In 2017, Swarovski’s UK division saw a significant decline in revenues by 10.6%, a result of the closure of several retail stores, including those of its unsuccessful Cadenzza brand. The multi-brand concept launched in 2012 faced difficulties and ultimately led to the closure of physical and online stores in 2016.
Key locations like London’s Covent Garden, Liverpool, Birmingham, and Westfield shopping centers were among the sites where Cadenzza stores were shut down. Despite these closures, Swarovski’s remaining retail stores across the UK continued to operate as expected.
Not only did the company close Cadenzza stores, but it also discontinued its Lola and Grace brand targeted at a younger demographic. This brand, with standalone stores globally, was deemed unsustainable in the long run.
Although Swarovski UK reported a decrease in revenues to £74.2 million in 2017, a drop of £8.8 million from the previous year, it successfully reduced its losses from £2.2 million to £1.2 million. Despite the challenges faced, the company is looking forward to moderate growth in all divisions in the future.
The decline in revenues can be attributed in part to difficulties on the high street such as a general decrease in consumer confidence. However, with a renewed focus on the core Swarovski brand, the company has high hopes for ongoing growth and success. Swarovski remains dedicated to providing top-quality jewellery items to its customers while adapting to the evolving retail industry.
