ColumnistsApr 22, 2025
The PR Adviser: Building Buzz Through Word of MouthColumnistsMay 20, 2025
Peter Smith: Leading Through Change
Communicating clearly with your staff is key to navigating turbulent times, writes columnist Peter Smith.
Peter Smith is an industry consultant and keynote speaker who teaches in-store sales psychology and hiring workshops. He is the author of "Hiring Squirrels," "Sell Something," and "The Sales Minute." Contact him at TheRetailSmiths@gmail.com, via LinkedIn, or at 617-308-1580.
Editor’s Note: This story first appeared in the print edition of the 2025 State of the Majors. Click here to see the full issue.
Author and business guru Patrick Lencioni wrote of leaders, “Their top two priorities are to set the direction of the organization and then to ensure that people are reminded of it on a regular basis.”
Lencioni’s message, sublime in its clarity, has never been more apt than in the jewelry industry right now.
The evolution of retail has resulted in a significant contraction of stores, even as the total jewelry and watch business was stronger than ever from 2020 through 2024.
The reduction in the number of stores is not exclusive to jewelry and watch retail.
Coresight Research reported that 7,325 stores closed in 2024, and it predicts that 15,000 or more will shutter in 2025.
For all the changes in retail, two significant developments are undeniable.
First, retail has morphed into a hybrid model, where physical retail serves as the backbone of multi-tiered commerce that includes online and social.
The second development is that this seems to be giving way to a bifurcation of the retail landscape; price-driven on one end, and experiential/quality retail on the other.
The price model is best represented by Walmart and Costco while the experiential/quality model is best seen at stores such as Wegmans, Bass Pro Shops, Apple, Ulta Beauty, and Lululemon.
Customers identify with one or the other of the two models, and that is punishing stores in the middle, giants like Sears, Kmart, Kohl’s, and JCPenney,, which are already gone or on life support.
While some jewelry retailers choose to compete on the lower end of the price spectrum, the disappearing middle (where retailers attempt to be all things to all people) is getting hammered.
It is becoming increasingly difficult to carve out a competitive niche in that space and the model itself may need a complete rethink.
Generally speaking, we are unlikely to see an increase in foot traffic again.
If you remove auto and gas sales from the numbers, about 20 percent of all retail sales come from online sources. When you combine that with the decline in the number of malls, and mall traffic, smart retailers will evolve their strategy to meet the rapidly changing landscape.
Related stories will be right here …
Author and business guru Patrick Lencioni wrote of leaders, “Their top two priorities are to set the direction of the organization and then to ensure that people are reminded of it on a regular basis.”
Lencioni’s message, sublime in its clarity, has never been more apt than in the jewelry industry right now.
The evolution of retail has resulted in a significant contraction of stores, even as the total jewelry and watch business was stronger than ever from 2020 through 2024.
The reduction in the number of stores is not exclusive to jewelry and watch retail.
Coresight Research reported that 7,325 stores closed in 2024, and it predicts that 15,000 or more will shutter in 2025.
For all the changes in retail, two significant developments are undeniable.
First, retail has morphed into a hybrid model, where physical retail serves as the backbone of multi-tiered commerce that includes online and social.
The second development is that this seems to be giving way to a bifurcation of the retail landscape; price-driven on one end, and experiential/quality retail on the other.
The price model is best represented by Walmart and Costco while the experiential/quality model is best seen at stores such as Wegmans, Bass Pro Shops, Apple, Ulta Beauty, and Lululemon.
Customers identify with one or the other of the two models, and that is punishing stores in the middle, giants like Sears, Kmart, Kohl’s, and JCPenney,, which are already gone or on life support.
While some jewelry retailers choose to compete on the lower end of the price spectrum, the disappearing middle (where retailers attempt to be all things to all people) is getting hammered.
It is becoming increasingly difficult to carve out a competitive niche in that space and the model itself may need a complete rethink.
Generally speaking, we are unlikely to see an increase in foot traffic again.
If you remove auto and gas sales from the numbers, about 20 percent of all retail sales come from online sources. When you combine that with the decline in the number of malls, and mall traffic, smart retailers will evolve their strategy to meet the rapidly changing landscape.
One of the cornerstones of this new reality must be initiatives designed to ensure a higher average ticket.
Lower price points can create the illusion of customer accessibility but won’t help a business if the retailer doesn’t find a way to drive more foot traffic and/or improve conversion rates.
To that end, all retailers must have a robust and active customer relationship management (CRM) system.
I’ve seen data showing returning customers are 70 percent more likely to buy than new customers with an average retail ticket that is 30 percent higher.
Once you’ve decided on your direction for CRM, lean into it at every touchpoint. It ought to become a litmus test for every dollar spent, and for every important decision made, or not made.
Hire for it, train for it, compensate for it, and be prepared to make difficult choices if people or initiatives don’t align with your vision.
Have the humility to accept you don’t have all the answers and get a coach outside of your organization to keep you sane while you drive your business forward.
Before you make tough choices, invite debate to make sure your path forward doesn’t have unintended, damaging consequences.
However, once you’ve made the decision to move forward, be like Cortés and burn your boats.
Whatever direction a leader chooses to chart for their business, demonstrating the leadership qualities to clearly articulate that vision, and the commitment and communication acumen to keep that message top of mind, is critical.
As you double down or reinvent your model, your people will always be better for hearing the truth and knowing where the business is headed. There is nothing worse than ambiguity to kill morale.
