Columnists

On Data: January Was a ‘Mixed Bag’ for Independent Jewelers

ColumnistsFeb 21, 2024

On Data: January Was a ‘Mixed Bag’ for Independent Jewelers

Sherry Smith dishes on the month’s highs and lows and the two categories consumers were loving ahead of Valentine’s Day.

National Jeweler columnist Sherry Smith
Sherry Smith is the director of business development at Edge Retail Academy, the leading jewelry business consulting and data aggregation firm. She can be reached at sherry@edgeretailacademy.com.
As we step into 2024, the jewelry industry stands at a pivotal junction, reflecting on the years gone by while keenly anticipating what lies ahead.

Following a landmark year in 2021, independent jewelry retailers faced the daunting task of navigating through the murky waters of economic uncertainty, supply chain dilemmas, and the ever-rising cost of living.

The annual goal-setting call, a tradition for many businesses, became a forum for voicing concerns and speculating about the industry’s future amid such turbulence.

Yet, as we revisited these conversations at the onset of 2023 and now in 2024, a pattern of cautious optimism has emerged, driven by the easing of global recession fears, slightly lower interest rates, consistently low unemployment rates, and a budding rise in consumer confidence.

So, what has this meant for retail so far in 2024? For independent jewelers, January was a mixed bag.

Despite a 5 percent dip in number of units sold, a robust 6 percent increase in the average retail sales value buoyed gross sales by 1 percent.

This nuanced performance prompts a deeper inquiry into the decline in units sold, a trend that predates the pandemic and possibly is linked to the normalization of marriage rates post-2021/2022’s “overcorrection” and the diversification of consumer spending. 

The strategic shift towards higher-priced items appears to be a silver lining, enabling jewelers to sustain, if not surpass, the sales highs of previous years.

The diamond sector, often regarded as the industry’s heartbeat, experienced its own set of fluctuations in January. 

The month saw a slight contraction of 3 percent in units sold, yet an uptick of 4 percent in average sale prices ensured modest gross sales growth of 1 percent. 

Notably, the diamond bridal segment—which encompasses complete diamond engagement rings, semi-mounts, loose diamonds, and diamond wedding bands—sparkled, with a promising 2 percent increase in units sold and a 1 percent increase in gross sales, possibly signaling a refreshed consumer interest in both natural and lab-grown diamonds. 

Engagement rings, specifically, and diamond bracelets outshone other segments of the diamond sector, recording significant growth in gross sales, 14 percent and 15 percent respectively, a testament to their timeless appeal. 

Unfortunately, the month wasn’t as promising for all categories. 

 Related stories will be right here … 

Gross sales of loose diamonds declined 7 percent in January while units sold increased 6 percent. Average retail sale was down 12 percent. 

Pearl jewelry also faced hurdles, although some retailers managed to offset the decline in units sold with a higher average sale price, resulting in a 1 percent increase in gross sales.

Both colored stone and sterling silver jewelry struggled to maintain their ground, challenged by shifts in consumer preference and spending priorities. 

The market for precious metals jewelry (platinum or gold, no stones), meanwhile, remained relatively unchanged in January, with a 4 percent decrease in unit sales counterbalanced by a 4 percent increase in the average retail price. 

Precious metal fashion rings emerged as a standout category, exhibiting a remarkable 27 percent surge in sales. This was accompanied by 8 percent growth in units sold and an impressive 18 percent rise in the average retail price, highlighting their growing popularity and value in the market.

Watch sales experienced a modest 1 percent increase in gross sales, with the 9 percent rise in average retail prices offsetting the 7 percent decline in number of units sold. 

Custom jewelry took center stage, with a remarkable 86 percent surge in sales and a 95 percent jump in average retail price. 

Overall, service revenue grew 42 percent despite a 5 percent dip in units sold.


The early weeks of February, crucial for Valentine’s Day sales, mirrored January’s trends to some extent but also offered glimpses of resilience within the diamond bridal and precious metals jewelry categories. 

Despite a general downtrend in gifting jewelry for Valentine’s Day, independent jewelers managed to hold the line, with sales down less than 1 percent, unit sales down 4 percent, and average retail sale increasing 3 percent, illustrating the industry’s adaptability and enduring charm.

In a positive shift from recent trends, both gross sales and average retail price increased 3 percent for the diamond bridal category, while the volume of units sold remained steady.

