AGS Conclave: Bricks, Clicks and Magic Tricks

RAPAPORT... Attendeesat this year's annual American Gem Society Conclave, which took place April 23to 25 at the Omni Hotel in Nashville, Tennessee, received an intense educationcovering a wide spectrum of industry issues, from lab-grown diamonds to salesdata and training. John Carter, CEO and president of Jack Lewis Jewelers in Bloomington,Illinois, and newly named president of the American Gem Society (AGS) (pictured), earnedhigh praise from new and seasoned members, including Amber Gustafson,owner of Amber's Designs Fine Jewelry in Katy, Texas, who enjoyed her "maiden Conclaveexperience." "People whoattend already have a strong business, so they are there to take advantage ofthe quality of the speakers and meeting the different industry people whoattend," she noted. Overcoming adversity Popularspeakers included entertainer Marie Osmond and Philadelphia Eagles player andmagician Jon Dorenbos, who talked aboutovercoming personal struggles. Osmond spoke first, noting that she, likejewelers, understands the importance of staying relevant. "My job on TV eachweek was to stay interesting," she joked about her myriad appearances andlong-running show Donny & Marie. When that program ended, she wasforced "to reinvent myself to stay marketable," she said. Other seminar topics included saltwater pearls - JoshuaIsraileff of ASBA Pearls offered insights into pearl grafting and harvesting - whilethe Jewelers Vigilance Committee's Sara Yood talked copyrights and trademarks. AGS'sAlethea Inns detailed her firm's new grading system for brown diamonds, createdbecause "the current system does not describe the nuances of these stones," shesaid. While these and other seminars were well attended, two speakerswhose talks were rich in industry data had rooms nearly filled to capacity.These included Forevermark CEO Charles Stanley, with his "De Beers GroupInsights to Influence Your Marketing and Selling Strategies," and Stuller'svice president of strategic analysis, Harold Dupuy, with his session on "Stateof the Jewelry Industry: Facts, Figures and the Future." Stanley dove into positive US economic indicators such asconsumer sentiment and a low unemployment rate, suggesting that American consumerismwas "alive and well." Results from a recent Mastercard SpendingPulse reportshow that independent retail jewelry stores are driving growth, and that salesamong mid-tier shops (think Signet) were lagging. Online spending also slowed,though 20% of wedding-jewelry shoppers bought online. "A combination of clicksand bricks will drive online growth," he said of the increasing importance ofomni-channel. Growth opportunities And while the industry struggles with the commoditization ofdiamonds, a shrinking retail store community, and the "Amazon effect" on thegrowing e-commerce sector, independents can still stand out through compellingin-store experiences and "connecting with consumers wherever they choose topurchase," he said. Another bright spot in spending: women. "The number ofself-purchasers is up, and that growth is from single women," said Stanley. Dupuy also noted the importance of female self-purchasersand the over-stored state of American retail. Additionally, he predicts that customsales will continue to rise. "Ten years ago, custom work accounted for 5% of astore's sales and now it's 15%," he explained. More opportunities exist inrepurposing and restyling engagement and wedding rings given the US's divorcerate. Finally, a word of sympathy for the oft-maligned millennialshopper: "Baby Boomers had three times the economic buying power when they werethe same age as millennials," Dupuy stated.