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David Geller: Sell Your Repairs Or Pay the Price

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Repairs are sales too. They require the same salesmanship as any other product. And you must price them to make money.

{loadposition davidgellerheader}

[h3]Sell Your Repairs Or You Will Pay the Price[/h3]

[dropcap cap=I]t’s been a pretty typical morning: A gift buyer, followed by an engagement ring tire-kicker and then a “No, thanks, I’ll think about it”browser of diamond studs.[/dropcap]

Of the three, you sold one — the gift buyer. Not a great morning but fairly standard closing ratio — 33 percent, and an average product sale in the store is $450, which is not bad.

But then come the repair customers — 10 in a row. Watch batteries, ring sizings, prongs and tips, lobster claws, new half shanks, two need new heads, one lost a 5-point diamond. You take out your pricing book and quote people.

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[inset side=right]But these customers are mean! On being quoted a price, four or five say “OK, when can I pick it up?” But the other five or six actually start yelling at you.[/inset]But these customers are mean! On being quoted a price, four or five say “OK, when can I pick it up?” But the other five or six actually start yelling at you.

Every repair sale is an argument. But surprisingly, more than 90 percent still tell you to go ahead and fix it. Why is this? It’s because repairs are not price-sensitive, they are trust-sensitive.

So why do they give you such a hard time? Because they don’t understand the pricing of jewelers’ labor multiplied by time and adding in findings.

You don’t do as good of a job selling a repair as you do selling a bracelet or a loose diamond. You think selling repairs is “clerking.”

But you’re wrong. Selling anything in a store requires salesmanship. Think about all of the words that come out of your mouth selling an expensive watch. The same approach is required to sell repairs and custom design.

Ten customers, nine sales, average repair sale is about $100. It required very little inventory to do the job. You have a 90 percent closing ratio, and you’re exhausted because you’re a nice person, but it seems as if all of the customers hate your guts. You think you’re charging too much. You start now lowering your repair prices. You start doing more free repairs.

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Ten repair customers walk in, and still nine out of 10 buy. You were correct about lowering your repair prices. Instead of five or six calling you a cheat and a liar, it’s four or five. But now because you’ve tried to take the easy road (lower prices) your repair department is barely breaking even.

David Geller is an author and consultant to jewelry-store owners on store management and profitability. E-mail him at [email protected].

[span class=note]This story is from the June 2009 edition of INSTORE[/span]

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Wilkerson Testimonials

Retirement Made Easy with Wilkerson

The store was a landmark in Topeka, Kansas, but after 80 years in business, it was time for Briman’s Leading Jewelers to close up shop. Third generation jeweler and owner Rob Briman says the decision wasn’t easy, but the sale that followed was — all thanks to Wilkerson. Briman had decided a year prior to the summer 2020 sale that he wanted to retire. With a pandemic in full force, he had plenty of questions and concerns. “We had no real way to know if we were going to be successful or have a failure on our hands,” says Briman. “We didn’t know what to expect.” But with Wilkerson in charge, the experience was “fantastic” and now there’s plenty of time for relaxing and enjoying a more secure retirement. “I would recommend Wilkerson to any retailer considering a going-out-of-business sale,” says Briman. “They’ll help you reach your financial goal. Our experience was a tremendous success.”

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David Geller

David Geller: Sell Your Repairs Or Pay the Price

mm

Published

on

Repairs are sales too. They require the same salesmanship as any other product. And you must price them to make money.

{loadposition davidgellerheader}

[h3]Sell Your Repairs Or You Will Pay the Price[/h3]

[dropcap cap=I]t’s been a pretty typical morning: A gift buyer, followed by an engagement ring tire-kicker and then a “No, thanks, I’ll think about it”browser of diamond studs.[/dropcap]

Of the three, you sold one — the gift buyer. Not a great morning but fairly standard closing ratio — 33 percent, and an average product sale in the store is $450, which is not bad.

Advertisement

But then come the repair customers — 10 in a row. Watch batteries, ring sizings, prongs and tips, lobster claws, new half shanks, two need new heads, one lost a 5-point diamond. You take out your pricing book and quote people.

[inset side=right]But these customers are mean! On being quoted a price, four or five say “OK, when can I pick it up?” But the other five or six actually start yelling at you.[/inset]But these customers are mean! On being quoted a price, four or five say “OK, when can I pick it up?” But the other five or six actually start yelling at you.

Every repair sale is an argument. But surprisingly, more than 90 percent still tell you to go ahead and fix it. Why is this? It’s because repairs are not price-sensitive, they are trust-sensitive.

So why do they give you such a hard time? Because they don’t understand the pricing of jewelers’ labor multiplied by time and adding in findings.

You don’t do as good of a job selling a repair as you do selling a bracelet or a loose diamond. You think selling repairs is “clerking.”

But you’re wrong. Selling anything in a store requires salesmanship. Think about all of the words that come out of your mouth selling an expensive watch. The same approach is required to sell repairs and custom design.

Advertisement

Ten customers, nine sales, average repair sale is about $100. It required very little inventory to do the job. You have a 90 percent closing ratio, and you’re exhausted because you’re a nice person, but it seems as if all of the customers hate your guts. You think you’re charging too much. You start now lowering your repair prices. You start doing more free repairs.

Ten repair customers walk in, and still nine out of 10 buy. You were correct about lowering your repair prices. Instead of five or six calling you a cheat and a liar, it’s four or five. But now because you’ve tried to take the easy road (lower prices) your repair department is barely breaking even.

David Geller is an author and consultant to jewelry-store owners on store management and profitability. E-mail him at [email protected].

[span class=note]This story is from the June 2009 edition of INSTORE[/span]

Continue Reading
Advertisement

SPONSORED VIDEO

Wilkerson Testimonials

Retirement Made Easy with Wilkerson

The store was a landmark in Topeka, Kansas, but after 80 years in business, it was time for Briman’s Leading Jewelers to close up shop. Third generation jeweler and owner Rob Briman says the decision wasn’t easy, but the sale that followed was — all thanks to Wilkerson. Briman had decided a year prior to the summer 2020 sale that he wanted to retire. With a pandemic in full force, he had plenty of questions and concerns. “We had no real way to know if we were going to be successful or have a failure on our hands,” says Briman. “We didn’t know what to expect.” But with Wilkerson in charge, the experience was “fantastic” and now there’s plenty of time for relaxing and enjoying a more secure retirement. “I would recommend Wilkerson to any retailer considering a going-out-of-business sale,” says Briman. “They’ll help you reach your financial goal. Our experience was a tremendous success.”

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