Tiffany & Co. will embark on a three-year renovation project at its famous Fifth Avenue store to make the customer experience more innovative and interactive.
Refurbishment of the 10-story New York flagship will begin in February 2019, and will be complete by the end of 2021, the retailer said Tuesday. The branch will remain open throughout, with the jeweler temporarily expanding its retail space into an adjacent building during the transition.
The store is responsible for a large proportion of the jeweler’s sales, and serves the multitude of tourists visiting the city.
“We are extremely excited about the opportunity to transform our iconic New York flagship store and create a dramatic new experience for customers,” Tiffany CEO Alessandro Bogliolo said. “Innovation will remain at the forefront of Tiffany’s plans for 727 Fifth Avenue, and the newly reimagined flagship will serve as the modern crown jewel of our global store network.”
Bogliolo, who joined Tiffany last year, has been working to revive the company in an effort to attract millennials. The jeweler launched several marketing campaigns throughout New York, including one in which many of the city’s iconic features — including its taxi cabs — took on the signature Tiffany blue color. It has hired celebrities including Elle Fanning and Maddie Ziegler to star in its campaigns. Reed Krakoff, the former creative designer of fashion brand Coach, also launched his first jewelry collection as head of Tiffany’s design team.
Tiffany’s global sales grew 15% to $1.03 billion in the first fiscal quarter ending April 30 amid higher spending in the US and greater China. The company plans to report results for the fiscal second quarter on August 28.
The investment in the refurbishment will increase Tiffany’s capital expenditures as a percentage of worldwide net sales by 1% to 2% for each of the three fiscal years that the project will span. Global revenue stood at $4.17 billion in the latest fiscal year ending January 31.
BRON: Rapaport 15-8-2018