THE BILLBOARD ROSE above Route 17 like a beacon: massive, bright, and impossible to miss. On it, an eye-catching radiant-cut diamond ring shimmered beneath the lights — and beneath the ring, the name of the retailer, BrightLeaf Jewelers, was emblazoned in bold serif lettering, promising exclusivity, luxury, and authenticity. The ring was from BrightLeaf’s exclusive Aurelia collection.
ABOUT REAL DEAL
Real Deal is a fictional scenario designed to read like real-life business events. The businesses and people mentioned in this story should not be confused with actual jewelry businesses and people.
ABOUT THE AUTHOR
Megan Crabtree is the founder and CEO of Crabtree Consulting. Before founding Crabtree Consulting, Megan had a successful professional career in the jewelry industry, which culminated with high-level positions at several of the top firms in the retail and manufacturing sectors. Reach her at [email protected] or visit us at www.crabtreeadvisory.com where you can set up a live chat or a 30-minute free consultation.
On a chilly Saturday morning, Tina drove past that billboard on her way to brunch. She had been lightly browsing rings for months, feeling compelled to splurge on a right-hand ring for herself. She had mostly shopped passively, online. But something about the Aurelia ring on the billboard caught her attention. It felt timeless and exactly what she had pictured.
An hour later, she found herself stepping through the glass doors of BrightLeaf Jewelers. Inside, the store was elegant and buzzing with activity, suggesting it was the go-to spot for luxury pieces. A young sales associate named Lydia greeted her.
Tina described the ring from the billboard. Lydia recognized that it was the new Aurelia, which was an exclusive from their vendor Lumina Diamonds, but she had no official information about it. Their marketing team rarely shared details about which pieces were being promoted, and there was no easy way to look up billboard items in the system.
Lydia reached out to marketing and was able to get the Aurelia’s style number. With that, she called Lumina Diamonds directly. The vendor told her they didn’t currently have the ring in stock. If Tina wanted the ring, it would have to be placed as a special order, paid in full upfront, and she would have to accept that there were no returns.
Tina hesitated. Buying an expensive ring, sight unseen, with no ability to return it? It felt like too much risk for something she’d never even tried on.
She went home unsettled.
Out of curiosity, Tina began researching where else the ring was carried. That’s when she found Harbor & Hearth Jewelers, a regional chain with four locations across three states. Their website listed the Aurelia brand, but it wasn’t clear which stores actually carried it.
She called. A sales associate named Marco answered. He told Tina they didn’t carry Aurelia in her market, but one of their other locations did. If she was willing to wait a couple of days, he could have the ring transferred in. No obligation to buy. No special-order risk.
Advertisement
Tina said yes without hesitation.
Two days later, she walked into her local Harbor & Hearth and slipped the ring onto her finger. It was perfect. It was exactly what she had hoped for from the moment she saw it on the billboard. She bought it immediately.
Several days later, Lydia from BrightLeaf called Tina for a routine follow-up. She asked whether she had given any more thought to the Aurelia ring. Tina politely thanked her and explained she had already purchased the same ring from Harbor & Hearth.
For 15 years, BrightLeaf had been one of Lumina Diamond’s strongest retail partners. They were the ones who had agreed to the $200,000 annual buy-in to maintain exclusivity on the Aurelia. They were the ones who had invested in billboards, events, marketing campaigns, and display redesigns. They upheld every requirement and paid every invoice on time.
Lydia quickly informed her general manager, Tom, that a competitor had circumvented the market restriction. Concerned, Tom reached out to BrightLeaf’s buyer, who managed the relationship with Lumina Diamonds, to get clarity. The buyer listened carefully, acknowledged the situation, and said they would follow up with the vendor to see what could be done.
Tom hung up the phone wondering whether exclusivity still meant anything. Whether it was worth continuing the relationship at all.
The Big Questions
- How should BrightLeaf Jewelers respond to the competitor violating their exclusive territory?
- Was Harbor & Hearth wrong or were they simply meeting a customer’s needs creatively?
- What should brands do to uphold exclusivity agreements when multiple retailers span different regions but customers overlap online and through travel?
