Although these statistics indicate jewelers are slowly warming up to millennials, respondents who commented on the generation expressed a wide range of opinions.
Many said they are responsible for the high demand for lab-grown diamonds, for better or worse.
“The emergence of lab-grown diamonds has certainly made high-ticket bridal harder for us,” said one. “Just three to four years ago, our average bridal budget was $8,000 to $12,000; today, we’re excited when someone comes in with a $5,000 budget. That dynamic makes it hard to meet sales goals in bridal, let alone grow sales. We’re selling more engagement rings than ever, but it doesn’t reflect in the bottom line despite good profit margins. It can be discouraging.”
Some respondents said millennials, the oldest of whom are now in their 40s, are no longer their target consumer: “Middle-aged people only buy a little jewelry. They are busy raising their kids and paying bills. The jewelry they purchase is usually for special occasions. Older groups with extra income buy. Younger folks buy engagement rings.”
“It’s not millennials I’m seeing more of; it’s Gen Z. Lots more young people looking for jewelry that fits their personality.”
“I think we put too much thought into generational consumers. Putting people in boxes limits you as a salesperson. Now, having said this, you must understand the grand scheme of the motivators of these different groups. Just don’t let it consume the art of the sale.”
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Some appreciate that millennials know what they want:
“They have zero issues paying for what they want—they love custom items, from unique tattoos to one-of-a-kind jewelry. They research, they design, they stay engaged in the process, and they are happy at pick up.”
“Millennials grew up in the era of customization. As a business that does all of our custom in-studio, it gives us an edge. Not only can they be involved in the design, but they can watch it being cast right in our studio. It’s that extra bit of ‘bragging rights’ they love!”
“Millennials are still spending the bulk of their disposable income on experiences. However, they are also the group most likely to buy yellow gold, so when they spend money on fine jewelry, they aren’t buying silver instead of white gold. They are saving to buy real gold.”
“As a consumer group, they are more attuned to style and environment. We have been able to capture market share by creating the atmosphere and style they want, paired with the traditional trust and value that older consumers look for.”
NOTE: The INSTORE 2024 Big Survey was conducted via an anonymous online form from mid-August to late September, attracting more than 700 responses from American jewelry-store owners and managers. The full results will be published in the November edition of INSTORE.
