Did a candle company accidentally sniff out the secret to retail success?

Subscribe for your daily dose of unconventional business news 🚀

Please provide a valid email address.

According to most analysts, the modern mall business is a stinking pile of garbage. And CNBC reports that the “tsunami of store closures” is likely to continue.

Did a candle company accidentally sniff out the secret to retail success?

But there’s a lonely outpost of hibiscus-scented hope that masks the stench of malodorous malls: Bath & Body Works, which has increased its sales for 40 consecutive quarters.

The Bath & Body biz is booming

At Bath & Body Works, online sales AND in-store sales are increasing — a rare retail bright spot and a big boon to its parent company, L Brands. 

L Brands also owns Victoria’s Secret. But the performance of the Dirty Secret compared to Bath & Body offers a study in contrasts…

At Victoria’s Secret

  • Overall sales have declined for 12 of the last 13 quarters
  • Same-store sales fell 12% this past holiday season 

At Bath & Body Works:

  • Overall sales have increased for the past 40 quarters
  • Same-store sales jumped 9% this past holiday season 

So, what’s B&BW’s sweet-smelling secret to success?

It’s all about the candles

Bath & Body Works’ stores are designed to create a comfortable, relaxing environment — and with the rest of the world in literal flames, relaxing candle scents and friendly customer-service reps have become a winning formula.  

In fact, to use the trendiest retail jargon, Bath & Body Works’ emphasis on its in-store experience could almost be considered… experiential. 

But B&BW was “experiential” before that was even a buzzword

In recent months, “experiential retail” has become one of the hottest buzzwords in the ad industry (the advertising trade publication Adweek dedicates a whole category of its site to “Experiential” coverage).

Other retailers have gone “experiential” in desperate attempts to survive the retail-pocalypse (after all, 9.3k retail stores closed last year).

But for Bath & Body Works, sweet-smelling candles and friendly faces aren’t an innovative strategy — they’re just how the company has always done business. 

As one former B&BW employee (and lifelong superfan) wrote on her Tumblr more than 6 years ago: 

“BBW was started by… a large retail corporation. But this origin story didn’t fit in with BBW’s down-home style. So, the company created a fictional founder named ‘Kate.’ […] Each BBW store was seen as ‘Kate’s home,’ and employees were asked to treat customers as if they were guests in her home.”

Get the 5-minute news brief keeping 2.5M+ innovators in the loop. Always free. 100% fresh. No bullsh*t.

Please provide a valid email address.

We're committed to your privacy. HubSpot uses the information you provide to us to contact you about our relevant content, products, and services. You may unsubscribe from these communications at any time. For more information, check out our privacy policy.

This form is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.