How to Start a Jewelry Store
For people who decided to create their own business and thought about whether it is profitable to open a jewelry store, we want to say it is profitable.
Naturally, the jewelry market is quite competitive, profitable and a prestigious type of business. However, given the high demand for these products, opening a jewelry store is a good promising business idea.
In order to build a successful business, you need to come up with something that will distinguish your company from a huge number of competitors.
Are you interested in starting a jewelry store or business? Then here are some tips for you, Come on!
In this article, we will see:
- Who Can Start a Jewelry Store?
- Why the Jewelry Store Business?
- Jewelry Store: How to get started
- Jewelry Store: Success Tips
- Conclusion
Who Can Start a Jewelry Store?
The following qualities and skills are necessary, such as:
- Be interested in jewelry.
- Know the different types of jewelries.
- Follow market trends.
- Be creative and find your own style to stand out.
- Know how to manage a store.
Why the Jewelry Store Business?
Every person who starts a business must crave a business that generates large profits. However, what kind of business can quickly return your capital? One of them is a jewelry business.
If you look at retail businesses, such as food, clothing, shoes and others, they certainly cannot sell 100% of their goods. There are always leftover items which must then be sold or stored in a warehouse.
However, this does not apply to the jewelry business.
Jewelry has a high selling value.
Jewelry itself is not easily damaged and durable if stored properly. You can store a jewelry for decades and its shape will not change.
In addition, buying a jewelry is not categorized as consumer spending but investment. Not surprisingly, many people are flocking to start a jewelry store business, either through a franchise system or starting it themselves.
Jewelry Store: How to get started
1. Extensive Knowledge of Jewelry
Starting a jewelry store business without having extensive knowledge and all information about jewelry is like fighting without ammunition.
At the very least, you need to know what good and bad jewelry quality is. So that by providing good quality, then you can maintain customer satisfaction.
Because of course with good quality, your business will also become successful.
So before you start a jewelry store business, make sure you learn in advance all about jewelry.
Make sure the quality of jewelry that you have is no less competitive with several other jewelry shops. So that potential customers do not hesitate to buy and visit your jewelry shop. The more knowledge you have about gold, the more you will benefit.
2. Study the Market
No venture should be opened without this primary step. Take the time, and a good time, to do a very serious analysis of the jewelry market in the region where you want to operate. Check which stores exist, how they present themselves to customers, what type of products they sell and the price they practice.
Write everything down on paper in such a way as to guarantee an easy comparison, ensuring a good overview of how everything works in this area.
Be sure to visit stores like this, chat with people and take advantage of the internet to discover everything you can about starting a jewelry store.
3. Know Your Competitors
Competition in the jewelry store business is very tight, everywhere you can find jewelry stores both large and small.
In order for you to win in the competition, you must have an open mind. You have to do a survey of your competitors.
Starting from the performance and their advantages compared to you. By knowing your competition, you can give customers what they don’t give. In this way, you can win the competition.
- Identify your Target Market
The jewelry audience is not always the same. You can focus on different niches to guarantee a multitude of possibilities. You may have a store, for example, focused on a public with high purchasing power, with products with high added value, differentiated design and exclusivity.
Or you can focus on a more popular audience, with products that are quite varied, with competitive prices and easy forms of payment. You decide, based on the research you have done in your city, the market in your region and also on the evaluation of suppliers.
It is important to remember that the choice of the target audience will directly affect the amount of money that you will need to invest, both in the quality of the products, as well as in the preparation of the store itself and of all visual communication.
For this reason, this is one of the most important decisions that will directly influence all stages of your operation and even the profitability you will gain from the sale of each part.
A good tip to get it right is to try to serve an audience that is not yet being covered by stores in your region. If all the jewelry stores in your city are targeting a high-income audience, there may be an excellent open market in other parts of the market and vice versa.
Read Also: Checklist for Starting a Company
- Ideal Location
With all the information above, it is time to decide where your store will be located. Remember that jewelry are high-value products, even at more competitive prices. For this reason, security is essential for the decision of the point of sale.
It is crucial that the store only starts to be set up when you hire a security service that inhibits the action of miscreants. Security with an alarm and surveillance cameras is a good start, especially for a shopping store.
If your store is on the street, you may want to hire a security service as well. Remember that the ideal plan is to have security independent of the location and at least two, one inside and one outside the store.
Evaluate the malls that serve your audience, streets and the space of the available places. Also remember that you will need to guarantee convenience to your customers, such as easy location, parking and visibility. A good jewelry store also needs to have a good showcase, enough space for stock and enough comfort so that customers can choose the products they want.
As much as you think that this type of investment can be high, make sure it is not compared to the loss you can have. Think about it!
