There were some specific features about the last month, which made it different from the previous period. These were related to changes in demand and supply evidently caused by the price rise for raw materials in the first place, which resulted in jewelry appreciation. A certain role in all this was played by the U.S. recession and Russian inflation. Just on the eve of March 8, the prices for jewelry in Moscow went up by an average of 10%.
The price growth for jewelry could be foreseen, said the “Novyje Izvestia,” since gold was close to the notch of one thousand dollars per troy ounce. Of course, silver was much cheaper, but it was gaining in price even more rapidly. Vladimir Vlasov, a jewelry market expert, told to the newspaper that the price jump for goods made of precious metals had mainly been induced by the falling dollar. “In such a situation precious metals, on the contrary, used to go up in price. By the way, Europe responded to this by raising prices for jewelry ahead of Russia, so our market here is a bit lagging behind. Currently, some people talk about the price of $1100 per troy ounce in the nearest future and this will not be the end of it. Therefore, manufacturers making goods of this metal will continue to raise prices for their products.”
Incidentally, if to take one’s bearings looking again at Europe, says the newspaper, the price rise for jewelry there has already brought about a drop in demand for it. Analysts believe a similar thing may happen in Russia as well.
The first clear consequence of economic changes was the growing demand for bijouterie and its expanding supply.
“Clients are starting to buy bijouterie more often since as a rule it is cheaper and may be changed more often and, again, these items are distinguished by original design. These trends are coming to us from Europe. Rare people there nowadays are wearing gold and they put it on only, so to say, for bon ton occasions,” says the selling assistant at the jewelry boutique in Izhevsk. “Some women do not bear with bijouterie deeming it to be some “low-grade” type of adornments,” says the “Rabochij Kraj” newspaper of Ivanovo. “However, this is not true. One just has to have an eye for jewelry items since they also may be different. Sometimes bijouterie is even more valued than some gold jewelry pieces.”
“Going up in price at the London Exchange the yellow metal was simultaneously depreciating in Russian consumers’ minds – if 20 years ago jewelry was considered a fairly good investment, now it is playing the role of an accessory. The negative side of it is that jewelry ran into head-on competition with bijouterie and even perfumes, whose advertising impact onto buyers is much more powerful,” says Pavel Sidorenko, Marketing Director of Adamas.
Compared with jewelry, bijouterie has a mighty advantage since it seems cheaper, which means you can afford accessories fitting any garments and renewing your collection as many times as you like, the “Kapital-Weekly” affirms. Moreover, bijouterie manufacturers are much faster in their response to the ever changing fashion, than jewelers, and this means that they offer a much greater variety of “artificial valuables” than there is in no-nonsense collections of gold and other precious metals.
There is a new tangible tendency in jewelry, which was quite fast in coming to us from the West – large-scale use of silver. Very often it serves as a setting for diamonds.
What kind of explanation may be offered to the current use of silver, which is turning to be the favorite material for the world’s leading designers? Pravda.Ru put this question to Nona Dronova, Professor, Doctor of Engineering, who is an expert on gems and jewelry:
“Silver items give an opportunity to many women to open up their individuality. Silver has a whole range of advantages: it is brighter and more glittering than platinum. This is a soft and ductile modern material allowing vast freedom to designers’ fantasies. It is ideally fitting the now very fashionable style of “techno-romanticism.” Silver is again in the leading positions at expensive stores.”
Delfina Delettrez Fendy, for instance, is among well-known designers working with silver. Her valuables made of oxidized silver look as though covered with antique patina.
Popular singer Christina Aguilera is advertising a new silver collection by Stephen Webster.
The Moscow TSUM department store sells jewelry belonging to the Danish Georg Jensen Heritage line, continuing the traditions of famous jeweler Georg Jensen. It was the pliable and democratic silver and not the more expensive gold to which Georg Jensen was devoted in the course of his long and good career, says the “Kommersant-Weekend.” Jensen was sincerely calling silver as “the best metal of all those existing in nature”, and the Danish maestro created many silver things, which belong to the history of jewelry art.
In the Russian northern capital there is a gallery existing from 2003 and trading in silver adornments made by Sergio Bustamante (currently two boutiques of this company are also opened in Moscow). This artist is sometimes called a “Mexican Dali.”
Alina Agafonova, the owner of the gallery, says, “To experiment one should have some kind of material not so expensive as gold, but at the same time as noble as gold. In this case silver is ideal – it is called the material of boheme, creative people. Silver gives an opportunity to broaden the assortment in a significant way and at the same time its use will not empty one’s pocket in case of some commercial failure.
On the other side, the world of modern fashion is permanently changing and requires diversity. Jewelry should be more obtainable and multifaceted. Bustamante’s silver is not that cheap, but actually these adornments may be afforded by any working woman. While purchasing expensive gold jewelry with gems as a rule requires family discussion, the Bustamante price range permits to buy a ring or earrings without any consultations, just guided by your own taste…
Our vendors are strictly forbidden to resort to aggressive sales. We are not going to hard-sell anything. You may visit our store one hundred times, watch and try on and buy nothing. People here choose those things which they really like. Many our customers become our friends. They buy not only jewelry, but sculptures as well.”
Among Russian jewelers working with silver one can mention Galina Ushanova from Kalmykia. Her works are jewelry items made of silver and gems. On the eve of March 8, the first company retail store was opened in Privolzhsk (the Ivanovo Region) by the Privolzhsky Yuvelir Factory. As reported, the store will offer a wide range of .925 silver jewelry manufactured by this factory (rings, earrings, pendants, bracelets, necklaces, brooches and charms), items with semi-precious stones, gilded articles as well as water ionizers and various souvenirs.
Earlier Privolzhsky Yuvelir sold its products to wholesale buyers only. According to the factory management, their desire to attract retail customers giving them a closer view on factory products was the main reason for setting up a company-owned retail network and not so much the intention to get additional profit.
Besides, the products manufactured by Privolzhsky Yuvelir – silver items – are in such a great demand that the company had to open additional sale outlets. The factory spokesmen explain that new models are developed by a range of designers. Every month the company turns out about 50-70 new items. After that the factory experts perform marketing research keeping the track of their sales in the market and leaving the best for continued production. The new store is aimed at an average consumer. Nevertheless, even a person of very modest income may find here a gift suiting his or her pocket, while a well-heeled buyer will simply not be able to leave the store with empty hands.
