Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

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FDD Talk: Actual, Average, and Median Gross Sales of Pandora Jewelry Stores

by Franchise Chatter on January 15, 2012

in Franchise Earnings, Jewelry Store Franchise

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What is Pandora?

1.  Founded in 1982 in Copenhagen, Denmark, Pandora specializes in modifiable charm bracelets, which it sells through large and small jewelry stores, boutique and department stores, franchised Pandora stores, and other non-franchised stores selling Pandora jewelry.

2.  The individual charms range in price from $25 to $845 at retail, while bracelets sell for $50 to $1,415.  Pandora also sells rings (from $25 to $1,935), earrings (from $20 to $725), necklaces and pendants (from $10 to $950), and watches (from $175 to $1,350).

3.  The target market for Pandora stores are consumers who purchase jewelry, particularly women aged 30 to 60 years.

Pandora Jewelry Photo by valhi4.  Franchisees must purchase their entire inventory from Pandora. Upon termination or expiration of the franchise agreement, Pandora may repurchase (although it is not contractually obligated to do so) all unsold inventory items at a price equal to the dollar amount paid by the franchisee to acquire such items.  If Pandora chooses not to repurchase the unsold inventory, the company may allow the franchisee to sell such inventory to an existing Pandora franchisee.

5.  A Pandora store needs 600 to 1,100 square feet of retail space.

6.  Pandora reserves the right to

  • grant other franchises or develop and operate company or affiliate-owned Pandora stores at any location anywhere outside the franchisee’s mall;
  • distribute some or all of the products through department stores within the mall, regardless of proximity;
  • sell any products or services elsewhere through alternative channels of distribution, including the Internet and mail order.

7.  Franchisees are not allowed to independently market their store or their inventory on the Internet (including all current and future forms of social media networks or platforms) or otherwise conduct e-commerce, except as the company approves.

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