COVID still cuts diamond ring sales

By Alessandra Riemer, Editor at LinkedIn News

As the Beyoncé tune goes, “If you liked it then you shoulda put a ring on it.” But jewelry giant Signet — owner of Kay Jewelers and Zales — says the pandemic robbed many singles of the chance to meet “the one,” and, thus, there was a lot less ring-shopping. Signet has downgraded its revenue for the rest of this year citing “fewer engagements” in the last quarter, as a result of 2020’s forced isolation. CEO Virginia Drosos also cited inflation-weary consumers and ongoing economic uncertainty as additional reasons for the “double-digit decline.”

  • The wedding industry as a whole has faced a turbulent year, including retailer David’s Bridal‘s bankruptcy filing.

 

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By  Nadia Vanderhall
Finance+Brand Marketing Expert

The notion of “diamonds are a girls best friend” might be shifting due to the economy continues to be bombarded with inflation, layoffs and increase in — engagement rings?

2022: Pandmeic Wedding Boom
2023: Engagement Gap
2024: ?!

Just as we noticed a trend of the valuation of IPOs, companies — many are finding it expensive to get engaged let alone married. While we are seeing more cohabitation happen due to rental/home fees, this difference in narrative when it comes to engagements/wedding is interesting to say the least.

This insight about the “gap” comes from Signet Jewelers, the parent company for jewelry brands such as Kay Jewelers, Jared, and Zales. They revealed its sales of engagement rings decreased dramatically in the 2023 fiscal year.

The dating scene being filled with commentary about the financial split in courtship and marriage is not as loud of the cost the head towards to alter. Let alone the cost of weddings!

The commentary from both single women and men match the echos of slowing wallets by brands that soon to be newlyweds face like David’s Bridal, Signet and LVMH. Consumers are configuring to swipe left or right with big challenges this year. Prices have climbed about 15 percent cumulatively over the past three years per Personal Consumption Expenditures index. Even if the insight thatInflation has slowed in recent months, but many workers are finding that their wages are falling behind along with that decrease not being seen at the swipe.

Could the gap in pay, engagement and life cost continue to strain relationships (single, married, engaged, etc) as we move into 2024? I believe so.

#personalfinance #loveandmoney #economy #consumerspending #inflation

What All the Single Ladies (and Men) Say About the Economy

nytimes.com • Subscription may be required

 

By  Kate Masters

Us Retail Correspondents at Reuters

Signet, the parent company of Kay, Jared, Zales and other major jewelry brands, dropped an interesting tidbit in their earnings yesterday — while sales of engagement rings antique remained strong, they’re lagging for jewelry that’s priced between $1,000 and $5,000.

It made Signet the latest retailer to flag a growing gulf between high-end and so called “aspirational” shoppers, who can occasionally splurge on luxury but are more pressured by inflation and other economic pressures. With those customers pulling back, some companies are scrambling to find other sources of revenue. #retail #retailers #fashion

A shopper looks at jewelry in a store window in Brooklyn, New York, U.S., December 8, 2020. REUTERS/Brendan McDermid/

U.S. ‘aspirational’ shoppers are spending less on fashion, jewelry

reuters.com • 3 min read

https://www.reuters.com/business/retail-consumer/us-aspirational-shoppers-are-spending-less-fashion-jewelry-2023-06-09/

 

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