TL;DR: Victoria’s Secret is set to open a new store on Nassau Street in Dublin after closing its flagship Grafton Street location. This move aligns with the brand’s rebound in Ireland, marked by an increase in revenue and profits. A decision on its planning application is expected in August.
American lingerie giant Victoria’s Secret has reaffirmed its commitment to the Irish market by filing plans to launch a new store on Nassau Street, Dublin. The brand has submitted a planning application to Dublin City Council for the installation of two external signs, marking a fresh start after the closure of its flagship Grafton Street store this summer. Located at 40-43 Nassau Street, the store aims to capture a piece of a bustling retail district that has seen its ups and downs.
Victoria’s Secret previously operated at 28-29 Grafton Street since its opening in December 2017, where it made headlines by drawing over 500 eager shoppers on launch day. In its first 60 days, the retailer generated an impressive €3.88 million, averaging daily sales of about €64,666. Despite the enthusiasm, the Grafton Street closure signifies a shift in strategy for the brand in Ireland.
Interestingly, the closure comes amidst a period of reported growth for Victoria’s Secret in Ireland. The latest accounts for Intimate Apparel Retail Ireland Ltd reveal a 12% rise in pre-tax profits, reaching €338,000 for the year ending January 25, 2025. Revenue also climbed from €7.53 million to €8.45 million, bolstered by the successful launch of a new store in Cork City late last year. It seems Irish consumers are still eager for what the brand has to offer, even if they have to trek slightly further to get it.
But let’s pause for a moment. Closing a flagship store that was previously the talk of the town raises eyebrows. Could the new economy be forcing even fashion giants to rethink their high-street presence? Or perhaps it’s a strategic retreat to focus resources where they matter most. The directors of Victoria’s Secret noted they’re laser-focused on cash flow and liquidity while still delivering high-quality fashion to their clientele. In short, they are taking a hard-nosed approach, reminiscent of a seasoned businessperson navigating a rocky economic landscape.
Staffing levels have also increased from 55 to 61, with workforce costs rising from €1.03 million to €1.29 million. These metrics might paint a picture of growth, but one wonders if the increased footfall can sustain these operational costs long-term.
On a larger scale, the Irish arm’s performance fits within the context of Victoria’s Secret’s broader operations across the UK and Ireland, which achieved revenues of £110.95 million and pre-tax profits of £16.24 million in the same period. Given the ever-changing retail environment, it’s crucial for brands to adapt, lest they become an anachronism.
With a decision on the planning application expected in August, all eyes will be on how the new Nassau Street store pans out. Will it rekindle the same buzz that the Grafton Street location once had?
In a fun twist, while Victoria’s Secret might be all about lace and frills, did you know that in 2021, the Irish online lingerie market was projected to grow by 20% in the next few years? Seems like the demand for intimate apparel is very much alive; now we just have to see if Victoria can capture that market share again.
For more details, you can check the original reporting by RTE.
