Better together
On the surface, it may seem the jeweller/supplier relationship is nonsymbiotic—that sales and support are provided from the manufacturer to the customer. However, offering a more symbiotic relationship between customer and supplier can be highly effective.
When I first joined the industry, during one of my early business trips overseas with my father, I learned a valuable lesson: at that time, success in the gemstone business was determined by how well a person bought inventory. This seemed counterintuitive at first, because during these trips, we were spending money and not making any sales. However, by digging deeper into this philosophy, I found if we bought well, we were better able to maximize our margins.
This was a way of thinking more in line with a nonsymbiotic relationship, or one where we and many others like us chased the best deal. The philosophy worked well in the age before the Internet, when the world was much bigger and next-day international shipping and ‘must go to’ international jewellery trade shows were still years away.
Now—as everyone within the jewellery industry will know—those days are long gone, and strong competition comes from every corner of the world regardless of which product or services a business aims to carry to market. Though the ability to buy well is still quite valuable, the real strength of a business is its ability to combine its own aptitudes with those of its supplier to market in a more synergistic way. The most obvious example of this is when retailers carry branded lines of jewellery. The brand lends its marketing reach and identity to the retailer’s customers, and in turn, the retailer provides strong support and positive exposure for the brand. The result is success for the supplier and client.
Up close and personalized
A lesser-known—but equally important—symbiotic relationship is the one existing between retailers and their wide range of nonbranded suppliers, each of which provides an important function to any jewellery business. The trade/client relationship can be a valuable resource for a retail business to provide more personalized services in the areas of jewellery repairs, appraisals, or custom design. These offerings can be provided to the retail customer quickly, efficiently, and often with exceptional results when that relationship is symbiotic.
However, exceptional service and products cannot easily be offered through a nonsymbiotic relationship or the digital medium. As I have often noted in my previous articles, bringing customers back to a brick-and-mortar store requires jewellers to provide a more personal buying experience. In the example I provided in my article, “Evolutionary theory,” in the October 2016 issue of Jewellery Business, personalization was incorporated through the introduction of computer-aided design (CAD) at the store level. However, it can extend to a wide range of jewellery-related services that cannot be provided through a digital medium.
