The target takes Victoria's Secret

Victoria's Secret has long dominated the intimate product market with images of mannequins in push-up bras at prices of up to around $ 60, but consumer preferences have been more geared towards more natural looks and less structured clothing, such as sports bras and bralettes. easier for clothing retailers and online sellers to compete.

Target will launch next month three brands selling women's bras, underwear and pajamas that are expected to reach more than $ 1 billion in sales in one year. Part of the sales will come from the elimination of Gilligan & O'Malley, its existing brand of underwear and nightwear. Target said all new bras will cost less than $ 22 and will include more sizes.

Amazon.com
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Mae, who launched her own lingerie line in 2017, sells private label bras at prices ranging from $ 10 to $ 22 most of the time.

Victoria's Secret also faces competition in the high end of the market, where advanced companies using social media and e-commerce, including ThirdLove and Lively, are presenting themselves as more natural or inclusive alternatives.

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The Aerie lingerie brand has taken off since the teen retailer stopped airbrushing its commercials and began offering models of different shapes. Adore Me, who started out as an online business but recently opened stores near Victoria's Secret, said one-third of her revenue came from plus sizes.

The popular bra styles are now often without any frame, or the metal band used to create structured bras or push-ups. According to data from NPD Group, sales of wireless bras increased by 10% in 2018, while underwire sales decreased by 8%. The market research company also said intimate in-store sales were down 3% last year, while online sales rose 7%.

Victoria's Secret has been trying to adjust by selling more sports bras and styles that emphasize comfort, but the brand has used markdowns to drive traffic to its stores and website. The company recently replaced its general manager of lingerie, brought catalog shipments and teased a new collection of swimwear after deciding to eliminate the category over two years ago.

In an effort to win new customers in the lingerie industry, Target has announced the launch of a marketing campaign featuring women of different ages, ages and ethnic backgrounds. The company also indicated that it also avoided airbrush images, as it had done with advertising on swimwear.

Target said more than 40% of its new bras will be wireless and plans to create dedicated sections on its website and in stores for new brands. The website will also offer a tool to help women find their place for a bra. Over the past three years, the company has launched 25 private brands and some clothing brands have exceeded one billion dollars in sales in their first year.

"It's a good time," said Mark Tritton, sales manager at Target. "Consumer preferences in these categories have evolved, the industry has evolved and we have created significant momentum for our broader apparel industry."

Target's new tags seem to fit the brand strategy used by Victoria's Secret's parent company

The Brands
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Target's new lingerie line, Auden, is for women who buy at Victoria's Secret. Colsie, its brand of casual wear, addresses the customers of PINK lingerie brand, L Brands, aimed at younger women. The company is also launching another brand of nightwear called Stars Above.

Juozas Kaziuk marketingnas, founder of Marketplace Pulse, an ecommerce-based business intelligence company, said Juozas Kaziukėnas, founder of Marketplace Pulse. "Amazon's strategy has worked for cheap generic items such as batteries, but not for something as intimate as lingerie," he said. Amazon declined to comment.

Comparable sales at Victoria's Secret, which include digital and comparable sales, fell 3% in the fourth quarter and 2% in 2018. The company also announced plans to halve its annual dividend as of March.

Meanwhile, the lingerie retailer remains married to its traditional marketing. In an interview with Vogue last year, Ed Razek, L Brands' longtime marketing director, said he did not think the Victoria's Secret fashion show should include transgender models, which would trigger negative reactions customers and celebrities on social media. He then apologized. Viewers of the fashion show have collapsed in recent years.

Victoria's Secret still accounts for about a quarter of the US women's underwear market, more than four times the share of No. 2 competitor, according to Euromonitor.

"If you ask someone, Victoria's Secret is dead and their marketing is a relic of the past, but they sell a lot of bras using the same marketing that everyone finds so unpleasant." "said Simeon Siegel, an analyst at Nomura Instinet sector. "With over $ 3 billion in lingerie sales, someone still buys the product."

Write to Khadeeja Safdar at [email protected]