No matter what channel you turn on these days, it seems like every news station appears to be repeating words such as ‘recession’ while increasing concerns of inflation and cost-of-living pressures are bemoaned.
This pessimistic commentary doesn’t arise without good cause and it’s not just the talking heads who are concerned.
Anyone paying close attention to the current state of affairs is asking the same question: “How does this really affect me?” While it’s tempting to rely on the wisdom of market experts when it comes to forecasting, what does this analysis really spell out for the jewellery industry?
Turning the attention to our turf, we can see a few signs of an economic downturn unfurling.
Michael Hill International CEO Daniel Bracken has recently revealed that third-party transactional data for the total Australian retail jewellery segment has shown a double-digit decline in sales for the first four months of the second half.
Australian Retailers Association CEO Paul Zahra recently described the impact of a ‘cost-of-living crisis’ and says that retailers can expect sales to suffer, while the latest analysis from Retail Edge has identified a second consecutive month of softening sales, especially when compared against the data of the past two years.
Chow Tai Fook Jewellery Group and LVMH shares have taken a recent dip, while stocks for Signet Jewelers and Michael Hill have been on a slow decline since early 2023 when recession bells first started to ring.
So, how does this really affect the trade and more importantly, how do you handle the road ahead as a business-owner?
Perhaps the answer is two-fold: a) employ caution, not panic, in your decision-making – Take time to seek professional advice and ask questions – many others are in the same position; and b) ensure the time to reflect on the things for which you are grateful – you will be surprised with the sense of control that comes with thankfulness in hardship.
The silver lining
You’ve been told that there’s a bad storm coming – so now you’ve got the time to plan for it! Chances are that you’re likely more prepared than you think!
In times like these, it’s important to prepare for what’s to come, and what is a better method than networking with others at major trade events?
Nationwide Jewellers’ annual Timeout Conference has come and gone for another year and reports from the event – whether it be suppliers, buyers, or organisers – were glowing.
Catching up with fellow jewellers, discovering new products, and connecting with the industry’s most knowledgeable voices is time well spent, and the success of the Nationwide event has only deepened the excitement for upcoming trade events.
Expertise Events managing director Gary Fitz-Roy recently confirmed the need to expand the floor area to accommodate increasing demand and suggested that the event will have more exhibitors than any other Sydney Fair of the past decade.
The excitement increased further when it was announced that Karin Adcock, former CEO of Pandora Australia, plans to attend.
In more local developments, planning for the Australian Opal Exhibition (2-3 August) continues unabated despite recent administrative issues for miners.
Australian opals and opal jewellery have enjoyed a moment in the sun with a resurging popularity in Asia, so this is set to be a special boutique exhibition.
The industry is charging into an action-packed few months, both within Australia and abroad, and if you’re in the mood for travel, consider what's on offer overseas.
While you can't control the storm, you can steer your ship – despite the dip in consumer confidence and inflation, these industry events act as a lighthouse in the storm, where you can find your bearing and direction – add them to your calendar.
Opportunities abound
Never underestimate the powers of gratitude. It is one of the most important tools in the arsenal of any business owner, and can transform your work environment and also your bottom line.
Indeed, the University of California Berkley and Havard have both published studies detailing the ways in which consistently ‘giving thanks’ can even help improve an individual’s mental health.
Did you want to cultivate a culture of sincerity and gratitude? Nothing beats leading by example.
Every day we encounter multiple chances to display our appreciation. For example, it might be when a customer finalises an order, when they receive an invoice, or even in a follow-up email or phone call – ensure your 'Thank you' is sincere, and not just an after thought! After all, their patronage is what is helping to keep your doors open!
The exact same rules apply when dealing with staff, suppliers, colleagues, and even other surrounding businesses.
Remain ever vigilante and alert for opportunities to express your gratitude to those who contribute to your business's success - especially in tougher times.
Connections forged in hard times are often ones that last.
Add these events to your calendar
» Jewellery & Gem Asia Hong Kong
22-25 June | Hong Kong, China
» Australian Opal Exhibition
2-3 August | Southport, Australia
» India International Jewellery Show
3-8 August | Mumbai, India
» International Jewellery Fair
19-21 August | Sydney, Australia
» Jewellery & Gem World Hong Kong
18-24 September | Hong Kong, China
» Bangkok Gems & Jewellery Fair
6-10 September | Bangkok, Thailand
» Istanbul Jewellery Show
5-8 October | Istanbul, Turkey
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