Victoria’s Secret & Co. is shutting down the recently acquired line of business it had hoped would help modernize the lingerie giant.
The retailer said it has ended the subscription service tied to its direct-to-consumer brand, Adore Me, and will instead convert the program into a loyalty model as part of a broader reassessment of the business. The company disclosed the move during its latest earnings call.
On the March 5, 2026 call, Victoria’s Secret & Co. CEO Hillary Super said the company has also launched a strategic review of DailyLook, a personal styling service that came with the Adore Me acquisition. Executives said they are evaluating how that business fits into the retailer’s long-term strategy.
Management shared that DailyLook “operates as a digitally based premium subscription… and represents a non‑core asset within our portfolio.” They also noted that the company has “discontinued Adore Me’s intimates‑based subscription offering and converted it to a loyalty program” as part of ongoing evaluation of its businesses.
The moves highlight a shift in how Victoria’s Secret is approaching the digital-first brand it acquired just a few years ago.
A key feature of the Adore Me model
Victoria’s Secret revealed it would acquire Adore Me in 2022 and completed the transaction in 2023 for roughly $400 million. At the time, executives emphasized the company’s technology platform and subscription-driven customer model as key reasons for the deal.
Adore Me built its business around a VIP membership program that billed customers monthly unless they skipped the cycle or made a purchase. The model is similar to the one used by athletic clothing brand Fabletics and jewelry service Penny & Grace.
Subscription systems are designed to drive repeat purchases and deepen customer loyalty.
At the time, the lingerie company said the acquisition would accelerate its digital capabilities while bringing in a younger customer base.
On this week’s call, Chief Financial and Operating Officer Scott Sekella told analysts the company had closed Adore Me’s distribution center in Mexico as it continues evaluating the brand’s operations.
Those changes suggest Victoria’s Secret may be integrating the brand more closely into its broader business, rather than running it as a separate subscription-driven platform.
In a statement accompanying the earnings release, the retailer said the review is intended to ensure resources remain focused on its core brands.
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Victoria’s Secret financial results remain solid
The strategic moves come alongside relatively strong sales growth.
The fourth quarter delivered the company’s highest revenue since becoming an independent public company, CEO Hillary Super said, citing stronger product demand and brand momentum.
Bras returned to growth for the first time since 2021, while the PINK brand delivered its strongest performance in a decade. The company’s beauty category — now a $1 billion business — also posted another year of growth.
Victoria’s Secret reported fourth-quarter net sales of about $2.27 billion, an increase of nearly 8% compared with the same period last year. Comparable sales rose at the same rate.
Despite the revenue growth, profitability slipped. Operating income fell about 14.5%, while net income declined roughly 5% during the quarter.
Even so, analysts noted that the results exceeded expectations on both the top and bottom lines.
The company expects full-year 2026 net sales to land between $6.85 billion and $6.95 billion, representing at least 4.5% growth compared with 2025.
Even though both earnings and sales beat analysts’ expectations, the stock fell more than 8% in premarket trading on Thursday as the results failed to align with investors’ expectations, Barron’s reported.
Refocusing on core brands
Analysts say the company’s decision to review DailyLook and rethink Adore Me’s subscription structure could reflect a broader effort to simplify operations.
In a note following the earnings release, analysts at Guggenheim Securities said evaluating the styling service helps reinforce the company’s focus on its main brands.
Victoria’s Secret has spent several years trying to reposition itself after facing declining sales, increased competition from digital-first lingerie brands, and shifting consumer expectations.
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In recent years, the retailer has revamped marketing, expanded size inclusivity, and experimented with new digital initiatives.
The Adore Me acquisition was part of that push to into the digital era.
But integrating startup-style business models into a large legacy retailer can be complicated. Subscription services in particular can be costly to operate and may not always align with the merchandising and logistics structure of traditional retail brands.
“Victoria’s Secret has decided to end the Adore subscription model as this part of the business was very difficult to make a reasonable return on,” retail analyst and author Bruce Winder told TheStreet. “The ability for customers to return unwanted items is cost prohibitive.”
“Based on the current economic challenges, particularly for young people, the subscription business model has been under pressure,” he added.
What the end of Adore Me means for Victoria’s Secret
The decision to eliminate the Adore Me subscription program doesn’t necessarily signal a retreat from digital commerce.
Instead, it may indicate that Victoria’s Secret believes loyalty programs — which reward repeat purchases without requiring monthly billing — are a better fit for its customer base.
At the same time, the review of DailyLook suggests the company is willing to reconsider businesses that don’t clearly support its long-term strategy.
For investors, the takeaway is less about the end of a subscription service and more about how the company is refining its turnaround plan.
Victoria’s Secret still sees digital innovation as essential to growth. But the latest moves show that management is willing to adjust tactics as it works to balance technology investments with profitability.
If the changes help streamline operations while maintaining sales momentum, they could mark another step in the company’s broader effort to modernize one of the world’s best-known lingerie brands.
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