Victoria’s Secret
“Limited Brands is committed to
building a family of the worlds best
fashion brands offering captivating
customer experiences that drive
long-term loyalty and deliver
sustained growth for our
shareholders”
Brooke Malama
Ocean Trail
Yifu Ma
Background
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Founded in 1977 by Roy Raymond,
who wanted to create a retail concept
that was comfortable for the male
consumer
Held by L Brands Inc. (NYSE: $56.61)
59% of revenue is generated by VS
Specializes in lingerie, womenswear,
and beauty products
Around 1019 stores (US)
VS Target Market
● Sexy and confident
women
● Middle class woman,
age 20 to 40.
● Shifted target from
men buying lingerie
for a spouse to a
focus on women
PINK Target Market
● Gateway to Victoria’s Secret line
— Good Strategy to foster brand loyalty
● Young and confident college girls
— Bright product color
● Trend: High school girls and teens
Store Layout
Consistent with brand image
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Pink lighting fixtures and
magenta armoires
Separate rooms for each brand
Displays of mannequins dressed
in lingerie
Portraits of VS Angels
Dressing rooms with large
mirrors and couches
Sales associates assist
customers by finding appropriate
sizes
Marketing Strategy
Multi-channel retailing
- Social media
- Email marketing
- Mobile marketing
- Victorias Secret Fashion Show
- Promotional Offers
- Semi annual sale
- VS all access
- Coupons
- Online deals
- Reward cards
SWOT Analysis
Strengths
- Strong company brand presence with over 1000 company stores across
the globe.
- Utilizing all their social media platforms (Facebook, Twitter, YouTube,
Pinterest, Instagram)
- The company’s sub-brand Pink targeting late teen and college age teens
has been a great success.
- The company’s active online marketing wherein they have active blogs,
catalogues to create awareness about their product lines.
- The brand uses organic and fair trade raw materials for it’s clothing lines.
Weaknesses
- Several competitors means customers have a lot of choices and brand
switching is high
- Fake products with the same name affect sales as well as brand image
SWOT Analysis
Threats
Opportunities
- The brand can extend its
portfolio by foraying into different
lines to expand its offering.
- The brand can focus on markets
like Asia where it has limited
reach.
- The brand could create online
digital dressing rooms to create a
greater appeal for their products.
- Due to limited
resources the
company can face
serious issues in
lieu of an
economic
downturn
- The highly
fragmented
fashion industry
would mean less
brand loyalty .
- Competition
among other
brands
References
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http://finance.yahoo.com/news/l-brands-present-icr-xchange160000014.html
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http://editd.com/blog/2013/04/the-booming-lingerie-market/
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http://www.pamperedpassions.com/victorias-secret-brief-history
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http://investing.businessweek.com/research/stocks/private/snapshot.
asp?privcapId=4175421