Branding strategies bolster Pandora’s 2022 growth
Danish jeweller Pandora grew steadily in 2022, achieving a double-digit revenue increase amid continued macroeconomic uncertainties.
Full-year revenues rose 13 per cent to DKK26.5 billion (around US$3.82 billion) while those in fourth-quarter 2022 were up 9 per cent to DKK9.85 billion (about US$1.42 billion) on the back of solid branding strategies.
The company recorded organic growth of 7 per cent in 2022 and 4 per cent in Q4 2022.
Pandora President and CEO Alexander Lacik said the jeweller ended 2022 on a high note, adding that the brand “showed resilience” amid economic pressure on consumers and Covid-19 headwinds in China. Major markets the US and Europe showed significant improvements.
“We continue to deliver solid growth versus pre-pandemic levels,” he continued. “We have started 2023 well and are confident that the transformation of the brand over the past few years puts Pandora in a good position to manage adversity and emerge stronger.”
Highlights of Pandora’s 2022 performance include network expansions and the launch of its lab-grown diamond arm, Diamonds by Pandora in North America. Lacik said the company is working on new collections in 2023.
In 2022, Pandora opened 88 new concept stores, of which 32 were in the US, as well as 130 new owned and operated shop-in-shops, majority of which were in Latin America.
“These openings are part of the roughly 600 locations across our top markets identified as part of our Phoenix strategy, where we see potential to drive profitable growth by opening new stores. Of these, 50 per cent are in the US and China and 80 per cent are concept stores,” noted Pandora.
The jeweller is planning to open 50 to 100 concept stores throughout the year. It also set an initial guidance of -3 per cent to 3 per cent organic growth in 2023.