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Jeweller - November Issue 2017

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VOICE OF THE AUSTRALIAN JEWELLERY INDUSTRY<br />

NOVEMBER <strong>2017</strong><br />

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INNOVATION KEEPS WHITE<br />

METALS SHINING BRIGHT<br />

VOICE OF THE AUSTRALIAN JEWELLERY INDUSTRY<br />

FESTIVE-FRIENDLY STRATEGIES<br />

FOR A SUCCESSFUL CHRISTMAS<br />

NOVEMBER <strong>2017</strong><br />

THE GOOD, THE BAD AND THE<br />

UGLY OF COST CUTTING<br />

CONTENTS<br />

NOVEMBER <strong>2017</strong><br />

16/<br />

21/<br />

25/<br />

FEATURES REGULARS BUSINESS<br />

16/ WHITE DELIGHT<br />

White metals continue to gleam with<br />

alloy innovation and new design.<br />

21/ WITH THIS RING<br />

Insight on the trends dominating<br />

the engagement ring market.<br />

25/ ’TIS THE SEASON<br />

Retail strategies to stay ahead this<br />

festive season.<br />

9/ Editorial<br />

10/ Upfront<br />

11/ News<br />

14/ New Products<br />

41/ Gems<br />

Colour investigation: Labradorite<br />

42/ 10 Years Ago<br />

43/ Events<br />

44/ My Bench<br />

46/ Soapbox<br />

Let’s champion rising stars,<br />

Brigitte Collins states.<br />

35/ Business feature<br />

Elizabeth Boyd explains how to<br />

uphold multi-channel demands.<br />

37/ Selling<br />

Build sales with ‘clienteling’,<br />

David Brown reports.<br />

38/ Management<br />

Barbara Crowhurst offers<br />

performance review tips.<br />

39/ Marketing<br />

Beware of cutting costs,<br />

Ian Altman warns.<br />

40/ Logged On<br />

Alfred Lua lists more social<br />

media mistakes to avoid.<br />

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<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 5


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EDITORIAL<br />

THE JAA NEEDS A BREXIT<br />

It’s time for the Australian jewellery industry to<br />

bring about its own Brexit. With the upcoming<br />

AGM scheduled for <strong>November</strong> 15, I believe<br />

current <strong>Jeweller</strong>s Association of Australia (JAA)<br />

president Selwyn Brandt must leave (exit) the<br />

board. I can’t remember a greater period of<br />

upheaval than the past 18 months.<br />

The doomed decision to launch a trade show<br />

competing directly with the International<br />

<strong>Jeweller</strong>y Fair not only split the industry<br />

but also resulted in great change at the<br />

association – JAA executive director Amanda<br />

Hunter quit on the same day the association<br />

cancelled its event and three of six JAA board<br />

members have since resigned.<br />

Before she went, Hunter divulged that the<br />

JAA was facing a “large loss” that would “eat<br />

into retained earnings”. No doubt a large fall<br />

in membership and the expenses lost in the<br />

trade show venture – including legal fees –<br />

have contributed to the JAA’s financial state.<br />

Questions are now being asked about its<br />

solvency. Discussion at the Sydney fair<br />

focused on the failed trade-fair venture and<br />

the JAA’s current financial state and there<br />

appear to be three schools of thought<br />

emanating from the industry:<br />

1. The JAA should be kept alive and nurtured<br />

back to representing a unified industry<br />

2. The JAA should be left to wither away<br />

given its disastrous decisions<br />

3. The JAA brand is irreparably damaged<br />

and a new association should be created<br />

in its place.<br />

The time has come to remedy this situation.<br />

Almost six months have passed since Hunter<br />

resigned and there is still no news of when<br />

or if she will be replaced. If JAA membership<br />

numbers continue to fall and given the board<br />

can no longer rely on the lucrative, 25-year<br />

sponsorship deal it held with Expertise Events,<br />

then its future doesn’t look bright.<br />

I am hoping the JAA can be kept alive and<br />

nurtured back to health; however, many<br />

believe that only an entirely new board –<br />

one with fresh ideas and one not tainted<br />

by the disastrous decisions of the past –<br />

stands any chance of achieving this.<br />

Industry harmony won’t be possible until<br />

Nationwide <strong>Jeweller</strong>s rejoins the JAA and<br />

this won’t happen until an apology is made<br />

to former board member and current<br />

Nationwide managing director Colin<br />

Pocklington. How can the JAA claim to be<br />

the peak industry body if it is at war with<br />

the largest retail membership group!<br />

Only a completely new board can hope to<br />

achieve a resolution with Nationwide and<br />

other high-profile retailers and suppliers who<br />

have already quit the association. Only a new<br />

board can deliver full transparency about<br />

the losses incurred on the failed trade show<br />

venture, which presumably include large<br />

and unbudgeted expenses such as nonrefundable<br />

venue deposits.<br />

At the root of the JAA’s financial issues<br />

is the fall-out with Expertise Events over<br />

I AM HOPING<br />

THE JAA CAN<br />

BE KEPT ALIVE<br />

AND NURTURED<br />

BACK TO HEALTH;<br />

HOWEVER,<br />

MANY BELIEVE<br />

THAT ONLY AN<br />

ENTIRELY NEW<br />

BOARD STANDS<br />

ANY CHANCE OF<br />

ACHIEVING THIS<br />

sponsorship income – the JAA chose to walk<br />

away from a minimum royalty of $100,000<br />

per year to start its own show. Again, any<br />

costs incurred in the resulting legal actions<br />

between the JAA and Expertise Events must<br />

be detailed to members also.<br />

The JAA’s next financial report should address<br />

not only the losses incurred up to June 30<br />

this year but also an estimate of unbudgeted<br />

expenses (losses) that will be incurred in the<br />

current financial year. Such a report should<br />

also include any payout to its former executive<br />

director. The JAA will need to release its 16/17<br />

financial report in time for the AGM and one<br />

hopes that it doesn’t raise more questions<br />

than it answers. The JAA cannot afford for<br />

membership to decline further because of<br />

a lack of transparency and accountability;<br />

current and former members deserve to know<br />

the cost of the ill-fated trade show venture.<br />

The industry must see substantive change<br />

at board level if the JAA is to have a future.<br />

Therefore, it’s my opinion that all board<br />

members, including those new board<br />

members who recently filled vacated<br />

positions and who played no part in the<br />

division and turmoil of the past 18 months,<br />

should step aside in the best interests of<br />

the Australian jewellery industry.<br />

If they don’t, it could have far greater<br />

ramifications than they imagine.<br />

Coleby Nicholson<br />

Managing Editor<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 9


UPFRONT<br />

“Big, bold and<br />

colourful statement<br />

pieces that are<br />

imaginative and<br />

wearable works of<br />

art, mainly seen<br />

in the jewellery<br />

houses of Europe.”<br />

What trend excites you the most right now?<br />

BEN TRACY, FINELINES<br />

JEWELLERS<br />

“Midi rings – I’ve<br />

been rocking this<br />

style for years and<br />

have created a<br />

collection for ladies<br />

to have their own.”<br />

CASSANDRA MAMONE,<br />

CASSANDRA MAMONE<br />

FINE JEWELLERY<br />

“Soft pastel coloured<br />

gemstones and<br />

using non-traditional<br />

materials paired with<br />

precious metals.”<br />

GUY ABRAHAMSSON,<br />

JEWELLERS<br />

WORKSHOP GALLERY<br />

VOICE OF THE AUSTRALIAN<br />

JEWELLERY INDUSTRY<br />

jewellermagazine.com<br />

Managing Editor<br />

Coleby Nicholson<br />

Editor<br />

Emily Mobbs<br />

emily.mobbs@jewellermagazine.com<br />

Journalist<br />

Talia Paz<br />

talia.paz@gunnamattamedia.com<br />

Advertising Manager<br />

Gary Collins<br />

gary.collins@jewellermagazine.com<br />

Digital Manager<br />

Angela Han<br />

angela.han@gunnamattamedia.com<br />

BULLETIN BOARD<br />

n DOUBLE UP<br />

Citrine and topaz are the official<br />

birthstones of <strong>November</strong>. According<br />

to the International Colored Gemstone<br />

Association, both gemstones are<br />

popular choices due to their warm,<br />

earthy tones; citrine’s warm neutral<br />

shades look great with rose gold, while<br />

topaz has boundless colour options –<br />

perfect for the budding individual.<br />

n THE ENABLER<br />

Nagging staff to complete a task? Give<br />

them a figurative step-by-step map and<br />

show them how, when and why to get it<br />

done. In 1965, Yale psychologist Howard<br />

Leventhal looked into the ‘remarkable’<br />

power of step-by-step plans. “Opt for<br />

enabling over fear,” is said to be key.<br />

n COLOUR ME HAPPY<br />

For the first time, colour authority<br />

Pantone has unveiled 12 colours<br />

expected to influence jewellery and<br />

fashion trends in the upcoming season.<br />

This is two more than the traditional 10<br />

and is a decision made in response to<br />

the consumer’s need for self-expression.<br />

The fun and playful palette includes<br />

colours such as Little Boy Blue, Ultra<br />

Violet and Lime Punch.<br />

DIGITAL<br />

BRAINWAVE<br />

SPEARHEADING DIAMONDS<br />

Relax, Millennials won’t be the death of diamonds.<br />

That’s according to the Diamond Producers<br />

Association (DPA), which has released a global<br />

marketing campaign aimed at those under the age<br />

of 40 who have essentially never been exposed to big diamond marketing strategies.<br />

One of its goals is to show that diamonds can be an everyday staple, using Instagram<br />

to post ‘in the wild’ shots of diamonds, including hands adorned with diamond rings<br />

clutching passports or diamond rings gracing tattooed hands. Retailers can follow<br />

DPA on Instagram for inspiration or ‘regram’ posts to get in on the action.<br />

