Victoria’s Secret, which celebrates its 40th anniversary this year, was the self-proclaimed arbiter of sexy and a ubiquitous fixture in American malls in the 1990s with pushup bras and thongs. Its annual fashion show was a spectacle that showcased barely covered supermodels in its catalogs and campaigns. Models such as Christy Turlington, Naomi Campbell and Gisele Bundchen made the company famous, and its lingerie became a staple in women’s closets.
The company was founded by Roy Raymond in 1982 with five stores and a 40-page catalog, selling products such as lace camisoles and panties. It was a hit, and by the early 1990s, the chain had more than 350 locations and sales of $1 billion a year. Raymond sold the business to Les Wexner, founder of Limited Stores Inc of Columbus, Ohio, for $1 million. Wexner created a business model that focused on female customers and diversified the product line to include sleepwear, beauty, shoes, activewear and PINK, a line for pre-teen girls. The fashion show was introduced in 1995 and became a centerpiece of the brand.
As the body-positive movement gained traction, Victoria’s Secret started incorporating curvier models into its shows and campaigns. But it wasn’t enough to offset declining sales and a growing number of competitors, including the on-trend Savage X Fenty and Parade. In addition, some critics said that Victoria’s Secret’s overt sexualization was harmful to young women.
In 2023, the company dropped its controversial “Perfect Body” campaign in a bid to reclaim the trust of consumers and win back younger shoppers. The move was met with mixed reaction on social media, with some praising the campaign while others accused it of perpetuating body dysmorphia in young women. The brand also relaunched its iconic Fashion Show in 2023 and hired a diverse group of Angels, with Bella Hadid, Paloma Elsesser, Kate Moss and Alexis Bledel participating.
Despite these changes, the company struggled to maintain growth and was forced to restructure its debt and equity arrangements. In 2020, Wexner sold a majority stake in the company to a private-equity firm for $525 million. The firm then brought in Ed Razek, the former chief marketing officer of L Brands, to turn around the struggling business. Razek was known for his rigid view of what was marketable sex appeal, and his ideas were often met with online backlash.
Same-store sales slipped 3% in 2018, and the retailer was losing market share to new companies, according to Barington. In an effort to boost revenue, the company is reviving its popular fashion show and introducing a film and a new line of merchandise. It also plans to expand its offerings beyond bras and lingerie to include swimwear and activewear, categories that it exited in recent years, Unis said. It will also boost the assortment of loungewear, slip dresses and corset tops, and improve its assortment of sweatpants and track pants. The company is also looking to increase its presence in the booming marketplace for athleisure, with new ventures such as Happy Nation, which will sell first bras and apparel to pre-teen girls.