Columnists

Squirrel Spotting: 11 Sales Thoughts for the Season

ColumnistsNov 14, 2023

Squirrel Spotting: 11 Sales Thoughts for the Season

From showing three items to asking the big question, Peter Smith gives tips for promoting a positive sales atmosphere this holiday season.

National Jeweler columnist Peter Smith
Peter Smith is an industry consultant, speaker, sales trainer, and author. He can be reached via email at TheRetailSmiths@gmail.com.
I just read a recap of the previous week’s retail news from Neil Saunders, managing director of GlobalData Retail. He’s a pretty sharp analyst and I follow his updates and posts on LinkedIn.

In the recap, Saunders wrote, “Americans are deeply pessimistic, with over 40 percent more people expecting the economy to be worse in the next five years than better. That’s even gloomier than in the aftermath of the global financial crisis and Great Recession in 2010.”

He also reported, “America’s economy grew at a 4.9 percent annualized rate in the third quarter, the fastest since 2021. With consumer spending accounting for two-thirds of the economy, much of the jump is down to a surprise shopping spree.”

I was struck by the contradiction in those two pieces of information and, truth be told, it resonated with me as I feel like retail jewelers exhibit those contradictions exactly.

On the one hand, we have retailers making decisions as if we were deep in the throes of the Great Recession and yet the underlying data paints an entirely different, and more positive, picture.

Independent retailers’ sales are tracking at about 2.5 percent down versus the same period last year through October. Put another way, that means we are tracking at 97.5 percent of the biggest year in the history of our business.

For context, the year before COVID (2019), we did about $62 billion in sales.

After giving back some of those gains due to the disruption of the early days of the pandemic, we finished 2020 strong, recovering almost all of the early year losses.

The year 2021 was a behemoth, with $86 billion, and, that extraordinary year was followed by an even more remarkable 2022, with $91 billion in total sales.

To be tracking only slightly behind 2022 through October is beyond my wildest expectations for 2023.

As with the seeming contradiction in Saunders’ weekly recap, wherein the facts of retail performance seem not to have made any difference in consumer behavior, I see and hear similar contradictions in the jewelry business.

There are those who seem primed to dig deep holes and jump in, while others wonder if the good times will ever end.

As we approach the most crucial few weeks of our year, we would do well to expect nothing less than the very best from ourselves and our teams through the end of the year.

Share the good news, or share no news at all, but refrain from the self-defeating predictions of doom and gloom that won’t inspire your team or your customers and may even be self-fulfilling.

Keep it simple and keep it positive.

Here are a few tips that might help.

Convert Better
Converting your foot traffic into customers is one of the best things you can do for your business.

If you convert three out of 10 walk-ins today and you up that to four out of 10 you will have increased your business by 33 percent.

If you currently convert four of 10 and you can improve that to five out of 10, you will have increased your business by 25 percent.

If you are not already doing so, chart your conversion by salesperson, and talk about it every single day.

Higher Average Ticket
With the decades-long trend of declining foot traffic, it is imperative your average ticket increases. There are brands and categories that can put pressure on your average ticket (Kendra Scott, Pandora, lab-grown diamonds, etc.).

Those and other categories can be strategically good for your business, but they also can conspire to unintentionally reduce your average ticket if you don’t manage them appropriately. Monitor your average ticket and track and discuss your performance with your sales team.

Reach Out and Touch Someone, Now
According to some sources, you are 70 percent more likely to close returning customers, and at a 30 percent higher average ticket. 

Your team should be working the phones, texts, and emails now to ensure your best customers are invited in to take care of their holiday needs. 

 Related stories will be right here … 

Adopt a Selling Mindset With Every Customer
Every customer is a selling opportunity and believing customers are being well-served by allowing them to walk out of your store empty-handed is a delusion.

They’re looking to fulfill a need, even when they struggle to articulate exactly what that need is, and it’s our job to positively influence them to make a purchase.

Show Three Items
When you’ve arrived at the point in your interaction where you are presenting products, deliver three options (paradox of choice) and three different price points (anchoring).

The low price point should be the customer’s budget, then an option twice the budget, and lastly an option that splits the difference between the two.

You will be amazed how often the customer selects the middle option (50 percent higher than their stated budget) and is delighted to do so.

