Jewellery Maker Pandora, World’s Largest Jewellery Maker, Will Not Join Online Platforms Like Amazon

Jewellery maker Pandora’s CEO indicated on Wednesday that the company would rather invest in physical locations or its own online sales platform than join huge e-commerce platforms like Amazon or Farfetch.

Jewellery maker Pandora would prefer to invest in physical stores or its own online sales platform rather than join large e-commerce marketplaces like Amazon or Farfetch, its chief executive said on Wednesday.

“If you’re a small and unknown brand, marketplaces offer a great opportunity, because they provide you with an audience. I already have an audience,” CEO Alexander Lacik said during an interview at the Reuters Next conference on Wednesday.

Pandora, the world’s largest jewellery manufacturer by manufacturing capacity, has discovered a market gap between low-cost accessories such as those offered by H&M and high-end jewellery such as that sold by Tiffany & Co.

“Eight out of ten women globally are aware of our brand, so I don’t need to make you aware of me. What I need to do is to show you what I’ve got, and I can to this much better if I have a direct relationship with my customer,” he said.

During the pandemic, the $12.3 billion company with headquarters in Copenhagen boosted its investment in e-commerce. It is available on China’s T-mall marketplace, but not on larger international platforms such as Amazon or Farfetch.

“Marketplaces always have to make a compromise for all the clients they are serving. I don’t have to compromise,” he said.

Pandora’s over 2,600 physical storefronts are still the backbone of the company, accounting for 75 per cent of worldwide revenues.

“Nearly two-thirds of my customers are men buying jewellery for their girlfriends, wifes, grandmothers or children. And we know that men buying jewellery need help,” he said.

(Adapted from Reuters.com)



Categories: Economy & Finance, Strategy, Sustainability, Uncategorized

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