Table of Contents

Retail Overview 2

Research & Analysis 4

Marketing Analysis 5

Retail Financial Analysis 6

Conclusion 7

Works Cited 8

Photos of Company 9

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Retail Overview

Victoria's Secret is the leading specialty retailer of women's intimate apparel and other apparel with fashion-inspired collections, fragrances and cosmetics, celebrated supermodels and a world famous runway show. Leading the brand is president and CEO Sharen Jester Turney. Through Victoria's Secret Catalog and VictoriasSecret.com, Victoria's Secret Direct makes it possible for customers to experience the intimate lifestyle of Victoria's Secret 24 hours a day, 7 days a week. Victoria's Secret Direct reaches more than 390 million customers each year through Victoria's Secret Catalog - and their website is one of the fastest growing and profitable e-commerce destinations on the Internet ("Victoria Secret").

4 Limited Parkway East Reynoldsburg, OH 43068-5300, United States

This retailer is part of a Conglomerate Both Victoria's Secret Direct and Victoria's Secret Stores are owned by L Brands. L Brands is the leading specialty retailer of apparel, lingerie and personal care products through the Victoria's Secret, Bath & Body Works, White Barn Candle Co., C.O. Bigelow, La Senza and Henri Bendel brands (Biesada).

There are five subsidiaries and the family tree includes approximately 3,199 locations.

Victoria Secret target market represents an aspirational lifestyle — a way of life. Victoria Secret helps customers feel sexy, bold and powerful. They entice customers to pamper and indulge themselves, and to add a dash of fantasy and fun to their everyday lives. L Brands family of the world’s best fashion retail brands invites customers into a whole new world of beauty and style. Middle class woman or man shopping for a middle class woman aged 21-49 (Our Company). The customer wants to feel sexy and look sexy, which is why she comes to shop at Victoria's Secret. Whether she is trying to buy lingerie to wear on a casual day or on a night to impress someone, Victoria's Secret caters to her needs and wants. She is not afraid to look sexy or wear skimpy lingerie (Remini). Victoria's Secret's PINK line attracts people outside of the Victoria's Secret market. These are the younger age women, such as the college student aged 16-29. The bright colors, trendier prints and smaller attire appeals to be more casual and laid back than the traditional Victoria's Secret line. This line inspires the younger generation to come into the store and shop. Victoria's Secret recognized that there is a fad with females who are growing up faster and faster. “The Pink line position's itself as an acceptable method of offering female young adults the opportunity to purchase items were not many other apparel brands will (Remini).”

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Victoria’s Secret target customers are women between the ages of 18 and 49 who want to own fashionable undergarments and lingerie. Victoria’s Secret target market includes people who live in cities with malls and have access to the Victoria’s Secret stores. Recently however with Victoria’s Secret website, they have increased their target market to customers who live in small towns without proximity to an actual store. Most shoppers don’t have kids between the ages of 0-2 and 13-17. On the other hand, most shoppers do have kids between the ages of 0-17 (Clark). Another important target market for Victoria’s Secret is males. Especially around Valentine’s Day and Christmas, men shop for lingerie for their significant others. Victoria Secret competitors are Frederick's of Hollywood Group, Redcats USA, and the Gap (Biesada). “Aerie, a brand owned by American Eagle that primarily serves as competition for Victoria’s Secret PINK line geared toward college-aged adults (Clark).”

The current economic climate affects Victoria Secret because it is now spring so of course you have people vacationing and teens and young adults are currently on spring break. Due to weather conditions it is still cold in Chicago and everyone isn’t shopping for spring their shopping for what the weather is currently. So of course Victoria Secret has all these swim and spring wear out on the floor and all the quantity won’t sell as much or will I don’t know there sale numbers.

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Department Research Analysis

I selected the PINK department. I went on a Friday because that’s usually when I have free time and I wanted to go during spring since that was the upcoming season. I went Friday, March 21 to be exact. It was in the evening after 3 pm. I went to the River Oaks Mall in the suburbs. From my viewpoint the traffic was pretty high and anytime I go in there it’s always is unless I go in the morning time during the week.

The product mix includes swimwear, sleepwear, loungewear and bras and panties. The basics will be their v neck cotton tees in different colors also yoga, leggings, and shorts. I didn’t see any products that I would classify as a fad. Pink stays in the “now” to me, their very fashion forward. I would classify the v necks and yoga pants as classics because there every day where, there like staple products. Victoria Secret uses the assortment strategy that allows them to offer many products for consumer selection. They offer a wide line of products that include intimates, clothing, sleepwear, beauty products and even shoes. They have lots of products and have inventory on hand to sell and provide different fun flirty colors and styles. Spring colors that follow the forecast for this season is pink, teal, orange, bright blue, neon colors, and the basic colors are maroon, black and white. The size range that’s offered is from XS-L. Price points offered will be $19.99, $29.99, $39.99 and bras 2 for $42 and 5 or 6 pair of panties for $25. Merchandise that’s marked down was sweatpants, and you’ll get things in a bundle for 2/$32 if you purchase tops, bras and leggings. I believe their planned because pink always seem to have what consumers are looking for and wanting always and just so people will get more they give things away in a bundle.

PINK is big on promotion they have free pink panty with a $10.50 pink purchase, waterproof totes for $34.50, and swimwear starting at $29.50. Yes, I do believe the buyer purchased the right product assortments, colors and sizes. The unique strategy I love is when Pink holds their Semi Annual Sales to drum up business. These sales occur in the winter time (usually every January) and also every summer. These sales are huge (some ladies ransack the displays to find the best deals) and they get tons of people into their store. I don’t think I have ever been to a Semi Annual Sale where I didn’t have to wait at least 15 minutes in line to pay for my purchases — that’s just the way it goes. Many of the items that go on

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sale during this time are usually discounted between 40 and 70% off. People who love this store go crazy over these prices, because on a regular day, their prices aren’t usually that cheap. I wouldn’t do anything differently I love everything about PINK and I believe I’m a part of their target market.

