Articles and News
How Orloff Jewelers More Than Doubled Business In Three Short Years | November 05, 2014 (0 comments)
Fresno, CA—It's not often that a jewelry store grows from just under $2 million in annual sales to $5 million in three short years. But Orloff Jewelers, under the leadership of second generation owners James and Mary Ann Orloff, has done just that. The Centurion spoke with James Orloff about the growing business, which is a 5,400 square-foot store in the leading shopping center in central California, that's also he center of commerce in Fresno.
"We're family owned and we put our customers first,” says Orloff. The store’s history comes from Orloff's father's side of the family. His dad opened a jewelry store in April of 1955. He retired in 1988, and James and Mary Ann (pictured right) opened in 1989 in Fresno. James Orloff, meanwhile, has been fascinated by jewelry since childhood. He was taking apart watches at age five, and passed his first GIA diamond grading class at 15. Today, Orloff Jewelers is a member of the American Gem Society and the business has a sharp focus on customers and community.
The Owner Is In. The Orloffs are hands-on owners. "I know where every piece is in the store," Orloff says proudly. "Having the owner in the store allows our customers to put a face to our name. It adds value to our product. An absentee owner is an absentee owner." He also leads his team by example, and says he won't ask employees to do anything he himself wouldn't do. "We work well as a group. When we work together, the client is the ultimate winner."
Turnover is low—four of the original employees are still on staff today—and Orloff does not believe in commissions. Total employees number 14; five of those are salespeople and one is a bench jeweler. Five others handle inventory, public relations, customer service, repairs, quality control, gift-wrapping, packaging, and shipping. Orloff is hoping to hire one more bench jeweler and two more sales people.
Two interior views of Orloff's Jewelers.
So how does Orloff keep his employees? "I like to keep them excited and motivated,” he says. "I have a few young people on my staff where I see huge potential. This year we’ve tripled the salary of one who is doing an outstanding job."
Orloff may not believe in commissions, but he’s not soft on sales. Orloff tracks sales carefully and the salespeople have monthly goals to meet, but they are rewarded when the goals are successfully met. "We're very sales driven but not cutthroat. We have a theory: half of something is worth more than 100% of nothing. My team splits sales on occasion and can also quarter them. Every 180 days we reevaluate and increase salary where it's warranted. Each salesperson has a goal of 11 to 13 times their salary in sales. It's a national average formula that works for us." Weekly sales meetings encourage staff, work on techniques such as closings, and cover product and brand knowledge. Many on Orloff's staff have credentials from GIA and/or AGS. "Those titles give them strength," he says. "They also go all out for customers. It's very personal for them. They build their businesses and everyone succeeds."
Giving back. Local charities play a big part in Orloff Jewelers' community outreach, with a focus on organizations supporting children and animals. Customers know how much the Orloffs love their own dogs: they're pictured in the photo at the top of the page. Mary Ann is holding Murray, an eight-year-old black poodle she describes as "very kind-hearted and keeps the kids entertained," and whose job is to be the house greeter. James, meanwhile, is holding 13-year-old Bridgette, a Yorkshire terrier who's devoted to him but keeps her distance from everybody else. Despite her tiny size, she's bit of a guard dog, earning her the reputation of chief of security. Both dogs work every day, save for one day a week reserved for having their hair done, laughs James Orloff.
"We don't say no to charities,” says James Orloff. "We roll up our sleeves and work with the charities. It pays off today spiritually and emotionally, and pays off over time business-wise, when we're invited to partner with one of the charities. It's been our format for the last 35 years but Mary Ann and I have taken it to the next level. Mary Ann has sat on five different charity boards of directors at one time. She's on two right now.
"In order to take something out of the community, you have to put something in it," he continues. "We're not flashy; we're very community minded. It trickles down from us to our staff and their families."
More views of Orloff's 5,400 square-foot interior.
Marketing and merchandise. Much of Orloff Jewelers marketing capitalizes on personal relationships: word of mouth, personal letters, and personal phone calls. "We also do targeted marketing with a marketing company and an in-house person. We have a public relations department that's very creative and always coming up with new ways to get our name out. For social media, we're on Instagram, Facebook, Pinterest and Twitter. We also have an ever-changing website.
Despite believing it's hard to be all things to all people, Orloff does a good job of reaching most people. "We have a number of items under $500 in our 500 collection and also inventory well into the high six figures. Our biggest selling department (in overall sales, not highest dollars) is sterling and gold. We can't be all things to everyone and it's too hard to try. If we're not good at one thing, we'll never be great at many. We cater to the broad masses, from ages 16-90."
Actually, 90 may be too young. One recent wedding set that was sold at Orloff's was for a couple married 73 years who wanted new rings. The couple was 98 and 96 years old. They had been clients since the 1960s; Orloff Jewelers has served the first, second and third generation of that family.
Orloff understands his customers' lifestyles. "Most of our customers have a 20-25 year buying cycle, then most are ready for us to start buying it back after that. One of my jeweler friends tells me ‘it's sell, sell, sell. Then buy, buy, buy,’” he laughs. But buying estates and jewelry off the street has turned into another income stream for Orloff Jewelers, and adds to the store’s customer-centric reputation. "My customers are happy; they wore the jewelry for 20 years and now they are getting cash back," he says.
About That Growth. The Orloffs credit their phenomenal growth to their staff and consultants, The Vantage Group, led by Dan and Lori Askew. "They have been incredible on our team. They are a big part of the growth of our company."
And Orloff's own motivation? "Growing business in a way that's beneficial to our future. That's our whole goal—build for tomorrow."