An analysis recently published by IDEX Online shows that total US sales of jewellery and watches has “kept climbing” in August 2020 – up 9.3% – constituting “the biggest monthly increase” in four years.
Coupled with June and July figures, the August numbers represent three months of increased sales. According to IDEX Online, these three months of increase “follow a record 50% plunge in April – worse than the 1929 Wall Street Crash”.
Specialty Jewellers and Sales
Although there hasn’t been any official data available from the Department of Commerce on sales by specialty jewelers since January, IDEX Online says that preliminary reports “suggested a marked improvement for June 2020”.
In addition, according to estimates based on market knowledge by IDEX expert Ken Gassman, sales fell by about 36% between January and May, with a 75% decline in April, as consumers followed stay-at-home orders and jewelry shops were closed.
Sales of jewellery in the US rose by 9.6% year-on-year in August – a four-year high. Watch sales rose 8.3% – the second highest figure since 2016.
Outlook
According to IDEX Online, “consumer confidence seems to have recovered” as “year-on-year figures show some of the sharpest rises since 2016, indicating pent-up demand”.
The biggest miners in the world – De Beers and Alrosa – have recently shown that their rough sales are back to pre-Covid levels. There is some good news from India as well, as “the industry appears to have largely adjusted to life with coronavirus”. However, IDEX warns, “the pandemic that has claimed 1.1 million lives globally still shows no signs of coming to an end”.
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