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FinancialsFeb 12, 2019
Signet Inks Deals with Ad Agencies, Postpones Yearly Results
The jewelry giant has partnered with three new agencies to bolster its marketing and advertising.
Akron, Ohio—Signet Jewelers has inked deals with three new agencies to give its marketing and advertising segments a boost after its recent dip in sales and a rough holiday season.
In the latest step on its Path to Brilliance transformation plan, the retailer is looking to reach out to new customers while also improving the experience of its existing customer base.
“Our new partners will optimize our promotional effectiveness as we continue to build our Culture of Agility and Efficiency as part of our Path to Brilliance transformation plan,” said Chief Marketing Officer Bill Brace.
“They will strengthen our banner positionings to better meet customers’ needs through improved precision marketing, particularly in digital channels.”
MediaCom, a New York-based cable television and communications provider, will oversee the media planning and buying for its U.S. retail brands—Kay, Jared, Zales and Piercing Pagoda—with a more data-driven approach in mind.
Zimmerman Advertising, which has worked with mega brands like McDonald’s and Nissan, will serve as the new creative agency and strategic partner for Kay Jewelers stores.
“We are thrilled to begin our partnership with Zimmerman,” said Bill Luth, executive general manager of Kay Jewelers. “They are the right creative partner to bring the power of Kay’s rich heritage as America’s leading jeweler to life and create deep connections with new generations of customers.”
Badger & Winters, another New York-based advertising company, has been tasked with developing the Zales brand platform and extending it into integrated advertising and digital campaigns.
“We are focused on disrupting the way in which brands market to women and could not be more excited about working with Zales to change how the jewelry category engages women,” said Badger & Winters President Jim Winters.
Signet is now looking to shake things up after a disappointing holiday season, seeing same-store sales dip 1 percent year-over-year and total sales slip 3 percent.
The jeweler had revised its fourth quarter guidance, expecting to see comps fall by as much as 3 percent and flat same-stores sales for the fiscal year.
Its fourth-quarter results were slated to be released in March, but the company has postponed the results until April 3.
“The change in dates is being made principally to allow sufficient time for management to complete its analysis of a potential non-cash impairment charge related to goodwill and indefinite lived intangible assets for the fourth quarter resulting from a decline in the
company’s market capitalization. We will share the results of our analysis and any impairment charge if required on April 3,” a Signet spokesperson told National Jeweler.
Signet said because the impairment charge would be non-cash, it does not expect the charge to affect its liquidity or cash flows from operating activities.
Signet said because the impairment charge would be non-cash, it does not expect the charge to affect its liquidity or cash flows from operating activities.
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