SurveysMay 10, 2022
US Jewelry, Watch Sales Slowed in MarchSurveysMay 19, 2022
5 Predictions for Jewelry Retail in the Second Half of 2022
From a slowdown in sales growth to rising costs, Fruchtman Marketing outlines its expectations for the second half of the year.
A pair of 18-karat rose gold earrings set with white, fancy yellow, and fancy brown diamonds from Gismondi 1754’s “Clip” collection. Jewelry marketing company Fruchtman Marketing recently released its “State of Jewelry Retail” report, giving its predictions for the year ahead.
New York—Jewelry retailers have seen spectacular sales growth the past two years, but there’s mounting evidence that a slowdown is on the way.
In its latest “State of Jewelry Retail” report, Fruchtman Marketing outlines its expectations for the second half of the year.
“With all the turmoil in the news, including rising interest rates, inflation and the state of the market, there are a lot of unknowns as retailers move forward in 2022,” said the report.
Here are five key takeaways.
Sales growth is expected to slow.
Industry analyst Edahn Golan dubbed last year the “year of jewelry,” and for good reason.
Full-year sales in the watches and jewelry category reached an estimated $115.29 billion, a 51 percent increase year-over-year, according to preliminary data from the U.S. Bureau of Economic Analysis.
Jewelry sales in 2022 are expected to grow, but not nearly as aggressively as last year.
This year, as of March, full-year watch and jewelry sales are expected to reach an estimated $125.53 billion, about a 9 percent year-over-year increase.
Fruchtman predicts year-over-year growth of between 4 and 8 percent.
“We think it will be tough to hit double-digits over last year, which saw double-digit increases the year before,” the report noted.
Two major jewelry retailers, Pandora and Brilliant Earth, both also recently predicted a slowdown ahead.
Travel may not be as strong of a competitor as originally thought.
Travel tends to be jewelry’s biggest competitor in the fight for consumer discretionary dollars, and travel being restricted because of COVID-19 has worked to jewelers’ advantage.
An easing of travel restrictions coupled with the pent-up demand for vacations is a cause for concern for jewelers, but rising travel costs may soften the impact this year.
“One only has to look at what the cost of a roundtrip fare was pre-pandemic [compared] to now,” said the report.
The cost of airfare rose 19 percent from March to April, according to data from the Bureau of Labor Statistics, marking the highest-ever monthly increase since the agency began compiling that data.
Year-over-year, the cost of airfare has climbed 33 percent.
Inflation is taking a toll on shoppers.
The cost of airfare is rising, and so is the cost of nearly everything else.
The consumer price index, which measures the average change in prices over time consumers will pay for a basket of goods and services, rose 0.3 percent month-over-month in April.
It was up 8.3 percent year-over-year, nearing the highest level seen since the summer of 1982.
Prices are rising at the gas pump and in the grocery aisles, while housing costs are also going up.
“This will affect nearly every consumer. If you are a lower to a moderately priced retailer, it will most likely affect you more,” said the report.
“If your customer is more ‘middle class’, they’re getting squeezed the most.”
For wealthier customers, how the stock market is performing and other factors will impact their buying decisions, the report noted.
Related stories will be right here …
In its latest “State of Jewelry Retail” report, Fruchtman Marketing outlines its expectations for the second half of the year.
“With all the turmoil in the news, including rising interest rates, inflation and the state of the market, there are a lot of unknowns as retailers move forward in 2022,” said the report.
Here are five key takeaways.
Sales growth is expected to slow.
Industry analyst Edahn Golan dubbed last year the “year of jewelry,” and for good reason.
Full-year sales in the watches and jewelry category reached an estimated $115.29 billion, a 51 percent increase year-over-year, according to preliminary data from the U.S. Bureau of Economic Analysis.
Jewelry sales in 2022 are expected to grow, but not nearly as aggressively as last year.
This year, as of March, full-year watch and jewelry sales are expected to reach an estimated $125.53 billion, about a 9 percent year-over-year increase.
Fruchtman predicts year-over-year growth of between 4 and 8 percent.
“We think it will be tough to hit double-digits over last year, which saw double-digit increases the year before,” the report noted.
