Independents

Column: If You Want Better Results, Make Better Offers

IndependentsJul 19, 2016

Column: If You Want Better Results, Make Better Offers

There is an art to crafting offers clients and prospects won’t refuse just as there is an art to crafting stunning jewelry, Jim Ackerman writes.

2016_Jim-Ackerman.jpg
Jim Ackerman is a retail jewelry marketing expert who has spoken to jewelry retailers at JA New York, JCK, The Smart Jewelry Show and others. He can be reached at 800-584-7585, ext. 3 or by email at mail@ascendmarketing.com.

If you’re advertising isn’t working, it’s a good bet you’re not making a compelling offer.

Look, I know you don’t think you should have to make any offer at all. People should just come in because they need your product and you’re the best jeweler in town.

Trouble is, you don’t buy that way and neither do your customers.

People need to be enticed, cajoled, persuaded. And if you’re not making offers that do that, well, they’re not going to buy.

A lot of jewelers don’t want to face this reality. I’ve had them tell me they don’t want to make offers, they don’t want to offer discounts, they don’t want to be “salesy.” And they’re not … until their going-out-of-business sale, where they discount the heck out of everything, clear down to the fixtures.

“But Jim, I shouldn’t have to give away the store and all my profits with it to get a sale!”

Correct. But you’re making the mistake of thinking the words “discount” and “offer” are synonymous. They are not.

“But Jim, I don’t want to be seen as a pushy salesperson.”

Right. That’s why you have offers. They do the pushing for you. They’re your excuse to ask people to buy.

To make better offers, begin by determining the reason for the offer. (It doesn’t have to be a sale.)

Here are eight reasons for offers:
Lead generation (you should be doing a lot more of this);
Lead conversion;
Initial trial;
Straight purchase;
Repeat purchase;
Up-sell/add-on;
Client reactivation; and
Referral request.

There are others but the point is, you begin to craft your offers with a specific end in mind.

Don’t Discount … Add Value
Generally speaking, as a consumer, which would you rather do, pay $80 for a $100 value, or pay $100 for a $140 value?

All else being equal, the answer is obvious; pay $100 for the $140 value.

Why is this so hard for jewelry retailers to figure out? If you’re willing to give somebody a 20 percent discount, you are taking $20 out of your pocket for every $100 in value rendered in your product. Why on earth won’t you take the same $20 and pay--at wholesale price--for an additional $40 worth of value for the client, but collect the full $100 in doing so.

It costs you the same $20 either way but the perceived value to the client is enormously different and twice as compelling.

If this isn’t the normal
way you craft offers, you either can’t see the forest for the trees, or you simply haven’t taken the time to think it through, especially from the customer’s point of view.

Right Time, Right Place
There are, of course, times to discount.

Major inventory reductions are one example. Anniversary events are another, perhaps. But while you could argue the value of discounts even in these circumstances, there is one time and place where discounting is a no-brainer--add-on selling.

The resistance I get to this never ceases to astound me!

Think about it: You’ve already paid for the advertising, rent, utilities, fixtures, personnel, computers, systems, cleaning, signage, training and everything else it takes to run your business when you got them in the door in the first place.

If you get them to spend an extra $100 at this point, the only additional expenses are cost of goods and spiff or commission. The rest is pure profit. It’s just silly not to entice them to get a little something extra, with a discount that makes such an addition a no-brainer. And it’s literally free money for you.

Of course, you ask, why don’t I just offer them the extra stuff without a discount? And you can! And if you’re a really good salesperson, and your sales staff also really good, you may be fairly successful. But by making your add-on offers extra appealing, you could see up to a 30 percent “yes” rate, and perhaps even more. This is difficult to achieve without the compelling offer.

There is an art to crafting offers your clients and prospects won’t refuse, just as there is to crafting a stunning and irresistible ring.

Candidly, if profit is your goal, you’re better off learning the craft of offers, and let others make your jewelry.

Jim Ackerman has spoken to jewelry retailers at JA New York, JCK, The Smart Jewelry Show and others. He has teamed with Shane Decker for the Ultimate Jewelry Sales & Marketing Boot Camp, to be held this September. National Jeweler readers can get more information about the event and download a free report here.
Jim Ackermanis a retail jewelry marketing expert who has spoken at JA New York, JCK and other jewelry trade shows.

The Latest

Future Fortune sapphire ring
TechnologyMar 28, 2024
Pinterest’s 2024 Wedding Report Is Out

The report shows that couples are searching for vintage and antique rings, gold jewelry, pearls, and colorful pieces.

Jaeger-LeCoultre Madison Avenue NYC store
WatchesMar 28, 2024
Peek Inside Jaeger-LeCoultre’s Revamped NYC Flagship

The redesigned boutique features interactive displays and a workshop space for hands-on learning about watchmaking.

Asian Star’s diamond manufacturing facility in India
SourcingMar 27, 2024
Compliance, Caution, and Concern: The Current Outlook of Indian Diamantaires

There is a willingness to comply with new government-mandated regulations, with an insistence that they should be practical and realistic.

Jewelers of America Fly In Washington, D.C.
Brought to you by
How Jewelers of America Represents Your Business

For over 30 years, JA has advocated for the industry, fought against harmful legislation and backed measures that help jewelry businesses.

