Jump to content

Are Pop-Up Events The Solution For Jewelry Stores?


Francois
 Share

Recommended Posts

I read an interesting article on LinkedIn about jewelry stores, how to drive traffic and Millennials "Every Jewelry Store Should Have a Pop Up Showcase"

 

https://www.linkedin.com/pulse/every-jewelry-store-should-have-pop-up-showcase-nicolas-chrétien

 

Have you some experience with such events?

 

Francois

Edited by Francois
Link to comment
Share on other sites

Personal opinion: this is only marketing for their business model. While I agree that some of the trends that the author discusses in the first part of their advertorial are real, I don't believe a pop-up model would work for many jewellery purchases.

 

Pop-up caters to impulse... and many jewellery sales are not "impulse" because of the amounts involved. Pandora or Swarovski, different story.

 

There have been "pop-up" stores called estate/second-hand/antique jewellery shops for many decades... and they are failing at the same rate as "normal" retail jewellers, or even worse. The structural reasons have (still in my opinion) more to do with the lack of disposable income and the impoverishment of the middle class rather than the lack of ways of reaching clients: a website works pretty well.

Link to comment
Share on other sites

I don't even understand what they're talking about.  Is this stores that have very short term leases, like a month or two or even just a weekend, or does it have something to do with phones?  Is the idea here to have an in-store showcase that's rented out to a vendor, sort of like booth space at an antique store?
 

Edited by denverappraiser
Link to comment
Share on other sites

Personal opinion: this is only marketing for their business model. While I agree that some of the trends that the author discusses in the first part of their advertorial are real, I don't believe a pop-up model would work for many jewellery purchases.

 

Pop-up caters to impulse... and many jewellery sales are not "impulse" because of the amounts involved. Pandora or Swarovski, different story.

 

There have been "pop-up" stores called estate/second-hand/antique jewellery shops for many decades... and they are failing at the same rate as "normal" retail jewellers, or even worse. The structural reasons have (still in my opinion) more to do with the lack of disposable income and the impoverishment of the middle class rather than the lack of ways of reaching clients: a website works pretty well.

 

Dear David. I agree with you. Such events cannot be see only as sale-booster (especially for fine jewelry), but mainly as a tool to create visibility to the brand, connect with potential future clients and create in-store animation.

Link to comment
Share on other sites

I don't even understand what they're talking about.  Is this stores that have very short term leases, like a month or two or even just a weekend, or does it have something to do with phones?  Is the idea here to have an in-store showcase that's rented out to a vendor, sort of like booth space at an antique store?

 

Yes, the concept is to have an in-store showcase that's rented (like a booth space) and use it to animate the store and drive traffic. 

Link to comment
Share on other sites

Traditional jewelers routinely have a huge fraction of their inventory on a consignment basis already, although they don't usually identify it as such.  This has been the case for decades.  They also routinely switch up the inventory by rearranging things or moving things from storage to display and visa versa.  I"m not sure I understand how this is different?  They get rent on the showcase instead of markup on the merchandise?  

Are you the author of the advert we're talking about?

Link to comment
Share on other sites

Traditional jewelers routinely have a huge fraction of their inventory on a consignment basis already, although they don't usually identify it as such.  This has been the case for decades.  They also routinely switch up the inventory by rearranging things or moving things from storage to display and visa versa.  I"m not sure I understand how this is different?  They get rent on the showcase instead of markup on the merchandise?  

 

Are you the author of the advert we're talking about?

Yes, I am the author. My objective is to get opinions and views from trade people about the concept. If you have 2 minutes, I would like to invite you to read a second article "Real is Rare, Real is a pop-up event": https://www.linkedin.com/pulse/real-rare-pop-up-event-nicolas-chrétien

Link to comment
Share on other sites

Basically the same comments as above... and bear in mind that it's purely my personal opinion.
 

Pop-ups create a feeling of uniqueness and exclusivity to the shopping experience, creating an ephemeral and exclusive jewelry offering.


Diamonds don't "need" an exclusivity feeling through limited availability/accessibility. Prices do that much more effectively. Whether the prices are justified is a completely different question, but I'd still prefer to spend $10k for a diamond rather than for a Hermès bag.

 

Also the cost of goods is usually substantially different between the "ephemeral" and jewellery....

To some of your questions at the beginning of the advertorial:

How do I sell more diamonds? Not with a pop-up concept, for various reasons (amongst which: not an impulse purchase; level of stock and financing costs verging on the absurd, at least based on how I see demand segmenting itself; no need to promote exclusivity; pop-up model/stock refresh already widely implemented). Same reasons why selling diamonds or jewellery on eBay as a private person - the ultimate pop-up sale? - is extremely difficult.

