How does one come to find their own place of power in the jewelry market they serve? It isn’t such an easy question and many factors must be considered. I struggled with this very question for a long time until I finally reached the answer for my store.
A few questions you might ask yourself in determining where your place of power could be:
- What is the average income of the clientele I serve? Do I serve a higher end clientele or is my audience more working class?
- Is my operation situated in a bedroom community of retirees or do I serve more young couples, up and coming executives or a mixture of both?
- Do I serve a more “Art Oriented” community who appreciate a custom made look?
- Do my clientele enjoy more of the fad type jewelry or what’s currently hot at the moment?
These are the questions you need to ask yourself before you buy inventory and before you do your next marketing campaign. I often ask myself, who is my core client? How do I best reach them with the marketing that I do? Should I do more direct mail or should I do more drive time radio, another billboard? These are all things that need to be tested in your store.
It is sad to see many wonderful jewelry stores going out of business because they can’t figure out their “Place of Power.” They are too busy trying to be all things to all people. They buy too much of the wrong types of inventory and cause themselves cash flow problems. If they’d only taken the time to study what inventory has sold best for them over the last year, they could have made better buying decisions.
When you know and understand your place of power, no one will be able to compete with you. Your buying will be right and your marketing will be right. Quit trying to be a “Guild” operation when you know most of your clients are blue collar. Conversely, if you’re in an upper end market, don’t come off too promotional in nature - stock the right kind of items to fit that market!
You’d be amazed at the jewelry stores I see who are trying to be either “Too High End” or “Too Low End.” They’re killing themselves and their pocketbook. Personally I’ve looked at successful guild operations and promotional operations and have learned equally from both. The important lesson is - know exactly where your “Place of Power” is and don’t vary off course!
Once you find your “Place of Power” will you lose a few customers? Perhaps, but hey, gone is the day where we can be all things to all people. You simply must realize that even though we would like it to be, our individual stores will not be for everyone! That’s a tough thing to realize, but it is also very empowering. You are now polarized to attract those who enjoy the goods and services you have to offer! All it takes is just a little shift in your own mind.
For 2016 my goal is to be a better business person first! Those who have been better business people have withstood the “Great Recession” and are in position to take advantage of the new and resurgent market that is happening. The market is different now and it requires us to take different approaches to better optimize our operations. Learn your “Place of Power” and then take your business to the next level - it’s absolutely possible!