I was one of the very first, if not THE first jeweler to own one of
David’s most excellent pricing guides. I was skeptical in the
extreme, but David kept on me about raising my prices. I started off
with a 25% increase and guess what? Some complained, all paid.
So I raised them again, to 50% more than the original. Same result.
So I doubled them, and lost 4-5 customers over the next year. But,
guess what? Those were the whiners and complainers anyway. Happy to
see them find a new victim.
My goal ws to become the most expensive in town. I’m not sure I
reached that goal, but repair became very profitable, as it should
be. I entered the jewelery business at a time when many Mom & Pops
thought repair was a service to be done at no profit…I’m not
Geller’s guide requires a change in philosophy on your part, and,
what’s even more difficult for many is the shift from having an
"order-taker" mentality to true selling. Selling skills are not
something one s born with, they are skills that can and need to be
learned. They are at the very core of business profitability, and,
from what I have seen in the past 35 years, sorely lacking in many
small operations. The mindset that creates the “artist” is not often
one where selling skills are prized…but it needs to happen.
If you will listen to Geller’s tapes, it will certainly help, but
RIGHT NOW, what you need to do is learn how to sell repairs and be
able to explain why repairs doen at your place are indeed worth
more. Do you check and guarantee additional stones for looseness and
against loss? You should, and charge for it. Do you refurbish back
to original condition? You should, and you should point it out and
charge for it. In the end, a jewelry business is based on TRUST, not
PRICE. This is what must be understood, believed and conveyed to
each customer. You can not and will not make a profit trying to work
for the lowest possible price, and neither can your competitors. I
guarantee you that most worthwhile customers are willing and even
EAGER to pay more to get good work, reliability and excellent timely
service. And overnight is 50% more, while-you-wait is double.
Let the whiners go, work on excellence in all thing and PROMOTE it!
As David for his recommended reading list and read those books, now!
I don’t get remuneration for pumping David, but he has been quite
kind to me over the years. His persistence in my stubborn face
allowed me access to greater profits, and, were I to get back into
retail, we’d be using his book for business meeting discussions
every week, period! But he has never asked or expected me to promote
him, I do it because he is as close to a “Profit Prophet” as there
is! Hey, there’s David’s new catchword…“The Prophet of Profit”.
Darn, I’m a genius.