Dive Brief:
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Victoria’s Secret’s policy of using air freight has enabled it to avoid issues resulting from West Coast port backlogs, the retailer said Thursday in its fourth-quarter conference call with analysts.
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Parent company L Brands, which also runs Bath & Body Works stores, Thursday also announced strong holiday sales but a dimmer forecast for the coming year.
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L Brands said it expects to grow the Victoria's Secret chain's square footage by 5% this year, which includes 26 new stores.
Dive Insight:
The angels were on Victoria’s Secret’s side when it comes to the West Coast port dispute: The retailer’s policy of air-shipping everything allowed it to stay above that fray. But the retailer may face other challenges this year as it spins off its Pink brand in some areas and expands.
Still, Victoria's Secret president and CEO Sharen Jester Turney says that air freight also allows the retailer to quickly adapt to changing consumer tastes and inventory needs.
“We’re very pleased with the performance we made in speed,” Turney said. “We’re so passionate to air everything. There’s not going to be a reduction in air freight. It more than pays for itself."
