Victoria s Secret UK declared bankruptcy, why did a good hand end up like this?

In the final analysis, Victoria's Secret relied too much on the brand effect brought by the catwalk, while ignoring the core product logic, and also missed the opportunity for market transformation. Underwear is a product, no matter what it is worn in, and the comfort is always greater than **.

The reason why Victoria's Secret encountered a crisis is not difficult to understand, when Victoria's Secret's brand is in full swing, people are talking about a hard-to-find luxury underwear show, the most beautiful supermodel, not the Victoria's Secret product itself, obviously this is putting the cart before the horse.

According to the BBC in the United Kingdom, affected by the epidemic, the British branch of Victoria's Secret recently declared bankruptcy and entered bankruptcy management procedures. This means that after nearly 15 years of glory, Victoria's Secret, which has been standing at the top of the pyramid, has fallen into a "mid-life crisis" in recent years.

In addition, this year, due to the impact of the epidemic, the performance of Victoria's Secret, which once created the "best myth", has been declining, and the British company has declared bankruptcy and all 25 stores have been closed.

After nearly 15 years of glory, Victoria's Secret, which has been standing at the top of the pyramid, has fallen into a deep "midlife crisis" in recent years. In addition to this year's epidemic, Victoria's Secret performances have been declining. The British company has declared bankruptcy and all 25 stores have closed.

Robert Harding, Deloitte's chief executive officer in charge of Vermere's bankruptcy protection plan, said: "Despite the impact of the pandemic on the economy, no redundancy plans have been announced. Deloitte revealed that it will help the company restructure its investments and adjust lease terms, and may also sell assets to a third party**Victoria's Secret.

On May 21, interim CEO Stewart Bergel said: "We expect a significant number of stores to close in addition to the 250 stores planned to close this year, which means more stores in 2021 and possibly more in 2022." However, he declined to give specific numbers for those years.

After nearly 15 years of glory, Victoria's Secret, which has been standing at the top of the pyramid, has fallen into a deep "midlife crisis" in recent years. Not only has it suffered from commercial difficulties, but its ratings have also been declining year by year. In 2015, viewership of Victoria's Secret programs dropped by 30%, with viewership dropping to 6.59 million.

According to industry analysts, although the epidemic is the direct cause of Victoria's Secret UK's bankruptcy, its mismanagement and declining brand influence in recent years are more worrying factors. To maintain its position in the industry, it is also necessary to carry out painful but necessary precipitation and exploration in brand positioning and development model.

Because the company's managers did not think about the future development at that time, they did not do well when making some decisions, so they went bankrupt.

The reason why they ended up like this is mainly because their market is very small, and the price of goods is very high.

Victoria's Secret doesn't take into account what the market needs, but is just blindly doing what it thinks is good, what can consumers do if they don't buy it.

Victoria's Secret UK suddenly declared bankruptcyBecause after nearly 15 years of glory, Victoria's Secret, which has been standing at the top of the pyramid, has fallen into a "mid-life crisis" in recent years. In addition, in 2020, it was hit by the epidemic, and Victoria's Secret's performance declined, the British company declared bankruptcy, and all 25 stores were closed.

Victoria's Secret has opened 25 stores in the UK, and all stores have been closed since the health incident. As Victoria's Secret goes into liquidation, the company's more than 800 jobs in the UK are also at risk.

Although the impact of the epidemic is the direct cause of the bankruptcy of Victoria's Secret UK, its poor management and the decline of brand influence in recent years are more alarming factors.

Victoria's Secret's decline in the past few years is relatively obvious, it began to close stores a long time ago, sales have declined significantly, and products can no longer keep up with everyone's aesthetics.

It was because some decisions made by the company's managers were not very good, which led to the rupture of the company's capital chain, so it went bankrupt.

Because the company's capital chain was broken and it could not operate, it had no choice but to declare bankruptcy and sell it.

The underwear company suddenly declared bankruptcy. What exactly happened was an internal conflict. I can't pull it anymore, Kuikui is too big. One force is insufficient.

Because the company is very decentralized in the later product operation process, it leads to the loss of a lot of traffic.

Because the company is bankrupt, and Victoria's Secret's underwear can't be sold, there is no money to support the Victoria's Secret show.

3. How should Victoria's Secret survive the crisis? How to grasp the life-saving straw? The most important thing for a commodity is the market and the spending power of the people in this market.

Chinese's spending power has always been leveraged, and Victoria's Secret in the crisis also values China's potential. Therefore, Victoria's Secret set up Chinese female stars as spokespersons in Asia in order to start the Chinese market. The resumption of normal business of domestic stores and the closure of overseas markets are only to invest more resources in the Chinese market and seize the advantage as soon as possible.

The future of Victoria's Secret depends on whether the Chinese market can accept it, so that it has the opportunity to make a comeback.

Victoria's Secret's previous sales channels were mainly to please men, which is also the reason why he is facing a crisis now, because the next step should be to change the marketing plan, and then focus on the quality of the product and **.

That Victoria's Secret must be reformed, first of all, it has to change the size of the clothes, after all, not all girls have a good figure like Victoria's Secret angels. And Victoria's Secret should also pay attention to the publicity effect, in addition to a good figure, it should also focus on health.

Victoria's Secret underwear design is becoming more and more impractical, and at the same time, the annual Victoria's Secret show has not made Victoria's Secret sales go up, so in order to survive the mid-life crisis, Victoria's Secret should work the practicality of the product.

Victoria's Secret, if you want to survive the midlife crisis, then you need to expand their market and reduce their underwear.

Victoria's Secret now wants to change the positioning and style of its products according to market preferences and trends, so as to survive the mid-life crisis!