For many retailers, the end of the holiday season marks the end of a tough year. With analysts expecting the current economic woes to continue, business will remain volatile in 2009. As we’ve done from the beginning, Jewelers of America will continue to offer guidance and perspective.
One critical point to keep in mind is the cyclical nature of the economy and the business. Jewelers of America’s Director of Education David Peters offers the following insights:
- Since 1948, there have been nine recessions averaging 11 months each.
- Each recession has been followed by periods of economic expansion averaging about four years.
- If retail is your chosen profession, accept the fact that you will live through six or more of these cycles in a 30 year career.
- The jewelry industry faces a unique challenge: because our nation has enjoyed strong economic growth for nearly a decade, over 50% of today’s jewelry sales people have never experienced a true economic recession, until now.
Given these factors, Peters advises retailers to relax and focus:
- Step back, take a deep breath, and relax. Good times come, and good times go.
- Remember that even when times are tough, the good times always come back!
- The key is to see opportunity in tough times, not adversity, and act on opportunity.
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