Unlimited opportunities

 

The new black

Increasing store traffic and converting more browsers into buyers are two main goals of The Limited Stores these days. Yet the importance of returning The Limited Stores to profitability certainly can’t be downplayed.

“We haven’t been profitable in some number of years,” Heasley says. “So the goal here is to get us back to a level of profitability.”

Focusing on the Monroes more than the Benjamins is how Heasley plans to get the company there.

“The measurement of success for most of us in retail is proving your relevance to the customer and establishing a loyal customer base while continuing to attract new customers,” Heasley says. “If we do that well, then profitability falls out. It should happen.”

In fact, she predicts The Limited Stores — whose revenue rebounded to $500 million in 2007, up $7 million from 2006 figures — will turn a profit in 2008.

“We’ve got a very strong balance sheet,” Heasley says. “We didn’t have that before. Sun is very supportive of growing the business.”

Illuminating the runway to better financial performance is a list of 21 initiatives developed jointly by Heasley and Sun. Among them: growing the accessories business, establishing an e-commerce site, assessing the most efficient way to bring in merchandise and even opening new stores.

“The target is three to five new stores in 2008,” she says. “It’s been years since we’ve had a new store.”

And these stores will be new throughout. “We are looking at a new concept for the brand, which is very exciting,” Heasley says. “I think one of the hallmarks of The Limited is our approachability. It’s not stuffy. It’s supposed to be a fashion statement, but it doesn’t make you feel intimidated to come in. So having a store design that’s a bit more contemporary is key. We’re very excited about that work.”

A lot is riding on this new concept. “For many years, the brand has been playing defense,” Heasley says. “Now we’re trying to play offense.”

That involves taking risks, yet staying true to the brand. “Les Wexner left us an incredible legacy,” Heasley says. “How do we build on that legacy, yet be relevant today? How do we leverage that past and move forward? That’s been one of the biggest challenges. Do we mention the Forenza sweater again or not? That was a defining product. Or do we come up with our current defining product?”

The possibilities are unlimited. “We’re going to be swinging for the bleachers,” Heasley says. “I call it regaining greatness.”

HOW TO REACH: The Limited Stores Inc., (614) 415-7000, www.thelimited.com