Pandora’s Black Friday Test: Can the World’s Top Jeweller Hold Its Crown?

Key Highlights

• Pandora braces for its toughest Black Friday as shoppers seek deeper discounts.
• Inflation, unemployment and rising silver costs are squeezing margins despite solid footfall.
• With 40% of revenue coming in Q4, Pandora must balance deals with brand protection.

The world’s largest jewellery brand by volume, Pandora, is bracing for an unusually intense Black Friday battle as global retailers deploy aggressive discounting to lure hesitant shoppers.

According to a leading news agency, senior executives expect this year’s holiday season to feel “more promotional, more aggressive” than 2023, driven by softer consumer confidence and persistent inflationary pressure.

A More Cut-Throat Season Ahead

Black Friday has historically been a high-yield period for the Danish jeweller, which sells seven pieces every second at peak holiday traffic. But this year, several macroeconomic forces are shifting buyer psychology. Executives say rising inflation, softening labour markets, and broader economic anxiety are making shoppers hesitate before spending on discretionary goods like jewellery.

At the same time, a spike in global silver prices, a core input for Pandora’s charm bracelets and signature collections, is squeezing margins across the board. The company is also navigating US import tariffs, which have already pushed it to raise prices selectively in its biggest market.

Inflation Pushes Retailers Into Bigger Promotions

Pandora’s Chief Commercial Officer, Massimo Basei, told Reuters that promotional intensity is rising across the retail landscape. “We all read the news about inflation… and since we are a brand that speaks to the masses, of course, we feel it,” he said.

The shift is visible in-store: while footfall has remained steady, teams are working harder to convert browsers into buyers as customers hesitate to spend on discretionary jewellery.

Basei noted that “consumers are more cautious,” reflecting broader sentiment captured in US and European retail surveys that indicate holiday shoppers will prioritise essentials and value-driven deals this year.

The High Stakes of Q4 for Pandora

For Pandora, valued at nearly $9.4 billion, the fourth quarter is make-or-break. Roughly 40% of its annual revenue comes from October to December, when the company sells, on average, seven pieces of jewellery every second globally. The US remains the company’s largest market and has seen targeted price rises to offset tariffs and the rising cost of silver.

The brand manufactures most of its silver bracelets and charms in Thailand, a structure that gives it tighter control over production but also exposes it to commodity and trade-related volatility.

Deals Are Big, But Not Everything Is On Sale

Pandora’s Black Friday pricing strategy mixes steep discounts with selective premium protection. This year’s US offers include: Silver charm bracelet: $55.99 (down from $80) and Lab-grown diamond pendant necklace: $249.99 (half price)

However, the brand is keeping its new Talisman collection off the discount list, a deliberate move to prevent margin dilution and protect brand equity.

Basei emphasised to Reuters that the challenge isn’t merely affordability: “It’s not just about, can we afford or not to discount? It’s about, is it the right thing to do to preserve our brand, to make sure the growth is sustainable in the long term?”

Balancing Short-Term Gains With Long-Term Brand Value

Pandora’s stance captures a broader tension across consumer retail: how far brands should go in chasing short-term sales during promotional periods at the risk of conditioning shoppers to expect perpetual discounts.

With Black Friday transforming into a more extended promotional season, jewellers face the dual pressure of rising costs and a more price-sensitive customer base. For Pandora, the question this holiday season is not just about sales volumes but about brand stewardship.

Whether the world’s top jewellery seller by volume can maintain its crown will depend on its ability to navigate tariffs, inflation, and discount wars without compromising its long-term strategy, a test that begins with this year’s Black Friday.