- Choose a Name
Some jewelry store owners use their name to create their brand. Alternatively, if you are associating with another person, perhaps use their two names or initials? Alternatively, even coin them in a new word? If instead you go for something that reflects your brand’s personality, get yourself some paper and scribble some ideas.
If your only goal is a jewelry store for designs, try incorporating it into your name. Alternatively, if you specialize in necklaces, use it to keep creative ideas going. Over time, you will come up with a unique name that stands out.
- Choose a Logo
Like choosing a name, on the other hand, selecting a logo for your jewelry business is just as important. Your logo is an opportunity to tell the story of your brand and create your personality while being open to interpretation from around the world.
You may want to consider some types of logos for your jewelry making business, such as:
- Illustrative-Simple images that convey your brand’s stories, like a diamond or other gemstone.
- Font / Wordmark-Will you choose to tell your brand story through a font-based logo? Many jewelry companies opt for elegant calligraphy.
Regardless of what you decide for your logo, try to create a synergy between that and your brand. It will help create a bigger brand story that can help your customers remember it. Choose your theme color and logo size wisely.
- Choose a Style
You need to decide which type of jewelry you want to start in your jewelry store.
The merchandise you will exhibit may in fact differ, depending on your budget and the target customers to whom you want to turn.
If you are thinking of focusing on high jewelry, your clientele will certainly be made up of more wealthy bands, who do not give up on the purchase of luxury goods.
But there are also inexpensive jewelers, who focus on more affordable jewelry materials: not only gold, silver and precious stones, but also costume jewelry.
Read Also: How to Start a Mini Supermarket or Grocery Store
Types of Jewelry
If you are curious about the type of jewelry you can start in your jewelry store, let’s refer to the following discussion!
Ring
Ring is one type of jewelry that does offer simplicity but can also be something that can offer what you are really looking for, for a perfect appearance. Moreover, if you do have a description of what kind of appearance can complement your days, now the ring would really be the right choice.
In addition, please note that for a type of jewelry there are many types of precious metals that can be used such as silver, palladium, platinum, and tungsten, each of which has different qualities.
Necklace
Necklaces become another type of jewelry that is known to both have many fans. Yes, it’s not uncommon for a necklace to be chosen together with a pendant which are interesting. Whether it’s with a model that can be said as a name pendant or whatever, but whatever it is, a necklace is often used by people.
Bracelet
Bracelet is one of the other choices for jewelry. This jewelry is usually used on the wrist and can also be combined with other jewelry such as a ring. So there is no reason why you can’t choose or match a jewelry like this. A bracelet can indeed be combined with a ring, the two items will indeed be a match.
Earrings
Who does not know about an earring? Earrings become one type of jewelry that is really often chosen. In addition it is also known that an earring is usually used by those who are young or old. Whether its children or even those who have grown, often make this type of jewelry a choice of attraction and also as a separate choice to make it look more special. For children, it may indeed be possible to use this type of jewelry such as earrings for a long period of time, but it is different for adults. They will choose an earring in accordance with their wishes.
In addition, if the bracelet is often combined with a ring, for earrings, it will be combined with a necklace. So that it has an interesting blend.
Therefore, with these different types of jewelry, you can also choose something that suits your target market, right?
- Start-Up Capital
Starting a jewelry store can be profitable, especially if you choose to start on a small scale, operating at home or in the shared office. Ensuring a standard and well-positioned store installation and purchasing work tools and software applications needed for a jewelry store are part of what will consume a large part of the initial capital. If you choose to start the business on a large scale, you will need to look for a fund to finance the business, because it is expensive to start a standard large-scale jewelry store.
Without a doubt, when it comes to financing a business, one of the first things you should consider is having a good business plan. If you have a good and workable business plan document, you may not have to work hard before convincing your bank, investors and friends to invest in your business.
Here are some of the options that you can explore
- Raising money with personal savings and selling personal stocks
- Raising money from business partners
- Proposing your business idea and requesting business subsidies and initial funding from donor organizations and angel investors
- Gentle source of loans from family and friends
- Business Plan
Once all of the previous steps have been completed, you can then embark on the realization of the business plan, an essential document for any business creation.
In fact, the business plan is a kind of summary of your professional project which includes market research, commercial positioning, choice of location, legal status, and of course the financial budget.
Simply put, a jewelry store plan has two parts:
- A written part used to present the project and highlight its strengths
- A quantified part, which is the financial budget, used to highlight the need for financing and the profitability potential of your business
This document will allow you to further explore your project and check its financial feasibility. It is also through this business plan that you will communicate to the banks when seeking financing.
Suffice to say that a business plan must be easy and pleasant to read, give the key information of your professional project, and give enough details without drowning the reader.
