Jewelers need new ideas and inspiration
By Jeff Miller www.diamonds.net
RAPAPORT... Jewelers have been hit by a number of factors that have hurt their businesses recently, according to a new study of the jewelry market published by Unity Marketing. Rising product costs have pressured margins and given consumers reason to seek more affordable alternatives, such as new metals and faux gemstones. Consumers have also increasingly favored department stores, Internet websites, artisans and art galleries, TV shopping and discounters for new jewelry pieces, Unity Marketing found.
Furthermore, with a new ''value consciousness'' so pervasive post-Great Recession, today's jewelry consumer is finding ways to buy a new piece for a great price. That is one reason why the average amount jewelry shoppers spent on their most recent piece of fine jewelry declined by nearly 60 percent from pre-recession 2007 when the average price was $734 to only $466 in the most recent survey.
"Jewelers need new ideas and inspiration that will help them market successfully against these headwinds," said Pam Danziger, the president of Unity Marketing.
Traditional jewelry stores are losing the game of selling jewelry, according to Danziger. Jewelers must work harder and smarter to entice the customers to buy and they need to think of creative ways to touch customers and invite them into their store using all the marketing tools available to them such as social media, local community events, and partnering with other local businesses such as bridal shops.
The research report suggests that jewelers stock more items made from lower-price metals, semi-precious stones and materials that might previously have been considered as costume jewelry. ''This many go against the grain of some traditional jewelers, but if you want to appeal to the jewelry customers of today and tomorrow, you have to change with the times,'' Danziger said. ''If you don't, you risk suffering the same fate Blockbuster, Borders and Circuit City, all once category-killer retailers that were undone by failing to move forward with their customers. The research provides retailers and marketers with a road map to help them avoid the potholes and plan for success in their future," Danziger concluded.
''The Jewelry Report 2011'' is based upon the results of a consumer survey conducted March 31 to April 1, 2011 among 553 recent purchasers of jewelry. The average income of respondents was $76,080, the average age was 45, and 64 percent were female while 36 percent were male. The results of the latest survey were compared with a similar survey conducted in July 2007 among 753 recent jewelry buyers. Interested parties may purchase the report from here: http://bit.ly/oRARLR
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