Pandora’s charm bracelet business represents around 20 percent of its overall sales, the company reported in August 2018. And that business has been faltering.
The brand’s stock was cut in half this year due to declining sales. And former CEO Anders Colding Friis, who exited the brand the end of August, told investors on Aug. 18, “We’ve been too optimistic about the new products from our charms collections. Consumers are preferring a simple look with fewer charms. They used to wear six to seven charms, now they wear five.”
But some think the brand’s problems run deeper than that.
Retail experts agree that Pandora’s charms and charm bracelets have had an incredible run—and that run may continue. But no single jewelry look stays hot forever, and some think Pandora’s core products, which are as recognizable as a classic Coach bag, may simply be drifting out of fashion.
The company has said it will focus on other categories, including earrings and necklaces, while maintaining and building on its charm business. But those efforts may not be happening fast enough.
The brand debuted an 18k yellow gold jewelry collection, Shine, earlier this year—and while it included some very cute stacking rings and pendant necklaces, around half the styles were charms or charm-related jewels.
Yesterday the company announced a new charm bracelet (and new charms to go on it), in a stand-alone press statement. Clearly, the brand is doubling down on its charmed legacy. Time will tell whether that proves to be a winning strategy.
The new Pandora Reflexions bracelet, a flexible mesh-style bracelet meant to match with clip-on interchangeable charms created specifically for the bracelet, comes in three metals: sterling silver and two proprietary metal tones, Pandora Rose and Pandora Shine.
“We’re bringing a new customizable concept for women that are looking to personalize their self-expression,” said Stephen Fairchild, chief creative officer at Pandora. “Reflexions is a new collection that builds on the DNA of our brand. It is also an example of our strategic ambition to lead and innovate the charms category by bringing exciting new products to customers.”
Fairchild explained his team’s thinking behind the design: “In contrast to Pandora’s core charm designs, Reflexions charms are flatter and more sleek in shape, and we expect the clean and timeless look of the bracelet will attract customers seeking this particular fashion trend that has been emerging recently.”
Pandora plans to launch around 60 Reflexions products in 2018, all available in its concept stores and online.
Top: Pandora’s new Reflexions bracelets and charms (photo courtesy of Pandora)