Gap is shifting focus to growth. It will now leverage its iconic brands and scale to deliver growth in online and mobile channels, US store expansion, and continued market share leadership in loyalty categories. It will simultaneously increase its presence in more profitable value and online channels while continuing to shed square footage in lower productivity specialty locations.

Among Gap’s brands are Old Navy and Athleta. Over the next three years, the company expects to add about 70 net new stores. The company has built a profitable online and mobile business with double-digit sales growth and industry leading capabilities. Gap sites are built on a proprietary e-commerce platform that enables wide-ranging capabilities, including cross-brand shopping, omni-channel services, and an upcoming buy online, pick-up in store service as well as a new personalization engine powered by customer data.

Over the next three years, Gap will accelerate this work with continued investment in areas like direct fulfillment capacity, loyalty, personalization, omni-channel services, artificial intelligence and other data-driven customer experiences.

Taking advantage of Gap’s scale creates an opportunity to drive greater efficiency, speed and profitability. The company will leverage its size and scale, cross-brand synergies and streamline operations and processes. The company plans to reinvest a portion of productivity related savings in its growth initiatives, providing opportunity for margin expansion.