Surveys

The Industry Shrank by 4% Last Year, JBT Data Shows

SurveysJan 25, 2019

The Industry Shrank by 4% Last Year, JBT Data Shows

A healthy number of new jewelry businesses opened in North America in 2018, but not enough to offset the number of companies that closed.

Warwick, R.I.—A healthy number of new jewelry businesses opened in North America in 2018, but not enough to offset the number of companies—whether retail, wholesale or manufacturing—that closed, year-end data from the Jewelers Board of Trade shows.

The result is that the industry continued to get smaller, a trend JBT President Richard Weisenfeld said will continue for the foreseeable future, particularly among retailers.

“There is going to be a steady decrease in the number of jewelers,” he said in an interview Thursday. “As that slows down over the course of the next decade, I think what we’ll be left with in the jewelry industry is well-managed stores and well-placed manufacturers that produce the right product for the right price.”

At the end of 2018, the JBT’s listings for jewelry retailers, wholesalers and manufacturers in North America totaled 26,365, a 4 percent drop from 27,551 in 2017.

The number of retailers was down by the same percentage, shrinking from 20,757 to 19,906.

In tracking businesses exiting the industry, the JBT breaks down what it refers to as jewelry business “discontinuances” into three categories: businesses that ceased operations (closed), consolidated via a sale or merger, or filed for bankruptcy.

While the JBT saw a dramatic spike in bankruptcies during the Great Recession, the story the past few years has been jewelers closing their stores, and that continued in 2018.

JBT data shows that 738 retailers closed in North America last year, a 5 percent increase from the 706 who closed in 2017.

The United States lost 706 retailers, up 4 percent from 678 in 2017.

The region of the U.S. with the most retail closures was the Southeast at 202, followed by the Northeast (162) and the Southwest at 117.

The Northwest recorded the fewest number of jewelry store shutdowns (21), though it should be noted that regional trends for store closures do, to an extent, correlate to population; there are more closures in regions where there are more people and, therefore, more stores to begin with.

In the JBT’s regional breakdown, the Northwest includes some of the country’s most sparsely populated states, such as Alaska, Montana and Wyoming, while the Southeast and Northeast include some of the most crowded, states like Florida, New York and Pennsylvania.

Weisenfeld allowed that a portion of the industry shrinkage is attributable to the fact that not all new businesses are joining the JBT.

He

said there are probably thousands of small jewelry businesses out there that sell online, through social media and/or in non-traditional retail spaces, like showrooms and craft fairs, and conduct their business using credit cards or mobile payment systems like Venmo. They don’t see the need to join JBT.

However, he said, most of the industry shrinkage is due to the closure of traditional brick-and-mortar stores, which fall into two categories.

First, those are the stores that want to stay in business but are struggling due to factors such as having the wrong lines, being in a bad location or in an area with a shrinking population. Weisenfeld said they opt to do a going-out-of-business sale and set off in a different direction, or open a new store somewhere else.

Then those are those well-run operations with solid market share that carry better brands but have owners who are in their late 60s or early 70s and want to retire. Their children might help at the store, Weisenfeld said, but they don’t want to be the owners; they don’t like the hours or the income potential.

“It’s just not the lifestyle that kids want these days. The idea of being in a store six days a week … is just not what they are looking for.”

Jewelry business consolidations and bankruptcies—the other two forms of business discontinuances tracked by JBT—also rose slightly between 2017 and 2018.

There were 157 consolidations among retailers, wholesalers and manufacturers in North America in 2018, up from 151 the year before, and 34 bankruptcies, up from 29 in 2017.

New businesses in North America, meanwhile, totaled 230, up from 166 in 2017, a 39 percent increase.

In the U.S., there were 183 new retailers last year (up from 131 in 2017), 24 new wholesalers (up from 13) and 15 new manufacturers (up from 12).
Michelle Graffis the editor-in-chief at National Jeweler, directing the publication’s coverage both online and in print.

The Latest

LIM-401 2024 National Jeweler Supplier Bulletin- iD100 Web and Eblast FINAL (1).jpg
Supplier BulletinApr 24, 2025
Protect Your Customers and Your Business

Sponsored by the Gemological Institute of America

Wolf CEO Simon Wolf
EditorsApr 24, 2025
Q&A: Wolf’s CEO Talks U.S. Expansion

Simon Wolf shares why the time was right to open a new office here, what he looks for in a retail partner, and why he loves U.S. consumers.

Iowa jeweler Herman Ginsberg
IndependentsApr 24, 2025
Longtime Iowa Jeweler Herman Ginsberg Dies at 99

A third-generation jeweler, Ginsberg worked at his family’s store, Ginsberg Jewelers, from 1948 until his retirement in 2019.

gia1d100 btyb.jpg
Brought to you by
Protect Your Customers and Your Business

The risk of laboratory-grown diamonds being falsely presented as natural diamonds presents a very significant danger to consumer trust.

Charles & Colvard moissanite ring
FinancialsApr 24, 2025
Charles & Colvard Delisted From Nasdaq Due to Noncompliance

The company failed to file its quarterly reports in a timely manner.

