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Loyalty Drives Victoria's Secret Dominance in the Intimates Market

Loyalty Drives Victoria's Secret Dominance in the Intimates Market, According to a New Report from The NPD Group

Victoria's Secret is attracting a loyal consumer who shops frequently, and spends more than the average intimates consumer, according to The NPD Group, a leading global information company. Over a quarter of in-store and online intimate apparel buyers purchase bras or panties from Victoria's Secret, according to the new Victoria's Secret Playbook report, based on analysis from NPD's receipt mining service, Checkout Tracking℠.

Victoria's Secret is attracting a loyal consumer who shops frequently, and spends more than the average intimates consumer, according to The NPD Group, a leading global information company. Over a quarter of in-store and online intimate apparel buyers purchase bras or panties from Victoria's Secret, according to the new Victoria's Secret Playbook report, based on analysis from NPD's receipt mining service, Checkout Tracking℠. The new report examines the purchase behaviors of this major player in the intimate apparel market, uncovering the factors that contribute to their dominance.

Consumers shopping at Victoria's Secret shop other brands and retailers as well, but they are giving the majority of their intimates spend to Victoria's Secret – almost three-quarters of the dollars spent on intimates by their in-store consumers is spent at Victoria's Secret, and 85 percent of their online intimates wallet is spent at victoriassecret.com. Due to the high loyalty of this brand's consumer, other brands have only been able to capture a small and fragmented share of the Victoria's Secret buyer's intimates spend.

"The exclusive and differentiated merchandising mix that Victoria's Secret offers shoppers has led to a unique breed of consumer that is extremely loyal," said Marshal Cohen, chief industry analyst, The NPD Group, Inc. "Victoria's Secret is an intimates industry leader because of the consumer culture they have nurtured, and the way they bring passion back to the shopping equation."

In addition to being loyal, and despite the fact that they tend to be younger, Victoria's Secret customers are also spending. Whether shopping in-store or online, the Victoria's Secret buyer spends an average of $40-$60 more than the average intimates consumer, across all intimates categories. This higher spend is driven primarily by higher purchase frequency and higher average selling prices.

"A best-in-class example has been set by Victoria's Secret in their ability to capture a consumer, keep that consumer, and continually drive them to shop both stores and online," added Cohen. "As they look to grow their role in the important active and sports segment of the intimates market, it will be more critical than ever for Victoria's Secret to continue to nurture and leverage their relationship with their consumers."

Source : benzinga

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