It’s the Signet-owned banner’s first location in Georgia.
Squirrel Spotting: Why I Don’t Worry About Brick-and-Mortar Retail
Peter Smith says the idea that people will want to continue to do everything online post-pandemic is “complete and utter rubbish.”
![Peter Smith is president of Memoire and Hearts On Fire. He is author of two books, “Hiring Squirrels,” and “Sell Something.” Connect with Smith on LinkedIn or at dublinsmith@yahoo.com. peter-smith.jpg](https://uploads.nationaljeweler.com/uploads/844d451e10516f713bfaf281f2ba250e.jpg)
There is a maxim that says, if customers don’t want to come nothing will stop them.
As maxims go, it’s about as topical as any in a retail environment that has seen foot traffic, or footfall, as my friends across the pond like to say, continue to decline.
That years-long trend, exacerbated by the disruption of COVID-19, might give one pause in projecting sunny days for brick-and-mortar retail.
Lord & Taylor, the first department store in the United States, went out of business just a few years shy of its 200th anniversary.
Pier 1, which started in 1962 as Cost Plus, took their 900 stores into bankruptcy in May, just three months or so after attempting to survive by announcing that they would close half of their stores.
Sur La Table, Brooks Brothers and Modell’s Sporting Goods also went Chapter 11, and Neiman Marcus has gone in and out of bankruptcy since the arrival of COVID-19.
So, what exactly is going on? What are we to make of the evolving retail landscape, particularly as it relates to brick-and-mortar stores?
Amid the flood of retail bankruptcies and the ongoing saga of stores like J.C. Penney, Sears, J. Crew, Express, etc., one thing is patently clear: Retail is overbuilt in the U.S., with more than 1,100 shopping malls and more than 23.5 square feet of shopping per person.
For context, Canada has 16.8, Australia has 11.2 and the United Kingdom has 4.6 square feet of shopping per person.
In “The Convenience Revolution,” Shep Hyken wrote: “Friction is a hassle in your customer’s world. Anything that removes friction, regardless of the source, is likely to improve your relationship with the customer.”
It would be difficult to make the case that visiting any of those 1,100 malls provides a frictionless experience.
We are seeing many of the Class C and D malls go away, or repurposed to the point they are unrecognizable.
That retail catharsis will likely continue for years to come.
If you have stores in those malls, even a great store, you’re going to find out what having the best house on the worst street is all about.
The transformation of those low-experience malls is neither a negative in and of itself, nor a de-facto reflection on the overall health of physical retail. It is an essential retail catharsis.
Additionally, we have the specter of online shopping and, understandably, the fear
But has it?
There is no doubt whatsoever that retail stores, no matter how small, must have an online presence to be relevant, particularly when you consider that 80 percent of consumers begin their shopping journeys online.
But lest we think the pandemic has delivered a mortal blow to physical stores, consider that during the apex of the shutdown, in April, May and June, when one might have expected the vast majority of retail shopping to have taken place online, the number was actually 15 percent, according to the U.S. Department of Commerce.
While statistically impressive, especially when compared to the 11 percent of online retail business in 2019, it is infinitely less than one might have expected given the weeks-long shutdown for many stores.
In “Consumer Neuroscience,” by Moran Cerf and Manuel Garcia-Garcia, it states: “The social pressure of the in-store environment means that people are less likely to pull out of a purchase once it has been started, whereas the absence of this in an online context means basket abandonment is a huge challenge for e-commerce.”
In fact, according to data from Listrak, a retail marketing firm that tracks shopping cart abandonment, the rate at which consumers abandon their shopping carts online without completing their purchases is 81 percent.
As critical as it is to be able to easily conduct e-commerce when that is what the customer wants, the combination of no human interaction, and no ability to experience the tactility that comes from in-store shopping, means quality brick-and-mortar environments will continue to have the lion’s share of the retail pie.
One of the great misconceptions of pandemic purgatory, as we’ve all learned to work remotely, have our groceries delivered, eat out less, and eschew the joys of attending live sporting events, concerts and movie theaters, is that we will be satisfied living in that kind of world post-pandemic.
