EditorsNov 22, 2024
Out & About: Inside the CD Peacock MansionStep inside the nearly 21,000-square-foot suburban Chicago jewelry store with Editor-in-Chief Michelle Graff.
IndependentsDec 10, 2019
On Data: How Independent Jewelers Are Faring This Year
In a new data-driven column, The Edge Retail Academy’s Sherry Smith breaks down the year so far for independent retailers.
Sherry Smith is director of business development for data and consulting company The Edge Retail Academy. She can be reached at sherry@edgeretailacademy.com.
The retail model continues to evolve at an exponential rate.
Today, small is the new big, less is more and the word “omnichannel” has become passé.
This shifting retail landscape has left our independent jewelry retailers in search of the “next best thing” and vigorously seeking a competitive edge—better ways to reach customers, more efficient customer journeys and opportunities to proactively meet customer needs.
The role of data is more significant than ever, which is why The Edge Retail Academy is now working with National Jeweler to bring readers “On Data,” a regular column by yours truly that contains valuable information on what’s selling and what’s not.
In this first column, we’ll look at how independent jewelers are faring so far in 2019, as well as delve into the importance of data.
The Figures
The Edge Retail Academy’s aggregated data from more than 1,100 independent retailers show sales are up 1.7 percent rolling 12 months ending October 2019.
It might surprise independent retailers to know they’re outperforming the majors.
Tiffany reported comparable sales in the Americas decreased 4 percent in the third quarter and were down 5 percent in the first half.
Signet same-store sales were down 1.4 percent year-to-date at the end of the second quarter, though the massive retailer showed improvement in Q3 thanks its North American stores and online sales.
Historically, the diamond category has made up approximately 50 to 51 percent of annual jewelry sales, but in the month of October it slipped a bit, representing 45.5 percent.
The diamond category was up 11 percent in gross sales for the month of October and up 3 percent in average retail sale, which climbed from $2,213 to $2,379.
Why Numbers Matter
It’s all about the data.
In its 2018 study titled “How Analytics and Digital Will Drive Next Generation Retail Merchandising,” McKinsey stated: “Winning decisions are increasingly driven by analytics more than instinct, experience or merchant ‘art.’
“By leveraging smarter tools—those beyond backward-looking, ‘hind-sighting’ analysis—retailers can increasingly make forward-looking predictions that are quickly becoming the ‘table stakes’ necessary to keep up.”
Owners and buyers no longer need to rely solely, nor should they, on their instincts.
Independent retailers now have access to approximately $2 billion in annual jewelry sales data, thanks to Edge Pulse. Edge Pulse allows Edge users to log in from anywhere at any time to access their data as well as industry stats.
This big data means a greater understanding
Today, small is the new big, less is more and the word “omnichannel” has become passé.
This shifting retail landscape has left our independent jewelry retailers in search of the “next best thing” and vigorously seeking a competitive edge—better ways to reach customers, more efficient customer journeys and opportunities to proactively meet customer needs.
The role of data is more significant than ever, which is why The Edge Retail Academy is now working with National Jeweler to bring readers “On Data,” a regular column by yours truly that contains valuable information on what’s selling and what’s not.
In this first column, we’ll look at how independent jewelers are faring so far in 2019, as well as delve into the importance of data.
The Figures
The Edge Retail Academy’s aggregated data from more than 1,100 independent retailers show sales are up 1.7 percent rolling 12 months ending October 2019.
It might surprise independent retailers to know they’re outperforming the majors.
Tiffany reported comparable sales in the Americas decreased 4 percent in the third quarter and were down 5 percent in the first half.
Signet same-store sales were down 1.4 percent year-to-date at the end of the second quarter, though the massive retailer showed improvement in Q3 thanks its North American stores and online sales.
Historically, the diamond category has made up approximately 50 to 51 percent of annual jewelry sales, but in the month of October it slipped a bit, representing 45.5 percent.
The diamond category was up 11 percent in gross sales for the month of October and up 3 percent in average retail sale, which climbed from $2,213 to $2,379.
Why Numbers Matter
It’s all about the data.
In its 2018 study titled “How Analytics and Digital Will Drive Next Generation Retail Merchandising,” McKinsey stated: “Winning decisions are increasingly driven by analytics more than instinct, experience or merchant ‘art.’
