Pandora Jewelry Market in Italy: Industry Analysis and Marketing Strategies

GLOBAL
MARKETING AND
DIGITAL BUSINESS

Table of Contents
INTRODUCTION...........................................................................................................................3
Company background.............................................................................................................3
Products .................................................................................................................................4
Industry Analyses..................................................................................................................4
Competitors in Italy................................................................................................................5
Situation Analysis ...........................................................................................................................5
External ..................................................................................................................................5
Internal ...................................................................................................................................6
Models and theories.........................................................................................................................7
Cultural factors.......................................................................................................................8
Marketing strategies...............................................................................................................8
Porter diamond model............................................................................................................9
Segmentation, Targeting and Positioning of Pandora............................................................9
Born Global .........................................................................................................................10
Online Activities of Pandora................................................................................................10
Recommendations................................................................................................................11
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
In era of high business competition, it is necessary for companies to expand in different
markets. this allows them to sustain for long term and compete with others. for this it is required
to develop various strategies and implement it. alongside, use of technology has enabled in using
digital media to promote to reach large number of customers. However, there exists vast number
of opportunities in global marketplace that can be grabbed by business.
this report will describe about Pandora company market in Italy and industry analysis. Also,
it will be explained about situation of market and some internationalisation theories. Besides
that, marketing and online activities of company will be mentioned.
Company background
Pandora is the jewelry designer and manufacture firm that is specialized in making
handmade jewelry. It prepares neckless, earrings, rings etc. The firm sells its materials across
the world via its stores. It also has many online stores and consumers have facility to buy
materials through its e-stores (Horizontal and vertical integration, 2019)
Italian jewelry industry is growing well over a period of time it has earned huge profit. In
the year 2018 this sector has earned total revenue of 8397.1m. that reflects compound growth
rate of 0.4% as compared to last year. Increasing household expenses has affected the
profitability of this sector to great extent. In the year 2008 economy condition of Italy was falling
due to economic crises, this has created issue of high unemployment rate hence consumers were
not in the condition to spend huge amount in buying expensive jewelries. This has affected its
revenue badly. In the same year tourism activities were very less in Italy hence reduction in
tourism created less favorable condition for the Italy jewelry industry (Domazet and Neogradi,
2019).

Figure 1growth of Italian jewelry market
Later on market condition of this sector has been improved and online shopping was in
trend. Italian online jewelry sector has grown by 21% in the year 2018 and marketers are
assuming that till 2023 kit will reach to 127% growth. This online retail services have helped
industry as consumers are getting heavy discounts and products are available at cheaper rates.
Macros economic condition of Italy is clearly describing that market condition of jewellery
sector will be improved in near future and consumption of people will be moderate.
Products
Pandora offers customized silver and gold jewellery to their costumers all over the world.
Industry Analyses
Industry Analysis
Key finding
The Italian jewelry & watches market has experienced negligible growth in the historic
period. The Italian jewelry & watches market had total revenues of $8,397.1m in 2018,
representing a compound annual
growth rate (CAGR) of 0.4% between 2014 and 2018. In comparison, the French and German
markets grew with
CAGRs of 1% and 2% respectively, over the same period, to reach respective values of
$9,092.1m and $11,388.4m 2018.
The industry of jewellery has experienced a growth after a long time. Manufacturers are
expecting that it is going to be last long. The jewellery industry in the Italian market has seen
revenues of over $ 8 million in the year of 2018. their competitors are those industries which
resides in French and Germany are more than the market of Italy as their compound growth rate
was over 1 and 2 per cent that is $ 9 million and $ 11 million whereas Italy just observed a