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The Official Victoria's Secret Thread


Kevork89

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7 hours ago, Cult Icon said:

Candice might make a second baby

 

:D

I don't think her super mega fans would be ready for that cause it'd mean she would be gone even longer :rofl:

 

@Kells. Ok if that's what you want to believe, but numbers don't lie. If Taylor is the new next queen then why did VS drop their swimline and their fashion show gets very low ratings? You'd think she'd be the one being able to save this sinking ship. Maybe read this article: www.forbes.com/sites/debraborchardt/2017/01/06/victorias-secret-december-sales-drop-as-angels-lose-their-wings/?client=safari

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30 minutes ago, gotportugal said:

VS has to thank itself for the drops and not the angels. Their super-sexualized photos and photoshop tecnhiques are driving costumers away

If you really believe that the models don't matter when it comes to how the company is doing... it sure does. VS has always sexualised and photoshopped pictures, this is nothing new. They also did this 10-15 years ago when they still had a ton of good models who a lot of people, grown women, not teens, actually liked. I think it was the 2001 or 2002 show where they interviewed people on the street about the show/the brand and some of these women were holding the VS catalog and said "I'm wearing some right now!". Back then they didn't have these models who looked very young and who seem to be a better fit for PINK than the actual VS catalog. I don't know what happend but nowadays some of the models for the show look like teenagers, and grown women probably aren't very interested in buying something from a brand that only seems to cater teens now. I still don't understand what happened to VS because it sure wasn't like this a couple of years ago. 

 I'm not saying they aren't over doing it now, but to act like they haven't done this before is just silly.

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Interesting article, @*Luna*

 

Quote

Jan 6, 2017 @ 11:54 AM

Debra Borchardt

 

Victoria's Secret December Sales Drop As Angels Lose Their Wings

 

Victoria's Secret still hasn't figured out that women are getting turned off by its hypersexual marketing campaigns and the disappointing holiday sales are the biggest evidence of that. Other retailers like Abercrombie & Fitch and American Apparel have dialed back the sexy, but Victoria's Secret is refusing to change. The holiday ad campaign with languid, pouty models strolling around a chateau seemed out of touch with what women want today.

 

L Brands, which owns Victoria's Secret, reported that December comparable sales fell by 4%. The overall comp sales fell by 1%. Part of this decline at Victoria's Secret was due to the loss of categories, like swim, that the company has decided to exit, but the rest was a decline in its core lingerie, its biggest business. Long known for high prices, the company tried selling some of its bras for as little as $10 in December, but even a deep discount didn't work. This is troubling because December is prime time for lingerie sales.

 

“Victoria’s Secret has been so in love with the beauty model they’ve created that I’m willing to bet they’ve never bothered to test whether their Angels are really what’s best for business,” said online lingerie company Adore Me's Chief Executive Officer Morgan Herman-Waiche. He said that his market tests have shown he sells more lingerie when he uses a curvy brunette model. He said blonde, skinny glamazons just don't move product.

 

In addition to its outdated approach to marketing lingerie, the company is also too dependent on its physical stores. L Brands has steadfastly maintained that while other mall retailers complained about traffic, they have had no problems. With 80% of its sales coming from the physical stores, the company is very dependent on traffic. Either customers aren't responding to the product or they aren't going to the stores. With only 20% of the sales coming from the direct channel, Victoria's Secret is falling behind in capturing the online lingerie customer. This stumble has created the opportunity for other online lingerie retailers like Adore Me to begin taking market share. Adore Me is now ranked No. 9 on Crain's list of fastest-growing companies.

 

Hermand-Waiche also believes that Victoria's Secret is losing the millennial customer who primarily shops by mobile and are expected to command 30% of the market by the end of the year. “Matching the disappointing online growth with a business model relying on 80% physical retail, it is clear to see: Victoria’s Secret is quickly becoming obsolete to 30% of the market,” he said.

 

Then there is the size issue for Victoria's Secret, which only carries a narrow range of sizes in its stores. Between the super skinny models and the limited size selection, the company has signaled to a huge portion of the bra shopping population that they should go elsewhere.

 

It's not like Victoria's Secret didn't see this coming. The company planned a restructuring to focus on turning around the bra business. They have created a bralette business and a sports bra business to tap into current trends. However, the bralette products are lower priced and purchased by the millennial customers that are turned off by the super sexy ad campaigns. Remember, these are women that are fighting against sexual assaults on college campuses.

 

When it comes to sports bras, female athletes certainly don't turn to Victoria's Secret first. Plus, the product is competing with giants like Nike and Under Armour who are actively courting the female athlete. Other competitors include cheaper products from Fabletics or Yoga inspired products from Lululemon, Sweaty Betty and Lucy Activewear.

 

Analysts are jumping ship on the stock as they also see that the company has lost its way. Ike Borochow, analyst at Wells Fargo said, “We believe there is a distinct lack of visibility into the VS business. Slowing top-line trends combined with meaningfully pressured margins leading to disappointing December results and a more conservative Q4 guidance, leading us to remain cautious on this name until more clarity into a turnaround can be gained or valuation becomes more compelling,” he said.

 

Brian Tunick of RBC Capital Markets cut his estimates and price target to $65. “We see a lack of visibility to earnings in the medium-term given a decelerating Victoria's Secret business and recent restructuring announcements,” he said.

 

Victoria's Secret may be stumbling, but it remains the largest lingerie seller. The overall company reported net sales of $2.438 billion for December, an increase of 1% over last year. The company didn't give detailed sales numbers for the lingerie business.

 

One thing working in Victoria's Secret favor is its Pink business, which continues to grow. However, it isn't a big enough business to offset the losses in the core lingerie. L Brands will be presenting at the ICR Conference in Florida next week. Presumably they will discuss the head winds facing the company as it moves forward without swim and apparel. Then, they will focus on the strategies they will use to try to turn its business around.

 

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14 minutes ago, Sanni said:

 

Yeah, I’m surprised people find that dimple attractive, even fainting and drooling over it. To me it’s more like a flaw than something to flaunt. Maybe it means something in fitness circles?

I thought I was the only one who found that dimple odd :rofl: it seems Josephine is becoming the new Candice lol, people complaining about her being everywhere. I honestly don't really mind it but it'd be fun to see a little more diversity than always using the same groups over and over again or Josephine and Sara getting paired.

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I have to agree I am getting sooo tired of Jo. This happens everytime, remember when Taylor was everywhere in 2015 and start of 2016? (she is everywhere now too but bearable). It comes and goes, just two years ago I was hella tired of Candice and now I just can't wait for her to be back. Who do you guys think will be VS's next obsession?

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