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Larger Stores are Taking a Bigger Slice of the Diamond Pie

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The typical small jewelry store in America has seen its diamond sales grow 10 percent in the last two years — which is not bad except in comparison to big stores, which have enjoyed 30 percent growth. That’s a huge difference in what is the key sales category for most jewelers.

According to data collected by the Edge Retail Academy, diamond sales at smaller stores — defined as those doing less than $800,000 in sales per year — had grown to an average of $338,000 by March this year from $304,000 in January 2013, whereas larger stores (those with annual sales over $800,000) had seen their diamond sales leap from $948,000 to $1.26 million. For anyone trying to expand their business, there is a very large difference between achieving annual growth of 5 percent versus 15 percent, especially in a mature segment like diamonds. One is significant while the other barely keeps up with inflation.

Selection is a big reason for this widening gap; as we have said previously, you must have it to sell it. But there are other factors at play here as well, such as the competence and confidence of your sales associates, especially when it comes to bigger stones. If your diamond sales growth has been sluggish, get more ambitious with your merchandising, and get serious about training your staff.

For daily news, blogs and tips jewelers need, subscribe to our email bulletins here.

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When the Kids Have Their Own Careers, Wilkerson Can Help You to Retire

Alex and Gladys Rysman are the third generation to run Romm Jewelers in Brockton, Mass. And after many decades of service to the industry and their community, it was time to close the store and take advantage of some downtime. With three grown children who each had their own careers outside of the industry, they decided to call Wilkerson. Then, the Rysmans did what every jeweler should do: They called other retailers and asked about their own Wilkerson experience. “They all told us what a great experience it was and that’s what made us go with Wilkerson.” says Gladys Rysman. The results? Alex Rysman says he was impressed. “We exceeded whatever I expected to do by a large margin.”

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David Brown

Larger Stores are Taking a Bigger Slice of the Diamond Pie

mm

Published

on

The typical small jewelry store in America has seen its diamond sales grow 10 percent in the last two years — which is not bad except in comparison to big stores, which have enjoyed 30 percent growth. That’s a huge difference in what is the key sales category for most jewelers.

According to data collected by the Edge Retail Academy, diamond sales at smaller stores — defined as those doing less than $800,000 in sales per year — had grown to an average of $338,000 by March this year from $304,000 in January 2013, whereas larger stores (those with annual sales over $800,000) had seen their diamond sales leap from $948,000 to $1.26 million. For anyone trying to expand their business, there is a very large difference between achieving annual growth of 5 percent versus 15 percent, especially in a mature segment like diamonds. One is significant while the other barely keeps up with inflation.

Selection is a big reason for this widening gap; as we have said previously, you must have it to sell it. But there are other factors at play here as well, such as the competence and confidence of your sales associates, especially when it comes to bigger stones. If your diamond sales growth has been sluggish, get more ambitious with your merchandising, and get serious about training your staff.

For daily news, blogs and tips jewelers need, subscribe to our email bulletins here.

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var disqus_shortname = ‘instoremag’; // required: replace example with your forum shortname

/* * * DON’T EDIT BELOW THIS LINE * * */
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var dsq = document.createElement(‘script’); dsq.type = ‘text/javascript’; dsq.async = true;
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Please enable JavaScript to view the comments powered by Disqus.
blog comments powered by Disqus

Advertisement

SPONSORED VIDEO

When the Kids Have Their Own Careers, Wilkerson Can Help You to Retire

Alex and Gladys Rysman are the third generation to run Romm Jewelers in Brockton, Mass. And after many decades of service to the industry and their community, it was time to close the store and take advantage of some downtime. With three grown children who each had their own careers outside of the industry, they decided to call Wilkerson. Then, the Rysmans did what every jeweler should do: They called other retailers and asked about their own Wilkerson experience. “They all told us what a great experience it was and that’s what made us go with Wilkerson.” says Gladys Rysman. The results? Alex Rysman says he was impressed. “We exceeded whatever I expected to do by a large margin.”

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