Global underwear brand Victoria's Secret (Victoria's Secret & Co., vsco) recently announced its preliminary results for the first quarter of 2024 as of May 4. Net sales in the first quarter are expected to decline by 3% to 4% year-on-year, while the previous The forecast is for a decline of 4% to 6%. Its shares rose more than 12% pre-market after releasing preliminary first-quarter results. At the same time, the brand announced that the Victoria’s Secret Fashion Show will officially return as a runway show this fall.
's performance has declined for two consecutive years.
's adjusted operating income in the first quarter is currently expected to be US$35 million to US$40 million, compared with the previous expectation of US$10 million to US$35 million. The brand highlighted April as its strongest month of the quarter and noted that trends throughout the period were improving. CEO Martin Waters said in a statement that while the current retail environment in North America remains challenging and the promotional environment is very competitive, Victoria's Secret and Pink Brand's digital businesses experienced strong performance throughout the quarter. In an improving trend, online sales are outpacing in-store results.
In the fiscal year ending February 3, 2024, Victoria's Secret's net sales fell 2.6% year-on-year to US$6.182 billion (approximately RMB 44.4 billion), and comparable sales fell 9%; net profit attributable to the parent company fell 68.7% year-on-year. % to US$109 million (approximately RMB 780 million). This is also the second consecutive year of decline in performance for Victoria’s Secret. In the financial report, Victoria's Secret attributed the decline in performance to sluggish demand in the North American underwear market. North America has always been Victoria's Secret's main market. In fiscal year 2023, offline stores alone in North America contributed 56% of total sales. However, sales in this region have declined year-on-year for four consecutive quarters. In fiscal year 2023, sales in this region have declined. is 11.0%. Sales of direct e-commerce and global businesses other than this channel recorded growth of 9.3% and 16.1% respectively.
Victoria's Secret has struggled with declining sales for much of the past two years. To attract customers, the retailer has rebranded its fashion shows and expanded its swim and apparel categories. Martin said shoppers love new arrivals and sales trends are improving for both the namesake brand and the Pink clothing line. At the same time, Martin warned that the North American retail market remains challenging as discounts and competition increase.
Victoria's Secret was founded in 1977 by Roy Raymond. At that time, Raymond named it after Victoria, hoping that the brand would evoke the exquisite dressing style of the British Victorian era. By the early 1990s, Victoria's Secret had become the largest underwear retailer in the United States, with 350 stores across the United States and sales of more than $1 billion. Public data shows that at its peak, Victoria's Secret had more than 1,200 stores around the world, selling an average of 600 pieces of underwear every minute, with annual sales exceeding 10 billion U.S. dollars. 50% of the bras owned by women under 30 in the United States were from Victoria's Secret. dense. In 2017, Victoria's Secret officially entered the Chinese market and opened five full-category flagship stores in Shanghai, Chengdu, Chongqing, Beijing, and Suzhou, as well as a Tmall flagship store. In 2022, Chinese underwear manufacturing giant Virginie acquired 49% of Victoria's Secret China's shares for US$45 million and jointly operated Victoria's Secret's Chinese business with Victoria's Secret.
The first show in five years
Victoria's Secret recently announced that it will officially return in the form of a catwalk show this fall. Currently, Victoria's Secret has not disclosed details such as date or location, nor has it revealed which models will participate. The brand emphasizes that the 2024 show will be more inclusive than in previous years, using a more diverse range of female models. Traditional elements such as Victoria’s Secret wings, fashion and music performances will also take this opportunity to return and be presented in new and modern ways. It is reported that this fashion show is the second fashion show held by Victoria's Secret after five years since 2019. The brand also reaffirmed its support for women's causes and will continue to cooperate with diverse and outstanding female consumers and communities in the future, and showcase Victoria's Secret classic images in various fields through a new perspective.
video has officially announced its return.
Victoria's Secret's official social media released a video on May 15, shot by senior Victoria's Secret Angel Candice Swanepoel, announcing with great fanfare that "We are back", which is expected to be held this fall.The video of Victoria's Secret announcing its return is only 30 seconds long. It first interprets the dialogue between Victoria's Secret officials and angels in the form of text messages. The content points out that "models will return to the runway" "this fall" and "bring your wings", while angels Then the reply is "We are back". Then the camera turned to the backstage of Victoria's Secret. Candice was wearing a black T-shirt. She stood up from the dressing table with a ready attitude. She turned around and saw the words on the back of the T-shirt that read "Victoria's Secret 2024 Show" in large letters. , we are back.” It was officially announced through the silent video that the Victoria’s Secret Fashion Show will return to the fashion circle this fall.
The Victoria's Secret Show was held for the first time in 1995 and has a history of nearly 30 years. It first appeared on the American Broadcasting Company Television Network (ABC) in 2001 and began to decline in 2015. Due to the continued decline in ratings, after Victoria's Secret completed its last show in 2018, the ratings hit a record low, less than one-third of the number of viewers at its peak. Therefore, the brand officially announced the cancellation of this annual show in 2019, and it has been until now. is in an interrupted state. At the same time, the brand closed more than 30 stores around the world in 2018, and by 2019 it had closed 53 stores.
The Victoria's Secret Show has been a global fashion audio-visual feast in the past. The supermodel lineup has always been the world's top level, including Miranda Kerr, Gisele Bundchen, KK, Naomi Campbell and other big names in the model industry. In addition, the guest performers are also very important. Lady Gaga, Taylor Swift, Martian Brother and other top celebrities perform on the stage to sing. The interaction with the Victoria's Secret Angels on the same stage is also a highlight every year. Among them, Rihanna's stunning black dress look in 2012 is still quite explosive now, more than ten years later.
2012 guest performer Rihanna.
In the heyday of Victoria's Secret in the millennium and before the Internet was globally popularized, the audience for a big show could reach more than one billion. The flashy wings, price and design of the fantasy bra are eye-catching. In the days before and after the show, the topic of the show will continue to occupy the main recommendation position in the entertainment and fashion media. A total of seven Chinese models have appeared on the Victoria's Secret runway in the past, the three most famous of which are He Sui, Liu Wen, and Xi Mengyao. The 2017 Victoria's Secret show was moved to Shanghai, which was also Victoria's Secret's first show in Asia. Previously, the Victoria's Secret show had only been held in three cities outside the United States: Cannes, London, and Paris. Six Chinese supermodels appeared on the stage, which was the largest number of Chinese supermodels participating in the Victoria's Secret show in history, and the ticket price was 350,000 yuan per ticket.
2017 Shanghai Victoria’s Secret Fashion Show.
Written by: Nandu reporter Wang Xin
