There is a willingness to comply with new government-mandated regulations, with an insistence that they should be practical and realistic.
Engagement Ring Sales Down Again for Blue Nile
The online retailer reported that it sold a total of $56.7 million in diamond engagement rings in the United States in Q1 2016, down from $61 million in Q1 2015.
Seattle--For the second quarter in a row, Blue Nile’s diamond engagement ring sales have slipped, with more people buying their rings on the website but the average sale price declining.
The Seattle-based e-tailer reported Thursday that U.S. engagement sales totaled $61.0 million in the first quarter ended April 3, down 7 percent from $56.7 million in the first quarter 2015.
The decrease comes on the heels of the 8 percent drop in U.S. engagement sales Blue Nile reported in the fourth quarter 2015.
On a conference call held Thursday morning, CEO Harvey Kanter described the first quarter as “challenging,” as it expected. He noted that the company’s average sale price declined and that it continues to see weakness in sales at the high end of the market.
The drop in engagement sales, the company’s core business, dragged down overall sales.
Blue Nile reported a 3 percent year-over-year decline in net sales, from $106.5 million to $103.1 million. Net income was down slightly, from $1.2 million to $1.1 million.
Non-engagement sales, a category that encompasses all other jewelry sold on the website including wedding bands, were up 4 percent from $26 million to $27.1 million.
Executives said on Thursday’s conference call that they continue seeing double-digit growth in wedding band sales while sales of diamond fashion jewelry grew in the mid-single digits. Sales of other fashion jewelry declined.
The company has added another jewelry designer to its Designer Collective, Angela George.
Also on Thursday’s call, executives spoke briefly about the company’s “webrooms,” the physical locations it is opening in malls in New York, Virginia and Oregon where consumers can try on engagement rings; all purchasing, however, still happens online.
Blue Nile has one webroom open so far, in Roosevelt Field Mall on New York’s Long Island.
Kanter said the other New York webroom, plus the ones in Virginia and Oregon, are slated to open by mid- to late summer. He also said that the company is now working on a plan to open additional webrooms in 2017, though he provided no further details on location or timing.
When asked how the company expects the webrooms to contribute to sales volume on the website in the second quarter and next year, Blue Nile Chief Financial Officer David Binder said, “It’s very much a learning period for us. We’ve very optimistic and we’re also very cautious in what a different market may do
Blue Nile said it anticipates sales of $114 to $117 million in the second quarter and is maintaining its full-year guidance of $465-$495 million in net sales.
The Latest
A combination of factors is driving growth in the industry despite the precipitous drop in prices across the board.
The zone’s modernization will enhance and increase India’s jewelry manufacturing capabilities while aiding small and mid-sized businesses.
For over 30 years, JA has advocated for the industry, fought against harmful legislation and backed measures that help jewelry businesses.
By the end of this year, SRK’s diamond manufacturing complexes will achieve net zero emissions, one of an impressive array of achievements.
Optimism about the current state of the economy was offset by anxiety around inflation and the political environment.
The former WJA executive director is MFM’s new managing director.
Ho Brothers offers scalable solutions for the future of custom jewelry.
DDG encourages retailers to educate customers on the positive impact of purchasing natural diamonds.
Highlighting the most iconic Tiffany collections, it’s inspired by the company’s late window designer, Gene Moore.
Jen Cullen Williams and Duvall O’Steen explore how jewelers can save time and money by using AI to analyze engagement and create content.
The retailer previously turned down an $8.4 billion offer in 2018.
The Florida store’s owner Miguel Gonzalez is retiring.
The lab stresses the importance of accurate identification, as the difference in price is “substantial.”
The brand also plans to expand its retail footprint from 138 to 200 stores over the next three years.
One is reserved for a NAJA member, the other for a non-member.
Longtime employees Carie Lehrke and Megan Mattice have received promotions.
Three guests joined National Jeweler and Jewelers of America to discuss trending time periods, spotting reproductions, and more.
Chris Clipper and Robert Lepere join the company with 50 years of combined experience.
The trendy, metallic earrings wink at classic spring colors.
JSA said a man and woman pulled the safe out of an Oakland jewelry store but couldn’t quite get it into their van.
The miner’s March auction generated $19 million.
Helen McCluskey will succeed H. Todd Stitzer when he meets his 12-year term limit in June.
“Chopard x Julia Roberts” showcases the first gems cut from the 6,000-carat-plus “Insofu Emerald."
Elvis gave the watch to actress Dodie Marshall after filming “Easy Come, Easy Go.”
The Gianmaria Buccellati Foundation Award for Excellence in Jewelry Design was presented to a graduate of the GIA school in Taipei.
The man was charged with money laundering in connection with the theft of gold, silver, and platinum over the course of three years.