People today find that love will break, industry will slide, plans will be interrupted, and if you can't hold the assets in your hands, you'd rather spend your money in a more worthwhile place.
Perhaps Pandora's strategy is not completely useless, but today's young Chinese people are no longer able to see it.
If you go back to 6 years ago, Luo Xin, a small town girl, would not have thought that she would be in Beijing after many hardships to stay, witnessing the "belief" of "stamp collecting" everywhere she went - the collapse of pandora (PANDORA) flagship store.
The downturn is not sudden. In 2019, Pandora closed 70 of its 240 stores in China. In the fourth quarter of 2020, an average of about 10% of physical stores were closed globally. In the first half of 2021, 20%-25% of stores will be closed, and in the second half of 2021, it is planned to close 5%-10%.
But what is even more surprising is that after experiencing a wave of large-scale store closures, Pandora was able to swear on September 14 to shout the slogan of "tripling the revenue of the Chinese market". The base is based on the performance of 2019, and it is not mentioned when it will be realized.
In Luo Xin's view, Pandora is like a greasy first love. The other party not only did not keep up with her growth, but also became more and more "popular" and used old tricks to fool a new group of little girls, and even threatened that "children make choices, I want three at a time."
Is it time or Pandora who is wrong?
In the face of the direct questions of the customized page, who can not break the defense?
"I just want the joy of not crashing"
In the eyes of girls who have been obsessed with jewelry, Pandora is a name that can hardly be untied from youth.
Young people are shy in their pockets, please do not move real gold diamonds, and can not knock on the door of the luxury brand. Only Pandora is unusually gentle, giving them beauty within the scope of their ability to bear, and supporting their fashion sense with the name of light luxury.
What is even more attractive is that every girl who walks out of Pandora's store will firmly believe that her taste is unique because of it.
Image source: @Your friend Becky
Pandora once declared: "It is difficult to find two identical Pandora bracelets in the world." And that's the secret that makes pandora girls addicted.
The freely combinable beaded charms allow consumers to pay only a few hundred yuan to achieve the wish of "luxury customization". If it's the first time you're in the store, the clerk will even advise you not to buy too much at once, so that you can keep your wallet and pay for the next memorable moment.
Under the sales technique of seemingly saving money and actually paying in disguised installments, consumers can achieve a cumulative expenditure of four or five figures without paying attention. And this modern version of the "knotted rope chronicle" with jewelry as the carrier has stimulated the consumption enthusiasm of Pandora girls every year.
Source: @Warm Mom is coming @CALL ME Liang Liang sister
Pandora will not miss the opportunity to add fuel to this love.
The frequency of new innovation is getting higher and higher, gradually climbing from twice a year to seven times a year;
The major IPs take turns, Harry Potter, Star Wars, and Disney's various dolls and princesses, in addition to the regular theme design of festivals, constellations, numbers, letters, flowers, etc., there are hundreds of styles;
The special limited editions of stores around the world add a punch-in fun to the trip, stimulating them to go farther and farther on the road of pursuing freshness...
Source: @ Sweet Pink Fat Ding
"As soon as you enter Panmen, you are as deep as the sea, and you buy them at home one by one." The so-called Pandora's curse has been spread all over the world step by step, and China is no exception.
As early as 2009, Chinese consumers came into contact with Pandora through agents. In 2015, Pandora officially entered China, and soon won the hearts of girls in the north and south of the river with "ghost-level materials, division-level design, god-level ideas, and god-level marketing". That year, Pandora sold 100 million pieces of jewelry, with annual sales of $2.7 billion.
But falling in love with Pandora is a process of constant self-doubt and self-overthrow.
After all, it is difficult for girls who are in contact with jewelry for the first time to determine why the jewelry under the spotlight is not so good on their hands, the unique combination of imagination is no different from a distance, whether the black and hidden dirt is not well maintained or the product material is not good, how the hair on the arm is always accurately clamped by the beads, and the people around them show a smiling expression when they see it...
Up main @Sako sauce Ah once mentioned that when he visited a large duty-free shopping mall in Portugal in his early years, he found that Pandora, who opened a high-style store in the domestic mall, could only occupy a small counter in the corner abroad. And the beads that were of great significance in her heart were piled up into the shape of ten yuan store tail goods.
She wasn't the only one who was depowdered by the broken filter. As early as 2018, the sales volume of Pandora's fist product, beads, had begun to grow weakly. Pandora's 2020 financial report shows that beading has even become the product with the worst slippage, with a decline of up to 15%, while other products have only fallen by between 8% and 11%.
In fact, Pandora's moment of scenery in China is only 3 years. Sales increased by 21% year-on-year in 2016 and 12% in 2017. In 2018, things started to go wrong.
