French crystal maker Baccarat expects further sales decline for this year, as the company is besieged by tough market conditions in Europe and China.
“The situation has worsened in Europe progressively and this year even more so than last year,” Baccarat Chief Executive Daniela Riccardi tells Reuters.
Baccarat, which makes crystal glasses, jewelry, and bottles for cognac, indicated that its problems have been compounded by China’s anti-corruption crackdown, which has hurt cognac sales.
Furthermore, its jewelry business dropped by 11 percent last year due to problems with product deliveries.
Riccardi is taking some drastic measure. She plans to trim Baccarat’s portfolio of products from 6,000 to 1,000. This year marks Baccarat’s 250th anniversary and the company hopes a marketing campaign celebrating this milestone will jump start business.
According to Reuters, Baccarat’s sales fell 6.3 percent to 106.5 million euros ($144.7 million) last year.
image credit: bacarrat