Latest News
|
|
|
Survey: Despite economy, jewelry shoppers ambivalent in '07
Jewelers should push self-purchases, special occasions in '08
February 06, 2008
New York—As 2007 wore on, consumer confidence fell with the stock market and shoppers aren't expecting 2008 to be any better.
This is one of the findings of the Jewelry Consumer Opinion Council's (JCOC) 2007 Year in Review, an analysis of consumer research and behavior in 2007 that also contains projections for the coming year.
According to the survey, for six months in 2007, the majority of respondents felt that overall business conditions were the same as in 2006.
But in May and August through November, that percentage dipped below one half, when more respondents perceived the economy as worse than the previous year, and in December, that sentiment spread to about 52 percent.
The consumer outlook for 2008 shows that about one-half of respondents think conditions in 2008 will be the same as in 2007, although more respondents (between 19 percent and 27 percent) think conditions are going to be worse.
December tops for jewelry sales On average, more than 11 percent of respondents purchased jewelry each month in 2007, with 14 percent purchasing jewelry in February and November, and 13 percent purchasing jewelry from April through June. December recorded the highest percentage at nearly 20 percent, during a month that saw the greatest number of consumers perceiving economic conditions at their worst.
According to the survey, consumers on average spent below $200 for monthly jewelry purchases, with February, July and September seeing $300 and below as the popular range.
The ring's the thing Rings, for the second consecutive year, led the most-popular list yearlong, most likely due to the extensive coverage of diamond right-hand rings and big, bold gemstone cocktail rings that have become fashion favorites.
They were the most sought-after item purchased monthly for about one-third of respondents, with diamond-set jewelry favored. Colored-stone jewelry ranked a close second in the months of March, May through July, September and October, with semi-precious gems in particular beating out diamonds in August.
Watches showed strength during key gift-giving months, including May, June and September through December.
Independent jewelers hold their own National and regional jewelry chain stores began the year as the most popular shopping destination for fine jewelry and watches for more than one quarter of respondents. But come April, department stores took the lead through June, trailing only slightly behind chains in July and August. Department stores led again in September, November and December, with mass discounters leading the pack only once in August, revealing the demographic hurt the most by the weakened economy. Independent retail jewelers remained important throughout the year, except August, capturing the lead only once in October.
E-commerce increased in importance throughout 2007 capturing more than one quarter to about one third of respondents each month as a jewelry-buying destination. Bidz.com and eBay were among the top destinations. In TV shopping, QVC was preferred.
Overall, no matter the retail venue, self-purchases were made by a majority of respondents. TV shopping seemed to capture the greatest number of self-purchases, averaging 75 percent, followed by online shopping with more than 60 percent, and retail venues such as jewelry and department stores catching 56 percent.
Jewelry last pick for lovers As Valentine's Day, the first big jewelry-giving holiday of 2008 approaches, the survey indicates that retailers shouldn't expect too much.
In 2007, a study of 2,686 consumers conducted from Jan. 29 to Feb. 2, showed that 51 percent planned to give a Valentine's Day gift.
But a later study of 2,405 consumers conducted from Feb. 27 through March 8, revealed that only 46 percent actually did.
Jewelry continues to struggle to hold its own as a popular gift choice on Valentine's Day.
Only 14 percent of respondents gifted jewelry in 2007, trailing cards (80 percent), candy (59 percent), flowers (22 percent) and even clothing (20 percent).
According to the poll, the main reason more consumers don't buy jewelry for Valentine's Day is that they are unsure what to get, which means retail jewelers might need to improve gift-idea promotions.
Other survey results include:
* While spouses remain the main recipients of Valentine's Day gifts for fine jewelry and watches, 32 percent of consumers purchased such gifts for their children in 2007.
* The greatest percentage of respondents (30 percent) gifted watches in 2007, followed by necklaces at 23 percent and earrings at 21 percent.
* Local independent jewelers were the destination of choice for Valentine's Day shoppers in 2007 (23 percent), followed by national/regional chains (17 percent), department stores and online (12 percent), and mass discounters (11 percent).
The JCOC, a division of MVI Marketing Ltd., is an Internet-based, market-research service composed of North American consumers of all ages, genders, income levels, buying categories and geographic regions. It provides the gem, jewelry and watch industries with market intelligence about their products and their respective end-user, the consumers.
For more information about the JCOC, visit its Web site, JCOC.info.
|
|
More Brand Profiles
A night out at the New York City Ballet or Jazz at Lincoln Center is bound to be memorable, but Movado hopes to help make it more so with a new version of its iconic "Museum" watch. Read More
|
Small multi video player located on right rail of NJN site
|
Save
E-mail
Print
Most Popular
RSS
Reprints