Why don't we see global promotion of diamond jewelry worldwide? Because we do already: James Allen, Blue Nile, Tiffany, Cartier, de Beers, many others keep sending me Google ads. At most it's a problem of targeting (and it's easy to understand how I am mistargeted...)

How can diamonds compete with the latest iPhone? They don't. Look at the prices and the use cases.

How to attract millennials? Good question, but not one answered.

How to finance global generic promotion? Why finance global generic promotion? De Beers almost singlehandedly created mass demand for diamonds from 1945 onwards. Is more awareness effort required? I don't think so, but if it were I wouldn't invest my awareness dollars in promoting the ephemeral nature of pop-up sales.

Are we leaving the field open to manufacturers of lab-grown diamonds? Not much to do with advertising, and so far something that has signally failed to change the market structure (unlike what happened with pearls). I'm much more concerned about treatments than synthetics, and I fear that coloured diamonds especially may go the way of rubies or emeralds.

Edited by davidelevi
Link to comment
Share on other sites

Basically the same comments as above... and bear in mind that it's purely my personal opinion.

 

Pop-ups create a feeling of uniqueness and exclusivity to the shopping experience, creating an ephemeral and exclusive jewelry offering.

Diamonds don't "need" an exclusivity feeling through limited availability/accessibility. Prices do that much more effectively. Whether the prices are justified is a completely different question, but I'd still prefer to spend $10k for a diamond rather than for a Hermès bag.

 

Also the cost of goods is usually substantially different between the "ephemeral" and jewellery....

 

To some of your questions at the beginning of the advertorial:

 

How do I sell more diamonds? Not with a pop-up concept, for various reasons (amongst which: not an impulse purchase; level of stock and financing costs verging on the absurd, at least based on how I see demand segmenting itself; no need to promote exclusivity; pop-up model/stock refresh already widely implemented). Same reasons why selling diamonds or jewellery on eBay as a private person - the ultimate pop-up sale? - is extremely difficult.

 

Why don't we see global promotion of diamond jewelry worldwide? Because we do already: James Allen, Blue Nile, Tiffany, Cartier, de Beers, many others keep sending me Google ads. At most it's a problem of targeting (and it's easy to understand how I am mistargeted...)

 

How can diamonds compete with the latest iPhone? They don't. Look at the prices and the use cases.

 

How to attract millennials? Good question, but not one answered.

 

How to finance global generic promotion? Why finance global generic promotion? De Beers almost singlehandedly created mass demand for diamonds from 1945 onwards. Is more awareness effort required? I don't think so, but if it were I wouldn't invest my awareness dollars in promoting the ephemeral nature of pop-up sales.

 

Are we leaving the field open to manufacturers of lab-grown diamonds? Not much to do with advertising, and so far something that has signally failed to change the market structure (unlike what happened with pearls). I'm much more concerned about treatments than synthetics, and I fear that coloured diamonds especially may go the way of rubies or emeralds.

Thank you for this very interesting point of view and for taking the time to comment my post.

It seems that you are a real “anti pop-upâ€, convinced of the inutility of ephemeral events.   

 

Your opinion is precious to me, especially because through your comments I can see a strong passion for our industry (and knowledge).

 

I hope to be able to convince you in the future that pop-ups have some virtues (and part of the future of our industry).

 

 

May I ask you your profession?

Link to comment
Share on other sites

My profession(s) or relevant interests are in no particular order:

  • Sales and marketing consultant
  • 20th/21st century jewellery collector
  • Partner in a coloured diamonds business (the reason why I'm posting on this forum)
  • Pharmaceutical industry executive

On reflection, this may be why my view is what it is: the diamond business I work in is focused on a mid-to-high price segment (say $1000 to $200,000; the segment boundaries are my guesstimate), and my jewellery collection interests/possibilities are equally focused on the same price range.

 

To clarify: I am convinced of the inutility (or rather, of the relative ineffectiveness compared to the current marketing mix) of pop-up events as a tool for selling mid- to high-price jewellery.

 

For very high priced items, "pop up events" already are the dominant model: they are called auctions.

 

For "fashion jewellery" (meaning items that cost less than say $1000 in developed countries, or PPP/GNP pro capita head equivalent in developing markets) they may make sense.

Edited by davidelevi
Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
 Share

×
  • Create New...