The diamond fashion sector, however, experienced a downturn across all major performance metrics, with sales falling 9 percent, units sold decreasing 6 percent, and the average retail sale dipping 3 percent. 

In contrast, colored stone jewelry sales remained stable in the early weeks of February, with a 7 percent increase in average retail price offsetting a 7 percent decline in the number of units sold. 

Pearl jewelry faced a significant challenge, with gross sales dropping 11 percent, unit sales down 4 percent, and average retail price declining 7 percent.

On a brighter note, precious metals jewelry saw a modest uptick of 2 percent in gross sales and a 4 percent increase in average retail price despite a 2 percent decline in unit sales. 

Sterling silver jewelry had mixed results, with a 3 percent rise in average retail price not enough to counteract an 11 percent decrease in unit sales and a 9 percent drop in gross sales.

While independent jewelers’ results were mixed in the weeks leading up to Feb. 14, there were two categories that consumers showed major love for—watches and services. 

The watch category demonstrated impressive growth across the board, with a remarkable 27 percent increase in gross sales, a 1 percent uptick in unit sales, and a substantial 20 percent rise in average retail price. 

Demand for services surged with a 27 percent increase in gross sales and an even more impressive 36 percent jump in average retail sales, although this was tempered somewhat by a 6 percent decline in unit sales.

“The jewelry industry’s resilience and adaptability are its greatest assets. Independent jewelers, in particular, are poised to thrive.” — Sherry Smith  

Upon reflecting on these developments, it’s evident the jewelry industry’s journey through 2024 will be not only about overcoming challenges but also seizing the opportunities that come with changing consumer behaviors, preferences, and values. 

Independent jewelers, with their unique position at the intersection of tradition and innovation, are well-equipped to navigate this landscape. 

As we look ahead, the jewelry industry’s resilience and adaptability are its greatest assets. 

Independent jewelers, in particular, are poised to thrive, drawing on their deep understanding of consumer desires and their ability to craft meaningful, memorable experiences. 

The road ahead may be fraught with uncertainties but the industry’s collective spirit and dedication to excellence undoubtedly will pave the way for a future as brilliant as the gems it cherishes.

Sherry Smithis director of business development at Edge Retail Academy, the leading jewelry business consulting and data aggregation firm.

The Latest

Fabergé Beetlejuice Beetlejuice jewelry collection
CollectionsSep 06, 2024
The ‘Fabergé x Beetlejuice Beetlejuice’ Collection is Scary Chic

It’s showtime for these jewels, inspired by the motifs and color palette of the new Tim Burton film.

Movado Connect 2.0 watches
FinancialsSep 06, 2024
Movado Lowers Guidance as Q2 Sales Slip

CEO Efraim Grinberg pointed to a challenging consumer spending environment, particularly in the watch category.

Lizzie Mandler’s Liquid Gold Hoops
CollectionsSep 06, 2024
Piece of the Week: Lizzie Mandler’s ‘Liquid Gold’ Hoops

Inspired by a 19th century sculpture, Mandler transformed gold into liquid for these earrings.

How to Increase Instagram Followers Naturally in 2024 2.0 (1).jpg
Brought to you by
How to Increase Instagram Followers Naturally in 2024

Growing your Instagram following organically is more important than ever in today's technological environment.

Bella Hadid in Chopard Campaigns
CollectionsSep 05, 2024
Bella Hadid Is Chopard’s New Brand Ambassador

The model and entrepreneur stars in two new Chopard campaigns.

Weekly QuizSep 05, 2024
This Week’s Quiz
Test your jewelry news knowledge by answering these questions.
Take the Quiz
Nordstrom men’s store New York City
MajorsSep 05, 2024
Nordstrom Family Offers to Buy Namesake Retailer for $3.8B

Members of the founding family partnered with Mexican retail company El Puerto de Liverpool to possibly take Nordstrom private.

Tiffany & Co. Elsa Peretti Bone cuff
MajorsSep 05, 2024
Tiffany & Co. Celebrates Elsa Peretti’s Bone Cuff

The iconic design has joined a lineup of notable pieces featured in the jeweler’s “With Love, Since 1837” campaign.

Supplier Spotlight -Recorded-Webinar.png
Brought to you by
Watch: Natural Diamonds: A Great (but Often Untold) Geology Story

Supplier Spotlight Sponsored by GIA.

