{"id":448729,"date":"2026-05-19T03:04:20","date_gmt":"2026-05-19T03:04:20","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/448729\/"},"modified":"2026-05-19T03:04:20","modified_gmt":"2026-05-19T03:04:20","slug":"edahn-golan-what-a-k-shaped-economy-means-for-fine-jewelry","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/448729\/","title":{"rendered":"Edahn Golan: What a K-Shaped Economy Means for Fine Jewelry"},"content":{"rendered":"

Editor\u2019s Note: This story first appeared in the print edition<\/a> of the 2026 State of the Majors. The author, Edahn Golan, compiles the sales figures that appear in the issue\u2019s \u201c$100 Million Supersellers\u201d list.<\/a> Read more of Golan\u2019s industry research on EdahnGolan.com.<\/a><\/p>\n

The jewelry industry is always evolving, but the past six years, from the COVID shock to geopolitical tensions in the Middle East, have reshaped both costs and consumer behavior.<\/p>\n

Gold and silver prices have surged.<\/a> Energy costs have risen. Tariffs have changed repeatedly.
<\/a>
Financing has become more expensive. Shipping and logistics remain volatile. <\/p>\n

Each of these factors has affected manufacturing costs, the availability of materials, and ultimately, the prices consumers see in stores.<\/p>\n

At the same time, consumer purchasing patterns have changed.<\/p>\n

These shifts mean that businesses across the value chain\u2014retailers, manufacturers, wholesalers, and suppliers\u2014can no longer operate exactly as they did before. <\/p>\n

Companies that fail to adjust their strategy to the new market reality may find themselves struggling.<\/p>\n

One of the most important structural changes is the growing divide in the U.S. consumer base, with American jewelry buyers increasingly split into two distinct groups.<\/a><\/p>\n

The first group is spending less overall and buying fewer pieces, particularly jewelry priced below $1,500.\u00a0<\/p>\n

Over the past year, these consumers did spend slightly more per item, but not enough to offset the decline in unit sales. As a result, revenue from this segment has generally declined.<\/p>\n

The one notable exception is lab-grown diamond jewelry. Demand for the category continues to grow, although much of the volume is concentrated in relatively simple items such as stud earrings, not higher-value pieces.<\/p>\n

\u201cThe middle of the market is shrinking. Businesses that try to serve everyone risk serving no one particularly well.\u201d\u00a0
\u2013 Edahn Golan, Tenoris\u00a0<\/p>\n

The second group of consumers is moving in the opposite direction.<\/p>\n

Shoppers buying jewelry priced above $1,500 are spending significantly more overall. <\/p>\n

However, their average spending per item has remained relatively stable. The increase in total spending is mainly due to more units being bought, rather than higher prices.<\/p>\n

This group continues to spend heavily on bridal jewelry, diamond stud earrings, and tennis bracelets, most often set with natural diamonds.<\/p>\n

In economic terms, this is a classic K-shaped market: one segment of consumers is pulling back, while the other continues to expand its spending.<\/p>\n

The strategic challenge for retailers is that the middle of the market is shrinking. Businesses that try to serve everyone risk serving no one particularly well. <\/p>\n

This divide has major implications not only for inventory, but also for positioning.<\/p>\n

Stores that want to serve the lower-price segment likely will need to go heavy on lab-grown diamonds, offer competitive pricing, and build their business model around being a higher-volume retailer.<\/p>\n

Retailers targeting higher-end consumers face a different set of decisions. Their stores must communicate luxury: fewer pieces on display, more space around each item, and stronger storytelling around craftsmanship and materials. <\/p>\n

Inventory strategy also becomes critical. Can a retailer serving this segment afford not to hold natural diamonds on hand for custom work?<\/p>\n

Manufacturers face similar strategic choices. <\/p>\n

Some will focus on producing fast-moving everyday jewelry at accessible price points. <\/p>\n

Others will concentrate on higher-end designs, emphasizing craftsmanship, innovation, and differentiation.<\/p>\n

Trying to straddle both segments, or continuing to rely on the $1,000-$2,500 price range, may prove increasingly difficult.<\/p>\n

There is a reason I\u2019m discussing this in an issue dedicated to the largest U.S. jewelry retailers.<\/p>\n

Most of the major players already have chosen which side of the market they want to serve.<\/p>\n

They are either volume-driven retailers or luxury-focused sellers. They are either heavily invested in lab-grown diamonds or strongly oriented toward natural diamonds.<\/p>\n

Signet Jewelers is the exception to the rule. <\/p>\n

It remains the largest jewelry retailer in North America in terms of both sales ($100 Million Supersellers list)<\/a> and number of stores (Top 50 Specialty Jewelers list)<\/a>, operating across multiple market segments through its various banners.\u00a0<\/p>\n

Behind it on the $100 Million Supersellers list are two mass-market retailers (Amazon and Walmart), and two high-end, iconic luxury companies with well-established brands, Richemont and LVMH.<\/p>\n

\u00a0Related stories will be right here \u2026\u00a0<\/p>\n

Notably, many of the mass-market players are currently experiencing declines in jewelry sales.<\/p>\n

U.S. specialty jewelers performed better year-over-year than multi-item retailers. That is not surprising.\u00a0<\/p>\n

Specialty jewelers, especially independents, are deeply rooted in their communities. They know their products well and speak about them with confidence and passion.<\/p>\n

Large chains, by contrast, are designed to move substantial volumes of product while tightly controlling costs. Turnover among sales staff is often high, meaning that while large chains offer consumers a bargain, they do not always build long-term relationships.\u00a0<\/p>\n

The U.S. jewelry retail landscape remains fragmented compared with most other industries for one reason\u2014because this dynamic works. It serves customers well and often generates strong returns for successful operators.<\/p>\n

The key takeaway from all of this is that the split in the market is likely to continue for the foreseeable future.\u00a0<\/p>\n

Adjusting to changing consumer demand will require businesses to adapt accordingly.<\/p>\n

In today\u2019s market, success increasingly depends on choosing a clear position: volume or luxury, lab-grown or natural, price leadership or product differentiation.\u00a0<\/p>\n

The middle of the market is becoming harder to defend, and the largest U.S. retailers have already made their choice.<\/p>\n","protected":false},"excerpt":{"rendered":"Editor\u2019s Note: This story first appeared in the print edition of the 2026 State of the Majors. The…\n","protected":false},"author":2,"featured_media":448730,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[114,184,209840,209839,209841,85,46,209846,209845,209843,209844,209842],"class_list":["post-448729","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-edahn-golan-national-jeweler-articles","tag-edahn-golan-state-of-the-majors-2026","tag-edahn-golan-state-of-the-majors-article","tag-il","tag-israel","tag-largest-jewelry-chains-in-the-us-by-number-of-stores","tag-largest-jewelry-chains-in-the-us-by-sales","tag-national-jeweler-state-of-the-majors-2026","tag-national-jeweler-state-of-the-majors-lists","tag-who-researches-figures-in-state-of-the-majors"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/448729","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=448729"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/448729\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/448730"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=448729"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=448729"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=448729"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}