- Robyn Turk |
Victoria's Secret isn't looking so hot. Following a disappointing earnings report from its parent company L Brands, the American lingerie company plans to shutter at least 53 out of its 1,170 stores in North America this year.
The downsizing of its retail outlets does not come out of the blue - the brand closed 30 stores in 2018, twice the amount of its average annual closures of 15 stores.
“Our store closure plans are heightened in 2018 and we’ve pulled back on investing in new stores and the remodeling of stores substantially over the last several years,” L Brands chief financial officer Stuart Burgdoerfer told investors during a conference call Thursday morning.
Retail analyst Edited noted last month that consumers' interests in lingerie are turning away from the overtly flirty silhouettes such as those that Victoria's Secret offers. Instead women are becoming more interested in comfort and wider options for their intimates.
Brands such as THINX or Everlane who stand on missions of female empowerment have been seen to perform well in the changing market. Shoppers are also buying more understated colors, and brands who offer a wide range of nude skin tone options in underwear tend to be favored.
Consumers are also looking for size inclusivity across the board, and that goes for lingerie as well. Target said earlier this week that consumer feedback influenced its decision to launch a private lingerie label called Auden that offers expansive sizing options. Perhaps Victoria's Secret can take note.