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Victoria's Secret has been criticized for its racy ad campaigns. Business Insider/Mary Hanbury Ling

Time:2018-06-04 04:06Underwear site information Click:

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Victoria's Secret has been criticized for its racy ad campaigns. Business Insider/Mary Hanbury

Lingerie giant Victoria's Secret has been accused of failing to appeal to its female shoppers with racy ad campaigns, relatively steep pricing, and rail-thin models.

In its parent company's most recent earnings report, released Wednesday, same-store sales were down by 5% at Victoria's Secret stores.

Increasingly, brands such as American Eagle's body-positive underwear store, Aerie, have swooped in and taken market share away from Victoria's Secret. Aerie has seen quarters of same-store sales growth; its same-store sales were up 27% in the fiscal year 2017 (first-quarter earnings of 2018 have not yet been reported) and this is becoming a major concern for its main rival.

"Over the past few years, we believe the competitive landscape in lingerie (in constructed, un-constructed, and Sport) has evolved. In addition to players such as Aerie (AEO) who are offering a very clear brand proposition, new digitally-native entrants are entering the arena," Cowen analyst Oliver Chen wrote in a note to investors in March.

Here are some of the hottest new companies and collections that could pose a threat to Victoria's Secret:

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