Promotion and Key Competitors of Pandora Brand - Case Study Example

BRАND САSЕ STUDY Name: Course Instructor’s name Institution Date BRАND САSЕ STUDY Brand and its brand portfolio Pandora is a Danish jeweler company that deals with high quality, hand finished modern jewelry that are also affordable. Pandora’s portfolios include silver and gold necklace, pedants, bracelets and charms. The product in focus is Pandora’s gold or silver necklaces. This is one of Pandora’s products that is quite famous in the market (Bitti, 2017). Most jewel retail stores globally stock this brand since it’s a classy product that covers a great variety of exquisite designs and materials which has also contributed to it being the main product of focus. In line with this, the fact that Pandora’s necklace jewelry products are made from either a mix of sterling silver or a 14 carat gold with a sparkling Pandora designer sign which expresses some aspect of style is also another reason why this is the brands main product. Current target audience In this particular product by Pandora, the company has chosen the affordable product segment. Thus, the company targets the affordable high end and luxury jewelry market. Evidently, the company, target audience are the Urban upper middle and upper class women. This audience forms a customer base of high-end customers who seek high-quality, hand finished and modern jewelry at affordable prices (Raja and Ponramu, 2012). Its current target audience comprises of customers who love luxuries like silver, diamond and gold jewelry. On the other hand, this particular group is also characterized by being enthusiastic about unique and versatile jewelry, just what Pandora offers. Brand Image / Brand perception Pandora’s brand image is quite distinctive due to its vertically integrated business model. Additionally, its brand image is characterized by its high quality, hand finished, genuine and modern jewelry product which are sold at affordable prices. Its tag line, ‘inspiring women to express their individuality’ complements its image among its customers. Consequently, leading to a very intimate connection with customers and creating a wide and loyal customer base (Moraes et al., 2015). Pandora’s brand objective is to ensure that each piece of the company’s jewelry evokes emotion and is special to the buyer. This helps it as a brand to target women who want to feel special and embrace different desires. Brand Positioning Positioning helps a company occupy a special place in the mind of the consumers and help different a company’s products from those of its competitors. Pandora’s marketing mix entails; Product The company has a great variety of products ranging from charms, rings, ear rings, necklace, pedants and bracelets. Its products are known to be of high quality and also hand-finished jewelry made from either gold or silver. Price The prices of Pandora’s jewelry are known to be affordable. These prices for their jewelry range from £15 for a silver charm to roughly £2,300 for a 15 carat gold necklace. However, most of Pandora jewelry products range around £200 (Kumar, 2011, pp.1-4). Place Pandora has an estimated 9,500 sales points which entail an estimated 1,600 concept stores spread across over 90 countries. This helps communicate a strong message to its customers availability and dependability, travelling customers prefer specific brands it’s a relief once they are able to purchase them in global markets Promotion To maintain its brand it embraces traditional marketing tools which include; bus adverts, billboards, television commercials, posters and magazine pages Pandora has also embraced modern advertising methods. Some of these methods include celebrity advertisers where Tess Daly, a global celebrity is used to popularize Pandora’s products. Moreover, it has also embraced digital advertising through using their Facebook, Twitter and YouTube account in advertising to the online customers. The key message used by Pandora in promoting its products in these advertising platforms is “to celebrate women by offering them the opportunity for personal expression, through high quality jewelry products at affordable prices (Houghton, 2006, p.17). Pandora conceptual map is built around the achievement of brand equity and the creation of a strong association between the customers and the product. On the other hand, Pandora’s positioning framework revolves around vertical integration; In this case, this is a source of Pandora’s brand equity. This entail choosing the brand concept to take up and transforming it to appeal to the customers therefore, enduring that they are synonymous with the brands high quality products. Key competitors of the Brand One of the main competitors of Pandora Company is Signet Jewelry limited, the company was regarded as the biggest jewelry retailer about a decade ago but it faced a lot of problems and closed up shop (Carrigan et al., 2016, pp.11-17). However, the company’s revival seems promising since it has started to regain it lost glory. One of the competitive advantages of this company is its reputation since it had been in this line of business for a significant number of years. Billig Jewelers Inc., is another competitor of Pandora. It was formed in the year 1980 and for all this time it has been operation running and expanding its operations globally. One of the main competitive advantages of this company is that it has a lot of experience in this industry as well as good reputation due to the amount of time that it has been in this industry (Bitti, 2017). Research trends The jewelry retail industry is growing fast and becoming dynamic every day. One of the trends in this industry is the internationalization of brands. With the immergence of international brands many national brand have found themselves outpaced by these particular brands. The other trend in this industry is the growth of branded jewelry. In this case, branded products account for 60% of all sales in the jewelry industry (The Irish times, 2017). Moreover, recent market research have also revealed that branded jewelry have significant higher share that the non-branded jewelry. Added value With internationalization of brands being a trending issue in the jewelry retail industry one added value recommendation that I would like to make to Pandora Company is that they should focus on expanding in order to make their own brand an international brand whore reputation is known far and wide (Bitti, 2017). This is because the customers in the market now prefer these kinds of brands. References Bitti, M. (2017). How Pandora Jewellery grew to become a mega global brand. [online] Financial Post. Available at: http://business.financialpost.com/entrepreneur/franchise-focus/how-pandora-jewellery-grew-to-become-a-mega-global-brand [Accessed 10 Mar. 2017]. Carrigan, M., McEachern, M., Moraes, C. and Bosangit, C. (2016). The Fine Jewellery Industry: Corporate Responsibility Challenges and Institutional Forces Facing SMEs. Journal of Business Ethics pp.11-17. Houghton, G. (2006). Pandora. The Connoisseur, 2(1), p.17. Kumar, N. (2011). Indian Gems and Jewellery Industry: Problems and Future Prospects. Indian Journal of Applied Research, 3(10), pp.1-4. Moraes, C., Carrigan, M., Bosangit, C., Ferreira, C. and McGrath, M. (2015). Understanding Ethical Luxury Consumption Through Practice Theories: A Study of Fine Jewellery Purchases. Journal of Business Ethics pp.105-107. S.Raja, S. and Dr. P. Ponramu, D. (2012). Jewellery Market Sales Promotion (Tamil Nadu for the Month of Apr & May 2014. Global Journal For Research Analysis, 3(8), pp.203-204. THE IRISH TIMES, (2017). Danish jeweller Pandora raises sales forecast. [online] The Irish Times. Available at: http://www.irishtimes.com/business/retail-and-services/danish-jeweller-pandora-raises-sales-forecast-1.2313833 [Accessed 10 Mar. 2017]. Read More