Athleta Names Chris Blakeslee President and CEO
Gap Inc., seeking to get Athleta back on track, has appointed Chris Blakeslee as president and chief executive officer of the active and lifestyle apparel division.
Blakeslee, formerly president of Alo Yoga and its sister brand Bella+Canvas, will join Athleta in mid-August. He succeeds Mary Beth Laughton, who left the business in March 2023 amid flagging sales trends.
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“A true brand champion, Chris is known for driving results in high-growth businesses through the blend of creativity and operational rigor,” Bob Martin, Gap Inc.’s executive chairman and interim CEO, said in a statement Monday.
Gap Inc. purchased Athleta in 2008 for $150 million from Blue Highways Holdings LLC. At the time, Athleta products were only sold online and through catalogues. Seeing an opportunity in the burgeoning women’s active category — at the time dominated by Lululemon and Nike — Gap proceeded to steadily open Athleta stores and aggressively build the business. Last year, Athleta generated nearly $1.5 billion in sales and is expected to exceed $2 billion in sales in the near future.
For the last several quarters, however, business at Athleta has been weak. Net sales were down 11 percent to $321 million in the first quarter of this year “due to product acceptance challenges,” the company reported on May 25. Comparable sales were down 13 percent in the period.
In its statement Monday, Gap Inc. said Blakeslee brings “broad expertise in the apparel retail and wholesale industries, holding roles across marketing, sales, product portfolio management, operations, and supply chain, serving most recently as president of Alo Yoga and Bella+Canvas since 2017.” Alo Yoga, which focuses on yoga fashions and accessories as well as sportswear, would be considered a direct competitor to Athleta. Bella+Canvas is a wholesaler of better quality basics for men, women and children.
Despite its recent results, Athleta continues to be viewed as a long-term growth vehicle for Gap Inc. Filling the brand’s top slot is critical, and Gap Inc. accomplished that without too much time passing. But Gap Inc. continues what appears to be a difficult search for a CEO of the corporation. That role has been vacant since July 2022 when Sonia Syngal abruptly left, and Martin became interim CEO. Gap Inc. reported sales declines and losses last quarter and last year, experiencing challenges across all of its divisions. Aside from Athleta, the $15.6 billion Gap Inc. operates the Gap, Banana Republic and Old Navy brands.
Recently, the Wall Street view toward Gap Inc. has become somewhat more favorable due to the company’s “Power Plan 2023,” which focuses on continuing to build up Old Navy and Athleta while continuing to close Gap and Banana Republic stores. Cost reductions has also been a focus, in particular reducing management layers, with Gap Inc. on a program to save roughly $300 million.
As of late Monday morning, Gap Inc. stock price was up about 4 percent, or $0.35, to $9.48. It’s been as low at $7.22 and as high at $15.49 over the past 52 weeks.
Regarding Athleta’s potential, “I see incredible runway for the brand to capitalize on its unique, purpose-led positioning and performance product innovation, leveraging its assets across marketing, stores, product and community to deliver consistent growth,” said Blakeslee, in his statement Monday. “There is something really captivating about the ‘Power of She’ when it comes to engaging women and girls in all aspects of life,” Blakeslee said, referring to Athleta’s ongoing marketing mantra launched in 2016.
At Athleta, Blakeslee teams up with chief creative officer Julia Leach, who was appointed in May “to clearly and consistently articulate the brand voice and vision across all its touch points,” the company said.
Gap Inc. credited Blakeslee with focusing Alo Yoga on a “fashion-forward approach to wellness, building community and brand awareness with high-profile influencers as well as store and category expansion to drive growth. At the same, Blakeslee led the expansion of premium apparel wholesaler Bella+Canvas into the retail space, offering customers direct access to product both online and in stores.”
Earlier in his career, Blakeslee held senior positions at Border Brothers (now Alphabroder), a wholesale distributor of branded products and services. He began his career in manufacturing and distribution.
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