Merrick, NY—In our third installment of “Your 2019 Must-Do List,” we hear from Barry Lustig, GG, CG, The Gordon Company. His recommendation? Clean out the aged clutter from your showcases. Read on for the full scoop to get your 2019 started off right!
The new year brings plenty of resolutions. We all have them: to eat better, get in better shape, finally clean out the garage, and the list goes on and on. All of these are excellent goals, but they apply to our business as well. Did anyone resolve to get the inventory leaner and in better shape? To clean out the aged clutter from the case?
The sooner you start to review last year, the better prepared you will be for a successful 2019. Step up, take a deep breath and pull that aging report. Studying the dates might be as hard as stepping on the scale in January, but we all must face reality. For many of you, this is not a regular task, but it should be. There are going to be some shocking numbers. Our record this holiday season was over 6000 days old--with the owner and manager arguing about the proper sell price! We advise you to split the list into three buckets: over five years old, two to five years old, and current.
In our industry, anything over two years is considered aged. How much do you have in stock older than two years? What does that mean in dollars? What else could you have done with that money? Renovate the store? New cases or better lighting? A CAD machine and 3D printer are must haves for the retail jeweler today. So many retail jewelers have an enormous amount of capital tied up in underperforming product.
You might not see it, but your customers recognize older product when they come to your store. Your favorite customer, and regular shoppers definitely notice familiar pieces. This might be the year to consider selling of aged and underperforming inventory. Trim the fat and get in shape.
Every year that passes, we learn how important it is not to only work harder, but to work smarter. Do a thorough study of your sales. Not just run the numbers but look at individual products and styles. Was your bridal business up? How much was custom and special order, how many rings were you able to sell out of the case? Is your collection current or do the styles look dated? How many dollars to sitting in those 6 feet alone? How could that money be better spent around your store?
Let 2019 be the year you and your store finally get in shape. For more information, call (954) 763-9800.