CrimeApr 24, 2024
Jewelry Crime Declines Significantly, But Dollar Losses Remain High A double-digit drop in the number of in-store crimes was offset by a jump in off-premises attacks, JSA’s 2023 crime report shows.
IndependentsAug 11, 2016
Jewelry Business Closures Pick Up in Q2
The number of jewelers, wholesalers and manufacturers that ceased operations totaled 442, up from 335 in Q1 and more than double the number seen in Q2 2015.
Warwick, R.I.--The pace of closings in the jewelry industry increased considerably in the second quarter, the latest data from the Jewelers Board of Trade shows.
The industry saw 442 jewelers, wholesalers and manufacturers in the United States and Canada cease operations in the second quarter, up from 335 in the first quarter and more than double the number of closures seen in the second quarter 2015.
So far this year, 577 jewelers have decided to close up shop, which is a 55 percent increase over the first two quarters of 2015.
The number of wholesalers and manufacturers that have shut down also is up this year.
Wholesale closings rose from 68 to 121 while manufacturer closings tripled, increasing from 26 at this point last year to 79 this year.
The reasons for the continued closures, which began in earnest in 2014, have been well documented.
Baby boomer-generation jewelry store owners are aging and many don’t have family interested in taking over the store. Retail has changed and there are fewer physical retail stores across the board, not just in the jewelry industry. The economic recovery has been slow in the United States, and the middle class is shrinking.
Anthony Capuano, who succeeded Dione Kenyon as JBT president, said while the contraction of the industry is not new, he was taken aback by the spike in the number of businesses that ceased operations in the second quarter.
He said, however, that he does not expect the closures to continue at this rate for the rest of 2016, though they might spike again at the beginning of 2017 if the industry does not have a strong fourth quarter.
Other highlights from the JBT’s second quarter statistics include the following.
--Consolidations, defined as a sale or merger, numbered 21 in the second quarter, compared with 53 in the first quarter and 30 in the second quarter 2015. Year-to-date, consolidations total 74, up from 58 last year.
--Bankruptcies continue to drop. They’ve totaled four so far this year, compared to 16 at this point last year.
--There are now 21,541 retailers in North America, 20,666 excluding Canada; many of those are independent jewelers.
While Capuano acknowledged that it is shrinking, he does not see the number of independent jewelers contracting as severely as, for example, the number of independently owned hardware stores because of the personal nature of the business. “There is a place for the independent retailer who caters
Editors' Picks
Sponsored by
to a local market, knows what their market wants, can be adaptable and present an enjoyable, meaningful shopping experience,” he said.
He would not, however, hazard a guess as to where the number will bottom out.
--Both the number of claims placed with the JBT and the average claims amount are down year-over-year. Year-to-date, there have been 521 claims, compared with 593 at this point last year. The average claim amount has dropped from $8,728 to $7,288.
--The number of new jewelry businesses in the United States and Canada is up about 3 percent year-to-date, from 152 last year to 156 this year.
--There were slightly more increases in JBT ratings (1,413) than decreases (1,393) in the second quarter and year-to-date (3,092 vs. 3,035, respectively). “People who can pay their bills are still paying their bills,” Capuano said.
He would not, however, hazard a guess as to where the number will bottom out.
--Both the number of claims placed with the JBT and the average claims amount are down year-over-year. Year-to-date, there have been 521 claims, compared with 593 at this point last year. The average claim amount has dropped from $8,728 to $7,288.
--The number of new jewelry businesses in the United States and Canada is up about 3 percent year-to-date, from 152 last year to 156 this year.
--There were slightly more increases in JBT ratings (1,413) than decreases (1,393) in the second quarter and year-to-date (3,092 vs. 3,035, respectively). “People who can pay their bills are still paying their bills,” Capuano said.
More on Independents
The Latest
CollectionsApr 24, 2024
Pippa Small Announces ‘Venus’ CollectionInspired by the Roman goddess of love, the designer looked to the sea for her new collection.
FinancialsApr 24, 2024
Kering’s Jewelry Brands a Bright Spot in Tough Q1The luxury titan posted declining sales, weighed down by Gucci’s poor performance.
Brought to you by
The Blueprint for Success in Scalable, Personalized Jewelry RetailWith Ho Brothers, you can unlock your brand's true potential and offer customers the personalized jewelry experiences they desire.
