Jewelry and watch sales at all retailers in the U.S. market fell to $59 billion in 2009, a 1.6 percent decline from the prior year’s sales of $60 billion, based on preliminary figures from the U.S. Department of Commerce. Further, jewelry and watch sales in 2009 were about $2.6 billion below the record level of $61.6 billion in 2007, a 4 percent decline from their peak two years ago.

 

While the 2009 sales figures are preliminary – and will be revised modestly several times between now and mid-2010 – they show that the decline in jewelry and watch sales in 2009 was less than some forecasters had feared.

 

The graph below summarizes U.S. jewelry and watch sales for the past five years at all retailers: specialty jewelers, discounters and all merchants.

 

Source: US Dept of Commerce

 

The graph below illustrates the percentage change in U.S. jewelry and watch sales on a year-to-year comparison basis.

 

Source: US Dept of Commerce

 

Annual Average Sales Change Masks Volatile Monthly Sales Swings

While U.S. jewelry and watch sales for 2008 and 2009 showed only modest changes on an annual basis, the inter-year monthly swings in jewelry sales was dramatic. In fact, month-to-month changes during these two years were larger than any other monthly cyclical swings since monthly jewelry sales have been first published in 1959.

 

The graph below illustrates monthly jewelry sales swings in 2008 and 2009. The percentage change compares one month with the same month in the prior year. As noted earlier, the data for the final quarter of 2009 is subject to revision. IDEX Online Research believes that December sales data will be revised downward, perhaps by two or three percentage points.

 

Source: US Dept of Commerce

 

The table below summarizes sales trends by category for the past five years.

 

Source: BEA

 

Specialty Jewelers’ Sales Data Available Mid-February

Preliminary data for specialty jewelers’ annual sales and holiday sales will be available mid-February.