TOP PRODUCT<br />

Stones & Silver makes a layered statement with a<br />

collection of necklaces designed to be mixed and<br />

matched. The offering ranges from 35 cm chokers to<br />

100 cm chains, as well as 45–70 cm necklets, lariats<br />

and fobs. This was the most popular product last<br />

month ranked by views at jewellermagazine.com.<br />

Production Manager<br />

& Graphic Design<br />

Jo De Bono<br />

art@gunnamattamedia.com<br />

Accounts<br />

accounts@gunnamattamedia.com<br />

Subscriptions<br />

info@jewellermagazine.com<br />

<strong>Jeweller</strong> is published by:<br />

Gunnamatta Media Pty Ltd<br />

Locked Bag 26, South Melbourne,<br />

VIC 3205 AUSTRALIA<br />

ABN 64 930 790 434<br />

Phone: +61 3 9696 7200<br />

Fax: +61 3 9696 8313<br />

info@gunnamattamedia.com<br />

Copyright: All material appearing<br />

in <strong>Jeweller</strong> is subject to copyright.<br />

Reproduction in whole or in part is<br />

strictly forbidden without prior written<br />

consent of the publisher.<br />

Gunnamatta Media Pty Ltd strives to<br />

report accurately and fairly and it is<br />

our policy to correct significant errors<br />

of fact and misleading statements in<br />

the next available issue. All statements<br />

made, although based on information<br />

believed to be reliable and accurate at<br />

the time, cannot be guaranteed and<br />

no fault or liability can be accepted<br />

for error or omission. Any comment<br />

relating to subjective opinions should<br />

be addressed to the editor.<br />

Advertising: The publisher reserves<br />

the right to omit or alter any<br />

advertisement to comply with<br />

Australian law and the advertiser<br />

agrees to indemnify the publisher for<br />

all damages or liabilities arising from<br />

the published material.<br />

10 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


NEWS<br />

Breakthrough in Melbourne robberies<br />

The Melbourne jewellery industry has again<br />

been thrust into the spotlight with news that<br />

three men have been arrested and charged in<br />

relation to the receiving and selling of stolen<br />

jewellery believed to be linked to a string of<br />

armed robberies in the past year.<br />

Diamond and gold dealer Alejandro<br />

Mendieta Blanco, along with Julio Mendieta<br />

Blanco and Chey Tenenboim, were charged<br />

with handling stolen goods, recklessly<br />

possessing stolen goods and knowingly<br />

possessing stolen goods.<br />

The charges follow warrants executed by<br />

Victoria Police’s Gangs Crime Squad, which<br />

launched an investigation into the selling and<br />

receiving of stolen jewellery after the series<br />

of brazen armed robberies that have taken<br />

place across Melbourne.<br />

Comments by Victoria Police acting<br />

commander Peter De Santo highlighted that<br />

the latest arrests signified not only the police’s<br />

commitment to curbing the crimes but also<br />

the large number of parties involved.<br />

“It’s not only about identifying and targeting<br />

offenders involved in violent incidents at<br />

jewellery stores, it’s also about investigating<br />

what happens after those offences occur,”<br />

De Santo was quoted as stating in multiple<br />

media reports.<br />

All three men appeared at court in October;<br />

they were granted bail and were scheduled<br />

to re-appear at court in January 2018.<br />

According to Fairfax Media, Mendieta Blanco<br />

is also the subject of a major investigation<br />

by the Australian Taxation Office (ATO) for<br />

his alleged participation in the goods and<br />

services tax (GST) fraud scheme involving the<br />

gold bullion and precious metals industries.<br />

Crime syndicate targets jewellery<br />

In other crime-related news, NSW police<br />

have arrested and charged six men in relation<br />

to an alleged international crime syndicate<br />

involving Sydney jewellery ‘dealers’ and the<br />

International <strong>Jeweller</strong>y Fair (IJF).<br />

According to a NSW Police Force statement,<br />

the arrests came after detectives from NSW<br />

State Crime Command’s Property Crime<br />

Squad established a division called Strike<br />

Force Brilliant.<br />

The aim of the division was to investigate<br />

a number of thefts and break and enter<br />

offences, mainly targeting jewellery<br />

‘dealers’ and members of the public making<br />

withdrawals at financial institutions across<br />

Sydney in August and September this year.<br />

It is believed that one incident took place<br />

during the IJF in August and involved the<br />

attempted theft of Thomas Sabo jewellery<br />

valued at $10,000.<br />

All six men appeared at court in October and<br />

were refused bail. They were scheduled to<br />

appear again at court on <strong>November</strong> 13.<br />

The NSW police statement added that<br />

investigations were ongoing.<br />

Alex and Ani exit<br />

Karin Adcock has confirmed that her<br />

business, House of Brands (HOB),<br />

will cease the local distribution of US<br />

jewellery range Alex and Ani.<br />

In an email sent to Australian and<br />

New Zealand stockists, Adcock<br />

advised retailers carrying the brand<br />

that it would be serviced by HOB until<br />

January 15, 2018.<br />

The Alex and Ani ‘concept’ store located<br />

at Westfield Fountain Gate shopping<br />

centre in Melbourne, as well as the eight<br />

‘studios’ – or kiosks – across NSW, Victoria,<br />

Western Australia and South Australia<br />

have consequently closed.<br />

“As you are all aware, the current retail<br />

environment is very challenging and<br />

many businesses have certainly felt<br />

the effects. As a result, we have had to<br />

restructure the House of Brands business<br />

and have shut down the Alex and Ani<br />

retail stores,” the email read.<br />

Adcock added that the US company<br />

was currently assessing how it would<br />

manage the Australian and New Zealand<br />

market in the future.<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 11


NEWS<br />

IN BRIEF<br />

*<br />

DIAMOND SWAP<br />

A 5-carat diamond valued at approximately<br />

$300,000 was stolen from a Cerrone<br />

store in Sydney’s CBD after it was<br />

reportedly switched for a ‘fake’ stone.<br />

The robbery involved a man who allegedly<br />

swapped the loose diamond for a stone<br />

of lesser value before leaving on foot<br />

with the diamond.<br />

*<br />

BODY LANGUAGE<br />

John Russo, the former international<br />

sales director and global trainer of<br />

Hearts on Fire, has been announced as<br />

Nationwide <strong>Jeweller</strong>s’ keynote speaker<br />

for its 2018 annual conference. Russo will<br />

discuss how jewellery retailers can improve<br />

sales through body language<br />

and psychology with his presentation<br />

‘Secrets of Body Language’.<br />

*<br />

RECORD SALE<br />

<strong>Jeweller</strong>y retailer Graff Diamonds has<br />

acquired the world’s largest rough<br />

diamond for US$53 million (AU$67.4 m).<br />

The 1,109-carat Lesedi La Rona is described<br />

as the largest gem-quality rough diamond<br />

in existence. The stone failed to sell at a<br />

Sotheby’s auction last year.<br />

*<br />

GARAGE BROOCH SELLS<br />

A diamond, emerald and ruby brooch<br />

that was purchased at a garage sale in the<br />

US for $US8 (AU$10) sold for US$26,000<br />

(AU$33,110) at a Bonhams New York<br />

Fine <strong>Jeweller</strong>y auction. The brooch,<br />

which originated circa 1900, was bought<br />

at the garage sale by an anonymous<br />

woman as a ‘gift’.<br />

*<br />

SYNTHETIC DEVICE<br />

De Beers Group’s International Institute<br />

of Diamond Grading and Research<br />

(IIDGR) recently introduced Synthdetect<br />

for retailers. The ‘industry first’ synthetic<br />

detection device uses the IIDGR’s<br />

patented luminescence technology to<br />

simultaneously screen diamonds in a<br />

range of jewellery pieces without the use<br />

of a probe. It is said to employ the ‘unique’<br />

approach of detecting natural stones rather<br />

than synthetics.<br />

+ MORE BREAKING NEWS<br />

JEWELLERMAGAZINE.COM<br />

Retailer closes high-profile store<br />

<strong>Jeweller</strong>y retail chain Thomas <strong>Jeweller</strong>s has<br />

announced the closure of its store located<br />

at the Royal Arcade building in Melbourne’s<br />

Bourke Street Mall.<br />

According to a company statement, the<br />

decision to cease operations at the retailer’s<br />

only metropolitan location, which has been<br />

trading for 30 years, is part of a business<br />

overhaul and renewed focus on regional<br />

stores. “With regional Australia the core of<br />

their brand DNA, the move to refocus on their<br />

country stores coincides with an upcoming<br />

rebrand rollout, including fresh store designs,”<br />

the statement read.<br />

Thomas <strong>Jeweller</strong>s reportedly holds a 30 per<br />

cent stake in the Royal Arcade building and<br />

the statement confirmed that a new tenant<br />

for the “prime position” retail space would be<br />

unveiled in 2018.<br />

The news came hot on the heels of an<br />

announcement that Pandora had secured a<br />

lease deal for a six-level building in the Bourke<br />

Street Mall. Annual rent is believed<br />

to be about $1 million.<br />

Les Georgettes commits to market<br />

A recent visit by its vice president and the<br />

establishment of a wholly-owned subsidiary<br />

indicates that French jewellery company<br />

Les Georgettes is committed to making<br />

an impact in the Australian and New<br />

Zealand markets.<br />

Les Georgettes is part of the Renaissance<br />

Luxury Group and its vice president Frederic<br />

Brunel-Acquaviva visited Sydney in early<br />

October with the aim of strengthening<br />

business operations. It follows the<br />

establishment of a company-owned<br />

Australian subsidiary business, Renaissance<br />

Luxury Australia, in June.<br />

Brunel-Acquaviva explained there were<br />

several reasons for his visit, including the<br />

review of the subsidiary’s operations as<br />

well as the sales and marketing strategy. He<br />

acknowledged the local market was “suffering<br />

a bit” by the economic situation and retail<br />

challenges but added he was confident there<br />

was a gap in the market for Les Georgettes,<br />

which specialises in jewellery consisting of<br />

interchangeable colourful band insets.<br />

<strong>Jeweller</strong>s fundraise for sales rep<br />

House of Harvey jewellery store owners<br />

Alannah and Bob Harvey have raised<br />

$3,775 for the Australian Cancer Research<br />

Foundation (ACRF) after completing the<br />

Sydney Running Festival in tribute of a sales<br />

representative who passed away earlier<br />

this year. The two Queensland jewellers’<br />

fundraising efforts were in honour of<br />

Mike Griese, a sales rep for Ikecho Pearls,<br />

<strong>Jeweller</strong>y Centre, Imajpack and AM Imports<br />

who lost his battle with cancer in March.<br />

Alannah stated that the Sydney Running<br />

Festival was an ideal way to generate industry<br />

support for the retailer’s charity efforts and<br />

increase customer relationships, as it was a<br />

high-profile event with many spectators and<br />

national media coverage.<br />

She added the store’s ACRF fundraising<br />

initiatives would continue through to<br />

Christmas, noting several suppliers including<br />

the <strong>Jeweller</strong>y Centre and Adina Watches had<br />

supported the business’ efforts.<br />

12 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


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• Staff Training to be conducted in store by Samsung Product Professionals.<br />

Also retail staff access to the Samsung Plus Online Academy.<br />

• Advertising Support includes availability of TVC in 15 and 30sec formats, and access to print<br />

media materials for local printing and catalogues.<br />

• Marketing Support provided including window decals, in-store posters, lanyards and shirts.<br />

• National Sales Initiative scheduled by Samsung for December with all Gear S3 offered @ $499<br />

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• 2 Year International Warranty provided by Samsung Australia with direct return by consumer.<br />

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NEW PRODUCTS<br />

HERE, JEWELLER HAS COMPILED A SNAPSHOT OF THE LATEST PRODUCTS TO HIT THE MARKET.<br />

PINK KIMBERLEY<br />

The Kimberley Vivala ring is an art deco style<br />

piece featuring five natural Argyle pink diamonds<br />

surrounded by white diamonds. Crafted in 18-carat<br />

rose and white gold, the piece is distributed by<br />

Sams Group Australia. Visit: pinkkimberley.com.au<br />

TW STEEL<br />

Seven styles have been added to the TW Steel Maverick<br />

collection. This watch, one of the latest additions,<br />

comprises a chocolate brown leather strap with navy<br />

sunray dial and rose gold accents. TW Steel is distributed<br />

by Duraflex Group Australia. Visit: dgau.com.au<br />

LOVE IN<br />

A JEWEL<br />

Love in a Jewel’s<br />

collection of<br />

pendants has a<br />

special compartment<br />

that can hold a tiny<br />

note from a loved one. The<br />

pendant is permanently sealed with<br />

the memento. Pictured is the Circle of<br />

Love pendant. Visit: loveinajewel.com<br />

COUTURE<br />

KINGDOM<br />

Celebrate Snow White’s 80th anniversary with this<br />

14-carat gold-plated charm bracelet. The piece is<br />

from the Disney Princess collection.<br />

Visit: couturekingdom.com<br />

IKECHO<br />

PEARLS<br />

Ikecho introduces its sterling<br />

silver and freshwater pearl<br />

hook earrings. The white round<br />

pearls measure 7-8 mm in size.<br />

Visit: ikecho.com.au<br />

CLUSE<br />

The Idylle open circle marble hexagon<br />

bracelet is from the new Cluse jewellery<br />

range, distributed by Heart & Grace.<br />

The bracelets have been designed to<br />

complement Cluse watches, using the<br />

brand’s ‘signature’ metals and raw marble<br />

accents. Visit: heartandgrace.com.au<br />

SWISS ALPINE<br />

MILITARY<br />

This Swiss Alpine Military<br />

by Grovana men’s watch<br />

has a stainless steel<br />

case, 100 m water<br />

resistance and a<br />

sapphire crystal glass.<br />

The Swiss watch<br />

brand is distributed by<br />

Stella Timepieces. Visit:<br />

stellatimepieces.com<br />

14 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


NEW PRODUCTS<br />

LOST RIVER<br />

DIAMONDS<br />

The supplier introduces a range of champagne<br />

diamond jewellery set in white and rose gold as<br />

well as coordinating stacking bands. Pictured is the<br />

Marquise Halo design with two matching bands.<br />

Visit: lostriverdiamonds.com<br />

LES GEORGETTES<br />

These rings with interchangeable coloured bands are inspired by the French<br />

brand’s best-selling bracelet designs. The offering is available in a range of styles,<br />

sizes and finishes. Visit: www.lesgeorgettes.com/au<br />

+ MORE NEW PRODUCTS<br />

JEWELLERMAGAZINE.COM<br />

PASTICHE<br />

Inspired by the fierce and<br />

untamed wilderness, the<br />

Wild Collection echoes<br />

the patterns found in<br />

nature. The Into the Forest<br />

cuff and Whimsy River<br />

ring are made from IPplated<br />

stainless steel.<br />

Visit: pastiche.com.au<br />

LOVE<br />

LOCKETS<br />

Love Lockets presents its<br />

wristlet filled with charms.<br />

The bracelet is rose gold-plated<br />

stainless steel, with charms<br />

being from the Love and Family<br />

and Swarovski collections. Visit: lovelockets.com.au<br />

FABULEUX<br />

VOUS<br />

The Love Goes Round sterling<br />

silver earrings embrace the<br />

trend to mix and match, with<br />

the consumer encouraged to<br />

wear one design in one ear<br />

and a different design in the<br />

other ear. Earrings are also<br />

available as a uniform pair.<br />

Visit: fabuleuxvous.com<br />

BUCKLEY LONDON<br />

BERING<br />

Bering expands its blue mesh<br />

collection with this women’s<br />

watch that features a<br />

blue mother of pearl dial,<br />

blue ceramic bezel and<br />

narrow blue mesh strap.<br />

The brand is distributed by<br />

BYMR. Visit: beringtime.com<br />

The Bayswater collection incorporates soft swirls of rose<br />

gold-plated and rhodium-plated bands that come together<br />

with subtle white crystal details. JLM International distributes<br />

Buckley London. Visit: jlminternational.com.au<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 15


WHITE METALS<br />

White<br />

metal urges<br />

GLEAMING WHITE METALS<br />

CONTINUE TO SHINE. EMILY<br />

MOBBS DISCOVERS THE<br />

TRUTH ABOUT DIFFERENT<br />

ALLOY PROPERTIES AND NEW<br />

TECHNICAL INNOVATIONS.<br />

hite metals need little introduction – these cool,<br />

luminous alloys have been hot property in the<br />

bridal and fashion categories for years.<br />

Yes, trends typically go out of style eventually but a<br />

host of technical innovations and fresh designs are keeping this<br />

bunch forging full steam ahead.<br />

“We are noticing that all white metals are still on trend within our<br />

extensive wedding ring range,” Twin Plaza Metals managing director<br />

Victor Donovic says.<br />

“The upper end of the market is where consumers seem to be<br />

spending,” Donovic continues. “Leading the way are 18-carat<br />

white gold and platinum but also on offer are 9-carat white<br />

gold, palladium 500 and platinum 600, which enable great value<br />

for money.”<br />

Pallion CEO Andrew Cochineas is another supplier experiencing<br />

strong demand for white metals this year.<br />

“It is our highest selling colour above yellow and rose gold,”<br />

Cochineas says, adding that a notable point is the fact that the<br />

percentage of platinum sales has increased.<br />

QUDO<br />

“Although platinum has traditionally been more expensive than<br />

gold, in the current economic market, platinum is trading lower<br />

than fine gold,” he explains.<br />

16 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


At the time of writing, Cochineas states that, “ABC Bullion is currently trading<br />

platinum at $1,197.30 per ounce whereas gold is $1,636.67 per ounce – the<br />

price drop has definitely contributed to the rise in platinum sales.”<br />

Pallion is developing more platinum alloys as a result of this rise in popularity<br />

and demand.<br />

“We have done extensive research and introduced a new alloy, ‘platinum<br />

ruthenium’, driven by our clients,” Cochineas says, adding, “Platinum has<br />

traditionally been difficult to cast but with advances in technology, and specifically<br />

investment material, we are producing a superior product and are able to cast<br />

products that were not previously possible.”<br />

Platinum has long been known as one of the ‘difficult’ members of the white<br />

metals family. It is used in an almost pure form, about 95 per cent, and has<br />

a much higher melting temperature than its white gold cousin, making it<br />

a challenging material to work with.<br />

Phillip Schmidt runs Platinumsmith, a Melbourne-based business specialising<br />

in platinum jewellery – the metal represents about 80 per cent of sales.<br />

He suggests that more jewellers have mastered the metal, regardless of its<br />

difficult reputation.<br />

“I notice most retailers with hand-making skills are doing well with platinum,”<br />

Schmidt says. “I think every competent/experienced goldsmith is up to speed<br />

with most aspects of platinum, and has been for the past five years at least.”<br />

INDUSTRY CONFUSION<br />

Platinum, of course, is only one chapter in the white metals narrative.<br />

According to Peter W Beck founder Peter Beck, white gold is the most popular<br />

metal across his wedding ring and precious metals departments.<br />

Beck says that confusion in the market currently exists when comparing white<br />

gold, platinum and palladium.<br />

“White gold has some advantages over platinum as it is easy to repair and to<br />

refurbish,” Beck explains. “One negative to white gold, that many consumers<br />

are unaware of, is that it does require rhodium plating to maintain its white<br />

appearance, which will dull from wear.<br />

“Platinum is very good for fine filigree type work and stone setting due to its<br />

very good wear resistance. Platinum does not require rhodium plating so in turn<br />

does not need to be refurbished as often; however, platinum is somewhat more<br />

expensive due to manufacturing costs and the cost of the raw material.”<br />

Like Cochineas, Beck<br />

highlights his business’<br />

endeavours to keep up with<br />

the latest technologies and<br />

alloy developments.<br />

“We are currently<br />

PETER W BECK<br />

researching a white gold<br />

alloy that does not require<br />

plating,” he says. “The challenge is to create a very white alloy that can still be<br />

easily melted and fabricated and withstand daily wear.”<br />

Beck confirms that the alloy will launch once the supplier is satisfied with its<br />

durability and ability to be fabricated.<br />

Further, he states that there is confusion amongst manufacturing jewellers about<br />

which white alloy is best suited to their requirements.<br />

“Peter W Beck acknowledges this need and has produced multiple white alloys<br />

to accommodate demand, including setting alloys, general fabrication, palladiumrich<br />

alloys and nickel-free alloys for the growing number of consumers with<br />

nickel allergies.”<br />

Donovic adds that overcoming confusion regarding white metal properties<br />

involves a constant education process for retail staff and consumers.<br />

“It is really important to understand the difference,” he says. ”Our best performing<br />

customers are the ones that are prepared to have real live stock and variety of<br />

white metals in their windows to be able to explain to consumers the difference.<br />

