Gina Boswell joined Bath & Body Works as CEO a little more than a year ago. During that time she has worked to evolve the business into the global fragrance and body care leader, leaning on the brand’s extensive reach and loyal customer base. In fact, Bath & Body Works’ products are in nearly 40 percent of U.S. households. During a keynote session at Shoptalk last week, Boswell spoke about Bath & Body Works’ current operations as well as its plans for the future. Here are some of the highlights from her conversation with Simeon Siegel, senior analyst and managing director, BMO Capital Markets.

Product Assortment

Boswell declared that Bath & Body Works is the global fragrance leader, noting that the retailer has scale and sets trends in this category.

“We can bring newness to the market, especially at the holidays,” Boswell said of the unique scents that Bath & Body Works introduces, including fragrances that attract new customers. “They [customers] come for that newness, but also the established products that they’ve consistently bought from us.”

Boswell expanded on new product collections and how they are integral to Bath & Body Works’ customer acquisition strategy.

“It’s not easy to get the same signature scent across multiple product forms,” said Boswell, citing examples such as hand soaps and candles. “It takes innovation. And evolution in where the customer wants us to go. These products help us attract new customers, including in men’s, lip, hair, for example.”

Bath & Body Works’ vertically integrated supply chain model is advantageous in getting new product out to stores and customers quickly, added Boswell.

“The supply chain is fast and responsive — we’re able to get a product from make to store in weeks, not months,” Boswell told the audience. “We make the bottle and fill the bottle, which is eliminating transportation costs and roadblocks. End-to-end capability.”

Omnichannel Model

Bath & Body Works has a fleet of 1,800 stores, 99 percent of which are profitable, according to Boswell. Those physical locations are supported by the retailer’s digital presence, including its e-commerce site. The two channels are being utilized by Bath & Body Works’ customers amid their nonlinear shopping journeys.

“Both stores and e-commerce are part of an ecosystem that work off of one another,” noted Boswell. “Eighty percent of customers go to our website or app to search [for a product or products] before going into a store. Thirty-three percent of BOPIS customers make incremental purchases upon pickup. Stores aid the customer in finding the new product they may like, particularly fragrances; and then replenishment of existing product is a huge part of the e-commerce business. Forty percent of our sales come from customers that visit our stores seven times or more per year.”

A Plan to Reconnect

When asked what’s to come from Bath & Body Works this year, Boswell cited a marketing campaign that has her and the organization excited.

“People know Bath & Body Works, but they don’t always feel Bath & Body Works,” Boswell said. “Customers told us they were busy and wanted to reconnect and reset.”

With that feedback in mind, Bath & Body Works launched a marketing campaign, Come Back to Your Senses. The cross-category campaign is designed to reconnect the retailer with customers, inspiring them to wake up to their senses through scent.

Boswell also cited Bath & Body Works’ burgeoning men’s business as a growth area for the retailer. Men’s is the fastest-growing category for Bath & Body Works. To drive awareness of the company’s men’s products, Bath & Body Works is planning to partner with influencers in this space as well as host pop-up shops featuring its men’s product lines.