Last month, the Danish fashion jewelry brand Pandora announced key financial data for the third quarter of fiscal 2020 (as of the end of September). Sales fell organically by 5% year-on-year, but overall business has improved, and the epidemic crisis is uncertain Sex may affect Pandora’s vital holiday season sales.
Pandora said that due to the uncertainty of the epidemic, the company will update performance information in real time. Just now, Pandora released an update for November: that month sales achieved organic growth, and its strong online sales business growth offset the decline in physical store sales.
Pandora intends to advance Black Friday and Christmas sales to November in order to handle the social distancing requirements (during the epidemic) and control online traffic for the rest of this year. Pandora pointed out that due to the brand’s advancement of business in order to avoid store congestion and the huge pressure on the network system during the holiday season, Pandora’s December transactions may be negatively affected.
Based on this, Pandora confirmed the 2020 financial guidance announced in the 2020 third quarter interim report, that is, it is expected that the full-year sales will decline by 17-14% organically; the EBIT margin is between 17.5-19%.
It is reported that about 10% of Pandora’s stores were temporarily closed at the end of November. During this holiday season, Pandora will open nearly 75 pop-up stores in North America to ease store traffic.
Pandora was hit hard by being forced to close its stores due to the epidemic. It is currently undergoing extensive rectification to increase brand awareness and adapt to the decline in customer traffic in many stores. Pandora has increased its marketing efforts, streamlined product categories, and strengthened its digital development means.
Pandora has always been committed to developing new product matrices. In August of this year, Pandora announced a partnership with American film company Lucasfilm to launch the Star WarsTM series of jewelry capsules, including necklaces, bracelets and other products. The Star Wars x Pandora series will be on sale in Pandora global stores and official website on October 1st this year. At the same time, Pandora’s cooperation with IP and celebrities such as Harry Potter and Millie Bobby Brown also helped to increase brand popularity.