The bigger the selection of live stock the more chance you have of making the<br />

sale and up-selling your product.”<br />

It is understandable that there are misconceptions given the large number of<br />

metals and alloys available.<br />

Cochineas is another who notes the confusion in the market when comparing<br />

white gold, platinum and palladium: “We have found that customers don’t<br />

understand the difference between platinum and white gold and there is also<br />

confusion between the properties of 18-carat and 9-carat white gold – customers<br />

tend to think that 9-carat gold is harder than 18-carat gold; however, the exact<br />

opposite is true.”<br />

SILVER TRUTHS<br />

According to Indiri owner and designer Josh Smith, misunderstandings also exist<br />

in the world of sterling silver.<br />

DYRBERG/KERN INDIRI CUDWORTH ENTERPRISES PALLION<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 17


WHITE METALS<br />

FERVOR MONTREAL<br />

“There seems to be a lot of confusion about the difference between 925 and<br />

sterling silver, when in fact there is no difference,” Smith says.<br />

“I always try to give a simple answer that sterling is any silver that is 92.5 per cent<br />

pure silver or higher. I explain that sterling silver is way too soft to work with when<br />

it is pure, so it is most frequently mixed with copper to give it strength; this is<br />

a story I find myself saying over and over, particularly at trade fairs. I’m amazed<br />

there is still a lot of confusion about what constitutes sterling silver and how it<br />

relates to ‘925’.”<br />

In a well-covered corner of the market, one way Smith is distinguishing his<br />

product is with a unique alloy.<br />

“We use our own proprietary alloy of sterling that gives our items the right mix of<br />

strength, flexibility and tarnish resistance,” Smith explains.<br />

“One of the biggest issues with sterling silver is tarnish. Being able to add tarnish<br />

resistance helps a lot as it greatly reduces time spent polishing silver jewellery on<br />

store shelves.”<br />

Darren Roberts is director of men’s jewellery supplier Cudworth Enterprises.<br />

He too believes there is confusion regarding the properties of sterling silver,<br />

particularly amongst males.<br />

When discussing new technological innovations and design methods employed<br />

by Cudworth, Roberts points to gun metal and pearl rhodium plating.<br />

“Gun metal is a dark grey colour and pearl is similar to brushed with a slight satin<br />

finish,” he explains, adding that the plating gives the pieces a more modern and<br />

masculine look while also preventing tarnishing or oxidising.<br />

Jodie Tilia, director of Fervor Montreal local distributor JLM International, explains<br />

that a recent addition to the Solitaire collection is a brushed finish designed to<br />

highlight the sparkle of the Swarovski crystals used in the sterling silver pieces.<br />

When asked about recent technological advancements, Tilia discusses the Crossfor<br />

technology incorporated in the Canadian range’s Dancing Gems collection.<br />

Using the technology, the crystals are set in a way in which they imitate the<br />

movement of a swing.<br />

Understanding the properties of sterling silver and being able to communicate<br />

these to consumers is also important given the influx of plated base metal<br />

jewellery, according to Smith.<br />

“With so much plated base metal jewellery in the market, it raises the perceived<br />

value of solid sterling items,” he explains, adding, “For those of us producing highquality,<br />

solid sterling silver jewellery,<br />

there is no point in competing on<br />

TWIN PLAZA METALS<br />

price; however, it is important to<br />

educate stores and sales staff so<br />

they can explain the differences<br />

between solid and plated jewellery.”<br />

#101<br />

WHITE GOLD is an alloy of yellow gold and at least one other white<br />

metal, such as palladium or silver. The colour of white gold can<br />

vary, depending on the alloy formula used, and pieces are normally<br />

plated with rhodium to enhance the white colour. Rhodium does<br />

wear, meaning white gold should be re-plated about every 12-18<br />

months, depending on the frequency of wear. It is available in a<br />

variety of carats.<br />

PLATINUM is used in jewellery in an almost pure form, about 95 per<br />

cent. This rich purity makes the metal hypoallergenic, and its natural<br />

white colour will not tarnish or lose its lustre. Platinum is long-wearing<br />

and one of the strongest metals to manufacture.<br />

PALLADIUM is part of the platinum group of metals but has a slightly<br />

different shade of white than platinum and is less dense. It is resistant<br />

to corrosion, won’t tarnish and doesn’t require rhodium plating.<br />

PLATINUMSMITH<br />

INDIRI<br />

STERLING SILVER is a highly malleable metal, which lends itself to a<br />

wide range of design options. It is also less expensive than other white<br />

metals such as gold, platinum and palladium. It is, however, inclined to<br />

tarnish and is much softer than other metals, meaning it is not ideal for<br />

everyday use.<br />

STAINLESS STEEL is resistant to corrosion and offers affordability and<br />

low maintenance. The metal is quite rigid and inflexible and has long<br />

been popular in the men’s market; however, a host of technological<br />

advancements that allow for the incorporation of feminine elements<br />

like gemstones and intricate designs has meant that the demand for<br />

the metal among women is definitely increasing.<br />

18 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


GERMANY<br />

Timesupply<br />

watches + jewellery<br />

p +61 (0)8 8221 5580<br />

sales@timesupply.com.au<br />

timesupply.com.au<br />

exclusive distributor AU & NZ


WHITE METALS<br />

PETER W BECK<br />

STEEL APPEAL<br />

Stainless steel is also no stranger in the white metals family, having<br />

established its own foothold in jewellery retail stores several years ago.<br />

Like sterling silver, Roberts believes that confusion exists regarding the<br />

properties of stainless steel.<br />

What are the major misconceptions surrounding the metal?<br />

“That stainless steel is more of an industrial metal for construction<br />

rather than jewellery,” Roberts responds.<br />

He adds that 316L is the only grade that should be used for jewellery,<br />

explaining that 304 is a thinner grade that is cheaper and inferior in<br />

quality compared to 316L.<br />

Tilia, who also distributes Dyrberg/Kern jewellery, says stainless steel<br />

has many selling points that retailers should be promoting during<br />

sales conversations.<br />

“Stainless steel is a very hard, strong and durable metal alloy with<br />

a content of iron and chrome,” she states, adding, “Stainless steel<br />

undergoes a number of processes, which make it practically scratch<br />

free and resistible to corrosion and oxidation.”<br />

Part of this process is a ‘top coat’, or ion plating, that prevents oxidation.<br />

“Ion plating is one of the most advanced surface finishing processes<br />

on the market – it is carried out in a vacuum environment and makes<br />

the top plating more durable and resistant,” she says.<br />

“The greatest advantage of the ion plating process is that the surface<br />

created is both harder and chemically more stable than that produced<br />

through traditional wet plating methods.”<br />

While such factors are arguably selling points for stainless steel, Ken<br />

Abbott, managing director of Qudo local distributor Timesupply,<br />

believes its properties aren’t the only reasons consumers are drawn<br />

to the metal.<br />

“Stainless steel is a widely accepted metal for fashion jewellery but<br />

it is of course the strength of the design element that will make it a<br />

desirable purchase,” Abbott explains, adding, “The way the design looks<br />

and appeals is more important to the consumer than the fact it is<br />

made from stainless steel.”<br />

Indeed, selecting a white metal is not a question of determining which<br />

one is better than the other but rather which one suits a consumer’s<br />

individual needs.<br />

Each metal in this family brings different attributes and benefits and<br />

it will be one white-hot summer once retailers master this. i


ENGAGEMENT SPOTLIGHT<br />

Marriage<br />

material<br />

IN CELEBRATION OF<br />

‘ENGAGEMENT SEASON’,<br />

EMILY MOBBS SEEKS ADVICE ON<br />

THE LATEST MARKET TRENDS<br />

AND OPPORTUNITIES IN THE<br />

ENGAGEMENT RING SECTOR.<br />

ccording to marketing gurus, ‘engagement season’ is here!<br />

Engagement season, a term coined in the US (naturally), refers to the period<br />

spanning Thanksgiving in <strong>November</strong> through to Valentine’s Day in February<br />

where there’s a spike in the number of marriage proposals.<br />

True, Australians do not celebrate Thanksgiving and cynics might deem engagement<br />

season a cheap marketing ploy but what’s the harm in embracing a phenomenon<br />

that helps to boost engagement ring sales?<br />

Reports suggest that the festive and New Year period is still a peak time worldwide<br />

for people to get down on one knee – it is a sentimental occasion with a focus on<br />

family after all. From a practical perspective, it also allows for sufficient time to plan a<br />

wedding in either autumn or spring, which are traditionally popular wedding seasons.<br />

In celebration of this exceptionally romantic period, <strong>Jeweller</strong> is shining a light on the<br />

engagement ring sector. The following pages combine the opinions of those working<br />

in the sphere with the aim of providing insight on the trends and influences currently<br />

dominating the market.<br />

INTRODUCING THE ENGAGEMENT RING PANEL<br />

CHRIS WORTH<br />

DARSHAN MEHTA<br />

JUSTIN LINNEY<br />

ROBIN SOBEL<br />

Head of marketing and sales<br />

Worth & Douglas<br />

Director<br />

DSM Pacific<br />

Creative director<br />

Linneys<br />

Managing director<br />

Protea Diamonds<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 21


ENGAGEMENT SPOTLIGHT<br />

Bling<br />

What is your best-selling engagement ring and why?<br />

WORTH & DOUGLAS<br />

LINNEYS<br />

Chris Worth: We still do very well with the halos and the<br />

classic solitaire. White gold and platinum remain the most<br />

commonly asked for metals in these styles.<br />

We find if it’s not a classic design that consumers are after,<br />

then it’s more their own bespoke design.<br />

Darshan Mehta: Our Galaxy Collection consisting of<br />

single halo and double halo diamond engagement rings<br />

is our most successful and best-selling range.<br />

The offering consists of nine shapes – round, cushion,<br />

princess, emerald, pear, oval, trilliant, marquise and heart –<br />

available with a 50 point, 70 point or 1-carat GIA-certified<br />

centre diamond, along with a valuation certificate.<br />

Right now, round, pearl and oval shapes are the most<br />

in demand. Halo engagement rings have always been<br />

popular and they will continue to be so because it gives<br />

room to create a tailor-made solution as per the buyer’s<br />

budget and choice.<br />

Justin Linney: Our best-selling engagement ring is our<br />

signature solitaire round brilliant cut design. This classic<br />

style enhances the beauty of the round diamond for a<br />

simple yet elegant and timeless look. It is a design that<br />

we have refined over the years to ensure the proportions<br />

are perfect. White gold is by far the most popular metal.<br />

Robin Sobel: We have three best-selling rings. The first<br />

is the illusion baguette ring with a halo design and<br />

diamonds running down the band.<br />

The second and third feature a double halo ring design<br />

with a split band of diamonds – one has a princess cut<br />

diamond and the other has a round brilliant cut diamond.<br />

The most popular metal is 18-carat white gold.<br />

The reason they are best sellers? Well, the emerald ring<br />

is illusion set so it looks like a 1.50-carat stone but in fact<br />

has a total weight of 0.50 carats. The other two rings are<br />

also made to look larger because they have a double<br />

halo of diamonds surrounding the centre stone.<br />

Mounting pressures<br />

What are the main issues currently impacting the engagement ring sector?<br />

Chris Worth: I believe the top three issues that are impacting the industry right<br />

now are online loose diamond sales, synthetic diamonds and shoppers wanting<br />

more bespoke designs.<br />

Robin Sobel: The internet – consumers are doing their homework but there is<br />

so much information out in the market that they are getting very confused.<br />

Consumers also believe everything they see on the internet, and that there are<br />

plenty of bargains out there. I try to explain that if it’s too cheap there must be<br />

something wrong with the stone.<br />

We also try to explain that not every certificate is the same, and that stones vary<br />

by up to two colours and two purities, depending on what certificate they get –<br />

even GIA certificates are not as accurate as they were five years ago.<br />

Darshan Mehta: Blind online buying of diamonds is the biggest issue that is<br />

impacting the engagement ring sector – big time. There are increasingly more<br />

cases of mismatch in quality of what is ordered and what is received when<br />

diamonds are bought online. Buyers must see what they are buying, and this<br />

awareness should be propagated.<br />

Justin Linney: Firstly, people are purchasing engagement rings online without<br />

being properly educated. At Linneys we encourage our clients to come into<br />

the showroom to view our range of engagement rings and loose diamonds.<br />

Our online showroom provides a convenient platform for customers to<br />

purchase lower priced items, but for significant pieces, and engagement rings<br />

in particular, we encourage our customers to view the collection instore for the<br />

full buying experience so we can provide a higher level of service.<br />

Secondly, customers are being misinformed through information made<br />

available to them online. A lot of people browse the internet for information<br />

on diamonds and engagement rings and often this information is not coming<br />

from a reliable source. It’s good that customers are researching before buying<br />

but sometimes this means they have already made their mind up about the<br />

most suitable cut, colour, clarity and carat weight for them before they have<br />

even looked at a diamond in real life.<br />

Managing customer expectations regarding the size of the diamond is another<br />

issue. As previously mentioned, unfortunately customers often have unrealistic<br />

expectations on what they want as an engagement ring. I think this is largely<br />

because they are being flooded with images and videos online, particularly<br />

on social media, of extremely high value engagement rings. This is impacting<br />

