Jewelry Business Guru by Cindy Edelstein

My Advice for Jewelry Sellers this Trade Show Season

My advice for retailers when they head out to the Vegas Shows is to keep an open mind and be more optimistic than the current facts allow. By this I mean, you cannot create your store of the future if you're buying inventory based on your past.

Don't let fear, or the pain of recent months, drive your buying decisions.

This is the time of every norm breaking down -- of every part of your business being fractured in some way -- so do not follow what you've always done. Do not buy JUST what you "think" is safe since the old safe doesn't exist in the new marketplace.

Be open to new designers -- be open to reviewing designers you've said no to in the past.

Try blackened metals if you never thought it would work in your town or add some new colored stones or a line that is a little too avant garde for what you think your customer is. Go bigger, or more sentimental, or more colorful -- go MORE something!

Be open to the fact that your customer is thinking in new ways and trying on new things that SHE never thought about either.

Be her agent for change -- be her tour guide into new design territory that previously she might have been closed to based on a limited view.

She's scrambling to redefine herself, too. She's itching to break out of the doldrums she's been in for months or even years. If she walks into your store nowadays she's dying to be wowed.

And it's no longer just size or price that will wow her. She might not need that 2 carat diamond to impress her neighbors anymore -- she might need a personalized jewel or a sentimental choice that can show off her life rather than just her lifestyle.

And by show off I mean celebrate to the world.

Where once she might have wanted just something that screamed status -- whatever that may mean to her social crowd -- now she might want to communicate her commitment to family, social causes, environmental issues or other things that underscore her new values.

The world is different now -- luxury has to have meaning with it to movtivate the customer into parting with her money. They're not comfortable or fulfilled, by bling for bling's sake. They want more from their purchases -- they want meaning, a sense of value or to underscore their values,  they need to feel good about the message as well as the medium.

So shop with an open mind -- look for collections and items that can underscore this new, emerging definition of luxury. Your customer is waiting for you to present this to her -- she just might not know it yet.

Barneys’ Spring Orders to Be Held Until Financing Proves Less Sketchy

Read on NYmag.com:

"Last month we learned that factors had stopped approving Barneys' spring orders until the store had provided certain information on financing to prove that they, well, had it. One such factor sent a letter to vendors and designers yesterday explaining they are being "led to believe [Barneys owner] Istithmar is going to support Barneys. But until we see actual details, projections and have an opportunity to review and discuss, we are holding/declining orders." Funny he says that, because Istithmar chief David Jackson has called some of their requests "unwarranted."

    Read rest of story on New York Magazine online....

Research says Online Business is Resilient

Despite a struggling economy throughout most of this year, the majority of online retailers continue to be cautiously optimistic about how their businesses will perform during the next 12 months, according to a Shop.org annual survey.

A total of 72 percent of online retailers believe that the online channel is better suited to withstand an economic slowdown than offline channels, according to The State of Retailing Online 2008: Profitability, Economy, and Multichannel Report.

        read the rest of this article on JCKonline.com

Niche Top Retailers of the Year Award

At the Buyer's Market Show we were pleased to see our friend, Ellen Hertz owner of Max's in St. Louis Park, MN, be named one of the Top Retailers of American Craft. We whooped pretty loud when her name was called -- isn't that what friends are for?

We were also glad to see two of our other favorites galleries on the list, too. Laughing Dog Gallery in Vero Beach, FL and the fabulous Don Muller Gallery of Northampton, MA. "Whoo hoo" for you, two, too!

Here's Ellen, on right, receiving her award from BMAC owner, Wendy Rosen.

Many of the honorees are great sellers of designer jewelry -- check them out on line and maybe add them to your prospect list.

Galleries make great clients.