Scenario Responses: Including Online Extras
MEGAN CRABTREE’S VIDEO RESPONSE
SUMMARY OF RESPONSES: The Brain Squad has ruled on the Billboard Battle — and the verdict isn’t pretty for BrightLeaf. The short version: if it’s on your billboard, you’d better have it in stock. The longer version — including a Calgary jeweler’s hard-won wisdom about vendor “exclusivity” — is below.
Karl V.
Port Charlotte, FL
The fault lies with BrightLeaf as a company. The marketing department should never advertise an item that is not in stock or easily accessible. There is no way a customer should have to buy something sight unseen. Harbor and Hearth did what any jewelry store should do…take care of the customer.
Ginger G.
Gladewater, TX
Never advertise a product you don’t have in stock. The store advertised a ring they couldn’t deliver in a timely manner, so the customer went elsewhere. The other store was just trying to please a customer; they didn’t do anything wrong. They should just let it go. As for a $200,000 yearly buy in for “exclusivity,” I wouldn’t agree to that in a million years.
Eugene S.
Overland Park, KS
If it is on your billboard, at least have that item in stock.
Marcus M.
Midland, TX
Unfortunately, loyalty is very hard to come by these days. On the retail and consumer side. BrightLeaf spends a lot of money with this brand every year, and to have some chain come in and be able to supply the ring behind their back is pretty snaky. Also, why does BrightLeaf not have this ring in stock or easily accessible if it’s advertised on their billboard? Just a thought. I think the owners/management of BrightLeaf need to have a serious conversation with Lumina about their partnership and have Lumina make it very clear to Harbor and Hearth that they are not allowed to sell the brand in BrightLeaf’s market, NO MATTER WHAT! They should make it known that if it happens again, the partnership will be terminated. Let’s see how valuable BrightLeaf’s business is to them. I get that the chain store wanted to make a sale and help this gal, but they knew they shouldn’t have done that. It’s all greed at the end of day, and like I said, very little loyalty.
David B.
Calgary, AB
Dagger to the heart. Change a few names and this could easily have been my store with a brand I carried for over 20 years. I did everything asked and more. Even became one of their “Hall of Fame” inductees. Value for that = zero. When the brand changed hands and things started to ‘change,’ I had an insurance claim of my exclusive brand and then found out another store was getting the same product and discounting it. When I tried to discuss the matter with the brand, I was ghosted, and less than two months later, I agreed it was time to leave the brand. Couple rules to know: There is no such thing as exclusivity. If you believe it, shame on you! Secondly, promoting a brand is a waste of money. Promote yourself and what is good about you or makes your store special. Lastly, don’t believe a salesperson or sales manager. Cash talks, and if a new buyer comes along with deep pockets, you will be sent to the curb. Tough lesson to learn.
Bruce A.
Sherwood Park, AB
BrightLeaf Jewelers had the sale, but their attitude walked Tina right out the door to Harbor & Hearth. And Marco didn’t even make her come through their front door. This isn’t about Lumina Diamonds not honoring their brand commitment to BrightLeaf; it is about one retailer hustling to satisfy a potential customer when their competitor chose disdain instead. Congratulations Marco, job well done!
Advertisement
Susan E.
El Paso, TX
Carrying a brand has its pluses and minuses, and this is one of them. I learned early on to get everything in writing when you are committing financially. I have had several salespeople from watch and jewelry brands promise stock balancing, and then after they left the company, the execs did not honor that. It’s getting easier and easier to find styles online from other dealers, and the trick is to monitor the items and brands you have online to see what’s going on before you commit more of your hard-earned dollars to inventory. On a side note: yes, be sure you have it in stock or something very similar so you can use your sales expertise to close the sale!
What’s the Brain Squad?
If you’re the owner or top manager of a U.S. jewelry store, you’re invited to join the INSTORE Brain Squad. By taking one five-minute quiz a month, you can get a free t-shirt, be featured prominently in this magazine, and make your voice heard on key issues affecting the jewelry industry. Good deal, right? Sign up here.