Gap Inc. (NYSE: GAP) announced the launch of Encore this week, a new membership program that goes beyond points and discounts by introducing new fashion, entertainment, and cultural moments for members.
The program encourages and rewards activity across all its iconic brands, including Old Navy, Gap, Banana Republic, and Athleta. Encore is reported to be one of the largest programs in U.S. apparel retail, with nearly 40 million active members across its brands.
The official press release adds that the new Encore credit card will set a higher standard in apparel retail loyalty by rewarding customers even when they shop outside the Gap Inc. portfolio.
Gap is not launching “just another loyalty program,” it is establishing it as a “powerful new tool to bring our Fashiontainment platform to life," said Pam Kaufman, Chief Entertainment Officer of Gap Inc. "Through partners like Disney, NBCUniversal and AMC Theatres, we can translate what people love on screens and stages into experiences they can actually access – from early drops and exclusives to cultural moments you can't get anywhere else. It's a new way to participate in entertainment through style, and to feel closer to our brands."
- The new approach is timely for Gap as it continues on its path to reestablish a high level of cultural relevance with consumers. Phil Rubin, Founder Grey Space Matters notes that a "sea of sameness" persists in customer loyalty, where most strategies remain points-based and transactional. He cites findings from a VM Future 100 study reporting that 76% of consumers are seeing no brand differentiation, up from 72% last year.
- And while agentic AI may be the future of marketing, it risks making brands devoid of personality. Phil explains in this article why consumers reward a brand for authenticity and why authenticity and trust are the foundations of continued patronage and loyalty. The structure and intent of the new Encore program seem to vector towards these goals.
- Pointing out the line of demarcation between marketing as we know it and Agentic Commerce, Michael Cichon, Former CMO with 1Kosmos, said “One immutable truth is that we go about marketing to meet and engage people. We look to create an early emotional connection with our brand and then engage people at a time and place they choose and in a mindset that is open to engage. “AI works best when it amplifies human judgment rather than replacing it. Keep humans in charge of the moments that matter—the creative decisions, the relationship building, the oversight that prevents automation from becoming alienation.”
- Encore will continue to offer clear, intentional savings that complement everyday value. Points, rewards, and benefits remain simple and easy to use, while higher tiers unlock enhanced value over time, rewarding both engagement and long-term relationships. But Encore members will also begin to receive early access to select products and exclusive drops, and access to brand moments and partner offerings across fashion, entertainment, and culture.
Expounding on the brand halo for the new program, Richard Dickson, President and Chief Executive Officer of Gap Inc. said "Fashion is entertainment, and today's customers aren't just buying apparel, they're buying into brands that shape culture and tell compelling stories", adding "Encore connects our brands and partnerships in new ways to meet that demand and change how customers engage with our brands. By bringing fashion, entertainment and access together, we are building momentum, deepening relationships and creating long-term value across our portfolio."