Waiting for sales to buy luxury jewelry? You risk being disappointed
The crisis and inflation are starting to be felt harshly by households. We can apparently anticipate significant sales in January . In any case, this is what retailers across the Atlantic are announcing, in all sectors combined… or almost. Indeed, this will not be the case for luxury jewelry . This part of the economy is not faced with the problem of inventories to be liquidated as other sectors, as high-end jewelry is doing so well .
Luxury jewelry is expected to be a hit for the holidays
“ Jewelry is in shape as the holidays approach, ” Marshal Cohen, chief retail advisor at NPD Group, told CNN. He expects consumers will gravitate toward bling because they see it as a good investment-type gift . That means consumers will be less hesitant to part with their purse strings for such a purchase.
Fine jewelry like diamond necklaces — and maybe even an engagement ring — have always been popular gift options. But recent trends are only increasing that popularity, according to Cohen.
There aren't many flashy new tech products to compete with jewelry this year. Plus, jewelers don't have to deal with the overstock problem that plagues most retail players.
" With no real inventory, jewelry retailers are comfortable and don't see the need to offer deep discounts, " he said.
Luxury jewelry is not affected by the crisis
Signet Jewelers , the largest U.S. jewelry company that owns Zales, Kay Jewelers and Jared, highlighted these trends in its earnings release. The company also noted stronger demand for more expensive jewelry .
The more expensive they are, the greater the demand. Jewelry in the €4,000-€5,000 and €10,000 ranges are particularly popular at the moment. This is what prompted the company to expand its offering in this price range to satisfy its wealthy clientele. It has also expanded its collection of lab-grown diamond jewelry to satisfy buyers looking for a bargain, in the current inflationary climate.
Heading into the holiday season, Signet said it has healthy inventories to meet demand, but they are down from last year.
- Used Wempe necklace
Luxury jewelry sales 2023 will be modest
Paul Zimnisky, an independent jewelry industry analyst, said Signet's comments indicate that consumers should not expect big discounts or clearance sales. Because the industry is so globalized, the same trends are likely to be seen in Europe.
" I don't expect any discounts. However, I do expect many jewelers to stock particularly affordable luxury jewelry, " Zimnisky said.
