Strategy: The trends and innovations that Pandora, Liberty and The Cotswold Company are betting on this Christmas

Christmas: the time to dust off the decorations and tick off the Christmas lists. For retailers, it's the busiest and most important quarter of the year.

With November and December accounting for one fifth of annual sales, it is imperative for retailers to get their key priorities right.

Here we examine the strategies three of last year's holiday winners are implementing to ensure a wildly successful quarter in 2024.

For more concrete insights and exclusive insights into retailers’ plans, download your free copy and read The Christmas forecast Report.

The Cotswold Company

A surprise winner of last year's Christmas trading was The Cotswold Company, with a 10.5% increase in like-for-like sales in the nine weeks to 31 December compared to 2022, earning the company sixth place in Retail Week's Christmas trading table.

The homeware retailer's strategy for Christmas 2024 is based on the customer experience and is underpinned by intensive operational preparations.

“During this time of being at home, expectations of service are also increasing and our constant goal is to provide our customers with the best possible experience,” says Chief Marketing Officer Matt Pollington.

Good delivery and returns experiences are important all year round, but it's especially important at Christmas, which is why The Cotswold Company has invested in a bespoke training centre for its delivery colleagues.

The area uses room setups that reflect clients' actual homes (including a staircase) so colleagues can practice bringing in large pieces of furniture and learn the best tips for maneuvering items around the home without causing damage.

But it is not just the end of the customer journey that is important for retailers; the e-commerce experience is also becoming more important.

In 2023, online orders accounted for 80% of sales, with the company seeing a 9% reduction in bounce rate and a 3% increase in conversions during the holiday season. Managing director Ralph Tucker attributed this success to the delivery service as well as optimizing the online user experience.

The retailer expanded its online offering to Northern Ireland in April following a test last summer, further increasing its sales opportunities at Christmas. The move is a “strong blueprint for future expansion across the British Isles,” said Chief Operating Officer Alan Joseph.

Pandora

Giving the gift of jewellery is synonymous with Christmas. A recent Retail Week article named bangles, necklaces and earrings as the upcoming bestsellers, and retailers like Pandora are expecting strong sales this holiday season.

Investments in people and technology are at the top of Pandora's Christmas priority list this year.

Forty stores in high-traffic locations, including London's West End, Glasgow's Buchanan Galleries and Manchester's Trafford Centre, are set to be fitted out with the retailer's new store format 'Evoke 2.0 design concept' by the end of the year, transforming them into what Sarah Chenery, UK and Ireland marketing director, describes as “warm, inviting and playful” spaces.

All new store formats will have more mobile POS systems – a key feature – so store staff can manage what manager Sonia López-Delgado calls “the iconic Pandora Christmas lines.” Plans call it an additional 1,000 temporary workers to join the workforce during peak periods, all of whom will receive two days of training before going into the store.

Employee wellbeing is also a top priority. López-Delgado says the retailer will repeat an initiative it launched last year, sending “wellness boxes full of treats and fun activities” to each store to “support teams” through the holiday season.

Freedom

Experience-oriented retail is the motto of the Liberty department store, which is a popular tourist destination in the fourth quarter.

In 2024, the brand will offer a “unique” experience compared to its previous Christmas strategies, but what exactly that will look like is still being kept under wraps for now.

Store manager Julian Beer explains: “Christmas shopping is not just about buying presents, it's also about creating unforgettable moments with loved ones” – and that's what this year's motto is all about. “We want to be leaders in the customer experience and offer a truly unforgettable Christmas.”

Beer says the festive theme will transcend the “walls” of the London store and create “a truly immersive experience like we’ve never done before.”

In the past, the brand has offered wreath-making sessions and sock monogramming services, and Beer expects this type of activity to be popular again in 2024 as customers treat family, friends and themselves.

Own-brand products will also continue to be a priority. In last year's golden quarter, the brand saw demand for “unique, artisanal offerings and products incorporating our iconic Liberty prints,” which has certainly influenced this year's strategy.