the engagement ring sector as people are comparing<br />

themselves to what they constantly see online<br />

and the budget for the ring often doesn’t<br />

permit the use of a large diamond<br />

similar to what’s seen and expected.<br />

Regardless of the design, there<br />

is just no way you can make a<br />

1.00-carat diamond ring look like a<br />

5.00-carat diamond ring!<br />

PROTEA DIAMONDS<br />

22 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


The cost of love<br />

Do your sales suggest that the end-consumer<br />

is spending more/less/the same on<br />

engagement rings this year?<br />

Robin Sobel: Clients are definitely spending more on engagement<br />

rings; however, they are much better informed on quality and<br />

pricing so margins are being squeezed. This is why we do a lot<br />

of illusion set jewellery; we also hand select diamonds all with<br />

GIA certificates.<br />

Chris Worth: Spending more.<br />

Darshan Mehta: Yes, I suggest consumer<br />

spending on engagement rings has<br />

increased compared to the previous year.<br />

Justin Linney: We have noticed people<br />

spending more on engagement rings<br />

this year. Most people are spending 20 per<br />

cent more on rings while others are close to<br />

30 per cent. We believe that there are many things<br />

that have influenced this change, one influence<br />

being social media. The engagement market is<br />

highly influenced by social media and consumers are<br />

constantly exposed to larger diamond rings.<br />

DSM PACIFIC<br />

tellers<br />

What engagement ring designs<br />

do you predict will be popular<br />

over the next year?<br />

Award Winning<br />

UK Fashion <strong>Jeweller</strong>y<br />

www.buckleylondon.com<br />

DSM PACIFIC<br />

Chris Worth: Halos, solitaires, rose gold, morganite<br />

and aquamarine.<br />

Robin Sobel: We custom make a lot of jewellery<br />

so we are finding fancy shapes are very popular<br />

and rings with halos and diamonds down the<br />

band. Rose gold is also getting very popular with<br />

the eternity bands.<br />

Darshan Mehta: Oval and pear shaped halo rings.<br />

Justin Linney: I think the trend towards fancy<br />

shapes will continue but round brilliant cuts<br />

will always dominate engagement ring designs.<br />

Ovals and pears will remain strong as people<br />

start to consider styles that don’t feature a halo of<br />

diamonds around the central stone and we might<br />

see a push towards three stone rings and more<br />

classic designs.<br />

Exclusive Distributor<br />

Australia, New Zealand & Fiji<br />

info@jlminternational.com.au<br />

AU: +61 9247 8249


WORTH & DOUGLAS<br />

Point of<br />

difference<br />

What is unique about your<br />

engagement ring offering?<br />

Chris Worth: Our rings are made in New Zealand,<br />

we offer solid quality shanks, CAD and alterations,<br />

matching wedding bands and quick delivery, to name<br />

a few.<br />

Robin Sobel: The services we provide. We resize rings<br />

on order and offer a five-year guarantee provided<br />

a jeweller does not tamper with the product. We<br />

also replace any lost small stones provided it is the<br />

manufacturer’s fault.<br />

Darshan Mehta: The Galaxy Collection is inspired<br />

by the dazzling stars of the galaxy and offers a wide<br />

variety of diamond shapes, which allows retailers to<br />

personalise the range as per their potential customer’s<br />

choice. Our range is a fully-finished product, meaning<br />

retailers save a lot of time. The consistent pricing and<br />

supply is the game winner. It’s a ‘ready-to-go’ solution<br />

for retailers. They can choose to carry all shapes or a<br />

smaller selection.<br />

Justin Linney: At Linneys, we have our designers,<br />

workshop, showroom and administration all on site at<br />

our Subiaco headquarters in Perth, Western Australia.<br />

When it comes to engagement rings, this is ideal<br />

because it allows us to sit down with customers and<br />

discuss their ideas to create a unique and personalised<br />

piece of jewellery with a fast turn-around time for<br />

urgent jobs. We can also monitor the quality to a high<br />

degree as all of our team is on site. i<br />

PROTEA DIAMONDS


CHRISTMAS TIPS<br />

Dreaming of a<br />

prosperous<br />

Christmas<br />

THE COUNTDOWN TO CHRISTMAS<br />

HAS BEGUN. AS TALIA PAZ REPORTS,<br />

THERE ARE PLENTY OF FESTIVE-<br />

FRIENDLY RETAIL STRATEGIES THAT<br />

CAN BE IMPLEMENTED TO ENSURE<br />

THIS YEAR IS ONE OF THE MOST<br />

SUCCESSFUL, AND MERRY, YET.<br />

he lead up to December 25 is a busy period filled with sales<br />

opportunities; however, additional foot traffic and a mighty<br />

turnover in stock can also equal stress galore.<br />

Preparing early is key so with that in mind, here are four focus<br />

areas to help ensure stores are in a strong position this festive season.<br />

The countdown to Christmas is officially under way.<br />

THE DREAM TEAM<br />

Consider this – teamwork makes the dream work. A successful store is<br />

only as strong as its staff, and how jewellery storeowners manage their<br />

business this festive season will ultimately make or break sales.<br />

According to financial services and mobile payment company Square,<br />

there is no underestimating the value of reviewing last year’s sales from<br />

the weeks heading into Christmas to identify what days are likely to be<br />

busy before rostering staff accordingly.<br />

The company’s website advises business owners to ensure team members<br />

submit their Christmas availability well in advance and have a shortlist of<br />

backup employees on hand should unforseen emergencies crop up.<br />

Promoting discussion amongst team members about how to combat<br />

workplace stress during the pre-Christmas rush is another worthy<br />

action step.<br />

A report by non-profit organisation Helpguideorg International – which<br />

publishes reports on mental health topics – emphasises the importance<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 25


CHRISTMAS TIPS<br />

of communicating with employees one-on-one.<br />

Advice to business owners about tackling staff workplace stress states: “Talk to<br />

them about the specific factors that make their jobs stressful [and] give workers<br />

opportunities to participate in decisions that affect their jobs. Show that individual<br />

workers are valued and appreciated and that job stress is taken seriously.”<br />

Further, a report by Frontline Recruitment Group outlines that retailers need to<br />

schedule regular staff meetings that clearly state what the demands of each<br />

employee are and what guidelines are to be followed during the busy period.<br />

Preventing product loss is also an area retailers will need to discuss with staff<br />

sooner rather than later. As well as having an effective inventory management<br />

system and up-to-date security measures, Wes Wernette, a business-to-business<br />

marketing consultant, recommends ensuring staff are trained in loss-prevention<br />

techniques so everyone knows how to identify theft – and what to do if it occurs.<br />

Harvey Norman loss prevention manager Michael Neary offers similar advice in a<br />

training manual for Retail Excellence Ireland.<br />

“Have strict policies on refunding, staff purchases, stock movement, cash handling<br />

and all areas where theft can occur,” Neary advises, adding that establishing a<br />

duress code word so staff can summon assistance from other staff members can<br />

also be of help.<br />

FILL UP THE STOCK(INGS)<br />

Successful jewellers will know that smart stock management in the lead-up to<br />

Christmas is crucial. Retail Edge Consultants co-founder and business mentor<br />

David Brown suggests retailers begin by reviewing what worked and didn’t work<br />

for the festive period last year. What were the best-performing categories? Were<br />

there any customer requests that were not satisfied? After key issues have been<br />

addressed, it’s time to stock up.<br />

“Above all else – re-order fast sellers,” Brown says. “The secret to more sales is<br />

having more of the right product. The right product is the one that your customers<br />

are telling you they like – and it’s their wallets that are doing the talking.”<br />

Brown adds that not only should jewellers be immediately re-ordering items that<br />

are quickly selling but they should keep re-ordering these until customers stop<br />

buying them. “Make sure everybody knows how critical these key pieces are and<br />

give them the VIP treatment. Don’t leave them in the economy queue when they<br />

deserve business class check-in!”<br />

Francesca Nicasio, a <strong>Jeweller</strong> contributor and retail and content strategist for retail<br />

management software business Vend, advises not to forget to stock up on holiday<br />

merchandise and associated provisions well in advance – think receipt paper, gift<br />

boxes, pens, tags and cleaning supplies.<br />

Nicasio points to return policies too: “Be clear about how you’ll process returns.<br />

Will you issue cash refunds or store credit? Will you allow shoppers to return<br />

items without a receipt? These are just some of the matters<br />

you’ll need to address. There is no one-size-fits-all policy<br />

for returns and exchanges, so craft your rules<br />

based on what makes the most sense for your<br />

business. Whatever you decide, though,<br />

communicate it clearly<br />

with your staff.”<br />

US jewellery<br />

industry<br />

magazine Instore<br />

suggests a novel idea – implementing a “distinctive” return policy, such as offering<br />

customers 110 per cent back on items – as long as the customer accepts a store<br />

credit rather than a cash or credit refund. Keep it strictly limited to items purchased<br />

over the festive period, it adds.<br />

DIGITAL INNOVATION<br />

Secret Santa buyers, last minute shoppers, early-bird consumers and generous<br />

high-value gift-givers; retailers should be targeting all of these customers both<br />

offline and online.<br />

It might seem obvious but retailers would do well to remember to update<br />

websites and social media accounts with any special Christmas trading hours.<br />

A good suggestion is for retailers to not only give their websites a festive makeover<br />

by incorporating Christmas motifs, such as stars and wrapped gits onto the<br />

homepage and business logo, but also take it a step further by adding a Christmas<br />

Day countdown to the site – it can generate excitement and send a subtle<br />

reminder to customers that time is running out.<br />

A similar theme can carry through to social media channels.<br />

There is no shortage of Christmas social media campaign ideas online; however,<br />

why not start by conducting a ‘12 days of Christmas’ promotion? Businesses can<br />

schedule a themed post for each of the 12 days leading up to Christmas Day – it<br />

might be an announcement that the store is providing a free gift-wrapping service<br />

on December 18 and a complimentary ring clean on December 20.<br />

Mary Stribley writes on graphic-design tool website Canva that utilising snapshots<br />

from customers is another easy and engaging promotion. Stribley provides<br />

Starbucks as an example of a business that gets “heavily into the holiday season”<br />

by posting Christmas-themed – and Starbucks-themed – images, both crowdsourced<br />

and from its own content, on platforms like Instagram.<br />

Marketing magazine’s blog has this advice for jewellers wishing to spread their<br />

social media efforts across more than one platform: “Different methods work<br />

better on different platforms. Instagram favours a hashtag-heavy approach –<br />

#ChristmasDeals #XmasOffers #SpecialHolidays – which also works on Twitter<br />

but doesn’t have the same impact on Facebook. Tailor your content to suit each<br />

platform and spread goodwill widely.”<br />

Remember that special offers, sales and promotions need to be shared across all<br />

marketing channels including in-store, social media and websites.<br />

Don’t forget the store’s existing customers – email marketing is ideal for them.<br />

Rebecca Hesilrige, content marketing manager for email and SMS marketing<br />

provider Pure360, suggests that retailers make sure that even online offers can be<br />

redeemed in-store to maximise redemption, and that the Christmas marketing<br />

message is consistent wherever the consumer chooses to interact with the brand.<br />

According to Michelle Anh Hoang, marketing executive for digital online<br />

marketing business Beeketing, retailers also shouldn’t undervalue sending<br />

personal e-greetings to loyal and valuable customers.<br />

“During the holiday season, all people are in a joyful mood that they send<br />

greetings to everyone they know and [as such] receiving season greetings don’t<br />

seem like annoyances,” Anh Hoang states.<br />

“The key is to be thankful for their continued patronage to your store. Within the<br />

message, you can include the following – an introduction of your upcoming<br />

holiday sale and a ‘save the date’ button, and an inclusion of their latest purchases<br />

or past holiday purchases with corresponding product recommendations.”<br />

26 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


CHRISTMAS TIPS<br />

CHRISTMAS<br />

Ensure all staff know exactly what promotions and<br />

offers have been made via social media and email so<br />

there are no mixed messages in store.<br />

Retail Edge Consultants recommends ordering lunch for the<br />

whole team on the busiest days – it will definitely boost morale.<br />

Don’t underestimate the value of gift-wrapping.<br />

According to a 2016 joint study by Koji, the ACRS research<br />

unit and POPAI, consumers whose Christmas purchases<br />

were gift-wrapped by retailers had an “excellent experience<br />

and reason” for shopping.<br />

Lobe layering, statement earrings and mixed metals are just some<br />

of the hottest fashion trends heating up this spring-summer. Head<br />

to jewellermagazine.com to see what other styles will be influencing<br />

consumer purchase decisions this Christmas.<br />

Add some ‘Greenery’ to the store! Colour authority Pantone<br />

has named Greenery as its <strong>2017</strong> colour of the year. The shade<br />

can be used in many colour combinations, and let’s not forget<br />

that it ties in with Christmas decorations perfectly.<br />

VISUALISE, MATERIALISE<br />

According to a 2016 joint study by Koji, the Australian Consumer, Retail and<br />

Services (ACRS) research unit and POPAI, 73 per cent of consumers are doing their<br />

Christmas shopping exclusively in bricks-and-mortar environments. This means<br />

retailers really do need to ensure they are attracting shoppers with the right sights,<br />

sounds and smells this festive season.<br />

Vital information that should be on full display to customers include opening<br />

hours – a blog post for visual display supplier UK POS recommends listing<br />

hours from December 23 up until January 3 – and, if appropriate, final dates<br />

for online orders.<br />

Visual merchandiser Sarah Quinn tells Australian retail news website Retailbiz that<br />

retailers should revise company values and their target market before devising<br />

visual merchandising displays ahead of Christmas.<br />

“Each week, schedule 15 minutes to experience your shop like your customers,”<br />

Quinn explains. “Sit out the front of your shop and see what customers see. Enter<br />

your shop and walk through it as a customer. You could also photograph your<br />

store – the windows, displays, counter, aisles, fixtures, tables, walls – and make<br />

note of what needs fixing. The small things can make a difference.”<br />

Christmas is a time of excitement, nostalgia, family and most importantly, an<br />

opportunity to stop and reflect; therefore, it is imperative retailers are forging<br />

emotional connections with all who step foot in store.<br />

According to ‘ambient scenting’ specialist Prolitec, Christmas carols are a mainstay<br />

in retail because they invoke nostalgia. Yes, carols may get annoying but the<br />

business suggests that the more nostalgia retailers can create the greater the<br />

sales opportunities.<br />

“Studies show that when people feel nostalgic, they’re more generous, less<br />

concerned with keeping control of their money and willing to pay more for<br />

products,” the article reads.<br />

However, it states that retailers should not rely on music alone and should instead<br />

combine the sounds of Christmas with the smells of Christmas.<br />

“Often, patrons don’t even consciously perceive scents. Yet, smell can evoke<br />

nostalgic feelings even more powerfully than other ambient elements,” it explains.<br />

Nick Terket, a marketing executive and contributor to business website<br />

Business2Community, also notes how retailers can leverage the smells that are<br />

often associated with the season – fruit mince pies, anyone? – to their advantage.<br />

“The sense of smell is so basic that we’re often not even aware of how scents<br />

affect our memories and emotions,” Terket writes. “With that in mind, include<br />

planning a scent marketing component along with sight and sound<br />

in your Christmas marketing plan. You’ll be providing<br />

something shoppers can’t get online: an<br />

enjoyable, memorable experience<br />

that touches the senses.”<br />

Remember too that beautifully<br />

packaged goods enhance the in-store<br />

experience and business reputation. A<br />

Shopify blog offers some tips to up the<br />

gift-wrapping ante.<br />

“Think about sweet and unexpected<br />

bonuses like a small seashell, a small<br />

tag with a special or inspirational quote<br />

printed on it, or even a little jingle bell that<br />

customers can tie onto their pets’ collars,” the blog<br />

states. “The possibilities are endless, and the fact<br />

that you’re giving shoppers a ‘bonus’ and going<br />

above and beyond the normal wrapping humdrum<br />

speaks volumes about how much you value<br />

their business.”<br />

Christmas is fast approaching, meaning it’s now time for<br />

retailers to get down to business, review those creative ideas,<br />

finalise procedures and let the countdown<br />

to the jolly day begin. i<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 27


INDIAN JEWELLERY FAIR<br />

Australia on show at<br />

Indian jewellery fair<br />

WHILE THE INDIA INTERNATIONAL JEWELLERY<br />

SHOW IN MUMBAI IS ONE OF THE INDUSTRY’S<br />

LARGEST, FEW PEOPLE REALISE THE IMPORTANCE<br />

OF AUSTRALIA TO THE INDIAN DIAMOND<br />

MARKET. COLEBY NICHOLSON REPORTS.<br />

he prestigious India International <strong>Jeweller</strong>y Show (IIJS) is always a large<br />

and busy event and this year’s 34th edition was no different. Organised<br />

by the Gem and <strong>Jeweller</strong>y Export Promotion Council (GJEPC) and running<br />

in late July, the trade fair’s exhibitor numbers peaked at more than 2,200<br />

and visitor numbers increased to more than 35,000 compared to the previous<br />

year’s 33,500.<br />

Visitors came from not only India but also from the Middle East, South East Asia,<br />

the Far East and Australia.<br />

Perhaps more than ever before, this year’s show demonstrated the connection<br />

between the Indian and Australian diamond markets. On entering the major<br />

exhibition halls one could not help but notice the large and prominent advertising<br />

for Rio Tinto Australian diamonds.<br />

In addition to having a prominent marketing message at the event, Rio Tinto’s vice<br />

president of sales and marketing, Alan Chirgwin, took an active role in the official<br />

inauguration of the show.<br />

Noting that this year’s IIJS was the 34th edition, Chirgwin said, “This is a significant<br />

number for Rio Tinto because it’s also 34 years since we began mining for alluvial<br />

diamonds from our Argyle diamond mine.<br />

“Thirty four years ago, very few people would have predicted that diamonds<br />

from creek beds and streams in a remote part of Western Australia would lead<br />

to a strategic partnership with India, creating new markets for fashion jewellery<br />

in the world’s largest retail diamond jewellery market.”<br />

Chirgwin went on to explain that as the Argyle mine virtually doubled world<br />

diamond production overnight, the Indian diamond industry worked hand<br />

in glove with Rio Tinto to truly understand the supply chain in order to create<br />

demand for Argyle diamonds.<br />

FUTURE GOALS<br />

GJEPC chairman Praveenshankar Pandya also outlined the council’s vision to<br />

boost gross export revenue of Indian gemstones and jewellery from its current<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 29