Read Also: 22 Reasons for Small Business failure and How to Avoid Them
- Legalities
The creation of any new business involves legalities. When starting a jewelry business, consider the following:
- Tax obligations – If necessary, hire an accountant.
- License to start a jewelry store.
- Registration – Depending on the type of business you wish to create, registration may be different. If, for example, you establish yourself as an individual operator, you will have to take into account your annual turnover in terms of VAT and your sales and expenditure statements.
- Find Customers
Every jewelry store needs customers, and we’ll provide you with tips to help you find yours – whether you want one or 100!
While you may want to acquire as many new customers as possible at the outset, it is likely that over time, the focus will be more on retaining customers in the long term, as it can be difficult to continually replace them.
That said, it’s also important to know when to let a customer go.
How can your jewelry store find customers?
- Networking
One of the most important ways to find clients and market your business is through networking.
Networking is about building connections and delivering value – note that this is not necessarily an immediate source of income. Instead, think of it like this: Connections create customers.
- References
Once you have customers to work with, use them to expand your customer base even more.
Being referred by another company could increase your business chances of finding more customers to work with, as this helps build trust.
- Location
The location where you are based also says a lot about your business. Again, it’s all part of your brand, so choose your business location carefully, because it can say a lot about your business.
Finding the right premises for your business is not only having enough space to work, it is also showing potential customers – and competitors – that your business is a serious competitor.
How to retain the customers
Once your business is better established, you will need to make sure that your customers stay with you and that they are not influenced by what other competitors are offering.Here are a few tips:
- Make sure that everything your business does is customer-focused.
- Keep reports and document work
- Stay up to date with jewelry news
- Creative approach to work
Although it can be fairly easy to manage your time (both for acquiring new customers and maintaining existing accounts) in the early stages, as your business grows and grows, you may need to consider additional tools.
Read Also: The Power of One Customer
- Promote your Jewelry Store
Promoting a business is essential, but for a jewelry store, the question becomes even more interesting: how to promote a jewelry store?
Even if people expect higher standards (this is your business area of expertise, after all), don’t worry – see it as a creative challenge instead. Here are some of the main ways to promote your business:
- Website
First of all, you need to have a professional and well-designed website. This is not negotiable for a jewelry store – customers and others interested in your business should be able to find your business online and see a site that best reflects what you are doing.
However, it does not have to be expensive. At first, you can use a website builder to quickly and easily create a basic website, without the need for a lot of technical skills.
After a while, you can consider hiring a professional website designer to create a website with custom design and increased functions.
- Social media
In addition to your site, your business will need to be on social media to contribute to your overall online presence. Although there are a number of platforms, focus your efforts on connecting with your target market. It’s about knowing what networks they’re using and sharing their content. You can use social media to promote your business, but also to engage and find customers.
In general, Facebook and Twitter are the main networks to use. If applicable, consider using Instagram, Pinterest and other platforms as well. It’s a way for people to see what’s going on in your business and keep you up to date on what matters most to your customers.
- Promotional material
Even if you run a jewelry store, don’t forget the promotional material on paper. It can be as simple as creating business cards for yourself.
Likewise, you might consider creating brochures and other physical materials to promote your business. You could sample a range of work that you think best represents your business in a brochure to distribute as needed.
- Hire Employees
To set up a small jewelry store, you will need, in addition to the security guards (which we have talked about), at least two sellers. It is essential that they are more than salespeople, that they are jewelry consultants and that they have no less than excellent service!
Having good sales professionals makes all the difference to the success of your jewelry store. It is important that they are pleasant, captivating and that they understand a lot about jewelry and can be confident of personalized service.
- Joina Jewelry Community
This gives you a huge boost in running your business because you will be surrounded by a support group who wants to see you succeed.
You will meet other jewelry store owners and learn a lot.
Also join a private community to share tips & support each other.
Jewelry Store: Success Tips
- Service: the target audience of a jewelry storeis different, therefore, its employees must be aware of how to approach it in the most assertive way to boost sales;
- Invest in assistance: many people do not look for a jewel, but how to repair one they already have. It may even seem strange, however, customers will come back to check your products once they know that your jewelry store offers more than expected;
- Communication: having clear communication is essential, because, in addition to leaving no doubt about your products and services, customers appreciate when the service is more than a clumsy approach, but rather assertive – without rudeness, of course.
Read Also: How to Start a Wedding Rings Shop
Conclusion
At this point, you have learned the essentials of starting a jewelry store. We looked at how to identify a target market, as well as what should be included in your business plan and how to start a jewelry store. Plus, you’ve learned how to promote your jewelry store – whether it’s finding customers, attracting talent, or just promoting your business.
That’s all, I hope this guide on how to start a jewelry store has been very useful to you and gives you the push you need to start your own business once and for all.
So what do you do with all this information? It’s time to start your jewelry store business – good luck!