Pandora has said its turnaround plan is on track despite a drop in sales and like-for-likes, as it prepares for a brand relaunch and marketing revamp. Organic sales for the Danish jewellery retailer dropped seven per cent in its second quarter, while like-for-like sales fell 10 per cent during the same period.
Total British sales – including new store openings – increased by two per cent, although total UK sales were down eight per cent in the second quarter. Overall underlying earnings came in at 1.29 billion Danish kroner (£160 million), down 13.8 per cent on the same period last year.
Despite this, recently-appointed chief executive Alexander Lacik said progress was being made on the retailer’s turnaround strategy. Initiatives include testing a more aggressive marketing approach in both the UK and Italy, doubling spending on the area.
“Our preparations and marketing pilots spur confidence in our direction – by improving execution with focus on Pandora’s core proposition, we can improve our relevance for consumers around the world,” – Lacik said.
Pandora is readying itself for a relaunch at the end of this month, beginning with the unveiling of its autumn collection in Los Angeles on August 28. This will be followed by the roll-out of a new store design, as well as new online platforms, partnerships and products. The retailer’s first rebranded store will open in the UK.
