Events & AwardsDec 20, 2024
Two Participants Complete Inaugural Ella Klein InternshipJamie Dunton and Gabriella Botelho are the first graduates of the program, created by the WJA Foundation and Julius Klein Diamonds.
EditorsJun 11, 2015
Middle class problems
Whether it’s coincidence or kismet, as soon as I slated this post for Friday’s newsletter, I began reading stories addressing the issue that’s been on my mind for some time: the shrinking of the middle class.
In a speech at a luxury summit in Monaco, Rupert listed the erosion of the middle class, and his belief that it will have negative effects on the sale of luxury goods because those who are wealthy won’t want to flaunt it, as one of the issues that keeps him up at night.
“How is society going to cope with structural unemployment and the envy, hatred and the social warfare?” he said, according to Bloomberg. “We are destroying the middle classes at this stage and it will affect us. It’s unfair.”
The story quoting Rupert came just one day after The Daily Beast published a column stating that the malls that are thriving are those that cater to the wealthiest consumers.
Mr. Rupert, I agree. The decline of the quality of life for members of the middle class concerns me not just because my job is in the fine jewelry industry, but because I am member of the middle class.
I grew up outside of Pittsburgh, in a sea of small run-down mill towns that have been in decline since the 1970s and which society long ago stopped caring about; no hipsters, breweries or shops selling $30 jars of organic mayonnaise there. It’s the just the same buildings that have been decaying since I was a kid in the 1980s.
Still, I was part of the middle class. My father worked a plant owned by Ashland that mixed and packaged oil for Valvoline. Thanks to the fact that that plant was unionized he made, as we say where I grew up, “good money.” But, he always reminded us, we were lucky. Ashland had another packaging plant in Cincinnati that wasn’t unionized, and the men there earned half of what my dad did per hour. My mother was a schoolteacher and, eventually, made “good money” too.
My parents were both able to retire early and today, still have their house in Pennsylvania and a second home in Florida where they escape to for the months of January through May. Good for them. They both deserve it.
Unfortunately, however, I think this type of life is available for fewer and fewer Americans today, and I am not alone.
A story published by USA Today on Tuesday
cited a recent study by Bank of America and Merrill Edge stating that some 74 percent of Generation Xers (my generation) and 67 percent of millennials are concerned about having enough money saved for retirement, even though members of both generations are years away from afternoons on the golf course.
Among the subjects on my/their mind: rising health care costs, hefty student loans and realization that many of us will live well into our 90s.
These days, concerns among members of the fine jewelry industry include selling to the “super rich,” there not being any generic advertising for jewelry (which is beginning to change) and how to talk to the millennial consumers.
I agree these are all issues, but they don’t tell the whole story.
You can go after the same 1 percent as everyone else, if you want, and you can master the art of social media in an effort to snag every millennial customer out there.
But here’s the bottom line: There’s a lot of people who just don’t have the money to spend on jewelry like they used to have. Many families find that by the time they are finished paying the bills and putting a little bit aside, there’s not much left.
It’s sad but it’s reality.
Another interesting point from Rupert’s speech was his assertion that, “We’re in for a huge change in society.”
That change, in my mind, already has begun. Jewelers need to change with it. This includes being willing to stock lower-priced, and higher-margin, silver and/or fashion lines alongside traditional fine jewelry that’s priced in the thousands.
Sell to the 1 percent in your town, yes, but also have something for the millennial consumer who’s strapped for cash and saddled by college debt, or that consumer in their mid-30s, who is not assured the same bright future as her parents.
Among the subjects on my/their mind: rising health care costs, hefty student loans and realization that many of us will live well into our 90s.
These days, concerns among members of the fine jewelry industry include selling to the “super rich,” there not being any generic advertising for jewelry (which is beginning to change) and how to talk to the millennial consumers.
I agree these are all issues, but they don’t tell the whole story.
You can go after the same 1 percent as everyone else, if you want, and you can master the art of social media in an effort to snag every millennial customer out there.
But here’s the bottom line: There’s a lot of people who just don’t have the money to spend on jewelry like they used to have. Many families find that by the time they are finished paying the bills and putting a little bit aside, there’s not much left.
It’s sad but it’s reality.
Another interesting point from Rupert’s speech was his assertion that, “We’re in for a huge change in society.”
That change, in my mind, already has begun. Jewelers need to change with it. This includes being willing to stock lower-priced, and higher-margin, silver and/or fashion lines alongside traditional fine jewelry that’s priced in the thousands.
Sell to the 1 percent in your town, yes, but also have something for the millennial consumer who’s strapped for cash and saddled by college debt, or that consumer in their mid-30s, who is not assured the same bright future as her parents.
More on Editors
The Latest
CollectionsDec 20, 2024
Piece of the Week: Retrouvaí’s Ring for CharityIn the spirit of giving, Retrouvaí will donate $4,000 from the sale of this ring to the Los Angeles Regional Food Bank.
IndependentsDec 19, 2024
Michigan’s DeVries Jewelers Unveils New Location in Time for the HolidaysCo-owner Dan DeVries shared what it’s like moving into a space triple the size of its old store and how it feels to be a “real jeweler” now.
