One primary reason for Body Body’s slowdown is due to the fact that the effect of significant website redesign and functionality upgrades has been absorbed, in such a way that Body Body has seen a leveling of benefits from those improvements. Another reason is that Body Body has engaged in a major reorientation of merchandise strategy that requires time and advertising to implement. The profitable dress division is being de-emphasized while Body Body puts new supply and inventory mechanisms in place. Meanwhile the drop in dress sales is significant. In its place Body Body has engaged in significant advertising for its lines of sterling silver and designer jewelry. The collection of semi-precious stones set in sterling silver has significantly underperformed. On the bright side the work of the currently fashionable designer Sylvie Monthule has performed well beyond initial expectations. In addition, the new lingerie lines, Oh La La Cheri and Rimba, have proven to be consistently strong sellers.
The swimwear division remained consistently strong in the First Quarter of 2011 showing healthy gains. Some slow performing brands like Chica Rica and Sunsets have been outpaced by Ujena’s immensely popular Spring Line and the renewed interest in bikinis imported from Brazil.
Another positive development is that Ranowear, Inc’s niche sites and specialty boutiques have shown significant revenue increases with only modest investment in advertising.