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These companies are fighting for a share of the $500 million business Victoria's Secret abandoned
Facebook/Victoria's Secret
Victoria's Secret abandoned swimwear last month, in a move that sent consumers reeling. Wasn't that a huge part of the company's business?
It was actually sinking. Although BuzzFeed reported that last year the company said its swimwear sales totaled $500 million, it noted they were down at the end of the summer in August.
Analyst and founder of consulting fi rmA Line Partners Gabriella Santaniello told Business Insider in April why nixing swimwear was a smart move — it would give the brand time to focus on its core businesses, namely, lingerie. The brand had stated it would divide the company into three businesses: lingerie, beauty, and PINK.
But amid this departure, there are other companies that appear to be filling the void, and that could potentially swoop up part that market. Now that one of the biggest players in the space will be eradicated by the end of the year, many of these brands could find huge opportunities for growth.
Aerie
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Aerie has served as a polar opposite to the brand with its airbrush-free photos and its #AerieREAL campaign. The company's swimwear line has been performing well, and it's launched a campaign called "love the swim you're in" that encourages young women to post photos of themselves showing off their own bikini bodies.
Aerie is slated for massive growth. In fiscal 2015, comparable sales soared 20%, and for the first quarter of fiscal 2016, comparable sales skyrocketed and impressive 32%. RBC Capital Markets wrote in a note that parent company American Eagle anticipates Aerie sales will reach $500 million in the coming years. That's still small compared to Victoria's Secret's $6.1 billion store sales (and $7.7 billion including ecommerce), but the company is undoubtedly on the rise and gaining traction.
Swimsuits For All
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Swimsuitsforall has been a huge player in the plus size movement, with groundbreaking ads in Sports Illustrated starring some of the modeling industry's most powerful forces, such as Ashley Graham — even before she graced the cover of the magazine.
The company has debuted lines from many stars in the industry, such as Gabi Gregg and Robyn Lawley. Now, Swimsuitsforall has tapped Graham for her own line, and it's been garnering positive reviews.
Triangl
Facebook/Victoria's Secret
Victoria's Secret actually came under fire last year, when one of its bikinis looked shockingly similar to Triangl's iconic bikini. Now could be an opportune time for the brand to salvage a larger share of the market.
J. Crew
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J. Crew has had a rough couple of years. The company has been doubling down on getting customers back and stores, and though it's not working yet (comparable sales for the brand were down 7% for the most recent quarter), there's a chance that its classic swimwear could win over some consumers – provided the weather is seasonal this summer
Kendall and Kylie Jenner
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Kendall and Kylie Jenner are launching a line for TopShop. In late April, the younger Jenner sister wrote in an Instagram post that it will be "coming soooon."
Jessica Simpson
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Even though lots of Simpson's apparel is sold at the dwindling Macy's and Nordstrom, it's a good time to launch a new swim collection. Simpson recently posted some overtly sexy photos of the new line, almost in line with the photos that Victoria's Secret might have posted of its Angels.
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