Brought to you by
De Beers Group Launches Holiday Campaign for Natural Diamonds‘Forever Present’ campaign revives the iconic A Diamond is Forever tagline and celebrates the diamond dream.
CollectionsDec 19, 2024
State Property Transforms Spain’s Generalife Gardens into JewelryAlong with the latest “Gardens” collection, the brand has released limited-edition designs offering more indulgent pieces.
Weekly QuizDec 19, 2024
This Week’s QuizTest your jewelry news knowledge by answering these questions.
CrimeDec 19, 2024
Alleged Jewelry Thieves Attempt Rowboat EscapeThe man and woman are accused of stealing jewelry from a shipping container then trying to flee by paddling a small boat out into a bay.
SourcingDec 19, 2024
The Second-Largest Diamond Ever Found Now Has a Name The 2,488-carat diamond recovered from a mine in Botswana has been dubbed “Motswedi” while its 1,094-carat sibling is “Seriti.”
Brought to you by
Advocacy and Excellence: How Jewelers of America Is Committed to Elevating Our Industry For over a century, Jewelers of America has been the voice of the industry and valuable resource to jewelers across the country.
SourcingDec 19, 2024
Gemfields Reports Record Ruby Auction Results Despite Challenges at SourceThe average price per carat hit a record high for the miner, which said it remains unaffected by the conflict in Mozambique.
AuctionsDec 18, 2024
Alexandrite Ring Sells for Record-Setting $1.9M at Sotheby’sThe nearly 17-carat stone made history for the color-change gem that, according to the auction house, is experiencing a “notable surge” in the market.
WatchesDec 18, 2024
Historic Titanic Pocket Watch Winds Its Way Back to Tiffany & Co. More than a century after survivors gifted a Tiffany timepiece to the captain of the ship that rescued them, the jeweler has reclaimed it.
TechnologyDec 18, 2024
Picchiotti Utilizes AI in ‘Spotlight’ Video CampaignThe videos highlight how pieces from the “Xpandable” and “Reversible Xpandable” collections put the wearer in the spotlight.
IndependentsDec 18, 2024
Industry Veteran Steve Feldman Set to RetireFeldman reflected on 45 years in the jewelry industry and clarified that it’s not a total retirement.
Events & AwardsDec 17, 2024
Chanel to Receive Gem Award for High Jewelry ExcellenceThe luxury brand is being honored for excellence in high jewelry design in its “Haute Joaillerie Sport” collection.
SourcingDec 17, 2024
Frank Circelli, Founder of Gem Shopping Network, Dies at 75Circelli was a pioneer in the world of TV shopping who is remembered for his passion for gemstones and his big personality.
AuctionsDec 17, 2024
Blue Diamond Fetches $8.8M at Christie’sThe nearly 6-carat stone headlined the recent jewelry auction, which also featured Mica Ertegun’s jewelry.
CrimeDec 17, 2024
‘Black Bin Crew’ Robbers Get 14-16 Years in Prison The three men, who got their nickname because they’d toss the jewelry they stole into black plastic bins, were arrested back in August.
TrendsDec 16, 2024
Marion Fasel’s New Book Delves Into the History of Engagement Rings“The History of Diamond Engagement Rings: A True Romance” is a 128-page small-format book containing more than 165 images.
WatchesDec 16, 2024
Take a Look Inside the New Rolex Boutique on Rodeo DriveGearys opened a 6,200-square-foot Rolex store with a design that pays homage to the brand’s connection to the ocean.
GradingDec 16, 2024
GCAL By Sarine Expands 8X to 2 More Fancy Shapes The diamond cut grade is now available for marquise- and pear-shaped diamonds.
SourcingDec 16, 2024
Diamonds Do Good Announces 2025 Award RecipientsDDG said the honorees’ business practices embody a commitment to positive social impact, industry innovation, and community empowerment.
TrendsDec 13, 2024
Selena Gomez Said ‘Forever Begins Now’ to Marquise Diamond Engagement RingEstimates on the size and value of the solitaire diamond, which is mounted on a diamond pavé-set yellow gold band, vary.
TrendsDec 13, 2024
Piece of the Week: Martin Katz’s Tanzanite Drops These half-moon tanzanite earrings totaling 25 carats are part of a special trunk show taking place this weekend in Dallas.
Recorded WebinarsDec 13, 2024
Watch: The Highs and Lows of 2024The National Jeweler editors recap the top news, the best jewels, and their favorite stories of the year.
AuctionsDec 12, 2024
Tom Brady’s Watches Top $4M at Sotheby’s AuctionThe highest-grossing lot of the sale was the retired QB’s Rolex Paul Newman Daytona “John Player Special.”
SourcingDec 12, 2024
Grizzly Emerald Auction Garners $22.4MRecent expansion initiatives at the Zambian emerald mine have shown strong production numbers, said Grizzly founder Abdoulaye Ndiaye.
MajorsDec 12, 2024
Mark Henry Appoints New Director of SalesCarrie Forman joins the brand to guide it into the next phase of growth with major and independent retailers in the U.S. and abroad.
