Effy Hematian, the founder of the Effy Company, came to New York in 1979 with his wife, son Benny and the experience in electrical engineering under his belt. Jewelry has always been a passion of Effy, who began to create his own designs and sell jewelry right out of a suitcase. Today, 30 years later, his company, Effy is known for its eclectic abundance of jewelry collections and its goods are sold by jewelry stores of leading retailers across the world from the Caribbean to Alaska. In an interview to Rough&Polished Effy Hematian shares his experience, plans and thoughts on the state of the market.
Please tell us a little bit about your company and its origin. What best describes Effy Jewelry?
I arrived in the New York in 1979 with my wife and son Benny with a background in Electrical Engineering. I always had a passion for jewelry so I began designing pieces and selling them out of my suitcase. Thirty years later, I’m still designing and have Effy stores from the Caribbean to Alaska and major retailers around the world.
We are known for our eclectic abundance of fine jewelry collections - there’s a little something for everyone!
What did it take to grow your company from “selling jewelry out of a suitcase in New York City” to selling fine jewelry collections “available at fine retailers from the Caribbean to Alaska”?
I love what I do and quality is number one! If you have a true passion for what you do anything is possible. My dream was to sell directly to the consumer beautiful, well crafted designs at attainable prices because the customer knows the difference and remembers the difference. Having our own Effy boutiques gives me the ability to do this.
What are the greatest changes you have seen since you joined the industry? How have your customers changed in terms of demographics (gender, age)?
When I began in 1979 many jewelers made everything in house now most companies are outsourcing subsequently creating pieces that are of poor quality. That’s why I make it a priority to keep a majority of the manufacturing here in New York where I can oversee every piece every step of the way.
I’ve always enjoyed designing for every customer and worked hard to create pieces that fit every taste. The Effy customer has always been a diverse age group, women buying pieces for themselves and loved ones, men buying gifts for their wives or daughter’s graduation. Jewelry is an emotional purchase and we like to be there for that special moment that’s why I like to create quality designs at a great value, for everyone.
How did you like the JCK Las Vegas show this year? Did you see the increase in traffic and sales or was it flat?
It was a great success. We unveiled our all new Effy Bridal collection and the positive response from the buyers was overwhelming. Plus, it’s always a great pleasure to meet with my partners and catch up on how their year went and show them what we’ve been working on.
Do you manufacture the jewelry in the United States? What are the benefits of producing jewelry locally versus outsourcing production to China, Thailand and other low labor cost countries?
Yes, we manufacture a majority of our product in the U.S., right here in New York City. We do have partners overseas for certain product. Having the manufacturing here in the U.S. allows for better oversight of the designs, quality and a quick turnaround by myself and team.
Do you plan any marketing initiatives for the second half of 2013?
Yes, we have new campaigns featuring our latest collections with an emphasis on Espresso and Black diamonds and Blue Velvet and Red Velvet collections featuring large sapphires and rubies. I’ve put an emphasis on color in my collections this year.
We are also advertising with Cosmopolitan, Harper’s Bazaar, and Star Magazine in order to reach new customers and build the brand. My son Bobby, President of Effy wholesale has done a fantastic job with celebrity placement this year as well, so we plan on continuing to build our relationships there.
How do you currently see the diamond and jewelry market in the United States?
We foresee the diamond and jewelry market turning the corner, given the rebounding of the overall economy, stabilization of diamond prices and lower gold prices. We are putting more focus on our diamond fashion and bridal line to capture additional market share as the customers come out shopping for the fall season.
As I noticed, you have an official online retail store. At the same time, you also work with the retailers on a wholesale basis. Do they ever complain about your selling directly to the public?
Today, Effy is a world renowned brand with consistent MSRPs for our partners and retail boutiques. The website has not only been a great addition for sales, but to build the Effy brand. We’ve have been selling jewelry direct to the public for years, so it was nothing new just different. Introducing the website was a challenge but at the end of the day it has been a positive experience for both us and our partners.
What is selling best now? Are you planning to introduce any new lines this year?
Rose Gold is still very popular particularly the Rose Gold Signature Collection so we’ve introduced the new White Gold Signature in order to evolve our most popular sellers for a larger and more compelling offering. Also, we are aiming to officially launch Effy Bridal later this year for the woman who knows the Effy standard, and wants to have it on her ring finger, the most important finger for a woman! Our customers tell us what they want and we listen.
Do you think that 2013 may be better in terms of diamond jewelry sales for Effy Jewelry and for industry as a whole?
Yes, it was the most successful JCK we’ve ever had. The buyers were excited about the new collections and the reaction to Effy Bridal was overwhelmingly positive!
Olga Patseva, Editor in Chief of the American Bureau, Rough&Polished