Events & AwardsApr 24, 2024
JCK Industry Fund Announces 2024 Grant RecipientsThe selected nine organizations have outlined their plans for the funds.
Weekly QuizApr 19, 2024
This Week’s QuizTest your jewelry news knowledge by answering these seven questions.
SourcingApr 24, 2024
Rio Tinto’s Q1 Production Drops Amid Pause to Honor Lost Colleagues The mining company’s Diavik Diamond Mine lost four employees in a plane crash in January.
WatchesApr 24, 2024
These Are Rolex’s New Watches for 2024 The crown introduced a dozen timepieces in Geneva, including a heavy metal version of its deep-sea divers’ watch.
Brought to you by
How Jewelers of America Represents Your BusinessFor over 30 years, JA has advocated for the industry, fought against harmful legislation and backed measures that help jewelry businesses.
ColumnistsApr 23, 2024
The Smart Lab: Advanced Email Marketing Strategies for Mother’s DayEmmanuel Raheb recommends digging into demographic data, customizing your store’s communications, and retargeting ahead of May 12.
SourcingApr 23, 2024
Lucapa Sells 3 Diamonds for $10.5M in First Lulo Tender of 2024A 203-carat diamond from the alluvial mine in Angola achieved the highest price.
GradingApr 23, 2024
GIA Has a New Book About William RuserRuser was known for his figural jewelry with freshwater pearls and for his celebrity clientele.
CollectionsApr 22, 2024
Jacquie Aiche’s New Campaign Stars Adam Levine, Behati PrinslooThe “Rebel Heart” campaign embodies rebellion, romance, and sensuality, the brand said.
EditorsApr 22, 2024
The 22 Best Quotes from AGS Conclave 2024 Editor-in-Chief Michelle Graff shares the standout moments from the education sessions she attended in Austin last week.
SourcingApr 22, 2024
Virtual Diamond Boutique Rebrands as ‘VDB’The overhaul includes a new logo and enhanced digital marketplace.
MajorsApr 22, 2024
Signet Raises Nearly $9M for St. Jude Children’s Research HospitalThe money will go toward supporting ongoing research and aftercare programs for childhood cancer survivors.
CollectionsApr 19, 2024
Piece of the Week: Retrouvaí’s Treasure NecklaceA new addition to the “Heirloom” collection, this one-of-a-kind piece features 32 custom-cut gemstones.
CrimeApr 19, 2024
Grand Jury to Hear Case Against Jeweler Charged in Fatal Shove Following IJO ShowLast month in Dallas, David Walton pushed another jeweler, David Ettinger, who later died.
MajorsApr 19, 2024
Unique Designs Acquires China PearlThe move will allow the manufacturing company to offer a more “diverse and comprehensive” range of products.
GradingApr 19, 2024
AGS Ideal Report Now Available in Printed FormFrom now through mid-May, GIA will be offering the reports at a 50 percent discount.
SourcingApr 18, 2024
Diamond Trade Remains Cautious Amid Economic UncertaintyDe Beers’ rough diamond sales were down 18 percent year-over-year in its latest round of sales.
Supplier BulletinApr 18, 2024
Discover History’s Hidden Gems at the Las Vegas Antique Jewelry & Watch ShowSponsored by the Las Vegas Antique Jewelry & Watch Show
WatchesApr 18, 2024
Watch E-tailer Collectability Hires Kelly YochThe Patek Philippe expert will serve as personal curator for the brand-focused company.
WatchesApr 18, 2024
TAG Heuer Opens Its Largest Standalone Boutique at SeaThe 553-square-foot shop is aboard the Carnival Jubilee cruise ship.
Policies & IssuesApr 17, 2024
NDC Prevails in U.K. Case Over Lab-Grown Diamond AdvertisingNDC filed a complaint against Skydiamond for use of phrases like “diamonds made entirely from the sky.”
Events & AwardsApr 17, 2024
And the 2024 Winner of the Shipley Award Is … John Carter received the AGS’s highest honor Tuesday afternoon at Conclave in Austin, Texas.
FinancialsApr 17, 2024
LVMH’s Q1 Jewelry Sales Fall 5%LVMH said the company performed well despite an uncertain geopolitical and economic environment.
MajorsApr 17, 2024
Stuller’s B&D Opens New HeadquartersB&D Sales and Service held a ribbon-cutting event for its new location in Cranston, Rhode Island.
