Here's the latest sign of a strong economic rebound: People are buying more high-end jewelry like diamond rings, gold necklaces, and fine time pieces.
According to news from Edahn Golan Diamond Research & Data, purchases of fine jewelry in the U.S. is recovering with fine jewelry sales up nearly 10% this Fall from the same month last year.
United States economic forecasters with Deloitte, one of the Big Four accounting organizations is reporting people are sitting on unspent income and saving at a very high rate.
Jewelry Instead of Traveling
Our local jewelry sellers have a theory on why they're seeing sales come back.
If you were having a wedding, a 10th or 25th wedding anniversary, a significant birthday, the romantic thing to do was to travel. That has changed, “in a time like now, we are experiencing people having a human need to celebrate. Jewelry is a gift that stands the test of time,” says Blake Simmons of Simmons Fine Jewelry of Meridian.
In the U.S., diamond markets are seeing year-over-year double-digit growth each month since July.
With travel in a slump, diamond jewelry has been capturing some of the unspent travel budget. According to Simmons, “we have seen an increase in the purchasing of brilliant natural diamonds and one of kind gemstones and fine time pieces.”
At a recent retail conference, Macy's CEO Jeffrey Gennette noted how national sales of luxury items were "outpacing expectations."
"There's a lot of theories for that. I think one of them is that you've got customers that are not traveling. So those budgets that used to be spent on experiences are now going to kind of treating themselves with products," he told CNN Business.
Simmons, in an email to Lifestyle Publications, said they have seen customers during the pandemic gravitate toward the jewelry category, in part because it retains its value.
Simmons is seeing that trend with engagement rings.
Because couples aren't doing destination engagements, they're investing in an even more fabulous diamond ring. “Couples are seeing the value of their relationships more today than ever, purchasing rings and making commitments to each other,” Simmons said.
Since fully reopening after the lockdown, local jewelers Hal Davis and Simmons have noticed a few trends in diamond jewelry purchases.
It was not until July that they witnessed an uptick in higher-end diamond sales. “Couples are seeing the value of their relationships more today than ever, purchasing rings and making commitments to each other," Simmons said.
Customers are either upgrading the diamonds in existing jewelry they own, like an engagement or wedding ring, or buying a completely new piece. However, Simmons noted for his business “2020 has been a year of change and customers are wanting to purchase modern and fresh designs.”
Both Hal Davis and Simmons are anticipating very strong sales in Fine Jewelry for the holiday season with an extraordinary inventory ready for Treasure Valley residents to purchase.For more information visit HalDavis.com and SimmonsFineJewelry.com
