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Merrick, NY—Luxury jewelers are the category leaders in sales growth for the first quarter, according to a Centurion spot-check survey this week of better prestige jewelers across the United States.

According to U.S. government figures reported by Rapaport last week, total U.S. combined jewelry and watch sales grew an average of 6% in January and February, the result of a 6.4% year-on-year increase in February and a 3.6% increase in January. But prestige jewelers did even better: almost one-third (31.4%) of respondents said their first-quarter sales grew by more than 10% over the same period last year, beating government figures by 4%. Another 20% said their first-quarter sales were up between 5% and 9% over Q1 2013. And 14.3% said their sales edged up between 1% and 5% for the quarter this year vs. last year. In total, two-thirds of respondents posted an increase for the quarter.

Even better, Centurion’s respondents overwhelmingly said the gains were driven by customers buying higher-ticket items and an increase in the number of units sold, not increased prices over last year on the same products. Special events and better sales team performance also added to the gains, below:

To What Do You Attribute Your Sales Gain?

Finished jewelry sales (predominantly diamond) were the biggest category leader, with 51.8% of jewelers reporting this category as the one that most drove numbers up. 40.7% of respondents cited loose diamonds, gems, and custom work as the biggest increase. But contrary to the government’s findings, watches were less of a draw in the prestige market. In February, the watch sector outperformed the jewelry sector, according to the government figures: jewelry sales increased 6%, while watch sales jumped 8.9%.

But only 7.4% of respondents to the Centurion survey said watches were the primary driver of their increased sales.

Not all prestige jewelers had a stellar first quarter. The weather dampened both spirits and sales for almost one-quarter (22.6%) of respondents. Here’s a sampling of what they said:

• “A brutal winter had a major negative impact on traffic.”
• “The harsh winter with extreme temps and nasty snow and ice.”
• “Down 30%, four years’ drought, farmers not buying anything!”

One jeweler credited the weather for actually forcing sales up, mainly due to panicked last-minute Valentine’s Day customers buying more than they might have with more time to shop.

Here's a visual snapshot of first quarter results among prestige jewelers. 31.43% reported sales "up significantly," or more than 10% over the same period in 2013.

How Do You Rate Your Total Sales For The First Quarter of 2014, vs. Q1 of 2013?

Jewelry box image: JIC.org