In order to save herself, Pandora's price has also dropped, and the staff has also been laid off, but she did not expect that the epidemic would come the next year. When it was found that the demand in the Chinese market had dropped sharply, and various countermeasures did not work, Pandora's subconscious reaction was to throw the pot to the purchaser.
If the purchasers really have such magical powers, how can pandora be destroyed?
Pandora, how deeply do you love China?
As we all know, where there is a price difference, there is a purchase. And Pandora's domestic and foreign price differences are not only brought about by import taxes.
In July 2018, Pandora made different price adjustments for different products in the name of exchange rate changes. In April 2019, it was announced that the brand's retail price in China would be reduced by 15%. Prior to this, the price of the same product in China was generally 30% higher than that of the European market.
In 2019, Pandora invited Guan Xiaotong to serve as the first spokesperson for China.
Saving the market at a reduced price is a strategy that Pandora once worked. After being listed on the NASDAQ in the United States in 2010, the brand once wanted to develop the high-luxury route, and tried for two years to fail. After returning the product to the mass position in 2013, it soon ushered in several years of rapid growth.
In the view of industry analysts at that time, after the economic crisis in 2008, people wanted to consume high-end brands, and they were somewhat unable to do so. And the timely appearance of the affordable Pandora has become a comfort for people facing a new life.
Also in the face of economic stagnation brought about by global turmoil, people today do not play their cards according to common sense. They find that love breaks, industries slip, plans break, and if they don't hold the assets in their hands, they'd rather spend their money where it's more worthwhile. Therefore, luxury brands such as Chanel and LV dared to rise prices against the trend at the beginning of this year after the epidemic, but their followers did not decrease but increased.
Or maybe Pandora's move isn't completely useless, it's just that today's young Chinese are richer. De Beers Group's Diamond Industry Insights report points out that 70% of the diamond consumers in China are 18-34 years old. Even if you can't afford to buy high luxury, you can still retreat to the Middle Ages, and the position of light luxury has been repeatedly postponed.
To raise his value, Pandora never stopped trying.
After all, its store opening strategy has always been to take root in the CBD and be neighbors with high-end jewelry brand stores. Tiffany, LV, Bulgari, and Dior have opened cafes or restaurants around the world, and they draw gourds. Of course, the price is still a flat version.
Unfortunately, in the hearts of young people, if you can't eat "Tiffany's breakfast", then drinking a starbucks may be better than drinking Pandora coffee.
Brand influence aside, which one is more "out of the film", at a glance.
Faced with unsatisfactory report cards and fading ace products, Pandora launched the "NOW Plan" in 2018, launched a rebranding in 2019, and recently proposed the "Phoenix Plan". Product adjustment, experience improvement, store transformation, logo replacement and other strategies are not falling behind, but the results are not as expected.
Ming Ming set up a new design team in 2017, but it was not until 2019 that he first launched customized products for specific markets, introducing new designs containing traditional patterns such as peach blossoms in Greater China. At this time, the market battle opened by major brands in China has long been in full swing. Where on the leaderboard can pandora's name be tolerated?
Pandora 2019 Peach Blossom Series.
The news related to the new product on its official blog has received only single digits of praise. Only the official announcement of cooperation with traffic artists can stir up some splashes. Interestingly, one of the hottest recent microblogs is a statement of termination of contracts with controversial artists who have previously cooperated. In the comments section, some people regretted "grateful encounters" and some people shouted "I'm okay again".
Speaking of which, even in 2017, When Pandora was at its best, its sales growth in the Chinese market began to slow. That same year, Pandora announced her foray into India, claiming to open 50 stores in the next 3 years.
So why did Pandora turn around and announce a long-term goal of tripling revenue in the Chinese market today?
You know, even in the second half of 2020, when the economy is picking up, Pandora's sales in China still fell by 23%. The second quarter of 2021 fell 13% from the same period in 2019, but it was slightly better than the 48% decline in the first quarter. The U.S. market, which really allowed sales to rise against the trend, was expected to "double", which was far less valued than the Chinese market.
Perhaps for Pandora, no matter who earns money, it doesn't take much thought, just obediently follow the world's largest cake, it is enough to eat.
Among the many "muses" that Pandora recently announced, Xiang Weijing is the only Chinese face among them. But people who don't pay attention to the supermodel circle may not know her.
Who still loves Pandora?
In 2017, Pandora ranked among the top three global jewelry brands in terms of sales. The world was shocked, and the media rushed to play the headline "Pandora Knocked Down Tiffany".
In 2021, Pandora's global flagship store in Beijing's Royal Palace Central closed and was replaced by high-end jewelry brand Cartier.