That notion is complete and utter rubbish.
While commercial real estate is certain to take a hammering, as more and more companies realize that remote work can play a role post-pandemic, and restaurants will, no doubt, take more than their share of casualties, new businesses and new initiatives will fill those spaces.
Entrepreneurs will step in, and stores and restaurants will emerge from the ashes of those unfortunate businesses that ultimately succumbed to the pandemic with new and vibrant retail stories.
COVID-19, in effect, will not so much have killed healthy business but accelerated unhealthy and declining business.
What won’t change is our desire for human contact and the reassuring sense of community that comes from attending in-person events and shows, and from experiential shopping.
We will be less likely to frequent undifferentiated shopping malls—a trend accelerated during the pandemic, but long in the cards—but the dopamine rush that comes from meaningful experiences and in-person shopping will not abate.
Independent retailers have a huge advantage in the evolving retail story. They are not tethered to dying malls, corporate policy or outright indifference.
They can shift on a dime to deliver meaningful experiences to their customers by connecting on an emotional level and by engaging their customers’ senses with relevant and differentiated products in exciting retail spaces.
As Michael Dart and Robin Lewis wrote in “Retail’s Seismic Shift,” their 2017 book: “For retailers the next steps for success are clear. Pick your niche. If you are massive, get rid of the mass by fragmenting into niches. Create differentiation and awesome experiences for each niche.”
Seems like a reasonable plan to me.
The Latest
![These “Double Loop” earrings feature a drop-cut amethyst sitting atop the lower hoop, totaling 1.60 carats between both earrings. The hoops are made of silver covered in “pistacchio” colored enamel, while 9-karat yellow gold holds the stones in place and connect the two hoops behind the earlobe ($1,770). Bea Bongiasca’s Double Loop Earrings](https://uploads.nationaljeweler.com/uploads/f338ef6b4603be3c97765f833b831ca0.jpg)
Commemorate “brat summer” with these green hoops.
![The skyline of downtown Providence, Rhode Island. Jewelers of America held one of its Multifacted Learning Workshops there on July 17 and National Jeweler Editor-in-Chief Michelle Graff tagged along. Stock image of Providence, Rhode Island, skyline](https://uploads.nationaljeweler.com/uploads/4ec5b02d4cbaaaa2283bdcf6820950a4.jpg)
Editor-in-Chief Michelle Graff returns from Rhode Island with thoughts about in-store shopping and a trends report.
![Untitled design.jpg](https://uploads.nationaljeweler.com/uploads/583fbcb2bb839782810080debef35d3c.jpg)
As the demand for lab-grown diamond jewelry may still be increasing, the most notable change we are likely to see is price stabilization.
Sponsored by Gemological Institute of America
![](https://uploads.nationaljeweler.com/uploads/99a46b30cc354962ac2e29ecd113587a.jpg)
![Earlier this month, online giant Amazon and the Better Business Bureau filed a joint federal lawsuit against ReviewServiceUSA.com for allegedly selling fake reviews, both positive and negative. Amazon package outside door](https://uploads.nationaljeweler.com/uploads/27fce4225a38900d54a5536ce523a22d.jpg)
They claim ReviewServiceUSA.com was selling both positive and negative reviews of products and businesses.
![A shot of the Venetia diamond mine in South Africa, owned by De Beers Group. The diamond miner and marketer saw revenue drop 21 percent and rough diamond sales decline 20 percent in a “weak” market for diamonds. De Beers’ Venetia diamond mine](https://uploads.nationaljeweler.com/uploads/a1f16ceaaba662e80385166060d192a7.jpg)
Lab-grown diamond sales in the United States and ongoing economic challenges in China are impacting natural diamond demand.
![1872 x 1052 Gemolite.jpg](https://uploads.nationaljeweler.com/uploads/9d60901b44425a53b9010301897a3bbc.jpg)
GIA®’s most advanced microscope has new features to optimize greater precision and comfort.
A longtime member of IJO, she’s remembered for her passion for design, learning, and environmentalism.