Two major jewelry retailers, Pandora and Brilliant Earth, both also recently predicted a slowdown ahead.
Travel may not be as strong of a competitor as originally thought.
Travel tends to be jewelry’s biggest competitor in the fight for consumer discretionary dollars, and travel being restricted because of COVID-19 has worked to jewelers’ advantage.
An easing of travel restrictions coupled with the pent-up demand for vacations is a cause for concern for jewelers, but rising travel costs may soften the impact this year.
“One only has to look at what the cost of a roundtrip fare was pre-pandemic [compared] to now,” said the report.
The cost of airfare rose 19 percent from March to April, according to data from the Bureau of Labor Statistics, marking the highest-ever monthly increase since the agency began compiling that data.
Year-over-year, the cost of airfare has climbed 33 percent.
Inflation is taking a toll on shoppers.
The cost of airfare is rising, and so is the cost of nearly everything else.
The consumer price index, which measures the average change in prices over time consumers will pay for a basket of goods and services, rose 0.3 percent month-over-month in April.
It was up 8.3 percent year-over-year, nearing the highest level seen since the summer of 1982.
Prices are rising at the gas pump and in the grocery aisles, while housing costs are also going up.
“This will affect nearly every consumer. If you are a lower to a moderately priced retailer, it will most likely affect you more,” said the report.
“If your customer is more ‘middle class’, they’re getting squeezed the most.”
For wealthier customers, how the stock market is performing and other factors will impact their buying decisions, the report noted.
Engagement ring shoppers may prioritize value.
Consumers are also contending with rising mortgage interest rates and rent prices, noted the report.
With the cost of living rising ever higher, many young adults live at home with their families longer and when it’s time to pop the question, they might have less to spend on an engagement ring.
“This can go either way on the engagement ring front. They may spend more money on the ring if they are no longer in the market for a home. Or they may need to have more money to put down on that home, reducing their spending or looking to [natural diamond] alternatives such as lab-grown, less expensive colored gemstones, or repurposing an heirloom.”
The average age of an engagement ring purchaser is 32, said the report, with many people in this demographic saving up longer for larger purchases.
“This age group will be hyper-focused on ‘value’. You may see carat size go down. Or you may see less importance on quality in cut and color sacrificed to purchase that larger diamond. You also may see more inquiries about lab-grown diamonds,” said the report.
Rising gas prices may impact foot traffic.
U.S. retail gas and diesel prices hit a record high last week with energy costs up 30 percent year-over-year in April.
“Foot traffic might decline,” said the report. “On the other hand, if that customer is making the effort to come to your store, your closing ratios should be higher.”
Though foot traffic may take a hit, online shopping is expected to increase, so jewelers should fine-tune their websites now, if they haven’t already.
“Getting your website in tip-top shape will be critical in 2022. If you actually sell online, you should see an increase this year,” said the report.
“If you don’t, there’s no better time than now to seriously make this change.”
More on Surveys
The Latest
Supplier BulletinJul 03, 2025
Protect Your Customers and Your BusinessSponsored by the Gemological Institute of America
MajorsJul 03, 2025
Brilliant Earth Names Tennis Star Madison Keys as Its New AmbassadorThe 2025 Australian Open champion is the jewelry brand’s first athlete ambassador.
MajorsJul 03, 2025
Muse Sets Up Shop in Nordstrom’s New Jewelry HallThe West Village jewelry boutique’s new shop-in-shop is the cornerstone of Nordstrom’s revamped jewelry hall.
Brought to you by
Investing in the Next Generation of Bench JewelersThe Seymour & Evelyn Holtzman Bench Scholarship from Jewelers of America returns for a second year.
SourcingJul 03, 2025
SRK Announces Its Natural Diamonds Are Now Carbon-NegativeThis past year, the manufacturer said it recorded below-zero emissions per carat of natural diamond.
Weekly QuizJul 02, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
CollectionsJul 03, 2025
Piece of the Week: A Firework of Diamonds From YepremThe brand’s “Golden Strada” statement necklace features round, marquise, and pear diamonds that sparkle like Fourth of July fireworks.
