Jewelry eCommerce Business is not just a creative, beautiful space but also a lucrative, scalable venture in high demand.
Jewelry fulfillment is also among the most convenient due to the product’s small size and lightweight.
So one can both transport and store a large inventory in a small space.
After a big drop in 2020, it is estimated that the value of the global jewelry market will increase steadily over the next years to reach US$ 290 billion by 2025 and US$ 307 by 2026, in spite of the current pandemic.
Not only that, but online jewelry sales have also been growing at around 1.7% annually in the US. Although brick-and-mortar stores are still the preferred way to shop, online jewelry sales tend to be more convenient since they require less time and allow for a larger variety of options.
They also expose sellers to wider markets, and we estimate they will take over offline sales in the near future.
However, as profitable as the jewelry eCommerce business sector may be, it is also highly competitive. Comparable to the fashion industry, it takes a lot for jewelry sellers to enjoy a big piece of that market pie.
Nevertheless, with the right strategy, this is not impossible to achieve. We have a few solid tips to make it happen. So let’s go through them.
1. Take it seriously
We cannot emphasize this enough. An online business, even if it is an extension of an offline business, should not be treated as a side gig or a hobby. It requires just as much time and effort. So it should be regarded at least as a part-time job, if not a full-time one, depending on how large your team is.
That means investing resources, dedicating a team to sell jewelry online, researching the right tools, and setting up systems for this. Don’t look at it as a headache; it’s an opportunity. Nothing worth it comes easily. But if you’ve established it well, your profits and brand image can grow exponentially.
2. Separate duties
Like any offline business, an online one will have its own facets – some similar (e.g. accounting, marketing) and some different (e.g. web development, marketplaces). Each one of these should have at least one person in charge of it. The larger your business operations, the bigger the teams should be as well.
If you follow point no.1 above, then separating duties will become crucial. Marketing requires a different skill set than web development. It would be extremely challenging for your staff to handle areas they have no expertise in.
Plus, handling suppliers and subcontractors would also leave little time to deal with social media channels, SEO, or PPC campaigns set-up. Giving too many responsibilities to any one person can lead to lower productivity, higher chances of errors, and wasted resources (money, time, etc). That’s what would turn it into a nuisance, so let’s stay away from making this mistake.
3. Invest in the right tools
We’ve talked before about what to consider when setting up an eCommerce jewelry business website. While this is one of the tools you should include in your jewelry eCommerce strategy, it is certainly not the only one. Lots more software can come to the rescue, which can automate processes, synchronize operations, and generate reports. Our Valigara Online Software Manager is an A-to-Z jewelry software that covers most of the facets of a online jewelry business, including the tailored jewelry ERP ( inventory management), CRM, orders and logistics modules, marketing, etc. It also integrates with external tools like major online channels and payment gateways. So that would be a great place to start.
Other business areas that may need separate software include:
- Accounting
- Team management
- MRP (Material Requirements Planning)
One key point to keep in mind when deciding on these is to ensure they are secure and user-friendly. They should safeguard confidential information properly and be easy to adopt for the less tech-savvy team members as well. There will always be a learning curve, but you can minimize that with the optimal tools.
4. Involve the entire team in the entire process
It is difficult to market a product if your sales team has not seen it being created and used. It would be difficult for a customer service representative to handle issues when they do not know what goes on on the supplier end of the chain. This is why your whole team should be on the same page, both vision-wise and operations-wise.
This also creates a more cohesive team, enabling smoother workflows and better communications. Teamwork has become a cliche unfortunately even though its importance has only increased. Excellent interpersonal skills and a supportive team are still part of the foundation of a successful business.
5. Stay up to date
In order to remain relevant in a fast-paced industry, you need to keep up with the latest technology, trends, and customer needs. So you should get into the habit of reading the news regularly if not daily, attending conferences and workshops in your field, and getting feedback from your customers. You can also gain some insight into your customers’ preferences by creating or joining online communities (social media pages and groups), like our Valigara Facebook, LinkedIn, and Instagram accounts.
Another way to go about it is to look at recent research. Some of the latest jewelry buyer trends include the increased interest in self-purchasing and no-occasion shopping. This is a change in former consumer behavior where most jewelry was bought for special occasions or as gifts. However, it is not only industry trends you should consider, but also business/eCommerce ones. Some of the latest include AR/VR, cryptocurrency, influencers / social selling, and more. These can help you widen your target market, actually convert prospects, bring additional convenience to your current customers, reduce costs, and increase the quality of your products and/or services.
Jewelry eCommerce is an excellent industry to be part of, particularly for its high demand, profit margin, and growth potential. However, without the right strategy, it can dampen your efforts and success. By following the guidelines above, you can avoid some of the most common mistakes and give your online jewelry business a good chance to thrive.