Weekly QuizApr 18, 2025
This Week’s Quiz
Test your jewelry news knowledge by answering these questions.
Take the Quiz
Young Diamantaires
SourcingApr 24, 2025
Young Diamantaires Transition to Nonprofit

The organization also announced its board of directors.

Mined + Found "Hope" Matchbox Locket
TrendsApr 24, 2025
Amanda’s Style File: So Charming

Charms may be tiny but with their small size comes endless layering possibilities, from bracelets to necklaces and earrings.

gia-topimage 0325.jpg
Brought to you by
A Brilliant Future Is Here

Get online education from GIA experts.

Bulgari’s expanded factory in Valenza, Italy
MajorsApr 23, 2025
Bulgari Doubles Size of Jewelry Factory in Italy

Located in Valenza, the now 355,000-square-foot facility includes a new jewelry school that’s open to the public, Scuola Bulgari.

Jason McNary accepting FGI Fine Jewelry Rising Star award for Paola Sasplugas
Events & AwardsApr 23, 2025
PDPaola Creative Director Wins FGI’s ‘Rising Star’ Award

Paola Sasplugas, co-founder of the Barcelona-based jewelry brand, received the Fine Jewelry Award.

1999 Cosmograph Daytona, Ref.16516
AuctionsApr 23, 2025
Rare Custom Rolex Daytona Heads to Auction

A platinum Zenith-powered Daytona commissioned in the late ‘90s will headline Sotheby’s Important Watches sale in Geneva next month.

Carmelo Anthony and Jaylen Brown David Yurman campaign
MajorsApr 23, 2025
David Yurman’s New Campaign Stars Carmelo Anthony, Jaylen Brown

The basketball stars wear men’s jewelry from the “Curb Chain” collection.

Woman wearing Zales jewelry
MajorsApr 22, 2025
Zales’ Rebrand Takes Playful Approach to Fine Jewelry

The Signet Jewelers-owned retailer wants to encourage younger shoppers to wear fine jewelry every day, not just on special occasions.

JAR Apricot Blossom bracelet
AuctionsApr 22, 2025
Christie’s to Auction JAR Jewelry Collection

The 21 pieces, all from a private collector, will be offered at its Magnificent Jewels auction next month.

National Jeweler columnist Lilian Raji
ColumnistsApr 22, 2025
The PR Adviser: Building Buzz Through Word of Mouth

Lilian Raji answers a question from a reader who is looking to grow her jewelry business but has a limited marketing budget.

Avi Levy
GradingApr 22, 2025
Avi Levy Is GCAL By Sarine’s New Chief Growth Officer

GCAL by Sarine created the new role to sharpen the company’s focus on strategic partnerships and scalable expansion.

Scottsdale Fine Jewelers store exterior
IndependentsApr 22, 2025
Brinker’s Jewelers Acquires Fellow Independent

The Indiana jeweler has acquired Scottsdale Fine Jewelers in Scottsdale, Arizona.

Cartier Exhibition Installation at Victoria & Albert Museum
Events & AwardsApr 21, 2025
An Exhibition Exploring the History of Cartier Is Now on Display

“Cartier: Design, Craft, and Legacy” opened earlier this month at the Victoria and Albert Museum in London.

Bill and Birdie Levine of Van Cott Jewelers
IndependentsApr 21, 2025
New York Jeweler to Close After 111 Years

Van Cott Jewelers in Vestal, New York, is hosting a going-out-of-business sale.

IJO Director Samantha Larson
IndependentsApr 21, 2025
IJO Names New Director of Vendor Relations, Merchandise Strategy

Industry veteran Samantha Larson has held leadership roles at Borsheims, McTeigue & McClelland, Stuller, and Long’s Jewelers.

Events & AwardsApr 21, 2025
Jewelers of Louisiana, Mississippi Jewelers Association to Co-Host Convention

The two organizations will hold the educational event together this fall in Mississippi.

Daymond John
Events & AwardsApr 18, 2025
Daymond John to Give Keynote at JCK Las Vegas

The entrepreneur and “Shark Tank” star will share his top tips for success.

Dukachi Easter Bread Pendant
CollectionsApr 18, 2025
Piece of the Week: Dukachi’s ‘Easter Bread’ Pendant

The Ukrainian brand’s new pendant is modeled after a traditional paska, a pastry often baked for Easter in Eastern European cultures.

Bremer Jewelry
IndependentsApr 18, 2025
Bremer Jewelry to Reveal Renovated Store

The jeweler has announced a grand reopening for its recently remodeled location in Peoria, Illinois.

Tiffany & Co. Strong Like Mom campaign
MajorsApr 18, 2025
Tiffany & Co. Employees Star in Mother’s Day Campaign

The “Strong Like Mom” campaign features moms who work at Tiffany & Co. and their children.

Athena Calderone x John Hardy Collection
CollectionsApr 17, 2025
John Hardy, Athena Calderone Partner on Art Deco Decor-Inspired Collection

Interior designer Athena Calderone looked to decor from the 1920s and 1930s when crafting her first fine jewelry collection.

Movado Connect 2.0 watches
FinancialsApr 17, 2025
Movado Group to Increase Prices to Offset Tariffs Impact

During a call about its full-year results, CEO Efraim Grinberg discussed how the company is approaching the uncertainty surrounding tariffs.

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy