On the whole, jewelry market is healthy. It is expected to grow around 5% to 6% annually for three consecutive years. Fine jewelry that makes 4% to 5% overall market share is anticipated to capture 10% by 2020. Jewelry sector is slow to respond to changes associated with the millennia’s lifestyle and sharp consumer awareness.
For example, pearls have been misunderstood as its style is considered to be traditional and formal but not casual. Today, women are seen wearing drop pearl earrings or rings every day.
Heritage luxury brands, who are still not abroad the digital platform will lose opportunities, if the attention of millennial and boomers are not captured. With competition from heritage brands and new jewelry companies it will be difficult to tap young shoppers nearing their extreme earning potential.
Jewelry shopping behavior has changed
Encourage millennial [25 to 39] but don’t ignore the boomers [55 to 75]
The taste of millennial are shaping luxury landscape, so brand focus on them and risking many of their dedicate boomer customers. Major jewelry houses choose skinny models under specific age for ramp walks, so boomer consumer move to brands where they don’t feel ignored.
Today retail stores need a different approach. Luxury consumer looks for unique experience. For example, Company Regal offered customer a spot to shop as well as eat good food, listen to music, feel, and touch the items. They could hang with community and friends. It is the luxury experience, which is predicted to have a huge impact. You will need to totally re-imagine your local jewelry store, so that customer keeps coming back.
More is better
Luxury online shopper needs convenience and speed, while in-store shopper has more time. They will desire luxury experience like attention, great service and unique experience. The client expects value even if he/she is wealthy like home delivery, perks, personalization, and top rate customer service.
Millennial look for financing options
Before entering jewelry store, millennial check your fine jewelry website for financing options. If financing options are not displayed clearly, then the risk of losing client in the research phase increases. Financing is crucial for major process like the bridal category. If shoppers know the available financing options in advance, they will certainly shop at your in-store.
What millennial expect from brands?
- Transparency ranging from sourcing to pricing.
- Introduce new fine jewelry at affordable prices for less affluent consumers