“By leveraging smarter tools—those beyond backward-looking, ‘hind-sighting’ analysis—retailers can increasingly make forward-looking predictions that are quickly becoming the ‘table stakes’ necessary to keep up.”
Owners and buyers no longer need to rely solely, nor should they, on their instincts.
Independent retailers now have access to approximately $2 billion in annual jewelry sales data, thanks to Edge Pulse. Edge Pulse allows Edge users to log in from anywhere at any time to access their data as well as industry stats.
This big data means a greater understanding
of patterns, trends and consumer shopping habits.
It is easy to now ascertain the top-performing categories or how a given vendor is trending.
A retailer can benchmark their performance against the aggregated industry performance and trends.
They can also quickly determine if they are missing best sellers from the very vendors with whom they’re currently doing business.
According to a recent study conducted by IBM’s Institute for Business Value, 62 percent of retailers report the use of information, including big data, and analytics are creating a competitive advantage for their organizations.
Knowing where you stand relative to other retailers, while not a game changer in and of itself, is a useful benchmark.
Understanding market trends, pricing and category performance is the best complement to your instincts and experience.
Your daily and weekly routine should include a review of your data, as well as real-time aggregated data, to make more informed and intelligent business decisions.
These insights will enable you to better understand which products or services are in demand and, quite frankly, help you to manage your business more efficiently.
We’ve come off a great month in October. Let’s build on that momentum with relevant and useful data.
Have a great holiday season!
Sherry Smith is director of business development for data and consulting company The Edge Retail Academy. Her 30 years in the jewelry industry includes 20 as principal partner in two jewelry stores. As director of business development, Smith works with wholesalers, brands and retail stores on business mentoring and data analysis and aggregation. She can be reached at sherry@edgeretailacademy.com.
It is easy to now ascertain the top-performing categories or how a given vendor is trending.
A retailer can benchmark their performance against the aggregated industry performance and trends.
They can also quickly determine if they are missing best sellers from the very vendors with whom they’re currently doing business.
According to a recent study conducted by IBM’s Institute for Business Value, 62 percent of retailers report the use of information, including big data, and analytics are creating a competitive advantage for their organizations.
Knowing where you stand relative to other retailers, while not a game changer in and of itself, is a useful benchmark.
Understanding market trends, pricing and category performance is the best complement to your instincts and experience.
Your daily and weekly routine should include a review of your data, as well as real-time aggregated data, to make more informed and intelligent business decisions.
These insights will enable you to better understand which products or services are in demand and, quite frankly, help you to manage your business more efficiently.
We’ve come off a great month in October. Let’s build on that momentum with relevant and useful data.
Have a great holiday season!
Sherry Smith is director of business development for data and consulting company The Edge Retail Academy. Her 30 years in the jewelry industry includes 20 as principal partner in two jewelry stores. As director of business development, Smith works with wholesalers, brands and retail stores on business mentoring and data analysis and aggregation. She can be reached at sherry@edgeretailacademy.com.
More on Independents
The Latest
CollectionsNov 22, 2024
Piece of the Week: Xander Jane’s ‘Spiked’ Pearl StudsThese punk-inspired earrings from the new Canadian brand’s debut collection reveal the alter ego of the classic pearl.
SourcingNov 22, 2024
Facets of Fire Expands to Include Pear, Marquise DiamondsThe company brings its nanotechnology to two new fancy cuts for diamonds that feature its signature color and brilliance.
Brought to you by
Navigating Cybersecurity: Essential Guidance for JewelersFrom protecting customer data to safeguarding inventory records, it's crucial to learn how to tackle cybersecurity challenges.
Supplier BulletinNov 21, 2024
Tasha R Releases 2025 Labbelle Lab Diamond Jewelry CatalogSponsored by Tasha R
Weekly QuizNov 21, 2024
This Week’s QuizTest your jewelry news knowledge by answering these questions.
AuctionsNov 21, 2024
Gold Watch Gifted to Titanic Rescue Ship Captain Sells for $2MThree Titanic survivors presented him with the personalized Tiffany & Co. timepiece about a year after the tragedy.
MajorsNov 21, 2024
Harris Jewelry Ordered to Reopen Claims Portal for Refund RequestsA federal court found that the jewelry store chain violated terms of the settlement reached after it was accused of defrauding customers.
