Limited Brands
Christie Coyle
CRS 231
March 27, 2006
Subsidiaries
• The Limited
• Express- Men’s and Women’s
• Victoria’s Secret
• Bath & Body Works
• C.O. Bigelow
• The White Barn Candle Company
• Henri Bendel
History of Limited Brands
•
•
•
•
•
•
•
Leslie H. Wexner opened his first clothing
store in Columbus, Ohio in 1963
Soon after, the single store turned into a
chain, and by 1981, Limited Inc. was on it’s
way to becoming a major name in the
retail industry.
Brands such as Express and Victoria’s
Secret became the most successful labels
in the early 90’s
Limited Inc. changed it’s name to Limited
Brands in 2002 to emphasize it’s
commitment to building a family of the
world’s best fashion brands. In this same
year, Lerner New York/ New York &
Company were sold, two companies that
were originally owned by Limited Brands
In 2005, Limited Brands reorganized it’s
entire company into business groups
instead of separate brands, which has
proved to be one of the most successful
decisions the company has made.
Today, Victoria’s Secret and Bath & Body
Works lead the company in annual sales,
and Limited Brands’ subsidiaries continue
to take the fashion industry by storm.
Limited Brands is a public company
Company Performance
•
•
•
Concerning the company performance in 2005, Victoria’s Secret made up
45% of the sales that surpassed 9,000,000,000. The apparel business accounted
for 27% of the earnings, and Bath and Body Works sold 23% of the earnings.
Looking at these numbers, it is easy to see that the apparel group of Limited
Brands is the least successful.
Number of Locations: ~Bath & Body Works- 1,568 ~ Express- 884
~ Victoria’s Secret- 1,001
~ The Limited- 323
Compared to February 2005, the net sales of Limited Brands in February 2006
have made a 4% increase
Brand Description
~The Limited~
• The Limited is a modern and sophisticated label for the fashionconscious female. The Limited markets their clothing toward workingwomen who are looking for affordable, yet chic items to complete
their wardrobe. Here is a bit of statistical information about The
Limited:
• Net sales (millions)~ $577
• Comparable store sales (2004)~ 5%
• Numbers of stores~ 323
• Selling square feet~ 1,948,000
• Sales per average selling square foot~ $285
• Average store size (selling square feet)~ 6,031
The Limited’s latest trend: The Skinny Jean
~Victoria’s Secret~
• Victoria’s Secret is by far Limited Brands’ most successful brand. It is
the world leader in intimate apparel and specialty lingerie. This
colossal retail power also has a very successful line of personal care
products, including everything from perfume to make-up. Victoria’s
Secret makes it easy for shoppers to access their merchandise by
having stores, a catalogue, and online shopping.
• Net sales (millions)~ $3,113
• Comparable store sales~ 9%
• Numbers of stores~ 1,001
• Selling square feet~ 4,868,000
• Sales per average selling square foot~ $648
• Average store size (selling square feet)~ 4,693
The newest swimwear line from
V.S. is now available
~Express~
• Express is another segment of Limited Brands that is apparel based.
The young, fresh, sexy label makes items for men and women that
can be worn for work or casual wear. What makes Express such a
leader is that their clothing is design-driven, so they specialize in
quality, original pieces that are affordable and desirable. With such
success in the retail industry, Express remains a fashion leader.
• Net sales (millions)~ $1913
• Comparable store sales~ 8%
• Numbers of stores~ 884
• Selling square feet~ 5,392,000
• Sales per average selling square foot~ $347
• Average store size (selling square feet)~ 6,100
The Design Studio Collection, Spring 2006
~Bath & Body Works~
• Bath & Body Works has come a long way from it’s beginnings. It has
refaced it’s entire image to become a more mature retailer from the
country-inspired personal care merchant it was 5 years ago. The
company has come out with lines of products meant to care for
more than just the body, such as AquaTanica Spa treatment and
their line of aromatherapy products. With further developments to
their marketing strategies, Bath and Body Works will continue to grow
as a retailer.
• Net sales (millions)~ $2,169
• Comparable store sales (2004)~ 12%
• Numbers of stores~ 1,569
• Selling square feet~ 3,556,000
• Sales per average selling square foot~ $611
• Average store size (selling square feet)~ 2,266
One of the latest lines of personal care
products from B&BW, AuqaTanica
Outlook for Limited Brands
•
Limited Brands has gone through
pivotal changes within their
company that have helped and
hurt their performance. Over the
past years, personal care sales
have improves, while the apparel
segments’ numbers have
decreased. When looking at the
SWOT analysis, there is potential for
a change in these trends.
According to MarketLine Business
Information Center, Limited Brands
strengths in their identifiable brand
name and a favorable variety of
products. On the other hand, their
weaknesses include a decrease in
profits due to operation costs and
increasing inventories.
•Limited Brands’ largest opportunity is
the global lingerie market. Now
Victoria’s Secret has a catalogue and
online shopping, the store can be
reached world wide. With their
successful marketing schemes, this will
skyrocket Victoria’s Secret’s sales.
Award and Honors
•
•
•
•
Most Admired Company – Specialty Retailer by Fortune Magazine
Best Overall Investor Relations- Investor Relations Magazine
Best Use of Technology – Investor Relations Magazine
Gold Winner- Overall Annual Report- International Arc Awards