Business Tips
WHOLESALE JEWELRY BUYING TIPS/ MARKET ANALYSIS
I do my best to be competitive but once in a while I am a little taken aback when a customer says to me – ‘I just can’t believe how low your prices are compared to everyone else!’ That illustrates two points: 1) I follow certain principles which allow me to offer a very competitive pricing structure; 2) It is so so important to vette all your suppliers, because they are not all WYSIWYG (what you see is what you get) as I strive to be.
1) I heard a quote the other day that I related to instantly – a kind of word of wisdom to young people – “Run away from those who claim to have all the answers and seek out those who seek the truth” wow! How right on is that, especially in the online -era context – pills that clean your intestines overnight – pyrammid selling schemes to get rich quick – make $50,000 a month on ebay with no investement .. you know what I am talking about.
I can tell you right off, in a lot of ways I have no clue what I am doing, I experiment in business and my life all the time and simply learn from what works. Here are a few of the characteristics you should look for in other suppliers:
- They have true partnerships with their customers and with manufacturers and artisan partners, world wide – this is necessary today in order to get the best product mix and prices.
- There is trust and transparency – understand each others’ businesses and support each other. Look for suppliers who don’t haggle! This just means they are not offering their best pries up-front.
- Volume. The jewelry suppliers who source hundreds of thousands dollars a year from their partners will be able to make the most attractive, pragmatic, cost-effective, best-selling and desirable products in their genre.
2) You want to work with jewelry suppliers who take great care in every step of the process. In most cases it is not realistic to have only one supplier. In fact, it could be hazardous. So when you evaluate a new supplier, take the time to speak with them, or at least communicate directly via email/ chat to get to know them a little bit. Values (I am not talking the money kind) may not seem important in this business, but trust me, it is the most important characteristic I look for in a trading partner.
HEDGING/ ECONOMY
I have no idea what is going to happen in the next year but I am not too optimistic. One question I have thought about a lot is this: as a small business owner, am I exposed to greater risk or am I better prepared to ride out the storm than the average citizen. For me, I feel good about being an entrepreneur at this point in time. I have, more or less, control over my destiny.Although I worry about how the recession will affect my family, at least I don’t worry about getting fired, or losing my health insurance. I believe with my heart that this is no time to give up on my business, in fact I am taking steps to improve and expand it every day. And I don’t think you should consider giving up either. But we al have to be smart: Diversify - jewellery selling slow? Mix it up with fashionable hats/ gloves or other utilitarian stuff. Build Inventory – when you can, and while prices are low, this will help you retain money for later when credit may not be available and you do not have as much $ on hand. New Channels – Now is the time to try something new. If sales in your store are slow, organize home parties, bridal shower events… think outside the box. If your buisness is part time, remember this is a resource, supplemental income. Everything is gravy. Smaller Batches – procure less each time (we have no min order), sell the stuff quicker and re-invest. Don’t tie too much money at a time. Find suppliers who always have plenty in stock and ship immediately (like me 
). Be a Laser Beam – Don’t just get anything- go after specific items and price-points that you know your customer base will like. This way you will turn-over inventory faster. Need ideas? I am not a trendy guy, but my customers are, so I can give you some good tips!
Well, enough rambling. Just out of curiosity, send me an email if you get this far down and let me know if you found any of this information useful, inspiring, useless… whatever!
