Victoria’s Secret laying off workers, restructuring to focus on lingerie and millennials
Victoria’s Secret is laying off workers and restructuring its business to streamline its focus on its famous lingerie, with an eye towards millennials.
The company said it’s restructuring into three business units: Victoria’s Secret Lingerie, Victoria’s Secret Beauty and PINK, a brand marketed as “a college girl’s must-shop destination for the cutest bras, panties, swim and loungewear.”
The company, which has more than 3,000 stores in the United States, the U.K. and Canada, said it’s eliminating 200 home office associates in New York City and at its headquarters in Columbus, Ohio.
Parent company L Brands also said that net sales increased 5% and same-store sales increased 3% during the five weeks ended April 2, compared to the same period last year.
“Coming off a record year, now is the best time to make improvements,” said Leslie Wexner, a 77-year-old billionaire who founded the company in 1963 and replaced Sharen Jester Turney as CEO less than two months ago. “We are making these changes to accelerate our growth and to strengthen the business for the long term by narrowing our focus and simplifying our operating model.”
The company also said it would integrate its business “as a primarily digital channel” in order “to align with how customers engage with the brands.”
L Brands did not immediately return a message form CNNMoney about what this means for the fate of its famous catalog, which has featured supermodels like Gigi Hadid, Adriana Lima and Laetitia Casta.
Turney, who was with the company for 16 years, resigned in February “to prioritize my family and my personal life and consider what’s next for me professionally.” She planned to continue working with L Brands as an adviser.