I knew this was going to happen. You can count on down cycles. I
planned for it a long time ago. I’m pretty much ready and able to get
My inventory is mostly paid for. My bills are paid so when I have
sudden need for anything my suppliers will ship me.
I think you have to exercise self restraint when buying. There’s the
old saw about “You can’t sell it if you don’t have it”, which while
mostly true should not be an invitation to buyer’s gluttony. Should
not be read as “you will sell more if you show more”. Your cash flow
is much more manageable when your inventory level is in sync with
demand. There was a time I reasoned that over-full cases were good
for ‘image’…except that it costs you alot of money to maintain
inventory that just sits there. When times get really lean its your
cash flow that can be the most disruptive and dangerous challenge
If there was ever a time for service this is it. If customers want
just merchandise, there’s plenty to be had and some of it at big
discounts. Online, in the mall, in the big box, tons of goods abound.
But what makes us, as working jewelers, in demand is that we ‘can
do’. We can fix Grandma’s lavalier, we can make an original
engagement ring, we can interpret a customer’s half baked design idea
into something aestethically viable and day to day practical. We
enable. Can’t get that at Mallmart.
Its pretty easy to make money when things are good.
Surviving/thriving during your first big down market means when it
gets good again you are positioned to really capitalize because you
have conditioned the clientele to come to you.
My experience anyway.