Frederick S's Bankruptcy

The American underwear brand Frederick 's of Hollywood (hereinafter referred to as Frederick' s) has finally filed for bankruptcy after years of struggle. According to The Associated Press, the company will close all stores and transfer all businesses to online sales.

According to US media reports: Frederick 's Since 2007, there has never been a profit making quarter, with assets of 36 million 500 thousand US dollars and liabilities of US $106 million.

Frederick 's is the inventor of the push-up bra. It was once named with the underwear retail giant Victoria' s Secret (Vitoria secret), but Victoria 's Secret has dominated in the past few years. Underwear market New year's sales have exceeded 7 billion US dollars, while Frederick 's has been on the decline.

Frederick 's tried to save the brand by developing luxury lingerie line, not only failed, but also led to it. Stock A backlog.

What is the reason for the decline of Frederick 's? Where did they lose to Victoria' s Secret?

Female customers generally believe that Victoria 's Secret products are multi-functional, whether underwear or underwear are suitable for any occasion. Frederick 's is too rigid in the Hollywood style "sexy" style (pictured below), even in the era of economic downturn. In contrast, customers believe that the core concept of Victoria 's Secret "multi-function" is more practical: even wearing Victoria' s Secret underwear can be very appropriate in public.