• by Sarah Mahoney , Staff Writer @mahoney_sarah, July 17, 2024

Vera Bradley is taking the next step in a top-to-bottom brand transformation, as the handbag and luggage company unveils a modernized collection and a campaign starring actor Zooey Deschanel. The campaign aims to give the struggling brand a glow-up, refreshing and elevating the marketing strategy.

The company, based in Fort Wayne, Indiana, says the transformation effort -- part of a year-long initiative called Project Restoration -- also includes a new logo, in-store renovations, and updates to its website experience and digital channels.

The brand, long a favorite of women in the 35-to-54 age range, has been losing luster. Sales in the most recent quarter fell 15% to $80.6 million, compared to $94.4 million last year. Revenues at Vera Bradley Direct, which includes its retail stores and ecommerce, fell 4%.

The company attributes the decline to reduced visits and spending across all household incomes and channels, especially in under-$75,000 households.

Net losses swelled to $8.1 million, compared to $4.1 million in the comparable period last year.

The company expects to see the transformation results in the second half of this year.

The new products are made from materials that look different from the colorful prints, plaids and paisleys the company is best known for, made from cotton gabardine, oxford canvas, and leather, featuring more modern silhouettes while honoring many of the brand's heritage elements.

Deschanel is the fall face of the brand, with ads set to appear on billboards, print, and digital platforms.

Vera Bradley is also expanding the selection of duffel bags and backpacks, offering more personalization options, including bag charms, keychains, and scarves.

“After months of analyzing our business, our competition, our customers, and industry trends, we made the strategic decision to pivot priorities and consciously invest in elevating and reinvigorating Vera Bradley to restore our brand relevance,” says Jacqueline Ardrey, president and chief executive officer, in the announcement. “This next chapter focuses on meeting the needs of today’s dynamic woman while honoring and celebrating the DNA of our brand that generations of women have loved for more than 40 years.”

The company is also adding three new stores this year, actively working to further differentiate the full-line stores from Vera Bradley outlets.