Bath & Body Works is leading the Beauty and Home Fragrance markets, Kline reports. 

The company posted impressive gains of 7% and 13% in the beauty and home fragrance markets, respectively, in 2018,  according to Kline's Cosmetics & Toiletries USA and Home Fragrances USA reports.

The brand places third in the beauty business behind Dove and L'Oréal Paris and holds the leading position in the home fragrances market.

BBW operates more than 1,600 doors, mostly in malls and with average square footage at least double the size of most of its competitors.

What's Fueling Growth?

What's fueling BBW's growth? Kline states: "A blend of many factors, including the product as well as the distribution end of the business. Same-store sales show robust growth for the chain, while its e-commerce business continues to add fuel to the brick-and-mortar end and vice versa."

The company has demonstrated a consistent strategy for over three decades, Kline says, stating, "Keep the consumer engaged and offer a great in-store experience, along with a steady flow of new, innovative products...A constant re-shuffling of the store layout and product displays evokes the feel of a new experience each time shoppers enter the store, even when the merchandise remains unchanged."

Carrie Mellage, vice president of consumer products, Bath & Body Works, comments,  "Sticking with its core strength of fragrant home and body care has been at the heart of Bath & Body Works' success." 

Mellage continues, "Over the years and driven by its engine for newness, its forays into other categories such as men's care, facial skin care, and hair care, along with strategies such as carrying third-party brands, have been met with varying and limited success. Yet with the brand's core categories as its backbone, these initiatives have perhaps benefited Bath & Body Works by offering fresh and unexpected merchandise."

Standouts for the brand over the years include its Antibacterial, Aromatherapy, and Wallflowers collections. 

Bath & Body Works Dominates Home Fragrances

Bath & Body Works dominates the home fragrances market, especially in the candles and diffusers categories, which account for roughly one-third of its sales.

The stalwart Wallflowers franchise now boasts seasonal items with a price tag approaching $30.00. Also offered by the brand is a pricey 3-wick candle in a wide variety of scents and designs priced at $24.50, a high price point for a specialty store brand.

Karen Doskow, director, consumer products practice, Kline, says, "Cross-selling remains a strong point for Bath & Body Works, as a recent website promotion suggests a consumer can light her 3-wick, put on one of the brand's new face masks, and drop a bath bomb in the tub for a relaxing experience."

Doskow adds, "That's the magic that keeps the brand going."

Photo: (L-R) Bath & Body Works Wallflowers plug-in home fragrance in Island Papaya; Aromatherapy Lavender oil; Tiki Beach candle and Tiki shore hand soap, part of the new Summer Fragrances collection; Aromatherapy Sleep Body Lotion.