Global Pandora’s new marketing plan for the coming years or what’s new to expect from the company

Pandora’s new marketing plan for the coming years or what’s new to expect from the company


Just the oth­er day, I talked about the rebrand­ing that the Dan­ish jew­el­ry brand Pan­do­ra is cur­rent­ly under­go­ing, and today I want to talk about the rea­sons for such glob­al changes in the com­pa­ny.

The last years, name­ly 2016–2018, were not the best finan­cial­ly. Of course, for us, as end users, this was com­plete­ly invis­i­ble, but if you study var­i­ous finan­cial reports or press releas­es of the com­pa­ny, then this infor­ma­tion is dis­played in full.

In 2018, the com­pa­ny’s shares fell in price by almost 50%, which could not be a good result and that is why Anders Cold­ing Fri­is left the post of CEO last year, although he adopt­ed a 5‑year brand devel­op­ment plan and some steps have already been tak­en, name­ly:

Prod­uct inno­va­tion

The slow­down in the com­pa­ny’s growth is the lack of new prod­ucts that they are able to offer the buy­er. The nov­el­ty should sur­prise and be unlike the pre­vi­ous prod­ucts of the com­pa­ny. To solve this prob­lem, it was decid­ed to increase the num­ber of sea­son­al col­lec­tions of the com­pa­ny from 7 to 10. Also in 2018, two new lines of Pan­do­ra shine and Pan­do­ra reflex­ions jew­el­ry were released. Now these lines have in their arse­nal sev­er­al mod­els of bracelets, quite a lot of charms, as well as ear­rings, pen­dants, chains and neck­laces.

Chang­ing the assort­ment struc­ture

The com­pa­ny is grad­u­al­ly increas­ing the range of ear­rings, rings, neck­laces and pen­dants.

By 2022, these cat­e­gories will make up approx­i­mate­ly 50% of Pan­do­ra’s prod­uct range, up from 25% today. Man­age­ment believes that this will not only pro­vide growth, but also reduce the com­pa­ny’s risk as it becomes more diver­si­fied.


The fran­chise mod­el that the com­pa­ny has been imple­ment­ing for many years has allowed Pan­do­ra to quick­ly expand its pres­ence in many cities and coun­tries. But in recent years, the com­pa­ny began to buy back fran­chis­es and plans to reduce their num­ber to 1/3 against 2/3 of the exist­ing ones. This plan should be imple­ment­ed by 2022.

Invest­ments in design and pro­duc­tion

Over the past two years, the com­pa­ny has invest­ed heav­i­ly in its design and man­u­fac­tur­ing capa­bil­i­ties. The com­pa­ny has grown from one devel­op­ment team to three dif­fer­ent teams: one based in the com­pa­ny’s Copen­hagen office, anoth­er based in Milan, and a third team focused on exper­i­men­ta­tion and longer-term ideas.

In terms of pro­duc­tion, the com­pa­ny built two new facil­i­ties in 2017, which not only expand­ed the range and vol­ume of prod­ucts, but also reduced deliv­ery times from eight weeks to four weeks in 2019. Short­er lead times will allow the com­pa­ny to more quick­ly adapt its prod­uct range to mar­ket needs. Man­u­fac­tur­ing has his­tor­i­cal­ly been Pan­do­ra’s forte, over five times the capa­bil­i­ty of its clos­est com­peti­tor. With these new facil­i­ties in Thai­land, which will also exper­i­ment with new tech­nolo­gies such as 3D print­ing, the com­pa­ny aims to fur­ther dis­tance itself from the com­pe­ti­tion.

The new man­age­ment of the com­pa­ny since 2018 con­sists of CFO Anders Boy­er / Anders Boy­er and CEO Jere­my Schwartz. The result of their team­work was a detailed two-year plan called “Pro­gram now” / “Pro­gram now”, which was pre­sent­ed in the first quar­ter of 2019. In April 2019, Jere­my Schwartz resigned and was replaced by Alexan­der Lacik, who con­tin­ued his under­tak­ings and undoubt­ed­ly added new things to the com­pa­ny’s strat­e­gy.

What did they pro­pose and what changes are they imple­ment­ing? Let’s ana­lyze.

Reduc­ing the open­ing of new stores

While Pan­do­ra is open­ing about 250 new stores this year, man­age­ment has announced that it will cut the num­ber from 750 to 400 by 2022, with a focus on under­served mar­kets such as Chi­na and India.

Lim­it­ing the growth of new store open­ings is being done because shop­pers pre­fer online shop­ping. In the lat­est quar­ter, Pan­do­ra’s online store rev­enue increased 52% year-over-year and now accounts for 8% of total rev­enue com­pared to 5% in the same quar­ter last year.

Reduc­ing pro­mo­tions

More impor­tant­ly for us, Pan­do­ra will reduce the num­ber of pro­mo­tions it runs. Of course, the com­pa­ny will hold pro­mo­tions and pro­mo­tions ded­i­cat­ed to the main hol­i­days of the year, but their num­ber or amount of dis­counts will be reviewed. Accord­ing to experts, this is exact­ly what is need­ed to main­tain the brand in its long-term val­ue.

Change the design

In Sep­tem­ber 2019, the com­pa­ny intro­duced a new redesigned logo and a new store design con­cept.

The first store in the new design opened in the UK this year. Fur­ther, updat­ed bou­tiques will be launched in Chi­na and Italy — coun­tries that are key mar­kets for the com­pa­ny. The changes also affect­ed online stores. They have become more func­tion­al and adapt­ed. Pan­do­ra will main­tain and update its pres­ence on part­ner sites such as Tmall.

Brand Revi­tal­iza­tion

Com­bined with the reduc­tion in pro­mo­tions, the com­pa­ny plans to review mar­ket­ing ini­tia­tives. The peak of activ­i­ty of this inno­va­tion is planned for the 4th quar­ter of 2019, just on the eve of all hol­i­days. The plan includes a new type of mar­ket­ing com­mu­ni­ca­tions strat­e­gy, the devel­op­ment and imple­men­ta­tion of new cus­tomer reward sys­tems to encour­age col­lect­ing and reg­u­lar shop­ping.

Mar­ket­ing invest­ments

The com­pa­ny’s rebrand­ing entails the com­pa­ny’s largest mar­ket­ing invest­ment to date. Pan­do­ra plans to active­ly col­lab­o­rate with celebri­ties and influ­encers.

Pan­do­ra has cho­sen Stranger Things star Mil­lie Bob­by Brown as its brand ambas­sador. The first cam­paign with her par­tic­i­pa­tion will be released in Octo­ber. Also at the pre­sen­ta­tion of the new autumn col­lec­tion 2019 were the Mus­es of Pan­do­ra, which were Tasia van Ree, Mar­garet Zhang, Nathalie Emmanuel, Geor­gia May Jag­ger, Hal­i­ma Aden and Larsen Thomp­son.

In con­clu­sion, the main goal of relaunch­ing the Pan­do­ra brand as a whole and imple­ment­ing the “Pro­gram Now” plan is to update the entire cus­tomer expe­ri­ence and increase brand rel­e­vance at all lev­els of inter­ac­tion with con­sumers. All these and pos­si­bly oth­er steps will con­tin­ue until 2020. We will soon see how this will affect the prof­itabil­i­ty of the com­pa­ny and what the end con­sumer (you and I) will ulti­mate­ly receive.


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