Victoria's Secret and Co

1977–1981

Victoria's Secret was founded by Roy Raymond, and his wife, Gaye Raymond, on June 12, 1977. The first store was opened in the Stanford Shopping Center in Palo Alto, California. Years earlier, Raymond was embarrassed when purchasing lingerie for his wife at a department store. Newsweek reported Roy Raymond stating: "When I tried to buy lingerie for my wife, I was faced with racks of terry-cloth robes and ugly floral-print nylon nightgowns, and I always had the feeling the department store saleswomen thought I was an unwelcome intruder." Raymond reportedly spent the next eight years studying the lingerie market.At the time when the Raymonds founded Victoria's Secret, the undergarments market in the U.S. was dominated by pragmatic items from Fruit of the Loom, Hanes, and Jockey, often sold in packs of three at department stores, while lingerie was reserved for special occasions such as one's honeymoon. Considered niche products, lingerie items were only found in specialty shops like Frederick's of Hollywood, located “alongside feathered boas and provocative pirate costumes“. In 1977, Raymond borrowed $40,000 from family and $40,000 from a bank to establish Victoria's Secret: a store in which men could feel comfortable buying lingerie. The store was named in reference to Queen Victoria and the associated refinement of the Victorian era, while the "secret" was hidden underneath the clothes.Victoria's Secret grossed $500,000 in its first year of business, enough to finance the expansion from a headquarters and warehouse to four new store locations and a mail-order operation. The fourth store, added in 1982 at 395 Sutter Street in San Francisco, operated at that location until 1990, when it was moved to the larger Powell Street frontage of the Westin St. Francis.In April 1982, Raymond sent out his 12th catalog at a cost to customers of $3 ; catalog sales accounted for 55% of the company's $7 million annual sales that year. Victoria's Secret was a minor player in the underwear market at this time, with the business described as "more burlesque than Main Street."

1982–1990

In 1982, Victoria's Secret had grown to five stores, a 40-page catalog, and was grossing $6 million annually. Raymond sold the company to Les Wexner, creator of Limited Stores Inc of Columbus, Ohio, for $1 million. In 1983, Wexner revamped Victoria's Secret's sales model towards a greater focus on female customers. Victoria's Secret transformed into a mainstay that sold broadly accepted underwear with "new colors, patterns and styles that promised sexiness packaged in a tasteful, glamorous way and with the snob appeal of European luxury" meant to appeal to female buyers.

To further this image, the Victoria's Secret catalog continued the practice that Raymond began: listing the company's headquarters on catalogs at a fake London address, with the real headquarters in Columbus, Ohio. The stores were redesigned to evoke 19th century England.

The New York Times reported in 1982 that the financial success of the Victoria's Secret catalog influenced other catalogs by presenting lingerie as "romantic and sensual but tasteful", "in which models are photographed in ladylike poses against elegant backgrounds." Howard Gross became president in 1985. In October of that year, the Los Angeles Times reported that Victoria's Secret was stealing market share from department stores; in 1986, Victoria's Secret was the only national chain devoted to lingerie.The New York Times reported that Victoria's Secret swiftly expanded to 100 stores by 1986. and described it in 1987 as a "highly visible leader" that used "unabashedly sexy high-fashion photography to sell middle-priced underwear." In 1990, analysts estimated that sales had quadrupled in four years, making it one of the fastest growing mail-order businesses. Sales and profits from the catalog continued to expand due to the addition of clothing, swimwear and shoes and wider circulation.Cynthia Fedus-Fields oversaw the company's direct business, including its catalog, from the mid-1980s until 2000. During her tenure, total revenues increased to nearly $1 billion. In 1987, Victoria's Secret was reported to be among the bestselling catalogs.

1991–2005

Victoria's Secret experienced quality problems with their product in the early 1990s and was working to resolve the issues. In 1991, Howard Gross was assigned to fix the L Brands subsidiary Limited Stores. In 1993, Business Week reported that both divisions suffered. Gross was succeeded by Grace Nichols, who worked to improve the product quality. The company's margins tightened, resulting in a slower growth of profits.Victoria's Secret expanded beyond apparel in the 1990s with the launch of their own line of fragrances in 1991, followed by their entrance into the billion dollar cosmetics market in 1998.Victoria's Secret introduced the 'Miracle Bra' in 1993, selling two million within the first year. When faced with competition from Sara Lee's WonderBra a year later in 1994, the company responded with a TV campaign. At the same time, in 1994, Wexner discussed the creation of a company fashion event with Ed Razek. The first Victoria's Secret Fashion Show, held in 1995 in New York, became a mainstay for the company's image for the next 23 years.