CrimeJul 03, 2025
JSA Shares Holiday Weekend Security Tips Amid Spike in BurglariesJSA’s Scott Guginsky provided a list of nine security measures jewelers should observe while locking up for the long weekend.
Brought to you by
Jewelers of America is Headed to Las Vegas for JCK 2025The countdown is on for the JCK Las Vegas Show and JA is pulling out all the stops.
MajorsJul 02, 2025
Boucheron Looks to LA for First West Coast FlagshipLocated on Rodeo Drive, the store’s design was inspired by Hollywood and Los Angeles culture.
MajorsJul 02, 2025
Marco Bicego Opens Milan FlagshipThe new location continues the brand’s celebration of its 25th anniversary.
WatchesJul 02, 2025
Chrono24 Revamps Brand, Launches New CampaignThe online watch marketplace’s “Time Is Our Thing” campaign highlights the importance of time.
SourcingJul 02, 2025
Bernadette Mack Joins Gem Legacy as Executive DirectorShe will oversee strategic planning, fundraising, industry partnerships, and the launch of the Gem Legacy Campus in Tanzania.
CrimeJul 02, 2025
Pandora, Amazon Partner to Uncover Counterfeit Jewelry NetworkWorking with Amazon’s Counterfeit Crimes Unit and law enforcement, Pandora helped to shut down a large-scale counterfeit network in China.
MajorsJul 01, 2025
Cast Closes Business, Plans for RelaunchThe jewelry company has closed its three California brick-and-mortar stores, as well as its online shop, for now.
Events & AwardsJul 01, 2025
William Goldberg Diamonds, FIT Partner for Apprenticeship ProgramThe company is providing the opportunity for an FIT student to work alongside master diamond cutter Willie Lopez in its workshop.
IndependentsJul 01, 2025
Elie Hannoush, Founder of Hannoush Jewelers, Dies at 73He is remembered for his successful entrepreneurship, generosity, and dedication to his family.
MajorsJul 01, 2025
Claire’s Is Looking for a Buyer, Report SaysThe jewelry store chain has reportedly been struggling with costs related to tariffs as well as tough retail competition.
TrendsJul 01, 2025
Amanda’s Style File: Red Hot RubiesWelcome warm summer days with red hot rubies perfectly chosen as July’s birthstone.
CollectionsJun 30, 2025
State Property’s New Jewelry Tells ‘The Story of Everything’Co-founders Afzal Imram and Lin Ruiyin brought their son’s story of a cosmic egg, toadstool, and railroad to life in their new collection.
ColumnistsJun 30, 2025
The Smart Lab: Why Q3 Is the Secret Weapon For Holiday Jewelry SalesThe best time to prepare for the holiday season is right now, according to columnist Emmanuel Raheb.
Events & AwardsJun 30, 2025
AGA Names Recipient of 2025 Gemological Education ScholarshipThis year’s winner is Morgan Keefe, who is currently studying at GIA to be a gemologist.
IndependentsJun 30, 2025
Melanie Grant’s New Book Explores 200 Years of Jewelry“The Jewelry Book” comes out this September.
TechnologyJun 27, 2025
Gemist Raises $6M in Funding to Scale Jewelry Tech PlatformThe company is focused on modernizing the custom jewelry buying experience with e-commerce tools like product visualization and 3D styling.
IndependentsJun 27, 2025
David Webb Announces New Hires, PromotionsFollowing its recent acquisition, the storied brand has updated its leadership team and regional managers.
Events & AwardsJun 27, 2025
AGS, GIA Announce Beatrice Shipley Scholarship Winner AGS also named the recipient of its “Women in Leadership” scholarship.
CollectionsJun 27, 2025
Piece of the Week: Buddha Mama’s ‘Monstera’ Wrap RingThe 20-karat yellow gold and diamond wrap ring is modeled after the Monstera plants in the garden of the brand’s Miami villa.
MajorsJun 26, 2025
Why Rocksbox Is Opening Stores As Signet Jewelers DownsizesRocksbox President Allison Vigil shared the retailer’s expansion plans, and her thoughts on opening stores in malls.