INDIAN JEWELLERY FAIR<br />

US$43 billion (AU$55 b) to US$60 billion (AU$76.7 b) by 2022.<br />

“I am overwhelmed with the ever increasing response for IIJS and this kind of<br />

participation has taken this show and the Indian gems and jewellery industry<br />

to a different level altogether,” Pandya said.<br />

“We are working towards the introduction of jewellery parks on the lines of IT<br />

parks across India in the prominent gems and jewellery areas. We are looking for<br />

a bigger venue to host the next IIJS to accommodate more jewellery enthusiasts<br />

who wish to participate in IIJS.”<br />

Saunak Parikh, convener of GJEPC’s national exhibitions sub-committee, said this<br />

year’s IIJF was the “largest ever”.<br />

“There were good sales reported from all segments, and while exhibitors in<br />

the gold jewellery segment did extremely well, those in the diamond jewellery<br />

segment were also extremely satisfied,” Parikh said, adding, “It is a reflection of<br />

the current situation in India – the market is doing reasonably well.”<br />

MAJOR INITIATIVES ANNOUNCED<br />

The IIJS was also used as a platform for several other initiatives such as the<br />

International Diamond Monitoring Committee.<br />

Organised by GJEPC and the Bharat Diamond Bourse (BDB), the new committee<br />

aims to increase consumer confidence in diamond jewellery and will reportedly<br />

focus on making affordable detection machines available at every level of the<br />

supply chain, as well as implementing standardised language on how to refer<br />

to synthetics.<br />

World Federation of Diamond Bourses (WFDB) president Ernie Blom explained<br />

that he was one of several industry representatives who participated in committee<br />

discussions during the trade show.<br />

“All the major diamond industry bodies, including the WFDB and the Diamond<br />

Producers Association, took part in exhaustive discussions on the subject,” Blom<br />

said at the time.<br />

“We stress that we do not have any objection to trading in synthetic stones, only<br />

that they are fully disclosed so that consumer confidence in our product is not<br />

damaged in any way,” he added.<br />

CHARITY DINNER<br />

GJEPC, in association with De Beers Group, hosted the second edition of the<br />

<strong>Jeweller</strong>s for Hope gala charity dinner on the first evening of the IIJS.<br />

The event aims to contribute to the education and empowerment of young girls<br />

and was said to be attended by celebrities as well as prominent members of the<br />

gemstone and jewellery industry.<br />

“The gem and jewellery industry has been involved in large-scale philanthropic<br />

and charitable activities particularly in the field of education and health long<br />

before CSR (corporate social responsibility) became mandatory,” Pandya said,<br />

adding, “I am overwhelmed by the contribution by the industry donors and<br />

convey gratitude to De Beers, whose support made this event successful.”<br />

GJEPC also organised a special event one day prior to the show. Appropriately<br />

titled ‘Prelude to IIJS <strong>2017</strong>’, the inaugural B2B affair was described as a fashion<br />

showcase of jewellery collections specifically created for the 34th edition of<br />

the IIJS.<br />

The <strong>2017</strong> IIJS took place in Mumbai from July 27 to July 31. i<br />

Coleby Nicholson attended the IIJS courtesy of the fair organiser.<br />

30 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


HONG KONG WATCH & CLOCK FAIR<br />

HONG KONG<br />

setting the watch scene<br />

THE HONG KONG WATCH AND CLOCK FAIR PRESENTED<br />

MINIMALIST STYLING AND AN IMPROVED GLOBAL OUTLOOK.<br />

MARTIN FOSTER REVIEWS INDUSTRY TRENDS FROM THE EVENT.<br />

he Hong Kong Watch and Clock Fair (HKW&CF) is the biggest showcase<br />

of timepieces with more brands than any of the major watch and clock<br />

trade fairs – yes, larger than Baselworld and the Geneva Salon – and it<br />

comprehensively sets the pace for the global market in the lower to midrange<br />

timepiece categories.<br />

Opening on September 5, <strong>2017</strong> at the Hong Kong Convention and Exhibition<br />

Centre, the 36th HKW&CF attracted almost 21,000 buyers – up 4 per cent from<br />

the previous year – and included more than 820 exhibitors.<br />

The five-day fair offered bling, dazzle and glitz aplenty, combined with variety<br />

and a full range of timepieces spanning various price-points.<br />

One highlight was the gathering of around 150 prestigious watch brands and<br />

designer collections for the Salon de TE exhibition space.<br />

Salon de TE featured five themed zones – World Brand Piazza, Chic & Trendy, Craft<br />

Treasure, Renaissance Moment and Wearable Tech – and a huge assortment of<br />

pricing, quality and fashion offerings could be found in these aptly named salons.<br />

<strong>Jeweller</strong>’s 2016 HKW&CF report alluded to a feeling of nervousness deriving from<br />

declining watch exports published by the Federation of the Swiss Watch Industry<br />

FH; however, it can now be reported that relief is in the air, as these market waves<br />

appear to have bottomed out.<br />

Instabilities remain but with positive direction. Luxury group Richemont, for<br />

example, reported that sales for the five months ended August 31, <strong>2017</strong> increased<br />

12 per cent at constant exchange rates and 10 per cent at actual exchange rates.<br />

“The strong performance in Asia Pacific was supported by double digit increases<br />

in most markets, including China and Hong Kong,” a company statement read.<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 31


HONG KONG WATCH & CLOCK FAIR<br />

Swatch Group in its half-year report showed a sales rise of 2.9 per cent at constant<br />

exchange rates in the watches and jewellery segment, excluding production.<br />

“Positive outlook for the second half of <strong>2017</strong> with many new product launches,”<br />

Swatch’s financial statement read. “Good development in production, which<br />

will mainly profit from the growth of the own brands, not only in value but also<br />

in volumes.”<br />

These reports are important not just for the luxury segment because, although<br />

the market has fractured into distinct price-point segments over the past 30 years,<br />

the whole industry can be affected by market circumstances – a rising tide will lift<br />

all the boats but the reverse was very much the case just one year ago.<br />

SHOWSTOPPERS<br />

A wide range of attention-getters assailed visitors at the <strong>2017</strong> fair; however, two<br />

were head and shoulders above the rest.<br />

Stylistically this year there has been a seismic shift to minimalism, a theme that<br />

was evident in almost every watchmaker’s product releases.<br />

Readers may be aware of the fine German watchmaker Nomos Glashütte, which<br />

has a trademark of special brand elegance based on minimalism. The aesthetic<br />

spells truly elegant sophistication and it seems the rest of the world has now<br />

caught on.<br />

The other outstanding news from the exclusive coterie of World Brand Piazza<br />

exhibitors was from Jacob & Co. This exclusive Swiss watchmaker exhibited<br />

the diamond-set Billionaire watch that sells for an eye-watering US$20.4 million<br />

(AU$25.7 m). Never mind the beautiful skeletonised tourbillon movement, the<br />

Billionaire features 239 emerald-cut diamonds, including one single 3-carat<br />

stone, with the total weight amounting to 260 carats – very deep velvet pockets<br />

needed here.<br />

Apple Watch is now only one example of the expansive and clever spectrum<br />

of shrewd add-on providers defining the latest class of WTs.<br />

WTs currently range from children’s toys through to a trackable children’s watch<br />

and on to full health reporting and communication functions. Whilst most rely on<br />

the smartphone for connectivity, the most recent iterations are even independent<br />

of this platform.<br />

The Wearable Tech space at Salon de TE presented a vast selection of branded<br />

smartwatches with the latest technologies and functionalities.<br />

Cupid Memory from Hong Kong brings its namesake collection, featuring a<br />

patented strap that is installed with near-field communication (NFC) technology<br />

as well as a QR code. Users can tap the watch with an NFC-enabled mobile phone<br />

or scan the QR code with the phone to read messages previously stored in its<br />

mobile application.<br />

A combination of advances in artistic subtlety, quality of manufacture and<br />

technological prowess was certainly noted at the <strong>2017</strong> Hong Kong fair, providing<br />

an interesting outlook for the year ahead.<br />

Next year’s HKW&CF will take place from September 4 to September 8. i<br />

Martin Foster FBHI attended the event courtesy of the organiser, Hong Kong Trade<br />

Development Council (HKTDC).<br />

Each year, Chinese watch production also shows an increasing understanding of<br />

how to be up there in the company of the best European luxury makers. What is<br />

evident year by year is a huge advance of the quality and finish that is now part<br />

of the established pattern of their high-end manufacture.<br />

NEW WEARABLES<br />

Wearable Tech (WT) is the new name embracing smartwatches, which have<br />

evolved into something much broader than a timepiece with add-ons. Indeed<br />

for most WTs today, showing the time is a very minor part of the functionality.<br />