2008 Top Retailer Awards WINNERS LIST      

Retailer of the Year
Grovewood Gallery,  Asheville, NC

Top Retailers (listed in alphabetical order)
The Artisan Connection,  State College, PA
As Kindred Spirits,  Rockville, MD
Avalon Gallery, Delray  Beach, FL
Barnstone Gallery,  Phoenixville, PA
Boulder Arts & Crafts Gallery,  Boulder, CO
Calypso Twist, Walnut Creek,  CA
Don Drumm Studios &  Gallery, Akron, OH
Don Muller Gallery,  Northampton, MA
The Grand Hand Gallery, St.  Paul, MN
Hanson Galleries, Houston,  TX
Jane Sauer Gallery, Santa  Fe, NM
Kela’s Glass Gallery, Kapaa,  HI
The Laughing Dog Gallery,  Vero Beach, FL
Left Bank Gallery,  Wellfleet, MA
Mary Lou Zeek Gallery,  Salem, OR
Max’s, St. Louis Park, MN
Moonstones Gallery, Cambria,  CA
Pinnacle Gallery,  Scottsdale, AZ
Poppy, Columbia, MO
Pura Vida Gallery, Jerome,  AZ
R. Grey Jewelry Gallery,  Boise, ID
Signature Gallery,  Huntsville, AL
Timothy’s Gallery, Winter  Park, FL
Wave Gallery, New Haven, CT

 

Best Advertising/Direct Mail Campaign
Eclectic Galleries,  Jacksonville Beach, FL

Best Arts Nonprofit
The Clay Studio,  Philadelphia, PA

Best Customer Newsletter
Craft Company No. 6,  Rochester, NY

Best Guild Store
Ontario Crafts Council,  Toronto, ON

Best In-Store Event
Florida Craftsmen, Inc., St.  Petersburg, FL

Best Local Community Outreach
Mary Lou Zeek Gallery,  Salem, OR

Best Merchandising
Pura Vida Gallery, Jerome,  AZ

Best Museum Store
Institute of Contemporary  Art, Boston, MA

Best New Store
Haven Gallery and Fine Gifts,  Austin, TX

Best Website/Online Marketing
Best  American Arts, Columbus, OH

 

Jewelry Salesgal at Saks finds a New Way to Sell More Jewelry

She must have been the most popular sales gal at the Saks Fifth Avenue jewelry counter. According to the June 19th New York Post, a former Saks saleswoman is set to stand trial today on charges she stole more than a million dollars from the posh chain's Manhattan flagship store - a small fortune she's accused not of keeping, but passing along to customers.

Read story here......

Online Jewelry Shopping Gains Momentum

In the past few weeks I've had more designers mention their new e-commerce website than ever before. And I've had a chat with a few retailers -- one in particular who has a fantastic online presence, too -- who are considering dropping vendors who launch e-commerce sites.

I find this a very interesting trend and dilemma -- but it's one who's time has come. When you've got wholesale accounts it's a very tricky line to walk. On one hand, you're competing with your own customers, on the other you're growing your brand and serving more consumers (hopefully) than ever before. [TIP: Surf the net for a while and visit sites for designers you admire. See who's retailing and how it's done. Check prices to make sure you're not underpricing your work nor your customers' normal pricing.]

Online jewelry consumers are gaining momentum and it's hard to ignore their purchasing power.

According to JCK magazine's news website:     Diamond and jewelry Web sites were among the big winners on Cyber Monday, according to Shop.org. Traffic to Ice.com was up more than 70 percent and sales rose 82 percent. Diamond.com traffic rose 58 percent and sales increased 65 percent. .... read more

Retail jewelers will have to get better about cyber shopping and designers will have to figure out how to have their site and keep their customers, too. Each will have to find a way to agree -- even if it's to disagree.

It will be interesting to watch how the dust settles. What do you think? Share your comments with us.

 

Bergdorf Goodman is Best Luxury Retailer

Bergdorf Goodman was rated the most prestigious traditional luxury retail brand in the 2007 Luxury Brand Status Index survey from the New York-based Luxury Institute. Sister brand Neiman Marcus was rated second while Nordstrom rated a close third. Bergdorf Goodman was rated the most prestigious traditional luxury retail brand in the 2007 Luxury Brand Status Index survey from the New York-based Luxury Institute. Sister brand Neiman Marcus was rated second while Nordstrom rated a close third. "This category rankings are generally stable, although the addition this year of ratings for the growing luxury e-tailer category changes the overall ratings dynamics significantly," said Milton Pedraza, chief executive of the Luxury Institute. "Wealthy consumers tell us that highly exclusive e-tailer Vivre outscores all traditional luxury retailers when the sub-categories are combined. No other e-tailer comes close. While smaller, and not as well known, Vivre has managed to become a highly exclusive e-tailer at a transitional time in the history of luxury when wealthy consumers tell us that a trusted brand, exclusive product relevance, convenience, and security are the hallmarks of a great luxury retailing website, and that offline presence matters far less than executives believe." Traditional Luxury Brands rated (alphabetically) were: Barneys, Bergdorf Goodman, Bloomingdale's, Brooks Brothers, Neiman Marcus, Nordstrom, and Saks Fifth Avenue. Online-only e-tailer Luxury Brands rated (alphabetically): Bluefly.com, eLUXURY.com, and Vivre.com.