Make sure you have a short-term scorecard, but a map for where you are going in the long term.
Focus on the things that will make the biggest difference in your business and control the controllables. You can’t impact the stock market, the weather, or the number of Saturdays in December.
Management expert John Kotter often talked about building a coalition for change. By that he meant hiring the right people, creating a trusting environment, and developing a common goal.
That seems like a reasonable plan to me.
Happy retailing!
More on Columnists
The Latest
AuctionsJun 10, 2025
Noonans to Auction 16th-Century Signet RingIt's one of the “Gresham grasshopper” rings English financier Sir Thomas Gresham was known to gift to acquaintances or business associates.
CollectionsJun 10, 2025
Tabayer Names Mary Chiam as CEOThe brand also debuted its new “Zorae” collection featuring a talisman of protection and harmony inspired by a sheaf of wheat.
MajorsJun 10, 2025
Lauren Johansen Joins Loudr As Loudr’s new account manager, Johansen will partner with clients to craft and execute marketing strategies.
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.
Events & AwardsJun 09, 2025
And the Winners of the 2025 Couture Design Awards Are … Designers were recognized in 12 categories, from platinum to pearls, before the evening ended with a new, retail-focused award.
Weekly QuizJun 05, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
AuctionsJun 09, 2025
Nancy Astor’s Cartier Tiara Sells for $1.2MThe rare turquoise and diamond jewel was the top lot at Bonhams’ June jewelry sale.
Events & AwardsJun 09, 2025
Here Are the 2025 Retailer Hall of Fame InducteesThis year’s honorees include a Midwest retailer and two multi-store independents, one in New York and the other in New England.
Brought to you by
The True Power Behind the Counter: Why Sales Associates Are the Heart of the Jewelry BusinessWhen investing in your jewelry business, it's important not to overlook the most crucial element of success: the sales associates.
Events & AwardsJun 09, 2025
CASE Awards Now Accepting Entries For 2025The deadline to submit is June 16.
MajorsJun 09, 2025
RDI Diamonds Partners With LavalierThe diamond wholesaler is working with the insurance provider to seamlessly offer personal jewelry insurance to RDI retailers’ clients.
CollectionsJun 06, 2025
Piece of the Week: Harwell Godfrey’s ‘Granny Squares Eleanor’ Necklace As an homage to iconic crochet blankets, the necklace features the nostalgic motif through a kaleidoscope of cabochon-cut stones.
Events & AwardsJun 05, 2025
The 12 Fresh Faces in Couture’s Design AtelierDiscover the dozen up-and-coming brands exhibiting in the Design Atelier for the first time.
SourcingJun 05, 2025
A Rare Suite of Rubies Has Arrived in Las VegasThe “Royal Ruby” Collection is a quintet of untreated rubies curated by collector Jack Abraham.
Events & AwardsJun 05, 2025
Daymond John to Give Keynote at JCK Las VegasThe entrepreneur and “Shark Tank” star will share his top tips for success.
MajorsJun 05, 2025
Platinum Guild International Updates Leadership TeamTwo existing executives have been given new roles.
Events & AwardsJun 05, 2025
Zillion Announces 'Women in STEM' Scholarship RecipientMeredith Tiderington, an electrical engineering student, was selected for the award.
Lab-GrownJun 04, 2025
GIA Reverting to More General Terminology for Lab-Grown DiamondsIt will quit assigning the stones specific color and clarity grades in favor of applying “new descriptive terminology.”
Events & AwardsJun 04, 2025
As JCK Talks Returns, Don’t Miss These 12 SessionsFrom design trends to sustainability, here’s a roundup of can’t-miss education sessions at JCK Las Vegas.
CrimeJun 04, 2025
10 Safety Tips for the Las Vegas Shows The Jewelers’ Security Alliance offers advice for those attending the annual trade shows.
MajorsJun 04, 2025
Amy Curran Promoted at Hill & Co.Her new role is director of strategic initiatives.
CollectionsJun 03, 2025
In Her Latest Collection, Viviana Langhoff Is Leaning Into GoldThe designer is embracing bold pieces with weight to them in “AU79,” a collection she celebrated with a creative launch party.
FinancialsJun 03, 2025
Signet Jewelers Sees Turnaround in Q1 With Sales Ticking Up 2%On an earnings call, CEO J.K. Symancyk discussed what’s working for the company and how it’s preparing for the potential impact of tariffs.
SurveysJun 03, 2025
Consumer Confidence Improves in May The index partially rebounded after months of decline, due in part to the U.S.-China deal to temporarily reduce import tariffs.
CollectionsJun 03, 2025
Dakota Johnson Is Roberto Coin’s New Brand AmbassadorThe actress stars in the latest campaign set in Venice, Italy, and is set to participate in other creative initiatives for the jeweler.
GradingJun 03, 2025
Mason-Kay Jade Adds ‘Fei Cui’ to Jade ReportsThe company has joined other labs, including GIA and Lotus Gemology, in adopting the Chinese term for "jadeite jade."
SourcingJun 02, 2025
Gemfields’ June Auction to Include 36-Carat RubyThe large stone will be offered at its June sale along with a selection of secondary-type rubies from a new area of the Montepuez mine.
GradingJun 02, 2025
GSI Opens New Lab in Thailand Located in Bangkok, the laboratory is Gemological Science International’s 14th location worldwide.
