For most people involved in the diamond and jewelry trade, there is probably one area that is not often thought about – jewelry stores and their staff. Members of the trade tend to look at what’s happening to rough and polished diamond figures and not be too concerned about the retail end.
That’s ironic because the jewelry store is, in many ways, just about the most important part of the whole chain. That final half a meter when the customer is persuaded to buy the piece of jewelry and hands over the cash is a critical part of the business as a whole.
And that opens up questions that are only rarely – if ever – addressed: who are the salespeople and how much knowledge and training do they have? In addition, one can ask how diverse are the store staff and do they appeal to a wide part of potential jewelry buyers – or do they only manage to sell to people who look like them?
How innovative are shop personnel and do they have the initiative to search for information and find out details about diamonds that they might be asked?
The ball is in the store owner’s court
As with all other trades, the diamond jewelry industry is continuously evolving. In addition, consumers are constantly becoming better informed and have access to ever-growing amounts of information. As a result, their questions about the jewelry on offer are both growing and becoming more sophisticated. They are looking for transparency in the supply line and authenticity both in the goods and the sales staff.
The onus, therefore, is on retail company owners to ensure they and their staff are in a position to be able to deal with questions from customers. Where store personnel could, in the past, get away with a basic knowledge of the 4Cs, many of today’s customers – especially the younger ones – have questions that go far beyond this. They often relate to political events, traceability and sustainability issues.
Jewelry businesses that have been around for decades – and perhaps even longer – can expect to continue to do good business based on their local brand recognition. However, they, too, need to reconsider the levels and depth of knowledge of their staff. Today’s shoppers are changing: younger buyers bring a whole new approach to buying and are demanding convincing answers to their questions.
What should the new generation of salespeople be aware of?
Today’s jewelry staff – and store owners – need to blend innovation with tradition. Although veteran family businesses benefit from their name recognition and loyal customers, it nonetheless makes sense to bring in new members of staff who can bring a fresh outlook and innovative sales ideas.
Outsiders joining the jewelry world is far from a bad idea. They may not have jewelry in their blood initially but that can be fixed with in-depth training. Sales staff who disrupt long-established ways of operating and think differently create a fresh approach that can rub off positively on existing staff.
New and younger staff are likely to feel more comfortable with modern technology and give insights into how using it can boost sales. New staff need to be quick-thinking, creative and flexible. And for the jewelers themselves, it’s vital to change their mindset. Although there’s no need to reinvent the wheel, they certainly do need to reinvent themselves periodically. The blunt alternative is to be left behind – or worse, go out of business.
The demands of multicultural societies
It’s a new world. The United States has always been driven by waves of immigration. Meanwhile Europe is undergoing widespread change due to large numbers of immigrants.
Owners of all kinds of stores increasingly understand that hiring staff from a range of races and religions is critical. If the retail jewelry sector wants to continue expanding, it needs to open its eyes to new ways of operating.
That is also likely to lead jewelers to stock items that they never did in the past. They would be wise to listen to their new hires who can explain the differences in multicultural preferences. In the United States, for example, jewelers have found that the kinds of items that Black, Latino and Hispanic potential customers are looking for are different to those of their traditional White customers, as well as to each other.
Therefore, stocking a wider range of goods can also expand sales with customers of all types viewing and appreciating – likely for the first time – jewelry that are favored by other ethnic groups.
Collaboration and cooperation key to expansion
While details about products can be taught, store owners would do well to promote the types of skills that, unfortunately, cannot be trained: these include communication, blending well with other staff, and the ability to think critically.
In addition, stores that allow for criticism of the way they operate (let’s call it open discussion) will likely reap benefits. A bottom-up approach is more likely to increase revenues than a top-down one where staff are required to follow a certain line.
Swapping insights, different sales practices and ideas are more likely to drive growth. Stores that promote listening skills, problem-solving, an empathetic approach and embracing diverse clients are more likely to thrive.
Being tech-savvy can aid sales
It’s not something that most jewelry sales staff or their managers have ever thought of but understanding Computer-Aided Design and Computer-Aided Manufacturing (CAD/CAM)] can give salespeople an edge. Learning this technology can help clients to picture what the jewelry item will look like when a customer has a specific item of jewelry in mind.
It's true that this means such customers will take up more of the staff member’s time, but the financial return is likely to be bigger. That’s because clients can be charged for the service and may end up ordering an item that is more expensive than the ready-to-buy items in the display cases. Furthermore, receiving a personalized service is likely to create a bond between customer and company – and increases the chances that the client will return to buy further items.
Then there is the issue of using artificial intelligence (AI) to help with online marketing and social media. AI can also be used to carry out market research – what’s selling and what is in less demand. The bottom line: data literate and financially savvy staff should be top of the list when jewelry businesses are hiring.
In conclusion…
Above all, businesses need to be open to new types of skills and abilities. A young and energetic salesperson who is still being trained can be a tremendous boon in the store willing to take on a range of demands.
Jewelry store owners are increasingly discovering that what worked in the past isn’t necessarily what’s going to be successful going forward. Today ’s customers are looking for an in-store experience – and that’s what young sales staff can offer.
Furthermore, not all sales take place in store – take on staff who are social media mavens. Give them their head and let them push online sales.
Look for pleasant people who can build a relationship with customers, who are good listeners and outgoing – and when the salespeople prove themselves make sure you offer them opportunities for growth and a path to take their careers onwards and upwards.
Abraham Dayan for Rough&Polished from Tel Aviv