New Cadar CEO Ralph Simons
MajorsSep 05, 2024
Former Chopard, Frederique Constant Executive Tapped to Head Cadar

Ralph Simons is now CEO of the jewelry brand started by fashion designer Michal Kadar and her husband, Avraham Kadar, in 2015.

 Models Taylor Hill and Soo Joo Park wearing Messika jewelry
TrendsSep 04, 2024
Taylor Hill, Soo Joo Park Star in New Messika Campaign

The models and friends of founder and artistic designer Valérie Messika showcase the brand’s jewelry in the “Back to Icons” campaign.

Bloomingdale’s From Italy, With Love campaign
MajorsSep 04, 2024
Bloomingdale’s to Highlight Italian Jewelry in New Campaign

“From Italy, With Love” will showcase Roberto Coin, Marco Bicego, and other Italian brands.

Zales tennis necklace over Prince tennis racket
CollectionsSep 03, 2024
Zales, Prince Debut US Open-Inspired Collection

The jewelry retailer will also have a diamond-set tennis racket on display at the tournament.

Ylang 23 Flagship
IndependentsSep 03, 2024
Ylang 23 Relocates, Expands Dallas Flagship

The retailer has moved into a 3,200-square-foot space at The Shops of Highland Park.

Suzanne Kalan
TrendsSep 03, 2024
Amanda’s Style File: Sapphires for September

The month’s birthstone is vibrant in every color.

Breitling watches
WatchesAug 30, 2024
Breitling Marks 140 Years With Special Editions of 3 Classic Watches

The special editions of the Premier, Navitimer, and Chronomat are equipped with a new perpetual calendar movement from the brand.

K. Brunini Jewel’s Butterfly Ring
CollectionsAug 30, 2024
Piece of the Week: K. Brunini Jewels’ Butterfly Ring

Fly away with designer Katey Brunini’s butterfly ring, as its spring-loaded wings flutter above your fingers.

Brilliant Earth showroom Roosevelt Field mall
MajorsAug 29, 2024
Brilliant Earth Promotes Two Executives to C-Suite Roles

The jewelry retailer has a new chief brand officer and chief operations officer.

JA Multifaceted Learning Workshop
MajorsAug 29, 2024
JA Takes Its Learning Workshops to Washington D.C., New York

Its next event will take place in D.C. on Sept. 17 and in New York City on Oct. 29.

Broken Bangle jade nomenclature book Lotus Gemology
SourcingAug 29, 2024
Lotus Gemology Publishes Book on Jade History

“Broken Bangle: The Blunder-Besmirched History of Jade Nomenclature” is an in-depth look at the evolution of jade terminology.

Titan Company Ltd. executive Ajoy Chawla and De Beers Group executive Sandrine Conseiller
SourcingAug 29, 2024
De Beers Looks to India to Boost Demand for Natural Diamonds

It is partnering with retailer Tanishq on educating salespeople, shaping the in-store experience, and a “360-degree” marketing campaign.

Woman shopping
SurveysAug 28, 2024
Consumer Confidence Rises in August Despite Labor Market Worries

Inflation remained a top concern among survey-takers who included write-in responses.

A person wearing the Ultrahuman Ring Air smart ring while holding a cell phone
TechnologyAug 28, 2024
Verizon Throws Its Hat in the Ring on Smart Rings

The wireless carrier is now stocking the Ultrahuman Ring Air in select U.S. stores.

Rings and a necklace from Pamela Love Jardin collection
CollectionsAug 28, 2024
Pamela Love’s ‘Jardin’ Collection Is Filled With Lush Green Emeralds

In a collaboration with Muzo, Pamela Love hand-selected each Colombian emerald for eight one-of-a-kind pieces.

Stuller headquarters
MajorsAug 28, 2024
Stuller Named ‘Great Place to Work’

The certification is based on employee responses about their experience working at a company.

Stock image of loose polished diamonds
Policies & IssuesAug 27, 2024
US to Allow Import of ‘Legacy’ Diamonds From Russia

OFAC has issued two licenses addressing the issue, one for diamond-set jewelry and one for loose diamonds.

Man at International Gemological Institute microscope
GradingAug 27, 2024
IGI Files for IPO in India

The gemological lab is looking to raise up to $477 million.

Earrings by Olga Shatrova
Events & AwardsAug 27, 2024
Here Are the Winners of the 2024 CASE Awards

The annual jewelry design competition celebrates creativity, artistry, style, and excellence.

×

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