Padis succeeds Lisa Bridge, marking the first time the organization has had two women board presidents in a row.
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.
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
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.
The Latest
Jesse Cole, founder of Fans First Entertainment, shared the “five Es” of building a fan base during his AGS Conclave keynote.
The Royal Oak Perpetual Calendar "John Mayer" was celebrated at a star-studded party in LA last week.
With Ho Brothers, you can unlock your brand's true potential and offer customers the personalized jewelry experiences they desire.
The announcement came as the company reported a 23 percent drop in production in Q1.
The three-time Pro Bowler continues to partner with the retailer, donating to a Detroit nonprofit and giving watches to fans.
A double-digit drop in the number of in-store crimes was offset by a jump in off-premises attacks, JSA’s 2023 crime report shows.
For over 30 years, JA has advocated for the industry, fought against harmful legislation and backed measures that help jewelry businesses.
Inspired by the Roman goddess of love, the designer looked to the sea for her new collection.
The luxury titan posted declining sales, weighed down by Gucci’s poor performance.
The selected nine organizations have outlined their plans for the funds.
The mining company’s Diavik Diamond Mine lost four employees in a plane crash in January.
The crown introduced a dozen timepieces in Geneva, including a heavy metal version of its deep-sea divers’ watch.
Emmanuel Raheb recommends digging into demographic data, customizing your store’s communications, and retargeting ahead of May 12.
A 203-carat diamond from the alluvial mine in Angola achieved the highest price.
Ruser was known for his figural jewelry with freshwater pearls and for his celebrity clientele.
The “Rebel Heart” campaign embodies rebellion, romance, and sensuality, the brand said.
Editor-in-Chief Michelle Graff shares the standout moments from the education sessions she attended in Austin last week.
The overhaul includes a new logo and enhanced digital marketplace.
The money will go toward supporting ongoing research and aftercare programs for childhood cancer survivors.
A new addition to the “Heirloom” collection, this one-of-a-kind piece features 32 custom-cut gemstones.
Last month in Dallas, David Walton pushed another jeweler, David Ettinger, who later died.
The move will allow the manufacturing company to offer a more “diverse and comprehensive” range of products.
From now through mid-May, GIA will be offering the reports at a 50 percent discount.
De Beers’ rough diamond sales were down 18 percent year-over-year in its latest round of sales.
Sponsored by the Las Vegas Antique Jewelry & Watch Show
The Patek Philippe expert will serve as personal curator for the brand-focused company.