to Melissa Minkow, CI&T’s global director of retail strategy, hiring Zac Posen and working with designer Christopher John Rogers has helped Old Navy boost its fashion image while keeping prices affordable. “Zac Posen’s custom Gap looks for celebrities on the red carpet has been great for demonstrating to consumers that the brand has an eye for both staples and statements,” Minkow said. “His work has made the brand aspirational while remaining accessible in stores. I expect the Christopher John Rogers collaboration to work similarly – lending high fashion credentials and vision to the accessible brand.” In addition to these collaborations, Old Navy has also highlighted its activewear collection. Old Navy leads with “New Moves” and reported new activewear store It’s not just Old Navy’s everyday and dressier items getting noticed. With Posen leading, Old Navy has renewed its focus on activewear and athleisure by updating classic designs, adding new fabrics, and following a strategy Dickson calls “fashiontainment”. In March 2025, Old Navy introduced StudioSmooth, a collection made from a new fabric blend of 82 per cent nylon and 18 per cent spandex. Executives say it offers “a buttery-soft feel with light compression” and took three years to develop. They also claim the leggings are similar to pricier options but more affordable. In May 2025, actress Lindsay Lohan, along with Charo, Dylan Efron, and Quen Blackwell, starred in a viral campaign called “Old Navy, New Moves”. Set to the Devo song “Whip It”, the campaign featured the group showing off Old Navy’s new activewear. These efforts have boosted sales in the category. Dickson recently said Old Navy now ranks fifth in the US activewear market overall and fourth in the women’s segment. Old Navy seems ready to build on this success. According to Puck News and WWD, the brand plans to launch a new athleisure-focused format called Old Navy Sport and open a standalone store for it later this year. Old Navy has not commented on the strategy so far. Saunders argued that it’s not surprising that Old Navy is considering a standalone store for its activewear, since the sports line has been a standout thanks to well-designed, high-quality pieces at good prices. However, Minkow and Christine Russo, principal at RCCA, were more cautious about the idea of a new store. Minkow told Inside Retail, “This seems risky given the competitive athletic wear space. However, Old Navy’s category success suggests they see enough volume to justify the move.” Whereas Russo commented, “It’s a curious move because the athleisure space is struggling, with Nike reporting four down-falling and two flat quarters, totalling six underperforming quarters, and even Gap Inc.’s own brand, Athleta, has not fared well, having experienced five consecutive down quarters.” “However,” Russo added, “sport is currently sold in Old Navy stores, and the decision to break out the category appears to be an opportunity. While this is presented as an opportunity to capitalise on a growing category and is presumably data-driven, it seems capital-intensive in a commoditised space.” Whether or not the new Old Navy Sport store opens, Dickson and Posen are making progress on their goal to revive Gap Inc.’s brands. It’s still unclear if they can do the same for Gap Inc.’s less successful brands, Banana Republic and Athleta. But if they use the same strategies as with Gap and Old Navy, there’s a good chance for improvement. Further reading: Gap Inc CEO Richard Dickson on reviving the retail giant with ‘fashiontainment’