Scented Strategy | Notes from the Bath & Body Works Q1 2025 Earnings Call
I know most fans of the brand aren’t tuning in to the quarterly earnings calls or digging into the investor spreadsheets—and I totally get that. But for me? It’s a mix of accounting geekery, love for a brand I use daily, and just a dash of curiosity (okay, nosiness!) about where we’re headed.
This morning’s Q1 2025 call gave us our first real peek at the vision under the new CEO (Heaf), alongside key insights from executives Boratto, and Long. They spent an hour walking through strategy, answering questions from major financial institutions, and giving a few interesting breadcrumbs that could shape where we’re going.
I took five pages of notes (yes, really), but here are the key highlights:
🌟 Brand & Customer Strategy
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Consumer-Centered Philosophy: The customer is now the guiding light in all decision-making.
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Appeal to More Men & Younger Consumers: This demographic is a growth priority.
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Tell Bold, Interesting Brand Stories: The goal is deeper emotional connection—both head & heart.
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Bring the Right Products: Focus is shifting to curation over volume—less breadth, more depth.
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Packaging Refresh: Better-for-you ingredients and upgraded formulas are coming.
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Digital Refresh: Expect an improved online experience—better delivery, better visuals.
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APP Upgrades: Look for feature enhancements in August 2025.
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Website Aesthetic Update: A redesign is underway to make the site more emotionally and visually engaging.
🧴 Product & Category Insights
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Disney x B&BW = New Customers: The 6-Princess, 82-SKU launch was cited as a key acquisition driver.
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Innovation: New Ceramic Candle Format is coming.
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Innovation: Two Collaborations are planned for the second half of the year.
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Adjacent Category Growth: Hair, Lip, Laundry, and especially Men’s are being scaled.
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Everyday Luxuries, & Men’s Collection: Confirmed full fleet with Body Cream included.
🧑🦱 Men’s & Father’s Day Focus
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Father’s Day Strategy: Includes a new single fragrance and a Purchase with Purchase offer.
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Amplified Marketing: Intentional push to make Father’s Day more visible and valuable.
🛍️ Retail Strategy & SAS Timing
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Semi-Annual Sale (SAS):
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Starts later this year to give space to Father’s Day.
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Shorter duration but promises better execution than 2024.
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Emphasis on amplified marketing so customers know when it begins.
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Halloween 2025:
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Begins in Q2 and runs through Q3.
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Includes new fragrances and deeper storytelling.
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🏬 Stores, Distribution & International Growth
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Gingham+ Storefront: New design with modern navigation, engagement, and technology coming by year-end.
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Open-Air vs. Mall: Off-mall stores perform better—expect more expansion there.
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Big-Box Neighbors Matter: Stores near major anchors like Walmart tend to outperform.
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3rd Party Fulfillment: Transition away from one partner to improve distribution.
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International Growth: Strategy will vary by market—“not one size fits all.”
💸 Pricing, Value, and Market Trends
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Dynamic Pricing Strategy: Stay agile, emphasize value and great product.
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Gifting Potential: Big push to make B&BW a holiday gifting destination.
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Tariffs: Still factored into guidance.
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Candle Market: Not back to full growth—watching and adjusting accordingly.
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Online vs. In-Store: Follow the customer—grow both where they are.
Overall, this was one of the more transparent and vision-focused calls in recent memory. The emphasis on storytelling, curation, emotional connection, and real innovation signals some exciting potential 😉💬