Bath & Body Works Inc. (BBWI) saw its stock price surge 10.25% in Tuesday's trading session, as investors reacted positively to the company's newly announced brand revitalization strategy. The personal care and home fragrance retailer is embarking on a turnaround plan aimed at reigniting growth and attracting younger consumers.

CEO Daniel Heaf, who joined the company in May, outlined a comprehensive approach to long-term growth. The strategy includes focusing on creating products that serve consumer needs, reinvigorating the brand, reclaiming cultural relevance, improving product discovery, and operating with increased speed and efficiency. Bath & Body Works plans to elevate its marketing efforts, create a more aspirational brand image, and leverage influencers to appeal to a younger demographic. The company also announced its intention to start selling products through Amazon in the first half of next year, potentially expanding its reach.

Analysts from Barclays noted that Bath & Body Works' brand equity remains strong, with nearly universal brand awareness in the U.S. and solid brand affinity from core customers. The company's new approach, which includes more creative marketing initiatives such as scent diffusers in public spaces and interactive kiosks in malls, appears to be resonating with investors. As Bath & Body Works works to undo past missteps and refocus on its core strengths, the market's enthusiastic response suggests growing confidence in the company's ability to execute its turnaround plan and drive future growth.