IDEX Online Research: US Specialty Jewelry Sales Up Slightly In Sept

(IDEX Online) –Preliminary September 2014 data shows that U.S. jewelry retail sales rose by just 3.0 percent as compared to September 2013 to around $5.52 billion.

The full analysis of the jewelry sales data is available to IDEX Online Research subscribers and IDEX Online members here.

 Although September is not an important month for jewelry sales, the trend is of concern heading into the all-important 2014 November-December holiday selling season. Furthermore, jewelry sales gains lagged total U.S. retail sales growth for all merchandise.

The 3-percent rise in September followed two solid months of 5-percent increases in July and August.

Meanwhile, specialty jewelers’ posted a modest gain in September of just 1.2 percent to $2.22 billion, based on US Department of Commerce data. Since their sales gains are smaller than overall industry sales growth again this year, it's expected that specialty jewelers will give up more market share to multi-line merchants – Wal-Mart, JC Penney, Costco, etc. – who also sell jewelry.

Meanwhile, fine watch sales increased modestly in September – up 2.8 percent on the year to just over $650 million.

For the second month in a row, Americans shopping for jewelry in September preferred to buy jewelry goods at shops selling jewelry along with a wide range of other items rather than specialty jewelry stores.

Outlook

Fueled by lower gasoline prices, a recovering economy, and declining unemployment, the 2014 November-December holiday sales season jewelry sales should rise by about 4 percent, well ahead of last year’s 2.9 percent gain, but less than our previous forecast of 4-5 percent.

The latest data appear to show that the retail jewelry environment remains firm if not spectacular.

That will be of concern to retailers who wanted to see a strong rise in September, as the industry heads into the critical holiday sales season which can typically account for at least one-third of jewelry retailers' annual revenue.

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