Marketing Analysis

Victoria Secret give customers reasons to visit by sending them coupons, special offers, and best of all free stuff. Freebies, Exclusive, Limited-Time Coupons, and Incremental Incentives. They may provide $10 off, but they’re getting you to spend money there. The incentive gets customers through the door and the sought-after merchandise urges them to stick around and do some more shopping. Victoria’s Secret sends these out every month to all of their customers, and the best thing about this coupon is that there is no purchase necessary. Another one of their great techniques is when they send coupons for “10 dollars off any Pink purchase.” In this situation, customers would receive $10 off any Pink brand item bought in the store. Pink is extremely popular for Victoria’s Secret, and there’s a wide selection in this line. There’s something for everyone. Not everyone likes waiting in lines for the best prices, and VS understands that. That’s why they incorporate online-only deals. For example, they may give a $15 discount for every $100 spent, $30 off for every $150 spent, or maybe even $75 off for $250 spent. This incremental technique is another way for the store to gain new business (Jaimie). To get their message out to their target consumers they use internet, email for customers who make purchase in store and online, television and print ads, online/digital advertising, annual fashion show, in store window displays, also I have an iPhone app and it was free to download, so I personally shop, look to see what’s new and make purchases from my phone. It’s hard for me to choose which

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approach is most effective because I believe all approaches reach their consumer wants and needs and get their brand out there. I believe the way they communicate with the targeted market reaches millions of people because there advertised everywhere. I want to say their approaches are outstanding. Victoria Secret does an excellent job at marketing their target markets, stores, catalogs, and PINK. I don’t think I would choose a different route because their stores out there that can’t reach out to their target market like they want so for Victoria Secret to do this with no problem is brilliant.

Retail Financial Analysis

My excel document is attached at the end of the journal. This is financial information for Limited Brands for the last three years. Limited Brands income statement shows an increase in net income of 8.4% within the last year. For the last three years Limited Brands has been growing, in regards to net income. Fiscal year ending January 29, 2009 saw a decrease in net income, most likely due to the beginning of the worldwide recession. These figures are for Limited Brands as a

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whole. Increasing the total number of sales that they make would be my suggestion to increase revenues.

Conclusion

I believe Victoria Secret add numerous of things to the retail community. Victoria Secret states the obvious to the industry of what it adds to the retail company –Sex, it sells! Every woman wants to feel sexy and confident in what their wearing and Victoria Secret helps they convey this look. Furthermore, I believe Victoria Secret wants the women to fit their standards because anybody shape or size can’t fit into their different pieces of wardrobe because how tiny they there size goes up to. Also I believe they straddle the fence because if you are plus size they have the beauty. The beauty segment includes make-up, fragrances, body care, skin care, hair care, and tanners; they make up for the clothing they don’t provide in your size. Victoria Secret is innovative; they have many of offers that qualify them for this category. Victoria’s Secret bases a great deal of their business around innovating new bras that offer better support or larger cleavage. I’ve recently went on their websites and some new innovations they launched are: New Body by Victoria and Very Sexy Collection, #1 Very Sexy Push-Up, The T-Shirt Bra, Bridal Boutique and (“Victoria’sSecret”). Victoria Secret is the master at innovation. They consistently evolved and create many new things that keep their customers wanting more and they keep them coming with the new ventures they create. It is hard for me to say whether they are going to be around or not. Far as they’re targeted consumer of course I believe they going to be in its present form in 10 years. Moreover, if they want new consumers and to reach out to every single woman in the world they have to reach out to every woman body size and shape far as expanding. I believe they will stay on top with that idea because I believe there singling out woman and it’s not right but there true to their brand. Basically targeting new customers would make them a more successful company. They already got all the marketing, trends, and millions of consumers that will remain loyal to. This gives every woman a reason to shop at Victorian Secret because

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there won’t be any limits to not shop there. . My article that supports my conclusion is behind what I think and share a lot of similarities with my view of point on the retailer. Victoria Secret is a favorite store of mine but I believe in room for improvement (Morabito ) .

Works Cited

Biesada, Alexandra. "Victoria's Secret Direct." Hoover's, Inc n.pag. Hoovers. Database. 19 Apr 2014.<http://subscriber.hoovers.com/H/company360/overview.html?companyId=104484000000000>.

"Victoria Secret." L Brands. L Brands, n.d. Web. 19 Apr 2014. <http://www.lb.com/our_brands/victorias_secret/about.asp&xgt;.

Our Company. Limited Brands.http://www.limitedbrands.com/our_company/about_us/default.aspx

Remini, Gina. "ginaremini.blogspot." Victoria Secret. N.p., n. d. Web. 19 Apr. 2014. <http://ginaremini.blogspot.com/2013/05/target-market.html>.

Clark, Lauren. "Customer Profile." Victoria Secret. N.p., 18 Oct 2011. Web. 19 Apr 2014.

Jaimie, Smith. "4 Victoria’s Secret Marketing Tricks That Get People Through the Doors." Quality Logo Products. N.p., n. d. Web. 20 Apr. 2014. <http://www.qualitylogoproducts.com/blog/4-victorias-secret-marketing-tricks/>.

"Victoria's Secret." VictoriaSecret. N.p., 20 Apr 2014. Web. 20 Apr 2014. <http://www.victoriassecret.com/>.

Morabito, Kristia. "Victoria’s Secret: Uncovered." Victoria’s Secret / body image / sizing / lingerie. n. page. Web. 22 Apr. 2014.

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