Also this year, Pandora announced that she would no longer use natural diamonds and would use cultivated diamonds. One is to achieve their pursuit of "sustainability", and the other is to enable consumers to achieve "diamond freedom".
But in fact, Pandora uses very few natural diamonds. Of the 85 million pieces of jewelry sold last year, only 0.65 percent contained natural diamonds.
In Pandora's jewelry, the most common is 925 silver, copper and silver alloys, glass, enamel... But is the use of artificial materials the original sin of Pandora's unpopularity?
Source: @苑苑吖
Not necessarily. After all, a famous person like Chanel has never hidden his favor for fake pearls. In her view, wearing fake jewelry in front of the upper class full of precious jewelry is a naked provocation.
What is enough to convince consumers is that even after the passage of time, artificial pearls are still the same color, and they will not lose water and turn yellow like natural pearls. With craftsmanship and design leaning over, even the medieval Chanel jewelry of decades ago is still a sought-after category of high-end luxury medieval jewelry today.
In the face of such consumer goods that are not destined to make users comfortable, what people hope to obtain through jewelry is nothing more than inner satisfaction or the return on investment.
For ordinary people, if you want to cause the inner shock of the people around you to get satisfaction, it is not enough to rely on artificial jewelry. As a replacement for the girls on the road to high-luxury jewelry, Pandora has a maintenance difficulty comparable to that of high luxury, but it is difficult to shoulder the responsibility of fighting the secondary market after "retirement".
If you don't care about anything, love is Pandora's design, and of course there is no problem. However, Pandora, who wants to soar again in performance, needs more than just "face powder".
After all, "face powder" is not only powder. On the same luxury track, APM and Swarovski are always eyeing each other. The former competes for attention with a more stylish, richer design, and the latter has just opened the world's largest flagship store in Shanghai.
High-end jewelry brand Tiffany hit the slogan "Not your mother's Tiffany" in an attempt to appeal to a younger consumer base. Different styles of domestic and foreign accessories brands have risen, trying to dig out another segment from this red sea.
And the time left for Pandora to show her fists in China is really running out.
Win the Marshall portable Bluetooth speaker
↓↓
Can Pandora plan to triple its revenue in China? , The Lady of the Circle Wearing a T-Shirt, 2021-09-15
Pandora bitter Chinese market for a long time, wearing a T-shirt of the circle of ladies, 2021-08-18
Pandora closed the store in a large area, and young people no longer love beads? Beijing Business Daily, 2021-06-08
Depth | Is APM Jewelry the Next Pandora? ，Drizzie，LADYMAX，2021-07-05
LV and Dior are opening luxury coffee shops, why is only Pandora cold? Beijing Business Daily, 2021-06-10
As soon as your youth is over, you say goodbye to Pandora and APM? , Boey, Yan Qizhen, 2019-01-23
String a bead only, why Pandora is so hot, grumpy rabbit, interesting report, 2017-05-07
Light luxury jewelry king Pandora completely "cool" 3 years from heaven to hell, Lin Biying, no fashion Chinese network, 2018-11-06
Freshness continues to diminish! Pandora Jewelry will lay off 1200 jobs, Fashion Headlines, 2019-05-10
Pandora lays off 180 people Asia Pacific president will leave, Interface News, 2020-03-05
Please, don't send Pandora to girls, Figurative Wave, YangFanJame, 2019-12-21
Swarovski is too difficult: behind the layoffs of 6,000 people, it is young people who are saying goodbye to light luxury jewelry, AI Finance and Economics, 2020-09-13
Pandora and Swarovski's battle for China begins, but before that they have to turn over, Interface News, 2021-09-17
When cultivated diamonds become the new blue ocean, young people are not far from "diamond freedom"? , Ringing Horse, New Retail Business Review, 2021-06-03
From mom-and-pop shops to $2.7 billion, can this Danish fast fashion jewelry be copied? , UncrownEd Finance, 2016-12-06
The market value plummeted by 60 billion, and Pandora, who treats users as fools, is about to cool down, Golden Wrong Knife, 2018-12-12
Beading business encountered a bottleneck, Pandora CEO resigned, Interface News, 2018-08-13
Who is pandora jewelry's enemy? , Fashion Headlines, March 14, 2017
Nearly 10,000 yuan of second-hand rings are rushing to get, what do young people buy high-end jewelry? ，Shumin Lai，Vogue Business，2021-02-23
During the epidemic period, prices have risen against the trend, where is the confidence of luxury brands? | DT number said, DT Finance, 2020-06-22
✎ Author | Yan Fei
✎ Proofreading | A green
Welcome to share to the circle of friends
Reproduction without permission is prohibited