"When Pandora rolled out its first AI-powered service agent earlier this year, the goal wasn't to showcase cutting-edge technology. It was to survive the peak holiday shopping season without sacrificing the customer experience or margins. The agent, dubbed Clara, launched as a chatbot on the brand's website in mid-February and now resolves around 60% of customer service inquiries without escalation to a human agent."
"Those results matter for Pandora, which generates roughly 40% of its annual revenue in the final three months of the year. On the company's third-quarter earnings call, executives repeatedly pointed to efficiency and scalability with AI as key offsets to macro pressure, as Pandora held gross margins near 80% and reaffirmed full-year EBIT guidance of around 24%. Clara is one of two AI "agents" Pandora has been developing as part of a wider push into agentic AI."
Pandora launched Clara, an AI-powered service chatbot, in mid-February; Clara now resolves about 60% of inquiries compared with about 40% from the previous bot. Clara has coincided with a roughly 10% uplift in net promoter score. AI service automation reduces staffing needs for peak holiday periods and improves operational efficiency during Black Friday and year-end sales when roughly 40% of annual revenue is generated. Pandora maintained gross margins near 80% and reaffirmed full-year EBIT guidance around 24%, citing AI-driven efficiency and scalability as key offsets to macro pressure. Pandora is also piloting Gemma, a sales agent replicating in-store experiences online.
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