So, you might have heard that fashion jewelry is the most lucrative business in the world. Or, you might have a passion for shiny baubles and gifts. Or, you might be looking for a low risk, low capital business that you can invest in. Whether you are the next jewelry name brand or moonlighting on eBay after work, we want to make sure you’re informed about this business.
The number one thing you have to know about the jewelry trade is that it’s not easy. If you think by making a purchase of some company’s minimum order and sell it here and there and somehow turn it into a million dollar business, then you’re setting up for disappointment. We’re not trying to scare you off, but we want to explain the pitfalls and help you succeed. Fashion jewelry is a GREAT business. And, there is money to be made. You can succeed with the right strategy, commitment, and execution. J. Goodin has been in the industry for nearly 25 years. Make sure you take advantage of all the resources we have available to you.
When to start a jewelry business?
It is always a good time to start a jewelry business. Fashion jewelry is low-cost and high margin. The retail markup on fashion jewelry products is three to four key, meaning if you buy something for $5 then you can sell it retail for $20 if not more. So if you start in the business and work at it right, then there’s potentially good money to be made.
The best time to start a jewelry business is RIGHT NOW or better yet a downturn economy. When the economy slows, consumer spending shrinks. People tend to downgrade the dollar ticket of the items they buy. Fashion jewelry is the perfect go-to good when the economy sours. Cubic zirconia earrings, pendants, bracelets, necklaces, and rings have the perceived value of diamond and gold jewelry at much less the cost. People wanting to save will certainly turn to our products when times are tough. The products have a reasonable retail price and a high-end look and feel.
Who is trying to start a jewelry business?
The average person starting out in the business is either an entrepreneurial minded person looking for an additional source of income or a retail or service business owner looking to add the jewelry product group to the counters.
What do you need to start?
Most people start with a limited budget and are understandably leery about how deep they should get in a new business. Buying inventory, selecting products, and the thought of finding customers to purchase the jewelry are most often what discourage people to join, stay, and compete in the business. Fashion jewelry is no easy business. But if you do it right, you could reap huge rewards.
1. Our advice to our customers is to make sure they truly want to do this business in the first place. What we require from you is that you love the products that you sell. In fact, if you don’t believe in the products, then you shouldn’t be in the business of selling them. The first thing you need to start with us or any other fashion jewelry company is a passion for the design and style of the jewelry you select. Our powerhouse is our ring group. So, if you want to be successful selling our products, take a look at the rings and make sure you find them beautiful and exquisite. We believe they are. But we need to make sure you believe so too.
2. The second thing you need is to obviously take the time. If you’re working a full-time job and thinking about starting by selling to and through friends, then you need to plot out how much time after each work day you have to commit to selling. Or, if you plan to put the products on eBay, Amazon, or the like, then you have to have a schedule for that too. If you plan on selling at an outdoor event or market on the weekends, make sure you put together a short-term and long-term plan for which weeks and days you will show on.
Also understand that effort is required. Jewelry is an impulse buy. Most women (we say women since it is jewelry we’re talking about) want to take one of our pieces home the minute they see it. It doesn’t cost an arm and a leg. It’s beautiful and the looks precious. But these women still need someone to sell to them. You can’t just plop it out on a table and expect the world to come. You have to learn the art of making the sale and you have to make a consistent effort to service your customers.
3. The last thing you need is capital. This is for most people the scariest piece of starting a new business when it shouldn’t be. In fact, the capital should be the last thing on your mind. You’re starting a business. You’re buying a line of products for resale. Of course you need capital. Nevertheless, money is a limited resource and we understand your concerns.
We tell our customers to buy enough to show or make a statement with. You’re not going to make a statement with 10 rings in a little tray. Come see us at one of our trunk/trade shows and see why women flock to our booths. Our tables are decked out with rings. And, that draws attention.