32 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


INTERNA TIONAL<br />

JEWELLERY FAIR<br />

WHY EXHIBIT?<br />

97%<br />

of attendees had authority to purchase<br />

88%<br />

will purchase from exhibitors after the Fair<br />

80%<br />

of visitors placed orders at the Fair<br />

60%<br />

of visitors discovered products they<br />

were not aware of<br />

60%<br />

of attendees visit to find new suppliers<br />

AUGUST – 25 > 27, 2018<br />

INTERNATIONAL CONVENTION CENTRE SYDNEY<br />

INTERESTED IN EXHIBITING?<br />

CONTACT MARY-ANNE BROWN<br />

T: 02 9452 7513<br />

E: MARYANNE.BROWN@EXPERTISEEVENTS.COM.AU<br />

Organised by


Completing my Diploma in<br />

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BUSINESS<br />

TRADITIONAL RETAIL AND THE SAVVY CONSUMER<br />

The need to continually improve the<br />

customer experience raises challenges<br />

a-plenty for retailers, and ELIZABETH<br />

BOYD believes there has been a major<br />

shift in customer behaviour.<br />

There is no doubt that one of the fastest<br />

changing components of the industry is<br />

the customer piece – up until about five<br />

years ago, retailers couldn’t stop talking<br />

about customer service; four years ago,<br />

they shifted to customer experience; now,<br />

it’s all about ‘customer engagement’.<br />

This is an expected component of the<br />

interaction a customer has with a brand,<br />

regardless of how or where the interaction<br />

originated – retailers are seeing customers<br />

in bricks-and-mortar stores use their<br />

smartphones to check if they can get a<br />

better price on an item elsewhere.<br />

Retail businesses today need to have<br />

a multi-channel presence and greater<br />

customer expectations mean stores must<br />

now possess the ability to appeal to a<br />

customer’s want for instant gratification by<br />

delivering a great, meaningful experience<br />

that compels them to buy immediately.<br />

MULTI-CHANNEL RETAILING DEFINED<br />

In its most basic terms, multi-channel or<br />

omni-channel retailing means connected<br />

customers can shop for and purchase the<br />

same items across many different channels.<br />

Mobile devices allow them to shop online<br />

for virtually anything virtually everywhere:<br />

on the bus, on the street, in the parking lot,<br />

at the kitchen table, in bed and even while<br />

standing in the middle of the sales floor.<br />

NOTHING SELLS LIKE SUCCESS<br />

One critical piece of delivering results is<br />

making certain that sales staff have as<br />

much information about a store’s products<br />

as does the customer, if not more. The<br />

ability to answer questions, overcome<br />

objections, and communicate the benefits<br />

of products is key to capturing the<br />

attention and trust of the customer.<br />

According to a 2012 Motorola Retail Vision<br />

Survey study, retailers expected more than<br />

half of all customer transactions would<br />

be completed using self-checkout on<br />

mobile devices within five years. Further,<br />

IT IS ESTIMATED<br />

THAT CUSTOMERS<br />

WHO RESPOND TO<br />

‘BEING ENGAGED’<br />

SPEND 30 PER<br />

CENT MORE<br />

MONEY ON<br />

AVERAGE THAN<br />

THOSE WHO<br />

DO NOT<br />

it predicted that more than half of retailers<br />

planned to make use of psychographic<br />

metrics using social-network data.<br />

SURVIVAL OF THE FITTEST<br />

According to Ruchika Kumar, founder of<br />

internet insight company Boutiika Labs,<br />

“The growth of online sales has threatened<br />

the traditional bricks-and-mortar business<br />

but it is possible to not just survive but<br />

succeed. The biggest challenge is adapting<br />

to being an omni-channel experience.<br />

Bricks-and-mortar retailers have been<br />

catapulted into a multi-channel shopping<br />

cycle due to changing customer behaviours<br />

and advanced technology.”<br />

It is estimated that customers who respond<br />

to ‘being engaged’ spend 30 per cent more<br />

money on average than those who do not.<br />

This means customer engagement is a<br />

big deal, especially if customer loyalty is<br />

important to the industry within which the<br />

business operates and if business expansion<br />

is a must – customer engagement<br />

innovates, develops intimacy and also<br />

generates growth.<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 35


BUSINESS<br />

A focus on customer engagement and<br />

commitment can significantly decrease<br />

in-store shopping-cart abandonment costs.<br />

When retailers shortcut or ignore training<br />

and development, they are making the<br />

decision to erode the customer experience<br />

in some way.<br />

“This is the in-store equivalent to the<br />

online phenomenon of shopping-cart<br />

abandonment,” Barbara Farfan wrote on<br />

TheBalance.com. “A study by Business Insider<br />

estimated that $US4 trillion of merchandise<br />

was left unpurchased by online shoppers in<br />

2014. While there’s no easy way to quantify<br />

the amount of sales that are lost when<br />

frustrated customers change their minds<br />

about making a purchase in physical stores,<br />

when 75 per cent of internet shoppers<br />

are willing to walk away from the items in<br />

their online cart, they’re predisposed to<br />

exhibiting shopping-cart abandonment<br />

behaviours in physical stores as well.”<br />

AMPING UP ENGAGEMENT<br />

According to Creating a seamless retail<br />

customer experience, a study by The<br />

Economist’s Intelligence Unit, more than<br />

half of consumers say their customer<br />

experience has improved over the past<br />

three years. This is great news because<br />

retailers still have ample opportunity to<br />

deliver great experiences that resonate<br />

with customers and reflect brand promises.<br />

Two-thirds of retailers still look at sales<br />

volumes to measure performance rather<br />

than longer-term indicators, such as length<br />

of customer engagement.<br />

To be ready to overcome the impact of<br />

multi-channel retailing, retailers need to<br />

understand and communicate the changes<br />

and expectations these alternative business<br />

platforms create for the customer’s<br />

perception of their businesses and work<br />

with staff members to support the instore<br />

experience.<br />

Bricks-and-mortar sales staff need to be<br />

fully aware that they are working within<br />

an environment that demands selling a<br />

high-level of product knowledge and a<br />

ruthless and passionate focus on customer<br />

engagement and appreciation.<br />

Customers make little distinction between<br />

the various platforms on offer today<br />

and judge companies on their overall<br />

performance. Customers look at the<br />

whole transaction – they want simplicity,<br />

speed and accuracy across all channels<br />

and they will walk away from companies<br />

that fail to satisfy their non-negotiables.<br />

Three-quarters of consumers say that they<br />

will stop doing business with a company<br />

following a bad experience.<br />

In retail, business owners have a terrible<br />

habit of establishing the criteria of hiring<br />

‘warm bodies’ at the supervisor and sales<br />

levels and then training them ‘on the job’<br />

in a sink-or-swim environment.<br />

Retailers aren’t making smart investments<br />

into workplace induction and training,<br />

especially where critical roles are<br />

concerned. Too often staff with the greatest<br />

amount of customer-facing time are<br />

required to ‘wing it’. These are the obstacles<br />

retailers are facing that need to change<br />

quickly if they are to protect and support<br />

their organisations.<br />

Business executives say the biggest<br />

obstacles to better customer service are<br />

organisational, rather than technical.<br />

They see silos within the business as the<br />

biggest hurdle. Executive and seniorlevel<br />

leadership is not keeping pace<br />

with the organisation’s presence on<br />

various platforms, which means critical<br />

communication can be neglected to<br />

support the customer’s expectations of<br />

brand experience.<br />

Retail leaders need to proactively seek out<br />

the parallels and how they can support the<br />

other platforms of the business that exist.<br />

They must also create strategies with teams<br />

to overcome the obstacles.<br />

OBSTACLES TO OPPORTUNITY<br />

According to a shopping report conducted<br />

by SapientNitro and Gfk Roper, 51 per cent<br />

of respondents admitted to showrooming.<br />

Though a majority of retailers see<br />

showrooming as an obstacle to business,<br />

it presents a unique opportunity to<br />

blend physical and digital marketing and<br />

compelling service to amplify sales.<br />

Showrooming and other emerging<br />

consumer trends have placed new<br />

operational and technological challenges<br />

on retail brands and the trends are here<br />

THE TRUE TEST<br />

OF ANY LEADER’S<br />

METTLE IS TO<br />

EXTRACT ALL<br />

OF THESE ‘GO-<br />

TO’ EXCUSES<br />

AND THEN<br />

USE THEM AS<br />

OPPORTUNITIES<br />

TO ELEVATE THE<br />

PERFORMANCE<br />

OF THEIR TEAMS<br />

to stay and will continue to evolve as more<br />

customers embrace the multi-channel<br />

existence of their favourite products<br />

and brands.<br />

Bricks-and-mortar retail can thrive by<br />

offering an unequalled level of customer<br />

experience and personalised engagement.<br />

This is an area that has built the reputation<br />

of many amazing retail brands, which are<br />

still around and flourishing today.<br />

Retailers can embrace the experience and<br />

engagement approach to boost retention<br />

and reduce customer churn – customer<br />

churn is the proportion of customers who<br />

leave the business during a given time,<br />

normally the course of a year.<br />

By truly shaping staff understanding<br />

of the business through continuous<br />

training, development and exceptional<br />

communication, customers will buy into<br />

the experience and leave stores feeling<br />

included, engaged and appreciated.<br />

To truly deliver on brand promises,<br />

storeowners and their employees should<br />

look to customer behaviour to develop<br />

strategies that elevate the level of service<br />

that consumers in their retail category have<br />

come to appreciate and advocate.<br />

Retail leadership today is all about turning<br />

obstacles into opportunities for staff. There<br />

is no doubt that the same businesses that<br />

have been using external issues such as<br />

the weather, current affairs and customer<br />

behaviours to excuse soft results will try<br />

to use the availability of the store’s online<br />

presence to further excuse performances.<br />

The true test of any leader’s mettle is to<br />

extract all of these ‘go-to’ excuses and then<br />

use them as opportunities to elevate the<br />

performance of their teams in customer<br />

experience, business metrics and overall<br />

retail excellence.<br />

This approach will deliver great results to<br />

the organisation consistently. i<br />

ELIZABETH BOYD is<br />

founder and editor in chief of<br />

Excellence in Retail. She has 18<br />

years’ retail experience. Learn<br />

more: cottoncandyfshn.com<br />

36 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


SELLING<br />

BUILD SALES WITH CLIENTELING<br />

IN A GLOBALLY COMPETITIVE MARKETPLACE, THE ABILITY TO AFFORDABLY GENERATE EXTRA SALES IS AN EVER-INCREASING<br />

CHALLENGE FOR MOST JEWELLERS. DAVID BROWN DISCUSSES THE IMPORTANCE OF ‘CLIENTELING’ AS A SALES STRATEGY.<br />

Some days, it seems the only factor that<br />

matters to customers is price. This isn’t true,<br />

of course, but it’s a perception that can<br />

lead salespeople to think the only way to<br />

obtain business is to ‘buy it’ by discounting<br />

product. As has been repeatedly shown,<br />

however, customers only value price when<br />

there is an absence of other important<br />

factors – that is, if a customer can’t<br />

differentiate between Store A and Store<br />

B then price usually becomes the predominant<br />

motive.<br />

For most shoppers, price is actually a less<br />

important motivation to purchase than<br />

trust, service, quality and value for money,<br />

especially where discretionary products like<br />

jewellery are concerned. This is because<br />

customers often don’t know a diamond<br />

from a piece of glass and are therefore<br />

dependent on a retailer’s reputation before<br />

making a decision to buy.<br />

Building a trust relationship doesn’t come<br />

easily; it can be difficult to build this type<br />

of rapport in the short term, which means<br />

jewellers invest significant time and energy<br />

in their customer relationships.<br />

Given the sizeable investment both the<br />

retailer and the customer have made in<br />

developing a relationship, jewellers are best<br />

off concentrating on winning business from<br />

existing customers instead of investing into<br />

new business. In a nutshell, this is the true<br />

essence of clienteling.<br />

CLIENTELING EXPLAINED<br />

Clienteling is the process of leveraging<br />

customer data to create long-term<br />

relationships that benefit customers by<br />

providing them with better service and<br />

superior purchasing opportunities. By<br />

using customer data, retailers can tailor<br />

personalised communication to customers<br />

to bring them into the store where they<br />

receive VIP service offerings.<br />

To present an example, Jim has been<br />

married for 15 years and still forgets his<br />

JEWELLERS<br />

ARE BEST OFF<br />

CONCENTRATING<br />

ON WINNING<br />

BUSINESS<br />

FROM EXISTING<br />

CUSTOMERS<br />

INSTEAD OF<br />

INVESTING INTO<br />

NEW BUSINESS<br />

CLIENTELING IS KEY IN TODAY’S MARKET<br />

wedding anniversary. He also never knows<br />

what to buy his wife on her birthday.<br />

Local store Dazzling Diamonds has been<br />

a favourite jewellery store for Jim’s wife for<br />

many years.<br />

Importantly for Jim, Dazzling Diamonds<br />

is also into clienteling – the jeweller has a<br />

first-class database system that contains<br />

records of all of Jim’s wife’s purchases and<br />

important dates.<br />

Dazzling Diamonds has Jim’s contact<br />

details, which staff use to contact him two<br />

weeks before any special event.<br />

Jim greatly appreciates this service because<br />

it’s more than just a calendar reminder;<br />

Dazzling Diamonds knows what Jim’s wife<br />

likes, what she’s bought and even what<br />

she’s browsed in store or better still, added<br />

to her ‘wish list’.<br />

Jim’s wife knows that the store contacts<br />

Jim so she even makes a point of calling in<br />

to the store a month ahead to alert items<br />

to the staff that she finds of interest.<br />

Naturally, all this information is recorded<br />

in the store’s database and then used by<br />

the business to suggest ideal gift ideas for<br />

Jim, who can now buy with the confidence<br />

that he’s choosing something his wife<br />

already likes.<br />

POSITIVE OUTCOME<br />

The end result is that Jim’s wife is delighted.<br />

Jim not only remembers the special<br />

occasion but also buys her something she<br />

truly loves instead of the helpful household<br />

items he used to give her, most of which<br />

she would promptly return.<br />

In addition, Jim is delighted as he succeeds<br />

in pleasing his wife and does so with a<br />

minimum amount of fuss, consulting with<br />

the people who know her preferences best.<br />

Jim has even built such a good relationship<br />

with the sales staff that he feels confident<br />

enough to provide a staff member with his<br />

budget. They can then select an item on his<br />

behalf and have it gift-wrapped and ready<br />

for him to collect. This saves Jim time<br />

and stress.<br />

What about Dazzling Diamonds? Since<br />

adopting its clienteling policy, the business<br />

has seen overall sales climb 15 per cent<br />

and existing-customer sales increase more<br />

than 40 per cent for its best 100 customers.<br />

Dazzling Diamonds has even had contact<br />

from friends of its best clienteling<br />

customers asking if they can be included<br />

on the reminder list.<br />

When was the last time a customer called<br />

a store to request addition to a database?<br />

This is just one example of how customer<br />

information can be used to fuel sales and<br />

enhance the store’s sense of community.<br />

The need to build a closer relationship with<br />

a store’s best customers has never been<br />

greater and retailers owe it to not only<br />

themselves but also their customers to use<br />

clienteling to increase service levels and<br />

also grow their businesses. i<br />

DAVID BROWN is<br />

co-founder and business<br />

mentor of Retail Edge<br />

Consultants. Learn more:<br />

retailedgeconsultants.com<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 37


