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Driving down the price


#1
So, any thoughts out there how to convince people like me to buy
jewelry instead of jetting off to Tahiti or buying a new computer? 

Suzanne, yes indeedy!. The best way to get people to want to buy the
sort of jewellery that we (makers or high end retailers or gallery
owners) want to sell, is, deep breath, expose them to cheap
jewellery. Well, that’s my opinion, which I’d better justify…

All the cheap stuff around means that people are becoming accustomed
to wearing jewellery more and more of the time, rather than just
having a wedding ring and a couple of pieces for special occasions.
We have shops here (and I’m sure you have too) stuffed full of paper
thin 9ct gold stuff. Earings, bangles and hollow ling necklaces.
They sell for prices that I could not match, even if I wanted to. But
they get folks used to wearing jewellery. Pretty soon they realise
that the paper thin stuff just doesn’t hold up all that well.

The cheap stuff is in the high street right now, no point in trying
to fight it. If you do you’ll go bust. Once someone has sat on a
thin hollow bangle, and trapped a pair of similar earrings in the edge
of a jewellery box, it’s fairly easy to educate them to the proper
path of quality goods. Hey, Christmas is coming … prime jewellery
buying time! – Kevin (NW England, UK)


#2

All, One reoccurring theme I see in most jewelry stores is cheaper
jewelry being worn by salespeople. When I go into a store that is
dealing with high end merchandise every salesperson is wearing high
end jewelry. They wear their jewelry as art and an addition to their
appearance. Entering the store you are immediately hit with the
luxury life. High end stores sell a lot of jewelry to people who can
afford both the vacation and the gala ball that they attend. There
is no need to make choices because these customers can afford both
and more. Jewelry in the store is all high end. These customers are
not after a $69.99, 14K bracelet for a gift. I have heard from many
jewelers that customers occasionally come into their stores that are
obviously rich enough to buy whatever they want, but do not purchase
anything. Then the store owner hears that the same person bought a
$10,000 necklace somewhere else. My question to the store owners is
why are you not upgrading your stock to have items these people would
buy? Most owners either do not have the money or are comfortable
with the operation they are running. From my stand point as a
manufacturer of items used in the jewelry business is that I cannot
make enough money to maintain a standard of middle class living in
the USA selling my products to 90% of the jewelers now in business.
Prices have been driven down so far that their is no profit. That is
why I sell mostly low end stones on the Internet and high end stones
to a few select jewelers.

Gerry Galarneau