This will be a festive sales period like no other. Against the backdrop of a pandemic and an election year, how the holidays will pan out for jewelry stores is anyone’s guess. Needless to say, some stores are feeling nervous about the upcoming season, and advance orders are reflecting this.
“There hasn’t been a major change in the price points or styles that are being ordered,” says George Root, the designer behind New York-based brand Milamore. “The main shift we’ve noticed is that retailers are being quite cautious and avoiding making high-volume orders due to the uncertainty brought on by the pandemic.”
Lauren Abend, co-owner and director of sales at jewelry sales agency Mega Mega, agrees. Her company, which represents 12 fine jewelry brands in the US, isn’t “seeing a lot of big risks being taken right now,” she reports, but it does vary from store to store. Some are focusing on promoting surplus stock rather than buying new, while others, “particularly those with strong e-commerce, have brought in collections that they think will be easy to sell to ensure their clients have something new and special to see.”
bold spending
There is nonetheless a level of optimism in some pockets of US retail. Fueling it is an expectation that consumers whose financial situation hasn’t suffered badly from the coronavirus will choose to spend the money they would ordinarily have allocated to vacations, dining out and other discretionary spending, on more lavish gifts now that lockdowns have eliminated those options.
“The prevailing perspective I have heard from retailers is that they think the holidays are going to be big this year and shopping is going to start early,” says Jenny Crane McHugh, founder of jewelry brand Campbell +Charlotte. “They have been seeing some of their customers investing in bold, high-ticket items and hearing that customers aren’t afraid to do so because they aren’t spending in other categories, as they normally would during this time of year — things like travel and fashion. Consumers are...more comfortable investing in a jewelry piece that won’t go out of style next season and is more timeless than an expensive dress, for example.”
Talismans and ‘Zoom-worthy’ jewels
In terms of what retailers are buying for inventory, orders are mirroring the top trends that have emerged throughout the year, according to jewelry brands: talismanic jewels, charms with sentimental meaning, and optimistically bright and playful creations.
As we face more months of restricted movement — and therefore continue to dress, more often than not, from the waist up for conference calls — statement earrings and necklaces remain the most popular product categories. Rings aren’t entirely out, according to Eddie LeVian of fine jeweler Le Vian; they just have to be supersized.
“Our Zoom-worthy jewelry collection featuring 5- to 10-carat, highly polished and uniquely faceted rectangular gemstone rings are being launched by all retailers,” he says.
Timeless fashions
Another prevailing trend in festive buying this year is classic diamond jewels. “Think tennis bracelets and necklaces, diamond studs, and eternity bands,” says Abend. Just as statement earrings are the go-to for Zoom, masked meetings in real life also call for a particular type of earring.
“As far as rising trends in diamond jewelry, our classic Kwiat Tiara-cut studs and on-the-ear earrings have become a desired diamond jewelry staple due to the new mandates of masks,” says Marcy Debson, vice president of sales at New York-based jeweler Kwiat. “Our retailers are leaning toward classic and timeless designs versus trends.”
This also includes an increase in engagement-ring buying, serving a reported boom in post-pandemic proposals. The Christmas rush is expected to offer the segment a further boost. “I am seeing a continued commitment to bridal,” says fine jeweler Michelle Fantaci. “Clearly, love is irrepressible, pandemic or not.”
Hopefully, the festive shopping season will be similarly unfaltering.
Article from the Rapaport Magazine - November 2020. To subscribe click here.