310 concept stores opened in last 12 months, plus 183 shop-in-shops.
Pandora has released its thorough annual report for 2014, highlighting its concept store success in 2014 and hinting at possible strategies for 2015.
According to the report: “Concept stores, shop-in-shops and gold stores Concept stores, shop-in-shops and gold stores are an integral part of Pandora’s business model. Here, our products are displayed in a Pandora-branded environment, giving us full control over the consumers’ shopping experience.
Branded store environments have a positive impact on sales. In 2014, branded stores made up 85.6% of revenue, compared with 82.3% in 2013. Our strategy is to increase the number of branded stores in selected markets, by upgrading silver or white stores where Pandora products are selling well and by opening new concept stores and shop-in-shops.”
An opening statement from chairman Peder Tuborgh and chief executive officer Allan Leighton, explained: “Our main focus is to increase our share of revenue from concept stores, in which we offer our customers the best possible branded experience.
During the year we opened 310 new concept stores, taking the total to 1,410 and revenue from the store type increased by approximately 50% compared with last year. 56% of our revenue is now generated in concept stores compared with 49% last year.
The total number of stores actually decreased during the year, but the number of branded Pandora stores increased by 564, while the number of Pandora-owned stores also increased during the year.”
Overall, Pandora’s report shows that its “branded distribution network” is its focus for 2015, including opening owned and operated branded stores in selected markets.