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Vera Bradley Case Summary

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The gross profits of Vera Bradley steadily increased from 2010-2013. In 2014, however, revenue decreased by 1% while net income decreased by 15%. This happened after the company chose to focus on higher quality products which increased the cost of goods sold, decreasing gross profits. With an increased focus on expanded distribution, quality, and different outlets of sale, Vera Bradley hopes to offset the increased cost of the goods by attracting new customers through their new marketing approach.

SWOT Analysis:

Internal Strengths
• New trademarked patterns constantly
• Great quality at low price
• Strategic store locations

Internal Weaknesses
• Seen as corporate gifts
• Not heavy inflow of new customers
• Outlet stores

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