By 1998, Victoria's Secret's market share of the intimate apparel market was 14 percent and the company also entered the $3.5 billion cosmetic market. The following year, in 1999, the company added the Body by Victoria line. The catalog had achieved "an almost cult-like following". In May 2000, Cynthia Fedus-Fields stepped down as CEO after delivering record profits in 1999 and early 2000. Fedus-Fields later stated that, up until the point of her departure, the company was guided by sensibilities of what a European woman would choose to wear. After her departure in 2000, the brand pursued an image that was “much more blatantly sexy.”In May 2000, Wexner installed Sharen Jester Turney, previously of Neiman Marcus Direct, as the new chief executive of Victoria's Secret Direct to turn around catalog sales that were lagging behind other divisions. Forbes reported Turney stating, "We need to quit focusing on all that cleavage." In 2000, Turney began to redefine Victoria's Secret catalog from "breasts—spilling over the tops of black, purple and reptile-print underthings" to one that would appeal to an "upscale customer who now feels more comfortable buying La Perla or Wolford lingerie."; "dimming the hooker looks" such as "tight jeans and stilettos"; and moving from "a substitute for Playboy in some dorm rooms," to something closer to a Vogue lifestyle layout, where lingerie, sleepwear, clothes and cosmetics appear throughout the catalog. Beginning in 2000, Grace Nichols, CEO of Victoria's Secret Direct, led a similar change at Victoria's Secret's stores—moving away from an evocation of 1800s England .

2006–2020

By 2006, Victoria's Secret's 1,000 stores across the United States accounted for one third of all purchases in the intimate apparel industry.

In May 2006, Wexner promoted Turney from the Victoria's Secret catalog and online units to lead the whole company. In 2008, she acknowledged "product quality that doesn't equal the brand's hype." In September 2006, Victoria's Secret reportedly tried to make their catalog feel more like magazines by head-hunting writers from Women's Wear Daily.The company had about a third of the market share in its category in 2013.In February 2016, Turney stepped down as CEO of Victoria's Secret after being in the business

for a decade. Victoria's Secret was split into three divisions: Victoria's Secret Lingerie, Victoria's Secret Beauty, and Pink, each with a separate CEO. In 2016, direct sales only grew 1.6% and fell by 7.4% in the last quarter of the year, typically a high revenue period due to the holidays. The company discontinued its use of a print catalog and dropped certain categories of clothing such as swimwear. Sales revenue continued to stagnate and drop in early 2017.In late 2018, CEO Jan Singer resigned amid declining sales. The Wall Street Journal reported that only one quarter showed an increase in same-store sales between 2016 and 2018. Singer’s announcement came one week after CMO Ed Razek made a controversial comment that the company doesn't cast transgender or plus-size models in its annual fashion show "because the show is a fantasy." After a 40% stock plunge in a single year, Victoria's Secret announced the closure of 53 stores in the U.S. in 2019, as well as the relaunch of its swimwear line. L Brands, the parent company of Victoria's Secret, came under public pressure in 2019 from an activist shareholder of Barrington Capital Group who took issue with the performance of Razek and urged the company to update its brand image and switch up its predominantly male board of directors.In August 2019, chief marketing officer, Ed Razek, resigned following a disastrous Vogue interview in which he made inflammatory statements about transgender models. Also in 2019, executive vice president April Holy stepped down after 16 years. In November 2019, Victoria's Secret announced it would no longer hold the annual fashion show featuring its angels, indicating a major change in marketing strategy.

In January 2020, L Brands chairman and CEO Lex Wexner was in talks to step down. Reports of widespread bullying and harassment at Victoria's Secret surfaced in February 2020. On February 1, 2020, The New York Times published an exposé on “the culture of misogyny” at Victoria’s Secret, which painted a picture of long-time influential executive Ed Razek’s rampant sexual misconduct.The company announced a sale in February 2020 to private equity firm Sycamore Partners for $525 million, with L Brands retaining a 45% minority stake. On April 22, 2020, The Wall Street Journal reported that Sycamore Partners wanted out of the deal which included exceptions for a pandemic. The deal ultimately fell through. Wexner stepped down but maintains a role as chairman emeritus.

In June 2020, a shareholder filed a lawsuit against the company for inaction following reports of harassment, discrimination, and retaliation at Victoria's Secret.Shareholders of parent company L Brands filed a complaint in the Court of Chancery of Delaware on January 14, 2021, stating that former chair Wexner, among others, created an "entrenched culture of misogyny, bullying and harassment" and was aware of abuses being committed by accused sex trafficker Jeffrey Epstein, which breached his fiduciary duty to the company, causing devaluation of the brand. The complaint also names Wexner's wife, Abigail, current chair, Sarah E. Nash, and former marketing officer, Ed Razek, whose "widely known misconduct" was long allowed at the company.

2021–present

In 2021, after the resignation of Razek as well as the sale of the company by Wexner, Victoria's Secret's new ownership and management implemented policy changes and new partnerships with a number of new spokeswomen including Megan Rapinoe, Priyanka Chopra Jonas and Naomi Osaka. Wexner's parent company L Brands spun Victoria's Secret off to become an independent business on August 3, 2021. Following this brand positioning, Victoria's Secret reported sales increase in all three completed quarters of 2021.Martin Waters was named CEO in 2021, replacing Stuart Burgdorfer who had served as interim CEO. In July 2022, Victoria’s Secret named Amy Hauk chief executive of both the Victoria’s Secret and Pink brands.In November 2022, it was announced Victoria's Secret has acquired the New York-headquartered lingerie brand, Adore Me for $400 million USD.