Old Navy is an American clothing and accessories retailer owned by Gap Inc., with its corporate operations based in San Francisco. It operates flagship stores in major cities like New York City, Seattle, Chicago, San Francisco, Manila and Mexico City, indicating its significant presence in both domestic and international markets.
In 1993, Gap's CEO Millard Drexler responded to Dayton-Hudson Corporation's plan to create a cheaper version of Gap by opening Gap Warehouse in existing Gap outlet locations.
On March 11, 1994, Gap Warehouse was renamed Old Navy Clothing Co. to differentiate itself from Gap Inc. On the same day, the first Old Navy stores opened in Colma, San Leandro, and Pittsburg, California. The new store design intentionally resembled a grocery store.
In December 1995, Old Navy experimented by opening a coffee shop inside a location in San Francisco.
In April 1997, Old Navy opened an Old Navy Kids location in Littleton, Colorado, but terminated it the following September.
In 1997, Old Navy became the first retailer to reach $1 billion in sales within its first four years of operation.
By 2000, Old Navy had expanded rapidly, opening its 500th store.
In 2001, Old Navy expanded internationally by opening 12 stores in Ontario, Canada.
In 2005, Old Navy, under then-president Dawn Robertson, attempted to rebrand with a "high fashion feel" to compete with Hollister Co. and American Eagle Outfitters. This included a new logo, remodeled stores, and a shift in advertising, but the investment proved disappointing.
By July 12, 2011, one third of Old Navy's North American locations had adopted the Project ONE redesign, which emphasized a family-oriented environment with better lighting, vibrant colors, and efficient layouts.
In 2012, Gap Inc. hired Stefan Larsson, an executive from H&M, to run its Old Navy division, initiating significant changes in design and strategy.
By 2015, Old Navy's yearly sales in the United States reached $6 billion, nearly equaling the combined sales of Gap Inc.'s Gap and Banana Republic divisions.
On July 25, 2016, at the Old Navy store in Abingdon, Maryland, manager Megan Yost falsely accused customer Saudia Scott of theft, leading to her detention and a subsequent lawsuit.
On October 26, 2017, Old Navy opened two new flagship stores, including one in Times Square, featuring extended hours and more retail space.
On April 23, 2018, a customer, Saudia Scott, filed a multi-million dollar lawsuit against Old Navy and its parent company Gap Inc. The lawsuit stems from an incident on July 25, 2016, at the Abingdon, Maryland store where a manager falsely accused Scott of shoplifting.
On February 28, 2019, Gap Inc. announced that Old Navy and Gap Inc. would split into two separate companies.
In 2019, Gap Inc. announced that Old Navy would exit the Chinese market in 2020.
On January 16, 2020, Gap Inc. reversed its decision and announced that the planned separation of Old Navy into an independent company had been aborted.
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