MANAGEMENT<br />

PERFORMANCE REVIEW TIPS FOR MANAGERS<br />

STRIKING A BALANCE BETWEEN PRAISE AND CONSTRUCTIVE CRITICISM CAN MAKE PERFORMANCE REVIEWS MORE PRODUCTIVE<br />

AND SATISFYING FOR ALL PARTIES. BARBARA CROWHURST OUTLINES WAYS TO GET THE MOST OUT OF THE PROCESS.<br />

Performance reviews are a lot like walking<br />

a tightrope: withholding positive feedback<br />

can discourage and demoralise employees<br />

while failing to discuss problem areas can<br />

mean employees never improve.<br />

Staff appraisals must be recurring events.<br />

In addition to providing ongoing feedback<br />

during the year, managers also must let staff<br />

know what time of year reviews take place.<br />

To ensure reviews are useful, managers<br />

should follow these tips.<br />

ALLOW ENOUGH TIME TO PREPARE<br />

Performance reviews are only valuable if<br />

managers and employees are given the<br />

time and resources they need to prepare for<br />

them. Give staff the opportunity to identify<br />

their achievements from the past year and<br />

areas where they would like to improve.<br />

KEEP FILES ON EMPLOYEES<br />

When hiring a new staff member, create<br />

a file that contains performance review<br />

notes. This serves to document the good<br />

and bad aspects of that employee’s job<br />

performance and work habits. Use the file<br />

to catalogue accomplishments and also to<br />

track performance-related issues such as<br />

tardiness. The file will act as a record of items<br />

to be discussed at the next review.<br />

SOLICIT THIRD-PARTY FEEDBACK<br />

Managers shouldn’t rely solely on their own<br />

perceptions of an employee, particularly if<br />

interactions with the individual have been<br />

limited. Seek feedback and comments from<br />

colleagues and others who work closely dayto-day<br />

with the employee. Enquire about<br />

his or her strengths and weaknesses, as well<br />

as areas that have improved over time and<br />

special abilities. Ask specific questions such<br />

as how does he or she handle challenges<br />

and overcome obstacles and what<br />

contributions have they made to teambased<br />

projects? Does the staff member<br />

seem committed to continuing professional<br />

education and skills development? Compare<br />

the feedback.<br />

EMPLOYEES MAY<br />

NEED TIME TO DIGEST<br />

THE FEEDBACK<br />

FROM A REVIEW SO<br />

ENCOURAGE THEM<br />

TO COME BACK<br />

AFTERWARD IF THEY<br />

HAVE QUESTIONS<br />

OR CONCERNS<br />

STAFF APPRAISALS CAN BENEFIT ALL PARTIES<br />

ALLOW ENOUGH TIME FOR ASSESSMENT<br />

Don’t wait until the day before a review<br />

to start tracking and critiquing a staff<br />

member’s performance – this is unfair to<br />

the individual and will not give an accurate,<br />

comprehensive picture of his or her abilities<br />

and achievements. Instead, try to observe<br />

the employee in a variety of situations over<br />

an extended period. Assess how well he<br />

or she manages both independent and<br />

collaborative assignments.<br />

CREATE A CONDUCIVE SETTING<br />

Choose a quiet, private place for the<br />

review and schedule it at a time when<br />

interruptions can be kept at a minimum.<br />

When structuring the session, incorporate<br />

time for a two-way dialogue so that the<br />

employee can respond to feedback and<br />

offer input of his or her own. To prepare for<br />

the meeting, organise all documentation –<br />

previous evaluations, comments gleaned<br />

from colleagues and other notes. Give the<br />

employee sufficient notice to prepare also.<br />

SET THE APPROPRIATE TONE<br />

The review should be handled in a<br />

professional manner and treated as a<br />

conversation, not a lecture. Open the<br />

discussion by talking about the employee’s<br />

accomplishments and positive attributes.<br />

When it’s time to shift to negative or<br />

problematic areas, focus not on mistakes<br />

but on ways to improve performance.<br />

Most employees will not be surprised<br />

by anything they hear during a review;<br />

however, if there’s a gap between an<br />

employee’s perceived performance versus<br />

actual performance, be sure to explain the<br />

difference and suggest ways performance<br />

goals might be met. During the discussion,<br />

invite comments on any observations.<br />

Talk about future expectations and clarify<br />

job requirements and responsibilities.<br />

Enquire about the employee’s professionaldevelopment<br />

goals and discuss how to<br />

work towards meeting them. Be courteous<br />

and tactful and focus on behaviour rather<br />

than personality when being critical.<br />

MAINTAIN AN OPEN DOOR<br />

Employees may need time to digest the<br />

feedback from a review so encourage<br />

them to come back afterward if they have<br />

questions or concerns. If managers show<br />

that performance is not a once-a-year<br />

issue but a matter of ongoing importance,<br />

staff will focus less on the formal review<br />

itself and more on the feedback and<br />

guidance they receive. They’ll be motivated<br />

to see feedback as a way to help them with<br />

their performance.<br />

By preparing well in advance for<br />

performance reviews and developing a<br />

systematic, consistent appraisal process,<br />

managers can turn what could be an<br />

uncomfortable time into a chance to chat<br />

with team members and set goals for the<br />

future. Who knows? Both parties may even<br />

start to look forward to these feedback<br />

sessions and the business will benefit as a<br />

direct result. i<br />

BARBARA CROWHURST is<br />

CEO of Retail Makeover and<br />

an internationally recognised<br />

retail consultant. Learn more:<br />

retailmakeover.ca<br />

38 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


MARKETING & PR<br />

THE UGLY TRUTH OF COST CUTTING<br />

IN TOUGH TIMES, BUSINESSES LOVE TO CUT COSTS BUT, AS IAN ALTMAN REPORTS, IT’S CRUCIAL THAT BUSINESSES<br />

CONSIDER THE EFFECTS OF SUCH BEHAVIOUR UPON NOT ONLY CUSTOMERS BUT STAFF AS WELL.<br />

Those who specialise in expense reduction<br />

would accurately argue that each dollar a<br />

business earns in sales contributes a small<br />

percentage to profit; however, every dollar<br />

a business saves goes directly towards<br />

improving the bottom line, which is why<br />

it’s so effective in steadying unprofitable<br />

businesses. More often than not, when<br />

it comes to cutting costs, the first area is<br />

marketing and advertising.<br />

Cost cutting might be driven by a desire<br />

to price products or services more<br />

competitively, to improve financial<br />

performance or to better serve customers.<br />

Whichever the reason, the decision is never<br />

simple and businesses must be careful to<br />

not make some of the mistakes outlined<br />

here. Read on for the good, the bad and the<br />

ugly of cost cutting.<br />

GOOD COST CUTTING<br />

If businesses can reduce costs without any<br />

reduction in service quality then it’s a nobrainer.<br />

There are specialists who can work<br />

with businesses to cut costs in areas that<br />

often bring significant savings. These experts<br />

start by assessing the prices a business pays<br />

to third-party suppliers for essential goods<br />

and services like rent, utilities, internet and<br />

more. They compare these prices against<br />

what they believe is the right price for these<br />

products or services then negotiate with the<br />

provider or supplier to reduce costs while<br />

maintaining continuity of service.<br />

When businesses can save money without<br />

adversely impacting the customer, improved<br />

value is provided all around.<br />

BAD COST CUTTING<br />

It’s particularly important that costs are still<br />

cut carefully, ensuring any savings don’t<br />

have a negative impact upon employee<br />

and customer satisfaction as well as loyalty.<br />

Cost cutting can send the wrong message<br />

to staff and even customers if not done with<br />

an understanding of the flow-on effects. I<br />

travel often for business and recently noted<br />

BUSINESSES<br />

THAT CUT COSTS<br />

AT THE EXPENSE<br />

OF EMPLOYEES<br />

OR CUSTOMERS<br />

MOVE DOWN<br />

A DANGEROUS<br />

PATH TOWARD<br />

EXTINCTION<br />

CONSIDER THE IMPACTS OF COST CUTTING<br />

a minor difference in the concierge service<br />

between two luxury hotels. In the concierge<br />

lounge at the Marriott, the concierge told<br />

me she gets a bonus for each letter she<br />

receives from satisfied guests. She therefore<br />

persuades the chef to create exciting snacks<br />

to serve in the concierge lounge to improve<br />

guest satisfaction because this is how she<br />

gets measured and rewarded.<br />

Meanwhile, at a rival hotel, the concierge<br />

receives bonuses for cutting costs.<br />

Accordingly, she puts out fewer trays of<br />

food in the concierge lounge, which leaves<br />

guests without appetisers.<br />

The Marriott policy is to focus on loyalty<br />

and engagement over costs. As a result of<br />

this, I switched to the Marriott after decades<br />

as a loyal guest in other programs. I want to<br />

stay at a hotel that takes great care of me.<br />

UGLY COST CUTTING<br />

There is a Thai restaurant near my home<br />

that was very popular when it first opened.<br />

In recent years, the restaurant’s popularity<br />

has waned somewhat and the restaurant<br />

has started cutting staffing.<br />

This makes some sense as there’s no need<br />

to overstaff an empty restaurant; however,<br />

quality has also suffered. Portion sizes have<br />

reduced and prices have risen.<br />

When I raised the issue to a manager, he<br />

acknowledged the situation. “I keep telling<br />

them [management] but they’re all about<br />

cost cutting.”<br />

After a few poor experiences, I stopped<br />

going there. Recently, I walked past and this<br />

once great location that used to have a long<br />

queue in the evenings was almost empty at<br />

7:30pm on a Friday night.<br />

The tough lesson here is that businesses<br />

cannot save their way to prosperity.<br />

Those that cut costs without considering<br />

the impact on employees, customers and<br />

overall loyalty are making a conscious<br />

decision to follow a short-term path with<br />

poor long-term results. When businesses<br />

give up on attracting customers, cutting<br />

costs always seems like a good idea.<br />

AN ALTERNATIVE<br />

When revenue falls, it is natural to think<br />

about cutting costs but businesses should<br />

only do so while also focusing their efforts<br />

on finding ways to add the greatest value<br />

for existing and future customers.<br />

When done properly and sensibly, cost<br />

cutting can be very effective; however,<br />

businesses that cut costs at the expense<br />

of employees or customers move down a<br />

dangerous path toward extinction.<br />

Take a look at today’s best retailers. The<br />

top performers rarely compete on price<br />

or lowest cost but instead look for ways to<br />

champion the value of their products and<br />

services in a way that underlines quality and<br />

not price. Businesses that focus on delivering<br />

exceptional value will see their employee<br />

and customer loyalty reach new heights. i<br />

IAN ALTMAN helps clients<br />

to modernise sales and<br />

marketing. He is a globally<br />

respected business expert.<br />

Learn more: ianaltman.com<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 39


LOGGED ON<br />

MORE SOCIAL MEDIA MISTAKES TO AVOID<br />

IN A CONTINUATION OF LAST MONTH’S COLUMN, ALFRED LUA FROM SOCIAL MEDIA MANAGEMENT PLATFORM<br />

BUFFER DISCUSSES EVEN MORE WAYS THAT BUSINESSES CAN LEARN FROM THE ERRORS OF OTHERS.<br />

Last month, this column outlined some of<br />

the social media mistakes that the Buffer<br />

team had committed with the aim of<br />

ensuring other businesses did not make the<br />

same errors. Here’s a few more to avoid.<br />

LIMITING CONTENT<br />

Sharing only one’s own content on Facebook<br />

– We used to shy away from using content<br />

generated by others on the assumption<br />

that it wouldn’t contribute to the bottomline:<br />

traffic, signups and revenue. It even felt<br />

counter-intuitive – who wants to send traffic<br />

to someone else’s website? On reflection, this<br />

was short sighted.<br />

Sharing one’s own content means a business<br />

is really just marketing to its existing<br />

followers. This not only fails to expand our<br />

audience base but also increases the chance<br />

of turning existing followers off.<br />

By posting content from other sources<br />

such as TechCrunch and Wired, the Buffer<br />

page’s reach, engagement and fan base<br />

increased significantly.<br />

Five of our recent top 10 Facebook posts<br />

were taken from third parties. These posts<br />

reached more than 1.7 million people, most<br />

of which weren’t existing followers.<br />

NOT CURATING CONTENT<br />

Failing to curate user-generated content<br />

on Instagram – Many different Instagram<br />

strategies have been trialled since we at<br />

Buffer started using the platform in 2013,<br />

including photos of company retreats and<br />

corporate gatherings, staff sharing about<br />

their daily lives and the organisation’s weekly<br />

Twitter chat #bufferchat.<br />

Despite this, few followers were interested<br />

in the content; the account wasn’t growing<br />

and there were minimal post interactions.<br />

We then found a strategy that increased<br />

Instagram followers from 4,250 to 21,000<br />

within six months.<br />

The strategy? Curating user-generated<br />

content. By curating photos of direct interest<br />

to our target audience, coupled with a few<br />

Buffer items, we have built a large, engaged<br />

Instagram following.<br />

IRRELEVANT NEWS<br />

Failing to target specific audiences – Whenever<br />

we conducted a ‘meet-up’ or workshop, the<br />

Buffer team would share the event on our<br />

Facebook page with every fan, even though<br />

many fans weren’t located in the same city<br />

as the event.<br />

This would create an issue whereby our fans<br />

from around the world would receive posts<br />

regarding events outside their location –<br />

people based in London are unlikely to find<br />

posts regarding Buffer’s New York meet-up<br />

relevant. To correct this, we started using<br />

Facebook’s ‘preferred audience’ feature<br />

for localised posts. For example, when<br />

promoting a workshop in Philadelphia,<br />

posts were restricted so that only Buffer’s<br />

Philadelphia fans could see them.<br />

Preferred-audience posts reach fewer fans<br />

but they reach the right fans, creating a<br />

higher chance of engagement because posts<br />

are more relevant. At the same time, fans<br />

located outside Philadelphia won’t be turned<br />

off by seeing posts that are likely to be less<br />

relevant to them.<br />

Facebook applies a posting algorithm that<br />

assigns a personalised relevancy score to<br />

every post a user can see. Facebook then<br />

uses this score to show posts in the order<br />

that is most relevant to users. By showing<br />

posts preferentially to the most relevant<br />

users, Facebook will be more likely to show<br />

our posts to users who are fans of Buffer<br />

rather than showing those fans less relevant<br />

posts from other businesses. This is especially<br />

useful for small businesses that have a local<br />

target audience.<br />

NO RESPONSE<br />

Failing to reply to questions – Surprisingly,<br />

businesses ignore 89 per cent of people<br />

who want a response, according to research<br />

by social media management and analytics<br />

IMPROVE ONLINE EFFORTS BY TAKING NOTE OF WHAT OTHERS HAVE DONE<br />

BY POSTING<br />

CONTENT FROM<br />

OTHER SOURCES,<br />

THE BUFFER<br />

PAGE’S REACH,<br />

ENGAGEMENT<br />

AND FAN BASE<br />

INCREASED<br />

SIGNIFICANTLY<br />

software provider Sprout Social.<br />

In the same research, Sprout Social found<br />

the following great benefits for businesses<br />

who responded to customer questions on<br />

social media:<br />

• 70 per cent of people are more likely to<br />

use the brand’s product or service after<br />

receiving a response<br />

• 65 per cent of people have more brand<br />

loyalty after receiving a response<br />

• 75 per cent of people are likely to share a<br />

good experience on their own profile after<br />

receiving a response.<br />

We reply to most questions on Buffer’s social<br />

media profiles and the team is working to<br />

reply even faster after research from social<br />

media specialist Jay Baer found that 42 per<br />

cent of people who reach out to a brand on<br />

social media for customer support expect a<br />

response within 60 minutes.<br />

This concludes the two-part series on social<br />

media mistakes. Hopefully retailers find these<br />

to be useful when planning and managing<br />

their next social media strategies. i<br />

ALFRED LUA is the content<br />

crafter for social media<br />

management business Buffer.<br />

Learn more: buffer.com<br />

40 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


GEMS<br />

COLOUR INVESTIGATION: LABRADORITE<br />

IMAGE COURTESY GREG C GRACE<br />

the thickness of the alternating layers. More<br />

commonly unearthed with a blue-green<br />

schiller, labradorite is traditionally favoured<br />

with a rich blue-violet labradorescence.<br />

Occasionally exceptional quality specimens<br />

may present flashes of the full spectrum<br />

of colour and are given the trade name<br />

of spectrolite (Figure 1). The value of a<br />

gemstone rests on the strength, evenness<br />

and colour of the schiller.<br />

Like other feldspars, labradorite can form<br />

in large crystalline masses, and the size of<br />

gem-quality material is restricted only by the<br />

ability to produce a sufficient schiller that<br />

is viewable from an appropriate direction.<br />

With the possibility of a gemstone parting or<br />

splitting along the twin planes of weakness,<br />

faceting the gemstone material can be a<br />

challenging task.<br />

FIGURE 1. SPECTROLITE<br />

The unexpected flash of colour and light<br />

rolling along the surface of a gemstone<br />

can be awe-inspiring. STACEY LIM<br />

reports that labradorite captures this<br />

spectacular effect known, eponymously,<br />

as labradorescence.<br />

This visual phenomenon observed in<br />

labradorite is not due to the body colour of<br />

the gemstone but rather is a consequence<br />

of the diffraction of light from beneath the<br />

surface. Typically possessing light to dark<br />

grey body colour, labradorite can transform<br />

before one’s eyes when a light source is<br />

directed at its surface.<br />

Feldspars are the most common minerals of<br />

the earth’s crust and whilst for the most part<br />

they are lacklustre, labradorite is one variety<br />

that is truly extraordinary.<br />

Belonging to the plagioclase series of<br />

feldspars, this mineral was named after the<br />

Labrador Peninsula in Canada where it was<br />

FIGURE 2. RAINBOW MOONSTONE<br />

first identified in 1770. Today, Madagascar<br />

and Finland are the principle sources of<br />

gem-quality labradorite, with Madagascar<br />

producing gemstones with an intense blueviolet<br />

sheen that are in high demand.<br />

Renowned for its labradorescent sheen,<br />

called schiller, the source of this playful<br />

colour-creating phenomenon is an internal<br />

structure composed of lamellar twinning;<br />

a delicate layering of alternating sodiumrich<br />

(albite) and calcium-rich (anorthite)<br />

plagioclase feldspar minerals. As white light<br />

penetrates the gemstone’s surface, it reflects<br />

off these internal twinning planes producing<br />

flashes of colour that can be seen in certain<br />

directions and at certain angles.<br />

These spectral colours of light, ranging from<br />

red through to violet, are a result of light<br />

interference from reflections off the thin<br />

layers of feldspar minerals.<br />

The colours produced are dependant on<br />

THE VALUE OF<br />

A GEMSTONE<br />

RESTS ON THE<br />

STRENGTH,<br />

EVENNESS AND<br />

COLOUR OF<br />

THE SCHILLER<br />

A transparent-colourless to translucentwhite<br />

variety of labradorite, found in the<br />

Indian state of Bihar, displays a blue through<br />

to multi-coloured schiller and has been<br />

known in the marketplace as ‘rainbow<br />

moonstone’ (Figure 2) since the mid-1990s.<br />

True moonstone is actually orthoclase,<br />

a potassium feldspar, which obtains its<br />

characteristic blue schiller from included<br />

layers of albite (a plagioclase feldspar),<br />

whereas labradorite obtains its schiller from<br />

lamellar twinning of albite and anorthite,<br />

two different plagioclase feldspars.<br />

Thus, although moonstone is chemically<br />

a different kind of feldspar and its source<br />

of schiller is different to that of labradorite,<br />

the colour effect is similar enough that the<br />

name ‘rainbow moonstone’ has become an<br />

accepted name within the industry for this<br />

variety of labradorite. i<br />

STACEY LIM FGAA BA Design, is a qualified<br />

gemmologist and gemmology teacher/assistant.<br />

She is a jewellery designer, marketing manager<br />

and passionate communicator on gemmology.<br />

For information on gemstones, visit: gem.org.au<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 41


