Bath & Body Works Launches New Concept Store Format
The retailer is testing new customer engagement zones in Charlotte to combat recent year-over-year sales declines.
Updated on Oct. 23, 2026 in Retail
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Bath & Body Works has debuted its first "Feel Good" concept store in Charlotte, North Carolina, as part of a strategy to increase product interaction. The new location features immersive testing stations and digital scent discovery tools to drive consumer engagement.
Why it matters
The retail format transition follows a year where the company reported a 2.3% decrease in net sales to $1.5 billion, signaling an attempt to boost declining revenue through experiential in-store shopping. Management has described 2026 as an investment year aimed at reversing this trend by improving customer engagement.
Bath & Body Works reported $1.5 billion in net sales, down 2.3% year over year, while net income climbed 84% to $118 million. The retailer is now testing these new formats across three initial locations to address market performance.
The players
Bath & Body Works
A national personal care and home fragrance retailer that operates a large footprint of brick-and-mortar stores across the U.S. and Canada.
The details
The Charlotte store features a "Fragrance Finder" quiz, an "Eau de Parfum" bar, and sink stations to allow hands-on testing of products categorized by scent profiles like Warm & Woodsy or Fruity & Bright. These discovery zones are designed to increase time-in-store and conversion by letting customers customize their experience, a strategy the company is rolling out to improve its broader retail footprint in the U.S. and Canada.
Timeline
October 16, 2026: The first Feel Good concept store opened in Charlotte.
Fall 2026: Two additional Feel Good locations will open in Miami and Columbus.
Market Landscape
The new concept store marks a significant shift from the brand's traditional retail model toward high-touch, experiential zones. This follows the broader store enhancement program announced in summer 2026 to modernize the brand's in-store customer journey.
Operators in the retail space should monitor whether the shift toward high-touch, interactive stations successfully offsets recent sales declines. Tracking conversion rates and time-in-store metrics at these pilot locations will provide a signal for whether experiential layouts drive revenue growth.
The takeaway
Retailers can look to this store format as a model for leveraging interactive "discovery zones" to combat flat or declining sales in physical spaces. Owners should prioritize tracking how these specific, high-touch zones influence their own average ticket size versus traditional display layouts.
What happens next
Two additional Feel Good concept stores are scheduled to open in Miami and Columbus during the fall of 2026.
Further reading
For additional context on local sector shifts, visit the Retail section.
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Do you prefer shopping in stores that emphasize hands-on product discovery and testing?