-- JCK-Jewelers Circular Keystone, 6/4/2007 2:28:00 PM

Green Jewelry

Usually when I'm asked about "Green Jewelry" it's a trend report featuring peridot and tsavorite. But now the term has a whole new meaning. Recycled. Ecologically sound. Even "Clean."

Two weeks ago I read about a boutique in NYC that is changing it's focus from discounted designer wear to full-priced Eco-friendly wear (Accessories and jewelry included) and now comes news from NYC design mecca ABC Carpet & Home. For those of you who haven't been there -- it's way more than carpet! What once was just that has morphed in the past two decades into being a total lifestyle store for the cool, trendy and fabulous. They have had a few jewelry counters on the first floor for years.

And now WWD reports today:

ABC Carpet & Home's latest initiative is clean jewelry.

Last week, the firm launched the Grounded Jewel Collection, a new section in its Manhattan flagship dedicated to fine jewelry made from sustainable materials such as recycled gold and diamonds from mining firms that assist the people of mining countries.

Sustainable goods aren't new for Paulette Cole, chief executive officer and creative director of ABC Home. Twenty-five percent of the firm's products, including furniture and housewares, are now sustainable.

Being green has become a hot-button issue, and jewelry — particularly, how it is obtained — is also touching a nerve. The release of the film "Blood Diamond" starring Leonardo DiCaprio, coupled with recent initiatives to aid citizens of diamond-mining countries by well-known figures such as Russell Simmons, has raised public awareness about how gold and diamonds are mined.

Even though the Kimberley Process — a certification plan intended to ensure that diamonds aren't mined and traded to finance illegal activities and violent conflicts — is intact, some jewelry retailers have said that consumers were inquiring about the provenance of gemstones and gold.

"Customers are much more curious about the origin of a product and how it is made," said Cole. "They want to own things that support a community and support sustainability of our planet. There is awareness around recycled materials and knowing that diamonds come from a responsible source that supports a better than fair income and the community.

Sarah Perlis, the 28-year-old owner of an eponymous New York jewelry firm, is the first to offer her wares at the Grounded Jewel Collection at ABC. The store, at 888 Broadway, has sold Perlis' collection for the last three years and she worked closely with Cole on sourcing recycled gold and Sierra Leone-mined diamonds from mining company Pride Diamonds, which focuses on improving mining communities by paying higher daily wages to miners and various methods of community outreach.

Perlis, who plans for all of her jewelry to be completely green by this fall, is offering her nature-inspired 20-karat gold bangles, necklaces and earrings for $100 to $1,800.

"Paulette gets really involved in things," said Perlis, who added that because of high gold prices, using recycled gold was a cost saver, as well. "[ABC] is so proactive with this. They're a pretty impressive little company."

ABC plans to grow the in-store department to include young, local design-forward artisan jewelers.

Fred Leighton Joins Bergdorf Goodman

WWD reported on Thursday, April 05, 2007:

BERGDORF BLING: Vintage jewelry house Fred Leighton is making its debut at Bergdorf Goodman on May 1, marking the first time the precious baubles will be available at a retail location outside Leighton's own New York and Las Vegas stores. "It is a culmination of years of talking with each other on and off, first under previous ownership and then again about a year ago," said Fred Leighten owner Ralph Esmerian, who acquired the 36-year-old company last April. Esmerian said the brand would start on the first floor among the other fine jewelry pieces, but would have room to expand. "I want to start at a ground level and test ourselves. Fred Leighton has never officially been in a huge luxury environment outside of our own stores. This is a first....We'll be tailoring the look of our jewelry to a Bergdorf kind of clientele."