© Written by Rachael Taylor for Retail Jeweller
Rarely is a single brand charged with saving a whole industry, and while there are some who dispute just how large a role Pandora has played in the survival of jewellers in the post- recession retail wasteland, none would dispute the influence it has had. From transforming family businesses to reinvigorating jewellery shopping with a playbook lifted from fashion, there is a clear watershed moment in British jewellery: before Pandora, and after it. But as growth softens and the Danish brand shifts away from the franchise model that has fuelled its expansion, is this the beginning of the end for Pandora?
The UK continues to be a major market for Pandora, contributing more than 5% of the brand’s total turnover. Last year, revenue in the UK rose 4% to DKK 2,809m (£330m), but that was – as the brand noted in its annual results – “mainly driven by a strong performance in the UK e-store as well as the acquisition of 23 franchise stores”.
At the brand’s concept stores still controlled by independent retailers, sales have been less robust, with some reporting annual percentage declines in double-digit figures. At the same time, the cost of doing business with Pandora has increased…
DOWNLOAD: Retail Jeweller_June 2018_Pandora