Understand Customers’ Mindset on Price 
Customers believe higher prices equal better quality. Keep that top of mind if you find yourself having a discount conversation and/or underselling the customer.

And remember, value has nothing at all to do with price, but everything to do with how that customer feels when they walk out that door after making a purchase.

Do you want them to feel like a hero, or to leave your store wondering if they might have negotiated a deeper discount?

Prioritize Selling Time
Psychologists have a term called “the law of triviality.” It means filling the hours and days with all kinds of things that have little to do with the job at hand; in a jewelry store, that is selling. 

Fish while the fish are swimming and make sure that your top priority is selling time. 

Get the Customer To Make Decisions
As you build rapport with your customer, get them to make decisions along the way. Every little decision a customer makes (this shape diamond, not that, this color gold, not that, etc.) makes the close much easier.

It will be much easier to close if the customer has participated in the decision-making process along the way.
 
Ask the Big Question and Use That as Your Baseline
One of the best questions you can ask a customer is, “What is most important to you about this purchase?”

Their answer should serve as your north star and baseline.

Ask that question and listen really, really closely to what they tell you.

Ask for the Sale

It has been reported that 70 percent of customers say yes when they are asked for the sale, but only 50 percent of customers are asked for the sale.

Bridging that gap is a heck of a way to grow your business.

Don’t Stop Selling After They Say Yes
When your customer says yes to the purchase, immediately begin the process again by asking, “Who else do we need to take care of today?” 

If you have built a good rapport with the customer and they are ready to give you their payment information, do not assume they have only one person to buy for. Make it easy for them to handle multiple people in the same visit. 

Here’s to a terrific holiday season for all!

Peter Smithis an industry consultant, speaker, and sales trainer, and author of 3 books on sales. Reach him at TheRetailSmiths@gmail.com.

The Latest

Bergman Jewelers family
IndependentsApr 01, 2025
Bergman Jewelers in Omaha Closing After 137 Years

The independent jeweler first opened its doors in 1888.

QVC Group Inc. logo
MajorsApr 01, 2025
QVC Group to Cut 900 Jobs in the U.S.

The layoffs come amid the TV shopping channel’s efforts to restructure and focus on live shopping through social media.

Coconut Grove Jewelry & Watch Show
Events & AwardsApr 01, 2025
U.S. Antique Shows Adds Fall Show in Florida

The debut event will take place in Miami’s Coconut Grove neighborhood this fall.

bench jeweler 1872x1052.png
Brought to you by
The Heart of the Industry: Giving Bench Jewelers the Recognition They Deserve

Bench jewelers spend years honing their skills, Jewelers of America’s Certification validates their talents.

The Jewelry Symposium (TJS)
Events & AwardsApr 01, 2025
TJS to Host Discussion on Jewelry Industry’s Labor Shortage

The roundtable will take place May 17 ahead of the trade show’s welcome dinner.

Weekly QuizMar 27, 2025
This Week’s Quiz
Test your jewelry news knowledge by answering these questions.
Take the Quiz
Peanuts x Monica Rich Kosann Collection Bracelets
CollectionsApr 01, 2025
Monica Rich Kosann Says ‘Good Grief’ in Peanuts Jewelry Collection

The “Peanuts x Monica Rich Kosann” collection features the comic strip’s classic vocabulary across 10 bracelet designs.

Graphic for What Do We Mean When We Say “Recycled” Gold webinar
Recorded WebinarsMar 31, 2025
Watch: What Do We Mean When We Say ‘Recycled’ Gold?

Three industry experts dive into the complexities of the material often marketed as an “ethical” alternative for metal in jewelry.

Facets-of-Fire-Difference-You-Can-See.jpg
Brought to you by
Natural Diamonds Should Mean More

Natural diamonds mean more than lab-grown, but when every cut is ideal, they all look the same. Customers want more—Facets of Fire delivers.

Mindi Mond Clarity Earrings
TrendsMar 31, 2025
Amanda’s Style File: Dripping in Diamonds

Diamonds are not only one of the most prominent gemstones, but the birthstone for those born in April.

Lashbrook ring
MajorsMar 31, 2025
Lashbrook Expands Into Luxury Golf Gifts With Acquisition

The Utah-based company known for making wedding bands has acquired Doubloon Golf.

