By Rami Baron

It’s probably every jeweller’s desire to sell jewellery to the wealthy. There isn’t a jeweller who couldn’t tell you what their biggest sale was, although I wouldn’t be surprised if they doubled the figure to sound more impressive.

The question you have to ask yourself is what it takes to sell to this client who can buy jewellery anywhere in the world. Are they buying because they want a brand? Are they buying because you have inspired them with something you are showing them? Is it your knowledge and skills? Is it because you have access to something that they can’t get, or don’t know where to start? Maybe it’s because your place of business exudes confidence and style that they can relate to, and you speak their language.

As usual, I like to go back a step and ask myself if this was my target market, what do I know about them? What excites them? What are their fears?

I recently read a report based on a survey of high-net-worth individuals and found some “gems” I would like to share with you.

What keeps these people up at night?

Across the board, all shared the view that it was tougher than ever to achieve financial success and even harder to protect it. Over half were very concerned about the current economic climate and how it will impact their wealth; they also felt that building wealth is more challenging and less equitable than previously.
The affluent invest in assets both in terms of the financial returns but also for emotional reasons. Their home, their collections, their lifestyle. Of course, entertainment and travel are at the top of the list. From those surveyed, 76% were collectors. Jewellery, gems, watches, cars, fine wines, and fashion accessories were a significant part of all those in this category.
82% saw damage to their collections, whether from fire or travel, as being the biggest risk. Interestingly, over 70% were specifically worried about art fraud. Over 60% were very fearful of cyber-attacks and 50% were concerned about neighbourhood crime such as burglary.

Profile of high net worth individuals

Approximately 25% inherited their wealth, and we know that this will continue to grow as we are now in the next phase of a massive shift of inherited wealth going to the next generation, and 40% were self-made.
I found it interesting that they rated being a very organized person as very important, but they all said they avoid administration paperwork. (That’s a lesson for all of us, huh?)
Almost half are fearful of losing their wealth due to family-related issues including divorce, being the target of a lawsuit, or criminals. Economic instability and climate change keep people up at night, and 30% are concerned about the impact of artificial intelligence.

Their passions and trends

Over 50% will update their homes with smart tech.
Interestingly, the desire to purchase jewellery has dropped slightly from last year, and entertainment more than doubled.
What no one will be surprised to hear is that the desire for timepieces and the trend into next year could double.
When people are in the high-net-worth individual category, 80% will have a financial or wealth manager. Equally, they will rely on their own knowledge and education. Just over 50% will use family offices. For those who are unfamiliar with this term, it is a specialist consulting team who either work for one family or several families managing their wealth and protecting them.

One needs to remember that individuals often use jewellery as a means of displaying their status and success. Rolex and Patek Philippe are visible symbols of affluence. A rarer Rolex and a rarer Patek Philippe send another message. There is nothing a man enjoys more than someone identifying and knowing the watch they are wearing and being impressed, especially if you know that it is a hard-to-get piece.

When a person is purchasing an item of jewellery for a significant life event, put aside the engagement ring, the costs become less relevant than the emotional impact that you can create around what you might be suggesting when you craft it for them. Few things are more powerful than suggesting a significant item of jewellery in which they can create and have a deep personal connection. The big anniversary, the marriage of one’s children, a significant birthday.

Understand your clients, understand if they have certain cultural influences in terms of the symbol of special events. Knowing these things puts you at a massive advantage when you begin the process of what they may ultimately purchase.

Did you know that jade symbolises long life and immortality in Chinese culture? Emeralds symbolise renewal, growth, and youth in Western culture.

If one looks carefully at some of the coolest designs in jewellery today, they often incorporate small elements of symbolism that relate to the customer themselves. It could be small engravings in the band at the back of the setting, one or two different coloured gemstones set into the under rail which has a particular meaning to the customer. Finding ways to provide more symbolism, more personalised input by you is of high value to the wealthy customer.

Trade Well,

Rami Baron