In 2018, Victoria’s secret inner clothing TV recording rate continued to innovate, and 3.27 million viewers were not as good as 2016, and it was more than 10.3 million in 2001, and this data is here. The program is obtained from Tuesday to Sunday while transferring from CBS to ABC. To the current 2018 sales data set a minimum of 4 years, and the Ni Mu Mother L Brands has a net loss of $ 42.8 million in the third quarter of 2018, about RMB 300 million. Since 2018, its share price fell all the way, and the plunged 4%, the market value evaporated, only 9.1 billion US dollars. The CEOJAN Singer also announced resignation, and the L Brands Group announced that Tory Burch president John Meha was successive.
This market share leading brand became proud and ignored the changing consumer taste and gradually rising competitors.
“Victoria’s secret” year show broadcast on December 2nd, the old suit of sexy girl’s show is completely in line with our expectations for this business giant: 光 四 四 装! Oversized wings and peacock feathers! Fluffy and elegant hair, slender body, is really incredible!
This gorgeous feast is the retailer’s recent epitome of many problems. The fashion show that lasts for a hunteen is just a praise of sexy and charm goddess, and the woman in this era apparently expressing “not interested in this atmosphere (this fashion show is not completely for female customers).
“Victoria’s Secret” parent company L Brands’ share price plummeted more than 45% this year, and became one of the worst stocks in the standard Pohtine 500 index. There is an endless taste of business difficulties. The company announced sharply annual dividends in November 2017, and the CEO of Victoria secrets and PINK brands have recently resigned.
Need an angel
Due to the dull performance of Victoria, the stock price of L Brands in 2018 was hit hard.
After watching Victoria’s secret show, I thought of a question: How did this powerful chain brand be unable to do with the change of the taste of consumers?
My opinion is as follows: There is a huge market share in the bra underwear industry (in the scattered apparel market, this is a unusual advantage), which makes the brand are proud.
In general, when the US women buy clothes for themselves, their consumption choice is very broad, including not only the national brand sold by cheap chain stores and department stores, as well as the company of Target Corp.. Brand, of course, there is also a clothing store distributed at the mall.
But the scene in the underwear industry is very different. Victoria’s secrets occupy a huge share in the US market, in the underwear (including bras and underwear) and pajamas (including pajamas sets and silk shirts) are industrial boss.
Unlike underwear and pajamas, other clothing products are more scattered (underwear, pajamas, footwear, jeans, coat)
Note: Data is American women’s clothing; weals include skirts, dress, shirts, jackets and jackets, not including jeans. Wal-Mart and Tajitt’s data are self-branded.
However, as a leading brand in the market share, Victoria’s secret deviation is from the right track. So why this advantage suddenly became a burden? Because a series of factors constitute new challenges, weakened the brand to resist competition.
Ed Yluma, Retail Analyst in Kemato Capital Markets, pointed out that production of improved bra (Victoria’s secret product) has a certain difficulty in engineering design, is also a unique supply chain ability. But he also said that many factories can produce the latest popular styles, such as no chest pad bra and sports bra, which makes new competitors easier to enter the market, from the secret of Victoria.
New brands such as Thirdlove and Adoreme are also expanding their business, but they are not enough to challenge Victoria’s secret hegemon status. The emergence of these brands exposed the fact that may have already existed: Some consumers choose Victoria’s secrets because they really want to buy. They patronize this brand because they have not found a better choice.
This makes me think that how the cable TV service providers dominated by a certain area go on a bad customer service, or how the airline will make passengers more than 25 US dollars checked baggage: they can provide dissatisfied customer experience Loss, because consumers do not have much room for choosing too much.
Today, Victoria’s secret is no longer a good retail brand, and the strategy of nuggets is not the only mistake. Think about this brand of swimwear: The brand decides to cut off the swimwear business in 2016, the reason is that the swimsuit is a very seasonal product, which is scattered support for the core product underwear series.
However, in November, the company said that decided to re-launch the swimwear series in 2019, Stuart Burgdoerfer told the investor, “mainly” is mainly driven by customers “. This sentence means that the company is forced to make 180 degrees in a major strategic measures, as it is not well to grasp the consumer’s response to this.
Victoria’s secret still has a hope to return to the right track. Think of the legendary experience of Abercrombie & Fitchco. This mall giant has also been in trouble a few years ago. At that time, the company’s main muscle fierce and poster girl’s sexy image, stubbornly insisted on the stylish style of the early 21st century. Although it took some time, this company seems to have finally found the way to get out of the predicament.
After the long cycle of missed consumers, Ai Fu and Hollister brands have recovered more than sales growth.
(Hollister can be more sales; year-on-year change and love fun can be more sales; year-on-year change)
At the beginning of December, the share price of Aifu has nearly 21%, and the company’s release of the report showed the growth of revenue in the third quarter, and appointed the HollisTin Scott promoted to manage all the global world. The new executive of the brand, this move made Hollister’s outstanding performance more promising to drive its brothers. Due to the low price and marketing strategy and the main product, Hollister has taken more than half of the income of the company for several years.
If Victoria’s secret wants to find a similar life-saving straw, I suggest that the brand abandoned the way of thinking as a leading business in the market.