Brought to you by
Enhance Your Expertise with IGI’s In-Person Courses in NYCThis fall, sharpen your skills in jewelry grading, quality control and diamond assessment.
CollectionsNov 21, 2024
Channel Elphaba in Muse’s ‘Have a Heart x Cynthia Erivo’ CollectionCynthia Erivo chose Dreams of Hope, an organization dedicated to empowering LGBTQA+ youth, as the charity for this year’s collection.
MajorsNov 21, 2024
Rocksbox Opens Pop-Up Store in San FranciscoThe new space was designed to evoke a warm, inviting vibe.
CrimeNov 20, 2024
Sotheby’s to Pay $6.25M Settlement to NY State for Alleged Tax FraudThe auction house was accused of helping clients avoid paying taxes on millions of dollars’ worth of art purchased from 2010 to 2020.
Events & AwardsNov 20, 2024
Kering Debuts New Jewelry Award With Sustainability FocusThe four finalists will present their pieces at the 2025 JCK Las Vegas show.
CollectionsNov 20, 2024
Pamela Love Channels Surrealist Artists in New CollectionThe “Camera Oscura” collection showcases earring designs celebrating female Surrealist artists Claude Cahun and Leonor Fini.
Policies & IssuesNov 20, 2024
Columbia Gem House Raises $10K for Reforestation EffortsThe money will fund the planting of 10,000 trees in critical areas across Oregon, Arizona, Montana, and other regions.
Events & AwardsNov 20, 2024
The Jewelry Symposium Opens Registration, Scholarship ApplicationsThe event centered on advancing jewelry manufacturing technology will return to Detroit in May 2025.
CrimeNov 19, 2024
Woman Killed in Armed Robbery of Sacramento Jewelry StoreLocal reports identified the woman as the wife of the jewelry store owner.
AuctionsNov 19, 2024
‘A Tsar’s Treasure’ Fetches $2.9M at Sotheby’s Jewelry SaleA collection of pieces owned by Ferdinand I, the first king of modern Bulgaria, and his family, blew away estimates in Geneva last week.
MajorsNov 19, 2024
Trove Opens First US Flagship in NYCThe Australian jewelry box brand’s new West Village store will showcase new jewelers each month through its Designer in Residence program.
CollectionsNov 19, 2024
Snoop Dogg’s New Jewelry Collection Is All About Love“Lovechild” was created in partnership with Carolyn Rafaelian’s Metal Alchemist brand.
EditorsNov 18, 2024
Q&A: Helzberg CEO Brad Hampton on the Jeweler’s RebrandHampton discussed how Helzberg is improving the customer experience and why it was inspired by the company formerly known as Dunkin’ Donuts.
Policies & IssuesNov 18, 2024
Reciprocity Jewels Returns to NYC Jewelry WeekThe group will host several curated events and an exhibition of designer jewelry made with Peruvian gold traceable to the miners’ names.
CollectionsNov 18, 2024
Dolly Parton Shines in Collaboration with Kendra ScottThe collection honors the 50th anniversary of Dolly Parton’s “Love is Like a Butterfly” song, which shares a birth year with Kendra Scott.
Events & AwardsNov 18, 2024
IGI Jewelry Design Competition ReturnsThis year’s theme asks designers to take inspiration from classic fairy tales.
EditorsNov 15, 2024
Why Fine Jewelry Belongs at New York Comic ConSenior Editor Lenore Fedow makes the case for why more jewelers should be appealing to nerds at the annual event.
CollectionsNov 15, 2024
Marie Lichtenberg Battles Counterfeits with New ‘Raiz’in Scapular’ DesignsThe latest “Raiz’in” drop showcases a newly designed “Scapular” necklace and donates a portion of the proceeds to Make-A-Wish France.
WatchesNov 15, 2024
Piece of the Week: Citizen’s Commemorative Pocket WatchNo. 1 out of 100, the timepiece was created to mark Citizen’s 100th anniversary and will be auctioned off at Sotheby’s next month.
Recorded WebinarsNov 15, 2024
Watch: 10 Tips to Keep Your Jewelry Store Secure On the latest episode of “My Next Question,” two experts share best practices for store security during the holidays and year-round.
