Trade Resources

The Christmas season was generally a positive one for jewelry stores in 2015, as many top retailers enjoyed increased same-store sales and growing net revenues. The picture was not as rosy for luxury and apparel retailers, some of whom a few enjoyed a positive Q3 while others, such as Macy’s, ended the year by laying off thousands of employees in the wake of weak holiday season sales.



Jewelry brands under the Signet umbrella fared particularly well, as mainstays Kay and Jared the Galleria posted strong growth over last year’s sales figures. Zale and Piercing Pagoda benefited from increased same-store sales, while Gordon’s year-on-year sales dropped considerably for the holiday season.



Nathan Munn | Polygon.net

November 6, 2015 - Prices of polished natural diamonds fell by more than 10% between 2011 and 2015 according to Idex, while the Zimnisky Global Rough Diamond Price Index shows that prices of rough dropped about 11% from Oct. 2014 to Oct. 2015. Neither trend shows any sign of turning around any time soon.



Download this free industry report to learn more about the decline of diamond prices. 

On March 15, 2015, the world’s largest diamond ‘greenhouse’ opened for business in Singapore. Owned and operated by IIa Technologies, the facility is a sprawling testament to the potential of disruptive innovation. Located in an industrial area of Singapore, the complex spans 200,000 square feet; inside, around 200 state-of-the-art machines produce Type IIa diamonds around the clock using the Microwave Plasma Chemical Vapor Deposition (MPCVD) method. 

Retail jewelers in the United States continued to adapt to challenges and changes throughout the industry in 2014, with price deflation, slow sales and a growing market share among online retailers standing out as the most significant obstacles for traditional brick-and-mortar jewelers. For the first time in 15 years, simultaneous price deflation affected both jewelry consumers and jewelry suppliers. Prices of retail jewelry fell by 3% in 2014, while supplier-side prices plummeted 7%, resulting in slimmer margins for retail jewelers and suppliers. 

The face of the jewelry industry has changed greatly since the global financial crisis hit in 2008. The environment has become increasingly competitive, particularly for smaller independent retail jewelers, and competition is no longer only local but has gone global in scale. 

As we approach what tends to be the busiest time of year for retail jewelers, it’s a good time to take a look at what’s selling, what’s not, which brands are increasing their sales and market share, and what the average retail jeweler is experiencing from their side of the sales counter. We took the time to speak to Polygon members about the trends they are seeing in jewelry retailing, researched how brands are capturing the attention of customers, and how retailers are planning to leverage their physical store and online presences to profit from contemporary buying habits this season.

David Geller has been a member and active contributor to Polygon since 1997, offering real-world advice, valuable business insights and proven sales strategies to the Polygon community. From the storefront to the jewelry bench, David’s expertise is renowned in the retail jewelry industry, and he has helped countless retail jewelers improve their business practices, eliminate unnecessary costs and increase profits.

In 2013, the American retail jewelry industry enjoyed significant growth while facing renewed challenges to traditional business and marketing models. Growth of fine jewelry and watch sales paralleled modest declines in wholesale and retail jewelry prices, while the arrival of new technologies and important developments in the U.S. retail sector combined to make the past year very eventful for retail jewelers. Total fine jewelry and watch sales in the U.S. grew to $80.1 billion in 2013, an increase of 12.35% over total 2012 revenues ($71.3 billion). Of the total, jewelry sales increased 6.7% over 2012 to reach $70.65 billion, while revenue from watch sales grew by 7.6% to reach $9.46 billion. 

As developments in technology, sourcing concerns and a changed retail landscape fundamentally alter the way jewelry retailers do business, it’s beneficial to take the time to look at what’s working for retailers around the United States, what isn’t, and what’s different about each individual retail operation at a time when business owners are adapting to a new era.

The holiday season is an especially important time for retailers, none more so than retail jewelers. For many jewelry stores, combined sales figures from November, December and January account for between 30% and 50% of their total yearly revenue. Additionally for some retailers, the average amount a customer spends on fine jewelry is at its highest during the holiday season. With so much riding on holiday sales - not to mention the added stresses of the season - it can be a very competitive time for jewelers.