Victoria’s Secret Has a Generational Problem
Four years ago, Victoria’s Secret abandoned its signature sex appeal in favor of a more inclusive, modest image. But with sales sliding and activist investors circling, the brand is in trouble.
In 2021, Victoria’s Secret launched a major rebrand, trading its sex-soaked marketing for a more inclusive, Millennial-friendly image. It replaced its Angels with athletes. The mannequins came in a wider range of sizes. And it began selling previously shunned items, like nursing bras.
At the time, we were skeptical of the decision. (See “Can Victoria’s Secret Rebound?”) The danger was that in trying to win over new customers, Victoria’s Secret would lose all of what—for better or worse—made it distinctive and (in the past) expanded its margins. It risked losing all the faithful customers who once paid a premium to partake in the mystique.
It turns out we were right to be skeptical. In 2024, sales were only $6.2B. That’s a -21% decline from its peak in 2016 ($7.8B). Moreover, its market value ($1.5B) has declined by over -50% since its split from L Brands in 2021. And activist investors are circling the ship. Barington Capital, which owns 1% of the company, is calling for a return to Angels and a larger emphasis on bras. BBRC International, which owns over a tenth of the company, is calling for new leadership.
Young people are indeed having less sex than previous generations. And they get fewer thrills by pushing the edge on the risky and risqué. (See “Where the Wild Things Aren’t.”) But that doesn’t mean sexuality can’t sell. Pop music, for example, remains deeply saturated with sexual content—lyrics, videos, and performances alike. To be sure, it’s no longer transgressive since it’s not much different than what mom and dad once watched. But the whole erotic, semi-nude cakewalk schtick, with appropriate guardrails to ensure its safety for Millennial consumers, still has plenty of years left to run.
Still, you may ask, when will selling sex again become as truly exciting to youthful consumers as it once was to young Boomers and young Xers? The answer: Not until the culture blocks a generation or two of children from much access to it. That censoring dynamic is already underway. And, if yesterday’s Supreme Court decision upholding state laws barring minors from viewing online porn is any indication, it may be accelerating. Rough guess? Look for sex to be exciting again to youth sometime in the 2040s.
great piece, thank you.