10 YEARS AGO<br />

WHAT WAS MAKING NEWS 10 YEARS AGO?<br />

A SNAPSHOT OF THE INDUSTRY EVENTS THAT MADE NEWS HEADLINES IN THE NOVEMBER 2007 ISSUE OF JEWELLER.<br />

HRD to welcome<br />

Nationwide<br />

The story: Nationwide <strong>Jeweller</strong>s is offering members<br />

the chance to tour the HRD laboratory in early 2008<br />

as a part of a two-week tour including Luxembourg,<br />

Cairo and a Nile River cruise.<br />

The move is a breakthrough for the buying group –<br />

as it is extremely rare for visitors to be given access<br />

to the Antwerp-based lab – and an extension of<br />

the company’s relationship with Gabi Tolkowsky.<br />

Select Nationwide members met the renowned<br />

diamontaire responsible for cutting three of the<br />

most famous diamonds, including the 274-carat,<br />

Aussie designers<br />

come first<br />

The story: Sydney jewellery designer OK Jin<br />

Jang has done it again, this time taking out<br />

a gong in the International Opal <strong>Jeweller</strong>y<br />

Design Awards 2007.<br />

The 2006 JAA Apprentice of the Year won<br />

the IOJDA Prestige Professional Apprentice<br />

Award, with a pendant-brooch entitled<br />

Sunset at Ayres Rock. Fashioned from<br />

18-carat white, yellow and rose gold, the<br />

winning design boasted a large, square<br />

opal from Lightning Ridge surrounded by<br />

a colourful medley of diamonds, blue and<br />

pink sapphires, topaz and peridot.<br />

D-flawless Centenary Diamond, in March 2007.<br />

Subsequently, Tolkowsky has agreed to join<br />

the group at its official dinner in Antwerp in<br />

March 2008.<br />

JAA COUNTERACTS<br />

JEWELLER DISTRUST CLAIM<br />

The story: A spate of angry feedback<br />

from Australian jewellers has<br />

prompted JAA CEO Ian Hadassin<br />

to ask several publications to<br />

explain reports they ran detailing a<br />

controversial online poll from the<br />

Diamond Certification Laboratory of<br />

Australia (DCLA).<br />

In a letter sent to Sydney Morning<br />

Herald, Rapaport News and Idex<br />

Online, the JAA head questioned not<br />

only the validity of the poll – which<br />

asserted that “nearly 70 per cent of<br />

consumers do not trust their jeweller”<br />

– but the efforts of the publications<br />

to ensure the story was correct prior<br />

to print.<br />

Labelling the DCLA poll “highly<br />

contentious”, Hadassin’s letter<br />

reminded the publications of the<br />

voluntary Press Council code,<br />

stating, “Newspapers and magazines<br />

(“publications”) should not publish<br />

what they know or could reasonably<br />

be expected to know is false, or fail<br />

to take reasonable steps to check the<br />

accuracy of what they report”.<br />

Hadassin then asked what steps were<br />

taken to “evaluate the authenticity of<br />

the survey”.<br />

Calleija hits London<br />

The story: Queensland-based Calleija<br />

<strong>Jeweller</strong>s has made its international debut<br />

with the launch of a collection of pinkdiamond<br />

designs created especially for<br />

iconic London department store Harrods.<br />

The inclusion of the range of necklets,<br />

rings and earrings each featuring pink<br />

diamonds is reportedly a first for an<br />

Australian jeweller, and eventuated after<br />

Calleija director John Calleija impressed<br />

the Harrods Fine <strong>Jeweller</strong>y Department<br />

with the collection of diamond creations<br />

– particularly the rarity of the Argyle<br />

pink diamonds incorporated in Calleija’s<br />

detailed designs.<br />

42 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


EVENTS<br />

JEWELLERY AND WATCH CALENDAR<br />

A GUIDE TO THE LOCAL AND INTERNATIONAL JEWELLERY AND WATCH EVENTS SCHEDULED TO TAKE PLACE IN THE YEAR AHEAD.<br />

NOVEMBER <strong>2017</strong><br />

TAIWAN JEWELLERY<br />

& GEM FAIR<br />

Taipei, Taiwan<br />

<strong>November</strong> 3–6<br />

Learn more: taiwanjewelleryfair.com<br />

WORLD RUBY FORUM<br />

Bangkok, Thailand<br />

<strong>November</strong> 4<br />

Learn more: www.worldrubyforum.com<br />

CIBJO CONGRESS<br />

Bangkok, Thailand<br />

<strong>November</strong> 5–7<br />

Learn more: cibjo.org/congress<strong>2017</strong><br />

CHINA INTERNATIONAL<br />

JEWELLERY FAIR<br />

Beijing, China<br />

<strong>November</strong> 9–13<br />

Learn more: chinaexhibition.com/<br />

Official_Site/11-9164-<strong>2017</strong>_China_<br />

International_<strong>Jeweller</strong>y_Fair_(Winter).<br />

html<br />

VOD DUBAI<br />

INTERNATIONAL<br />

JEWELLERY SHOW<br />

Dubai, United Arab Emirates<br />

<strong>November</strong> 15–18<br />

Learn more: jewelleryshow.com<br />

CHINA INTERNATIONAL<br />

GOLD, JEWELLERY<br />

& GEM FAIR<br />

Shanghai, China<br />

<strong>November</strong> 17–20<br />

Learn more: www.exhibitions.<br />

jewellerynetasia.com/shj/zh-cn<br />

JEWELLERY ARABIA<br />

Manama, Bahrain<br />

<strong>November</strong> 21–25<br />

Learn more: jewelleryarabia.com<br />

JANUARY 2018<br />

SALON INTERNATIONAL<br />

DE LA HAUTE HORLOGERIE<br />

(SIHH)<br />

Geneva, Switzerland<br />

January 15–19<br />

Learn more: sihh.org<br />

VICENZAORO T-GOLD<br />

Vicenza, Italy<br />

January 19–24<br />

Learn more: 10times.com/t-gold<br />

TUCSON GEM, MINERAL &<br />

FOSSIL SHOWCASE<br />

Tucson, US<br />

January 27 – February 11<br />

Learn more: visittucson.org/events/<br />

gem-show<br />

FEBRUARY 2018<br />

JEWELLERY & WATCH<br />

Birmingham, UK<br />

February 4–8<br />

Learn more:<br />

jewelleryandwatchbirmingham.com<br />

NATIONWIDE JEWELLERS<br />

TIME OUT CONFERENCE<br />

Canberra, Australia<br />

February 9–11<br />

BANGKOK GEMS &<br />

JEWELRY FAIR<br />

Bangkok, Thailand<br />

February 21–25<br />

Learn more: bkkgems.com<br />

HONG KONG<br />

INTERNATIONAL DIAMOND,<br />

GEM & PEARL SHOW<br />

Hong Kong<br />

February 27 – March 3<br />

Learn more: m.hktdc.com/fair/<br />

hkdgp-en/HKTDC-Hong-Kong-<br />

International-Diamond--Gem---<br />

Pearl-Show.html<br />

MARCH 2018<br />

HONG KONG<br />

INTERNATIONAL<br />

JEWELLERY SHOW<br />

Hong Kong<br />

March 1–5<br />

Learn more: m.hktdc.com/fair/<br />

hkjewellery-en/HKTDC-Hong-Kong-<br />

International-<strong>Jeweller</strong>y-Show.html<br />

BASELWORLD<br />

Basel, Switzerland<br />

March 22–27<br />

Learn more: baselworld.com<br />

COOBER PEDY GEM<br />

TRADE SHOW<br />

Coober Pedy, South Australia<br />

March 31 – April 1<br />

Learn more:<br />

cooberpedygemtradeshow.com.au/<br />

Home.aspx<br />

APRIL 2018<br />

NATIONWIDE JEWELLERS<br />

ANTWERP TRIP<br />

Antwerp, Belgium<br />

April 8–13<br />

MAY 2018<br />

NATIONWIDE JEWELLERS<br />

AFRICA TRIP<br />

Africa<br />

May 3–11<br />

JUNE 2018<br />

JCK LAS VEGAS<br />

Las Vegas, US<br />

June 1–4<br />

Learn more: lasvegas.jckonline.com<br />

HONG KONG JEWELLERY<br />

& GEM FAIR<br />

Hong Kong<br />

June 21–24<br />

Learn more: www.jewellerynetasia.com<br />

Learn more: jewellerynetasia.com<br />

JULY 2018<br />

WINTON OPAL TRADESHOW<br />

Winton, QLD<br />

July 13–14<br />

Learn more: qboa.com.au<br />

LIGHTNING RIDGE OPAL<br />

AND GEM FESTIVAL<br />

Lightning Ridge, NSW<br />

July 26–29<br />

Learn more:<br />

lightningridgeopalfestival.com.au<br />

<strong>November</strong> <strong>2017</strong> <strong>Jeweller</strong> 43


MY BENCH<br />

Graham Tighe<br />

WORKS AT:<br />

Tighe <strong>Jeweller</strong>y Studio<br />

AGE: 54<br />

YEARS IN TRADE: 36<br />

TRAINING: Goldsmith<br />

apprenticeship and a<br />

certificate in advanced<br />

diamond setting<br />

FIRST JOB: Three Castle<br />

<strong>Jeweller</strong>s, Ireland<br />

OTHER QUALIFICATIONS:<br />

Bachelor of business, WA<br />

Favourite gemstone:<br />

Opal. Its varying qualities<br />

and ever-changing colours<br />

make it the most interesting<br />

gemstone to work with.<br />

Favourite metal:<br />

Gold as it’s rich and lustrous.<br />

I especially like to design<br />

using gold nuggets.<br />

Favourite tool:<br />

My graver. It has so many<br />

uses; I’d be lost without it.<br />

Best tip from a jeweller:<br />

Never rush when you<br />

are setting.<br />

Best tip to a jeweller:<br />

Never stop learning.<br />

Biggest health concern:<br />

Sitting down for too long.<br />

My watch now tells me<br />

to move.<br />

Do you buy tooling locally,<br />

overseas or a mix of both?<br />

I try to buy everything<br />

locally; if we don’t support<br />

suppliers we will have none.<br />

What frustrates you most<br />

about the industry?<br />

The lack of hallmarking laws<br />

and price discounting to<br />

unsustainable margins.<br />

Such short-sightedness<br />

devalues our industry.<br />

My bench is always:<br />

Organised – my Dad taught<br />

me young to put tools back<br />

and I always have.<br />

Favourite sport/team:<br />

Soccer. I played until I was<br />

48 and Manchester United<br />

is my favourite team.


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SOAPBOX<br />

RISING STARS NEED SUPPORT<br />

WorldSkills Australia is dedicated to<br />

the promotion and the building of a<br />

skills culture that celebrates excellence.<br />

We support VET-based careers and<br />

endorse the value of apprenticeships<br />

and then challenge these apprentices<br />

through competition.<br />

It is a cause I am passionate about and while<br />

we do our best to learn about all VET sectors,<br />

I must admit that until August this year, my<br />

jewellery industry knowledge was limited<br />

to what I had observed at the different<br />

levels of competition in Australia and at the<br />

international WorldSkills competition. August<br />

<strong>2017</strong> marked a WorldSkills milestone where<br />

for the first time regional Australia jewellery<br />

competitions were held at the International<br />

<strong>Jeweller</strong>y Fair (IJF) in Sydney rather than at a<br />

TAFE or registered training organisation (RTO).<br />

Aside from the obvious benefits offered to<br />

the 23 competition participants, the move<br />

also gave us the opportunity to network with<br />

jewellers and educators. We gained insight<br />

into the exciting possibilities emerging in your<br />

industry, as well as the complex issues it faces.<br />

Firstly, on a positive note, the energy and<br />

innovation witnessed was indicative of a<br />

trade openly embracing new technology and<br />

advances in techniques and manufacturing.<br />

Having spoken to industry members, such as<br />

Pallion global manager of finished jewellery<br />

Darren May, we understand the industry has<br />

adopted an unprecedented amount of new<br />

manufacturing technologies in the past 10<br />

years. Darren has also explained that despite<br />

this interest in the new, there is still a focus<br />

on the strength of traditional skills and how<br />

far these specialised skills can take a jeweller<br />

who is dedicated, talented and immersed in<br />

their craft. This balancing of the ‘new’ jeweller<br />

that possesses both traditional handmade<br />

skills, along with a practical understanding<br />

of modern tools, and who can interact and<br />

engage with these new technologies is<br />

proving to be a more agile and adaptable<br />

individual. They are also proving to be the<br />

future direction of the industry.<br />

This leads to the next point: how does the<br />

local industry properly support and champion<br />

these rising stars of the jewellery world?<br />

Many of the jewellers and small business<br />

owners expressed their delight at seeing<br />

young apprentices and students participating<br />

in the regional competition and while they<br />

were happy to see so many young people<br />

coming through the industry, they expressed<br />

worry about where they would find ongoing<br />

work along with opportunities for up-skilling<br />

and career advancement.<br />

The concern raised was that there weren’t<br />

enough industry positions given many<br />

jewellers had their own businesses and<br />

were not at the stage where they required<br />

an apprentice. After speaking with jewellers<br />

and RTO reps at the IJF, it would appear that<br />

if this is the way the industry is at present,<br />

then the traditional four-year apprenticeship<br />

currently viable with many other trades<br />

is not one presently able to support the<br />

upcoming generation. To ensure those who<br />

are passionate about the industry and want to<br />

be part of it are given the opportunity to do<br />

so, either the industry or the training models<br />

need to be updated to make it easier for<br />

passion to be transformed into a career.<br />

This may not be easy to achieve short term<br />

I BELIEVE<br />

WORLDSKILLS<br />

IS DOING THIS<br />

FOR JEWELLERY<br />

BENCHMARKING;<br />

HOWEVER,<br />

MAYBE THERE<br />

CAN BE MORE<br />

COLLABORATION<br />

BETWEEN SMALLER<br />

BUSINESSES<br />

but in order to make any effective change,<br />

more feedback and consultation is necessary.<br />

The current organisation that oversees the<br />

training package development is Innovation<br />

and Business Skills Australia, and when the<br />

package is up for review, the industry needs<br />

to have an influential voice. One of the best<br />

examples I’ve seen lately of industry heads<br />

supporting their apprentices is equipment<br />

management company WesTrac. Through<br />

sustained training and development,<br />

WesTrac works with apprentices to create an<br />

environment built on loyalty. By continually<br />

benchmarking their apprentices against one<br />

another through internal competitions, it is<br />

ensuring that overall standards and training<br />

are aligned and up to date.<br />

I believe WorldSkills is doing this for jewellery<br />

benchmarking; however, maybe there can<br />

be more collaboration between smaller<br />

businesses – like conducting training days<br />

with other jewellers in the region or working<br />

with the local RTO to bring in apprentices for<br />

up-skilling with short courses.<br />

There were so many great takeaways from our<br />

involvement at the IJF and WorldSkills is now<br />

looking for other opportunities to showcase<br />

jewellery apprentices and the industry<br />

externally. If jewellers think the ‘old’ ways of<br />

doing things no longer work then WorldSkills<br />

Australia is happy to get the conversations<br />

going about the ‘new’ ways to support the<br />

future of this wonderful industry. i<br />

Name: Brigitte Collins<br />

Business: WorldSkills Australia<br />

Position: general manager, technical delegate<br />

Location: Sydney, NSW<br />

Years involved with WorldSkills: 20<br />

46 <strong>Jeweller</strong> <strong>November</strong> <strong>2017</strong>


since 1966<br />

TWM<br />

Co<br />

TWM<br />

since 1966<br />

Co<br />

SPECIALISTS IN BESPOKE<br />

since 1966<br />

TWM<br />

Co<br />

TWM Consolidated PTY LTD<br />

03 9547 3113<br />

PROUDLY AUSTRALIAN MADE JEWELLERY & EXPERTS IN REFINING<br />

TWM<br />

since 65 1966 Roberts Avenue,<br />

Contact info@twmco.com.au<br />

Co<br />

Mulgrave, VIC, 3170<br />

www.twmco.com.au<br />

Instagram @twm_co<br />

Facebook @twmcorings


Excite<br />

Engage<br />

Experience<br />

Do it all at the International <strong>Jeweller</strong>y Fair<br />

The International <strong>Jeweller</strong>y Fair will return August 25 – 27, 2018<br />

International Convention Centre Sydney

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