Two months into 2020 and Victoria's Secret has shuttered eight stores in Canada. A spokesperson revealed that it is expecting to close up to two more shops in the country before year-end.
According to Business Insider, the spokesperson explained that the closures in Canada were due to the natural expiration of leases. Furthermore, the spokesperson pointed out that if a total of 10 stores are shut down this year, there will still be 28 Canadian branches.
Among the closed stores are the one in Calgary's CF Market Hall, Richmond's CF Richmond Center, Winnipeg's St. Vital Center, Burlington's Mapleview Shopping Center, and Markham's Markville Shopping Center.
Some industry analysts pointed out that Victoria's Secret has been struggling in sales over the past few years. The big announcement earlier this month regarding a spinoff also did not help improve the figures.
Parent company L Brands announced earlier this month private equity firm Sycamore Partners will acquire a 55 percent stake in its Victoria's Secret flagship. The deal was closed at $525 million.
Since then, L Brands founder Les Wexner announced that he will step down as the CEO and chairman. The deal with Sycamore Partners is expected to close sometime in the second quarter.
Meanwhile, the company also said that it will now focus on Bath & Body Works, another flagship that sells lotions and candles. Industry experts noted that while the said flagship was steadily seeing growth, the numbers from Victoria's Secret dragged down L Brands' overall earnings.
According to CNBC, L Brands reported slower sales through Victoria's Secret during the last quarter of 2019. Same-store sales saw a two percent decline, marking a 1 percent decline for the entire year.
Analysts expected the company to report sales of $4.69 for the quarter. The company topped expectations at $4.71 billion but it did not exceed 2018's sales of $4.85 billion.
For some industry experts, the problem with Victoria's Secret was it may have failed to keep up with the changes in consumer tastes over the past several years. Its annual fashion show saw a shrinking number of supporters and attendees.
Last year, the brand announced that it will no longer air its once-famed fashion show after drawing ire from critics and the masses alike for its alleged unrealistic presentation of femininity and beauty.
Victoria's Secret, for some analysts, defied changes in social norms of defining beauty as these trends have changed over the years. While other rival brands welcomed change, this particular lingerie brand decided to stick with what it was always known for despite apparent losses.
