My jewellery month of September: Under the weight of the gold price

September in jewellery can be viewed very well through the filter of the rising gold price. It influences a lot. Investment behaviour, buying mood, designs ... and also puts some people under pressure to rethink their previous ways or to see themselves encouraged to do so. My thoughts on dealing with a new normality.

Gold jewellery without compromise: 18-carat yellow gold pearls in a chain design by Yana Nesper. © Insight Luxury

What to do with the gold price? Impressions from the Vicenzaoro

One factor that currently plays a role in everything in the world of jewellery is the price of gold. At the moment, in the early afternoon of 6 October, the price of a troy ounce of gold is USD 3,932.96. It is climbing higher from week to week, with no end in sight. How should/can we/should we deal with this issue, which has become such a constant - albeit unloved - companion?

The perfect place for me to capture the mood was the Vicenzaoro trade fair in Italy at the beginning of September. I used the opportunity to meet so many international exhibitors to find out what solutions and strategies the manufacturers are currently pursuing. The answers are quite varied.

Lifestyle jewellery: popular due to price and design

If you have a mixed range of gold and silver jewellery, you will probably notice that silver is becoming a popular alternative for more and more consumers. This includes not only jewellery that really has a silver look, but also gold-plated silver jewellery. The truth is that many consumers don't really differentiate between "gold" and "gold-coloured" - the main thing is to like the design. In short: all that glitters is gold! If the quality is also right, nobody can really go wrong. 

This image was conveyed to me by the Danish lifestyle jewellery brand Sif Jakobs, which sells both silver jewellery with cubic zirconia and jewellery made from 14-carat gold with synthetic diamonds. The 18-carat gold-plated designs are very popular and are not necessarily cheap. A minimalist choker from the new "Palermo" collection costs a hefty 779 euros in gold-plated jewellery with zirconia - and yet it is one of the most popular pieces. This example is certainly anecdotal, but if people are happily shopping at Sif Jakobs, then the brand must be doing something right. As always, design and marketing certainly play a major role. But this also proves that it still works to present yourself in an appealing way and not to let up in this area. Lifestyle jewellery scores points not least because of its many trend-oriented designs and the fact that more collections are presented each year than fine jewellery. The rapid change is a deliberate strategy that focuses on the "novelty factor" and at the same time enables jewellery fans to snap up bargains when the relevant collection is no longer "in season".

It is also fitting that the German Retail Association, which painted a rather gloomy picture with its consumer barometer in September, is now reporting a slightly different picture for October. The forecast that the consumer mood in Germany would decline by the end of the year has not materialised, as the spending mood has now risen again somewhat - perhaps with a slight focus on the approaching Christmas business. 

By the way, once again for the record: The Vicenzaoro exhibition hall, which is primarily home to design-oriented jewellery and lifestyle jewellery, was enormously well attended. How wonderful if that means that buyers can still find beautiful accessories this autumn and winter that are a joy to look at but don't put too much of a strain on the budget.

Fine jewellery: self-confidence through identity and quality

In the Fine Jewellery and High Jewellery sector, I have experienced calm and serenity. Yes, sales and orders could be better, but as most expensive jewellery brands have a long history and tradition of craftsmanship, they have no choice but to be who they are and hold on to their identity. This should not sound like despair. I see it as self-confidence that conveys stability.

Jacqueline Corrolli, Sales Director at Al Coro, put it in a nutshell. When asked how the Cologne-based manufacturer is dealing with the price of gold, she replied:

"We are a brand. And a brand creates trust."

This is a saying that we should definitely hold on to, because there is so much behind it. We all want a high degree of reliability in our consumption. Expensive jewellery brands stand out for their high quality standards, a good degree of transparency and the longevity of the pieces, which are manufactured in such a way that they can be repaired again and again should any damage occur. Proximity, direct contact with the manufacturer - even if the jeweller stands in between as a service provider - is incredibly valuable when it comes to justifying expensive expenditure. The clear identity of the jewellery brands, their philosophy and history help to convey values and a sense of value - then it is easier for you to justify the higher prices.

Innovation and craftsmanship as success factors

Craftsmanship also plays a very important role. Fittingly, INHORGENTA has also proclaimed "Craftsmanship" as the trade fair's main theme for the coming year. A wonderful opportunity to give an insight behind the scenes. This gives brands the chance to showcase their expertise, deepen their storytelling and generally contribute to the (deserved) glitz and glamour of the jewellery industry.

I sometimes have the impression that the image of innovation and technical gimmicks is very much left to the watch industry - but there are also many technical secrets to be discovered in the world of jewellery that provide a special design or functionality, for example in stretchable jewellery or convertible jewellery with invisible clasps of any shape. There is a lot to experience and the innovative jewellery designs show that the jewellery industry does not stand still even in difficult economic times and has the best prerequisites to remain interesting and attractive.