Bulgari and LVMH Watches CEO Jean-Christophe Babin
WatchesMar 31, 2025
Bulgari CEO Jean-Christophe Babin Will Also Head LVMH Watches

The longtime luxury executive led one of LVMH’s watch brands, TAG Heuer, for 12 years before taking over Bulgari in 2013.

Surveillance footage of robbery
CrimeMar 28, 2025
2 Suspects Arrested in $1.7M Smash-and-Grab Robbery of NY Jewelry Store

Authorities said the robbers fled with jewelry and 70 Rolex watches, later taking pictures of themselves posing with big stacks of cash.

Nephrite and Jadeite by Heinrich Fischer, Richard W. Hughes
SourcingMar 28, 2025
19th-Century Jade Book Now Available in English

Lotus Gemology founder Richard W. Hughes has translated Heinrich Fischer’s 1880 book “Nephrit und Jadeit” from its original German.

LÖF The Valentine Ring
CollectionsMar 28, 2025
Piece of the Week: Löf’s ‘The Valentine’ Ring

The ring's design features contrasting lines influenced by work from architecture-inspired photographer Nikola Olic.

Eggs on a shelf
SurveysMar 27, 2025
Consumer Confidence Falls in March Amid ‘Gloomy’ Outlook

The Conference Board’s index fell as consumers continued to worry about the impact of tariffs, the labor market, and the price of eggs.

Richard Rainsford memorial ring
AuctionsMar 27, 2025
300-Year-Old Ring Linked to Witch Trial Judge Goes Unsold at Auction

However, two medieval jewels surpassed estimates at Noonans Mayfair’s recent jewelry auction in London.

Austin Butler
WatchesMar 27, 2025
Austin Butler Joins Breitling as Brand Ambassador

The Oscar-nominated actor debuted in the campaign for the new “Top Time B31” collection, which introduced Breitling’s Caliber B31.

ICA Congress Brazil 2025
SourcingMar 27, 2025
Susan Jacques, Gaetano Cavalieri to Headline 2025 ICA Congress

The Congress is scheduled to take place May 19-22 in Brasilia, Brazil.

Bailey’s Fine Jewelry storefront
IndependentsMar 26, 2025
Bailey’s Fine Jewelry Acquires Fellow NC Independent Jeweler

The family-owned retailer is the new owner of Morrison Smith Jewelers in Charlotte, North Carolina.

Bulova 150 Art Deco Miss America Watch, 150 Art Deco Pocket Watch
WatchesMar 26, 2025
Bulova Celebrates 150th Anniversary With Art Deco Watches

The “150 Art Deco” collection features a Miss America timepiece and a pocket watch from the brand’s Archive Series.

Alex Wellen
MajorsMar 26, 2025
QVC Group Appoints New President

Alex Wellen, formerly CEO and president of MotorTrend Group, has taken on the role.

Jewelers of America’s new logo
Events & AwardsMar 26, 2025
Jewelers of America Announces New Funding Initiative

The Impact Initiative is part of the nonprofit association’s new three-year strategic plan.

Christies regent kashmir sapphire and regal Burmese ruby
AuctionsMar 25, 2025
Christie’s To Auction 35-Carat Sapphire, 13-Carat Ruby

The ruby and the sapphire, which Christie’s calls a “once-in-a-generation masterpiece,” are part of the upcoming Hong Kong jewelry auction.

Diamond earrings held in gloved hand
CrimeMar 25, 2025
Tiffany & Co. Earrings Swallowed Following Grab-and-Run Theft Recovered

The two pairs of earrings, snatched from a Tiffany & Co. store in Orlando, Florida, are valued at a combined $769,500.

Pomellato Nudo High Jewelry Campaign
CollectionsMar 24, 2025
Pomellato’s Latest ‘Nudo’ Collections Revamp its Classic Design

From striking high jewelry to miniature fine jewelry, the new chapter continues to highlight gemstones featuring its signature 57-facet cut.

Jamie Singleton, Bill Brace, Rebecca Wooters, Bill Luth
MajorsMar 24, 2025
4 Top Executives to Depart Signet Jewelers Amid Turnaround

The jewelry giant is reducing its senior leadership by 30 percent as part of its new turnaround strategy.

Sothebys Watchcheck
WatchesMar 24, 2025
Sotheby's Now Offers Watch Repair Services

The auction house's partnership with online watch servicing platform WatchCheck makes repairs convenient and accessible, it said.

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy