RAPAPORT... The 4Cs are not the only things that make a piece of diamond jewelry a sales winner. In an ongoing series, Rapaport Diamond Report explores the “3Ws” — what’s selling, what’s not and why — by going straight to the people who really know — jewelry retailers. Each month, we ask a sampling of retailers to comment on the important issues that are facing the industry today. Here is what they had to say when asked: How successful was the holiday selling season? What jewelry sold the best?
KIM JONES, OPERATIONS MANAGER
GARY J. LONG JEWELERS
STOCKTON, CALIFORNIA
“Christmas went very well. We ended up with a good month. We did quite a bit in diamond earrings and diamond pendants.
“We actually had a better holiday this year than the past year. We’re up a little bit from 2009.”
BRIAN S. MERKLEY, PRESIDENT
MERKLEY KENDRICK
LOUISVILLE, KENTUCKY
“We were about even with last year. It seemed we had a lot more price-oriented shoppers — people who came in particularly for branded product and tried to shop us against the internet, which is happening more and more.
“We’ve stayed high end; we stocked very strongly. We sold Rolex really well. And we sold diamonds very well, loose diamonds and finished jewelry — diamond earrings, bracelets and necklaces, which are always our top departments. We also sold estate very well; we have a pretty significant estate section.”
JOE BIDERMAN, PRESIDENT
HILLER JEWELRY
METAIRIE, LOUISIANA
“I would say we were about 5 percent up. We do well because we’re small. We’re not trying to compete with Jared. I don’t have Pandora or anything like Pandora. It’s just not what we do. We’ve focused on what we do well, which is personal service. We are not trying to put a hundred people through on repairs a day. We changed our business plan. We’ve been in business since 1918, but we’ve become more of a boutique store. We still do a lot of custom work, bridal — we will make matching wedding bands, we will take and remake people’s jewelry — but we have a lot more fashion.
“What we saw this year, in November and December, was sales were stronger at the higher end, while in the under- $1,000 sales, the numbers were down. We always have a certain percentage of our stock at the $250 to $500, $750 to $1,000 ranges. What we did not see was too many of our customers shopping in the under-$500 category.
“There was some traffic in estate and antique jewelry, which was new to us. We did see some interest in that because it was something different. And custom work was also a factor for the holidays.
“In terms of fashion categories that sold, it was a little of semiprecious color, a little of yellow gold and diamond, a little sterling silver and 18-karat gold. One item that’s steady in this area because it’s New Orleans and because of the Saints football team is the fleur-de-lis jewelry. It was strong — pendants, earrings in both diamond and gold and sterling.
“Looking into the crystal ball, I do see things inching forward, getting better. Businesses that can figure who they are and what they can be will be okay. You can’t just keep doing the same thing. We realized that and changed. We’re not trying to do everything; we’re trying to do a few things very well. And that seems to work.”
ROBERT SIMON, PRESIDENT
WINDSOR JEWELERS
WINSTON-SALEM, NORTH CAROLINA
“In general, we found people in a more uplifted mood. It seemed like a totally different atmosphere than last year. We’re really thrilled with how things went. We did well for the season and for the year. Overall, we had a double-digit increase over December ’09.
“As far as what sold, we were very strong with diamond stud earrings this year and fashion jewelry; watches were moderately okay. And certainly, we had some diamond engagement ring sales, but we would have liked to see that stronger. We carry about 37 brands of fashion jewelry — David Yurman, John Hardy, Stephen Webster — and sales were divided pretty much across the board. One silver and silver rosé line that did particularly well was by Ippolita — bracelets, earrings and pendants. It was a strong player. We also sold pieces with colored stones. And interestingly, we had a strong season with redesign work.”
RICHARD ROSS, PRESIDENT/OWNER
TILDEN ROSS JEWELERS
SARASOTA, FLORIDA
“Our Christmas season went very well. We were very pleased. We had a 32 percent increase over 2009. We found higher-ticket items were selling. People were looking for more unusual, finer-quality pieces. Bigger items sold this Christmas; the one, two, three, four thousand dollar gift was virtually nonexistent and the larger gifts sold. The affluent definitely opened their pocketbooks.
“Diamonds were very soft this Christmas. We’re not really a bridal store; we’re more a high-fashion guild store. We do carry diamonds, but it’s more the 2-, 3-, 4-carat stones with better qualities. But we found sales this Christmas were softer than usual. We did find it tough to compete with the internet.
“What sold was across the board in terms of categories — inside/outside earrings were still selling very well, the bigger ones, and we sold beautiful cuff bracelets with diamonds out of Italy and nice sapphire rings. Over all, we can’t complain. We’re happy.”
LARRY MOLLO, OWNER
COLE & YOUNG
LANSING, ILLINOIS
“The season finished up real well. We’re very happy. We sold across the board — fewer customers but larger sales. In comparison to last year, our sales were up 16 percent.
“I stuck with my core lines and I knew sooner or later the jewelry would have to sell because it was so pretty, and it did. And now, the game is going to start for next year.”
DOUG TOONE, CHAIRMAN/FOUNDER
JEWELRY DESIGN CENTER
SPOKANE, WASHINGTON
“We’re actually close to par with last year, maybe a touch higher, but what’s interesting is we’re actually up for the year, so that’s a good thing.
“We did well with watches and timepieces — Rolex, Breitling, Tag. The other thing that was good was silver fashion; that was up. Fashion diamond pendants were up, but studs, not as much. Of course, engagement rings were good.
“Our door counts are up but the dollar volume is down. I noticed that purchases were more calculated. Often, you’ll see a lot of returns right after Christmas and this year we haven’t seen that. I think people are watching their money and thinking about what to spend it on and making more intelligent buying decisions. ”
KATHY RYAN, SALES/BUYER
FRANK ADAMS JEWELERS
ALBANY, NEW YORK
“We did very well. Traffic was much, much busier than 2009. The general report that luxury goods were doing well this season was alive and well at Frank Adams Jewelers.
“As always, Rolex watches did well and diamonds — diamond stud earrings. And a lot of fashion sold — David Yurman, Ippolita. We found, too, in trying to adjust our price points slightly and having a lot of items that were $500 and under — more so than we’ve ever had — and selling them with great success, we had people coming in who otherwise might not have made a purchase.”
Article from the Rapaport Magazine - January 2011. To subscribe click here.