Sponsored by the Gemological Institute of America
Blue Nile to Open Second Brick-and-Mortar Spot
The announcement comes as the e-tailer reports “disappointing” fourth quarter results, with U.S. engagement ring sales slipping nearly 8 percent.

Seattle--Blue Nile said Thursday that its second physical location will open in early summer at a mall in suburban New York City, and that continued expansion of its “webroom” concept is one of its focal points coming off a disappointing fourth quarter.
Net sales for the fourth quarter ended Jan. 3, 2016 totaled $150 million, down 5 percent from the fourth quarter 2014, when sales reached $157.4 million.
For the fiscal year, net sales reached $480.1 million, an increase of 1 percent.
Blue Nile’s 2014 fiscal year, however, contained an extra week, which fell in the fourth quarter. Excluding the impact of that extra week, sales were down 1 percent year-over-year in Q4 and up 3 percent on the year.
In the United States, it was the e-tailer’s engagement ring sales that were hit the hardest in the fourth quarter, falling 8 percent from $85 million to $78.4 million. For the full year, engagement ring sales totaled $269.9 million, a 1 percent increase over 2014.
Non-engagement net sales were down just 0.3 percent in the fourth quarter and rose 2 percent for the year.
International sales were up 5 percent and 10 percent on a constant-exchange-rate basis for the fourth quarter and full year, respectively.
Chairman, President and CEO Harvey Kanter said Thursday that lower selling prices for its core engagement ring products and weakness in sales at the high end contributed to what he described as a “disappointing” fourth quarter.
“As we look out on 2016, we will push harder on elements that are working: engagement ring units, wedding band attach rates, continued expansion of margin and the webroom concept,” he said.
In June 2015, Blue Nile opened its first physical location, a webroom where consumers can handle and try engagement rings and interact with a salesperson. All the buying, though, still happens online through BlueNile.com; customers do not walk out of the store with any physical merchandise in hand.
On Thursday, the company announced that it will open its second webroom at The Westchester, a mall in White Plains, N.Y. that’s about 40 miles from its first brick-and-mortar location at the Roosevelt Field Mall in Garden City, N.Y.
Both communities are suburbs of New York City.
Blue Nile said the White Plains store is the first of “up to four” physical locations it plans to open this year, reiterating what Kanter said on the e-tailer’s third quarter earnings call
Chief Merchandising Officer Julie Yoakum said the first webroom “greatly exceeded our expectations,” and that “the efficiencies of the webroom and our online model allow us to simultaneously leverage and disrupt the brick-and-mortar experience.”
Looking ahead to 2016, Blue Nile said it expects first quarter sales to total between $103 and $106 million. For the full year, net sales are expected to range between $465 and $495 million.
The Latest

The 2025 Australian Open champion is the jewelry brand’s first athlete ambassador.

The West Village jewelry boutique’s new shop-in-shop is the cornerstone of Nordstrom’s revamped jewelry hall.

The Seymour & Evelyn Holtzman Bench Scholarship from Jewelers of America returns for a second year.

This past year, the manufacturer said it recorded below-zero emissions per carat of natural diamond.


The brand’s “Golden Strada” statement necklace features round, marquise, and pear diamonds that sparkle like Fourth of July fireworks.

JSA’s Scott Guginsky provided a list of nine security measures jewelers should observe while locking up for the long weekend.

The countdown is on for the JCK Las Vegas Show and JA is pulling out all the stops.

Located on Rodeo Drive, the store’s design was inspired by Hollywood and Los Angeles culture.

The new location continues the brand’s celebration of its 25th anniversary.

The online watch marketplace’s “Time Is Our Thing” campaign highlights the importance of time.

She will oversee strategic planning, fundraising, industry partnerships, and the launch of the Gem Legacy Campus in Tanzania.

Working with Amazon’s Counterfeit Crimes Unit and law enforcement, Pandora helped to shut down a large-scale counterfeit network in China.

The jewelry company has closed its three California brick-and-mortar stores, as well as its online shop, for now.

The company is providing the opportunity for an FIT student to work alongside master diamond cutter Willie Lopez in its workshop.

He is remembered for his successful entrepreneurship, generosity, and dedication to his family.

The jewelry store chain has reportedly been struggling with costs related to tariffs as well as tough retail competition.

Welcome warm summer days with red hot rubies perfectly chosen as July’s birthstone.

Co-founders Afzal Imram and Lin Ruiyin brought their son’s story of a cosmic egg, toadstool, and railroad to life in their new collection.

The best time to prepare for the holiday season is right now, according to columnist Emmanuel Raheb.

This year’s winner is Morgan Keefe, who is currently studying at GIA to be a gemologist.

“The Jewelry Book” comes out this September.

The company is focused on modernizing the custom jewelry buying experience with e-commerce tools like product visualization and 3D styling.

Following its recent acquisition, the storied brand has updated its leadership team and regional managers.

AGS also named the recipient of its “Women in Leadership” scholarship.

The 20-karat yellow gold and diamond wrap ring is modeled after the Monstera plants in the garden of the brand’s Miami villa.

Rocksbox President Allison Vigil shared the retailer’s expansion plans, and her thoughts on opening stores in malls.