Gap Inc. Guards Brand Identity While Navigating Tariff Pressures During Retail Recovery
May/30/2025
On May 30, GAP (Apparel), LLC filed for an extension to evaluate a potential opposition against the trademark 'BRIJGAP', registered by Brijgap, Inc. for educational SaaS services, signaling the retailer’s commitment to protecting its brand identity even in unfamiliar sectors like neurodevelopmental software. Simultaneously, Gap Inc. faces mounting financial pressure from renewed U.S. tariffs, which may inflate gross costs by up to $300 million and reduce operating income by as much as $150 million, despite mitigation efforts. Still, Q1 results offered cautious optimism: Old Navy and Gap brands posted 3% and 5% comp sales growth, respectively, and company-wide net income climbed 22% to $193 million. E-commerce, now accounting for nearly 40% of sales, grew 6%, while total net sales rose 2.2% to $3.5 billion. With gross margin expanding to 41.8% and plans to save $150 million in costs, management remains focused on driving efficiency without raising prices—at least for now. However, executives struck a note of realism during the earnings call, acknowledging the destabilizing potential of trade policy fluctuations, which analysts warned could compromise the company’s recovery trajectory. Gap’s refusal to pass tariffs directly onto consumers has drawn favorable comparisons to Abercrombie & Fitch, highlighting a pricing strategy that prioritizes long-term brand equity over short-term gains. Following visualisation shows detail info on examined ‘BRIJGAP’ trademark.