![A malachite and diamond bracelet from Pomellato’s “Pom Pom Dot” collection, launched earlier this year. Pomellato and Boucheron were bright spots for Kering in an otherwise underwhelming first half of the year. Pomellato Malachite Pom Pom Dot bracelet](https://uploads.nationaljeweler.com/uploads/3c237b62e009742fc52487097daf3c5a.jpg)
The gains come amid a tough time for parent company Kering, which saw sales slide 11 percent in the first half of the year.
![Volunteers and Shane Co.’s corporate team from all 22 locations of the family-owned jewelry chain have begun packing backpacks with school supplies for teachers to distribute to their students this school year. Shane Co. and the Kids in Need foundation logo](https://uploads.nationaljeweler.com/uploads/1c5abfb36ec775724f014f47bfbb47fc.jpg)
The fine jewelry retailer filled backpacks with back-to-school essentials for students in 13 states.
![A shot from the advertising campaign for LVMH-owned Bulgari’s “Eden the Garden of Wonders” high jewelry collection. LVMH’s jewelry and watch sales slipped in the first half of the fiscal year. Bulgari high jewelry campaign](https://uploads.nationaljeweler.com/uploads/c24eb75ca8cea44d2e9859648f4a98ee.jpg)
Tiffany & Co. is focusing on its “iconic” collections while the company has made changes at the top at TAG Heuer and Hublot.
![Chaumet, a Parisian jeweler owned by LVMH, has designed the Olympic and Paralympic Games medals. Chaumet Paris 2024 Olympics medals](https://uploads.nationaljeweler.com/uploads/7831b3a738baddfc7d783e6df0fbf796.jpg)
The Parisian brand is the first jewelry company in the history of the Olympic and Paralympic Games to design the medals.
![The acquisition of Union Life & Casualty by Jewelers Mutual will help strengthen both the pawn market and the insurance industry, said JM. Jewelers Mutual and Union Life and Casualty logos](https://uploads.nationaljeweler.com/uploads/195925667226ecfc51b4e1bb09607143.jpg)
Union Life & Casualty will join JM Insurance Agency Partners, expanding the provider’s pawnbroker coverage.
![The winner of this year’s Lonia Tate scholarship, Bradlei Smith will receive the opportunity to earn her Graduate Gemologist diploma from GIA and, following graduation, an internship at Ben Bridge Jeweler in Seattle. Bradlei Smith](https://uploads.nationaljeweler.com/uploads/996834935ae30a7a1195db8b9db6cb7d.jpg)
Los Angeles-based Bradlei Smith was selected for this year’s award.
![De Beers Group mined 6.4 million carats of diamonds in the second quarter of 2024, down from 7.6 million in the same period last year. (©De Beers Group/Photo credit: Ben Perry @ Armoury Films) De Beers rough diamond display](https://uploads.nationaljeweler.com/uploads/80cd02b1c8384f4b2efda0bcdf6a75e1.jpg)
The company also reported the $150 million sale of an iron ore royalty right, part of its ongoing effort to divest “non-core” assets.
![In honor of its summer bridal event, Long’s Jewelers is partnering with Wequassett Resort and Golf Club on Cape Cod in Massachusetts, and jewelry brand JB Star on a vacation giveaway. Long’s Jewelers giveaway promo](https://uploads.nationaljeweler.com/uploads/4e7a90944c4e8875a4f3818dbe26b28b.jpg)
The giveaway is part of the New England jeweler’s summer bridal event.
![L.A.-based flower designer, Sophia Moreno-Bunge models Guzema’s “Hidden Beauty” collection in front of a garden in Rustic Canyon in Santa Monica, California. Sophia Moreno-Bunge of Isa Isa modeling Guzema’s Hidden Beauty collection](https://uploads.nationaljeweler.com/uploads/6f3822623eb7fd2f6468f82825194cb1.jpg)
The ad features three celebrity florists creating floral sculptures while wearing jewelry by Guzema.
![The Entrepreneurship Grants program supports winners with financial aid to scale their businesses and increase their societal impact, said Diamonds Do Good. Pictured here are three of the 13 winners, top right is Tresia Shituula, and bottom row left to right, are Monkgogi Moshaga and Mohamed Samu. Tresia Shituula, Monkgogi Moshaga, Mohamed Samu](https://uploads.nationaljeweler.com/uploads/a7c9b87301b76a9446f6522747ce5b95.jpg)
The grant provided a total of $100,000 to support 13 entrepreneurs from diamond communities in Africa and India.
![Ghazi Osta, better known as Gus, was the owner and president of Volusia Gold & Diamond, a store he and his wife, Leigh Osta, opened in 1986. He was shot and killed inside the store Friday afternoon after a brief argument with a regular customer. (Photo courtesy of Volusia Gold & Diamond Facebook page) Ghazi “Gus” Michel Osta](https://uploads.nationaljeweler.com/uploads/c8c1fa3df746cbd364915a98dcac9d21.jpg)
Ghazi Michel Osta, or “Gus,” was killed Friday by an 83-year-old man said to be a frequent customer at his store, Volusia Gold & Diamond.
![Elyssa Jenkins-Pérez (left) is the Responsible Jewellery Council’s new head of North American development, and Effie Marinos is its new specialist advisor for technical standards. Elyssa Jenkins-Perez and Effie Marinos](https://uploads.nationaljeweler.com/uploads/94332af0c7a776e7a8c36fabf76baa5f.jpg)
The organization also announced Effie Marinos as its new specialist advisor for technical standards, as well as four other appointments.
![Karen Rentmeesters, who joined the Antwerp World Diamond Centre in 2010, will take on the role of CEO. Karen Rentmeesters](https://uploads.nationaljeweler.com/uploads/3256fcc71cd43a399055c61f68486269.jpg)
Rentmeesters has served as interim CEO since April following former CEO Ari Epstein’s resignation.
![Longtime Washington, D.C., jeweler Brian Mann (right) with his wife Jessie Mann, an artist who custom-paints porcelain Limoges Boxes, at a 2016 Jewelers of America member event. Mann, the longtime co-owner of David Mann Jewelers, died June 21 at age 70. Brian and Jessie Mann](https://uploads.nationaljeweler.com/uploads/be4debc6e0b3198943a66ef0e2197c2c.jpg)
Mann, whose family’s jewelry store was located inside the Pentagon, is remembered for being a thoughtful champion of the industry.
![The 1916 Company recently opened a new Tudor boutique in Denver’s Cherry Creek Shopping Center. Tudor store in Denver](https://uploads.nationaljeweler.com/uploads/9f8600ea53ed731963331ebd28a10d16.jpg)
The 500-square-foot boutique is located in Denver’s Cherry Creek Shopping Center.
![This necklace from Messika’s “So Move Max” set is made of yellow gold with 19.18-carats of brilliant-cut diamonds and designed with circle motifs that move within the links (price upon request). Messika’s So Move Max Necklace](https://uploads.nationaljeweler.com/uploads/14c78af4a4e8c6b996a81bbb5a5bc69f.jpg)
Dance all night long with the “So Move Max” set’s necklace.
![On Sept. 1, Julien Tornare (left), current CEO of TAG Heuer, will become CEO of Hublot. Antoine Pin, now the general manager of Bulgari’s watch business, will take over Tornare’s role as CEO of TAG Heuer. (Images courtesy of LinkedIn) Julien Tornare and Antoine Pin](https://uploads.nationaljeweler.com/uploads/b24627b34ece895ddd254bae22751fb8.jpg)
Luxury giant LVMH is reshuffling the leadership in its watches division.
![A rendering of a billboard from Etsy’s new campaign. The campaign is designed to highlight the platform’s creators and how their products are made. Etsy billboard rendering in NYC](https://uploads.nationaljeweler.com/uploads/9a94f394f326b90dc1c9da6a711c5e09.jpg)
Sellers and shoppers have spoken out against a rise in mass-produced merchandise on the platform meant to highlight handmade goods.