Kira Diam solar plant
Lab-GrownMar 27, 2024
Indian Lab-Grown Diamond Manufacturers Keep Growing

A combination of factors is driving growth in the industry despite the precipitous drop in prices across the board.

Weekly QuizMar 21, 2024
This Week’s Quiz
Test your jewelry news knowledge with this short test.
Take the Quiz
Bharat Ratnam, a Mega Common Facilitation Centre (CFC)
SourcingMar 27, 2024
Reinvigorating SEEPZ, the Epicenter of India’s Studded Jewelry Exports

The zone’s modernization will enhance and increase India’s jewelry manufacturing capabilities while aiding small and mid-sized businesses.

SRK Empire and SRK House
Policies & IssuesMar 27, 2024
SRK Exports’ Journey Toward Net Zero Impact

By the end of this year, SRK’s diamond manufacturing complexes will achieve net zero emissions, one of an impressive array of achievements.

BTYB-HoBrothers-updated.png
Brought to you by
The Scalable, Professional, and Effortless Solution for High-Demand Custom Jewelry Retailers

Ho Brothers offers scalable solutions for the future of custom jewelry.

Georgia May Jagger Tommy Hilfiger ad campaign
FinancialsMar 27, 2024
Movado’s Full-Year Sales Sink 11%

The company plans to invest $25 million in marketing initiatives to boost awareness around its namesake and licensed brands.

Hand holding shopping bags
SurveysMar 27, 2024
Consumer Confidence Held Steady in March

Optimism about the current state of the economy was offset by anxiety around inflation and the political environment.

Bernadette Mack
Policies & IssuesMar 27, 2024
Mercury Free Mining Hires Bernadette Mack

The former WJA executive director is MFM’s new managing director.

April Is Diamonds Do Good Month
Policies & IssuesMar 27, 2024
Diamonds Do Good Announces Its April Initiative

DDG encourages retailers to educate customers on the positive impact of purchasing natural diamonds.

Tiffany & Co. With Love, Since 1837
MajorsMar 26, 2024
Tiffany & Co. Debuts ‘With Love, Since 1837’ Campaign

Highlighting the most iconic Tiffany collections, it’s inspired by the company’s late window designer, Gene Moore.

National Jeweler columnists Duvall O’Steen and Jen Cullen Williams
ColumnistsMar 26, 2024
Creative Connecting: AI Tools and Tips for Social Media

Jen Cullen Williams and Duvall O’Steen explore how jewelers can save time and money by using AI to analyze engagement and create content.

Nordstrom Men’s Store New York City
MajorsMar 26, 2024
Nordstrom May Go Private, Says Report

The retailer previously turned down an $8.4 billion offer in 2018.

Interior of Miami Lakes Jewelers
IndependentsMar 26, 2024
Miami Lakes Jewelers to Close After 37 Years

The Florida store’s owner Miguel Gonzalez is retiring.

 International Gemological Institute
GradingMar 26, 2024
IGI Announces Tech for ID’ing Lab-Grown Colored Diamonds

The lab stresses the importance of accurate identification, as the difference in price is “substantial.”

Kendra Scott lab-grown diamond jewelry
CollectionsMar 25, 2024
Kendra Scott Debuts Lab-Grown Diamond Fashion Jewelry

The brand also plans to expand its retail footprint from 138 to 200 stores over the next three years.

Instappraise logo NAJA logo
Events & AwardsMar 25, 2024
NAJA, Instappraise Offering Scholarships for Aspiring Jewelry Appraisers

One is reserved for a NAJA member, the other for a non-member.

Carie Lehrke and Megan Mattice
MajorsMar 25, 2024
Borsheims Announces New VP of HR, Assistant Manager

Longtime employees Carie Lehrke and Megan Mattice have received promotions.

My Next Question graphic vintage jewelry webinar
Recorded WebinarsMar 22, 2024
Watch: How to Buy and Sell Vintage Jewelry

Three guests joined National Jeweler and Jewelers of America to discuss trending time periods, spotting reproductions, and more.

Chris Clipper and Robert Lepere
MajorsMar 22, 2024
David Yurman Announces New CFO, Chief People Officer

Chris Clipper and Robert Lepere join the company with 50 years of combined experience.

Nakard pyrite earrings
CollectionsMar 22, 2024
Piece of the Week: Nakard’s Pyrite Earrings

The trendy, metallic earrings wink at classic spring colors.

Stock image of police cars with their lights on
CrimeMar 21, 2024
Sparks Fly as Burglars Lose Safe on California Freeway

JSA said a man and woman pulled the safe out of an Oakland jewelry store but couldn’t quite get it into their van.

Grizzly Mining rough emeralds
SourcingMar 21, 2024
Grizzly Sells 4,145-Carat Emerald for Over $1M

The miner’s March auction generated $19 million.

Helen McCluskey
MajorsMar 21, 2024
Signet Jewelers Names New Board Chair

Helen McCluskey will succeed H. Todd Stitzer when he meets his 12-year term limit in June.

Julia Roberts wearing a Chopard necklace
CollectionsMar 20, 2024
Julia Roberts Co-Designs New Chopard Jewelry Collection

“Chopard x Julia Roberts” showcases the first gems cut from the 6,000-carat-plus “Insofu Emerald."

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy