Bath & Body Works has introduced its new Gingham+ store design, a strategic move aimed at enhancing the shopping experience for its customers, particularly the Gen Z demographic. This innovative concept includes an updated layout, cutting-edge technology, and expanded aisle space, ensuring a more immersive and convenient shopping experience.
Innovative Store Features & Layout
The Gingham+ design features a more intentional store navigation system, with designated zones for specific product categories, larger aisles, and a more spacious layout to accommodate the evolving needs of modern consumers. Select locations will also include scent bars where customers can sample candles, wallflowers, and fragrance mists. Additionally, interactive video displays will help shoppers explore various fragrances and products more effectively.
According to Eduardo Tonietto, Group Vice President of Store Design at Bath & Body Works, these enhancements are designed with Gen Z shoppers in mind. “We’ve heard from this demographic that many of their purchase decisions are rooted in their ability to try a product first. While we’ve previously offered this, our new design is more intentional, with specific destinations in-store to test and learn,” Tonietto stated. The redesign also introduces a softer and more neutral color palette, creating a more relaxing and inviting shopping environment.
Strategic Growth & Market Positioning
As part of its broader growth strategy, Bath & Body Works is increasingly positioning itself as an off-mall retailer. Nearly 60% of its North American stores are now located in off-mall locations, with a target of reaching 75% over time. In 2024 alone, the company opened 106 new stores, primarily in off-mall locations, while closing 61 mall-based stores.
CEO Gina Boswell emphasized the brand’s focus on younger customers during a recent earnings call. “We think about younger customers as both an area of recent success and also a continued opportunity,” Boswell noted. Gen Z shoppers have particularly gravitated towards the retailer’s lip products and its “Everyday Luxuries” collection, reinforcing Bath & Body Works’ growing reputation as a youthful and trend-conscious brand.
Investment in Customer Experience & Digital Integration
In line with its commitment to improving customer experiences, Bath & Body Works continues to invest in marketing, loyalty programs, and technology. The integration of digital touchpoints in stores, including interactive screens and personalized recommendations, reflects the company’s effort to blend physical and digital retail seamlessly.
Despite these forward-thinking efforts, the company reported a 4.3% decline in net sales for Q4, totaling $2.8 billion, and a nearly 22% decrease in net income to $453 million. For the full fiscal year, net sales declined by 1.6% to $7.3 billion. However, with the continued evolution of its store design and focus on customer-centric strategies, Bath & Body Works is well-positioned for long-term growth.
At Star Brands Consulting Group, we closely monitor innovative retail strategies like Bath & Body Works’ Gingham+ concept. As the retail landscape evolves, brands that prioritize customer experience, digital integration, and demographic-specific engagement will continue to thrive in an increasingly competitive market.