Tiffany & Co has developed a new program to target its wealthiest customers.
Tiffany team to cash in on cashed up
Posted October 23, 2012 | By Jeff Salton • Assistant Editor
Tiffany & Co. is targeting the rich via a specially-created team
that brings the shop to you – with a showcase of items each worth
$50,000 or more.
Despite compelling evidence that suggests many, if not most, countries are feeling the full force of another global financial crisis, New York jewellery favourite Tiffany & Co. has created a separate selling unit to cater specifically to wealthy clients.
The team, led by Beth Canavan, who currently heads Tiffany’s Americas business, is pitching to clients who appreciate the finer things in life, like unique or few-of-a-kind pieces with price tags of more than $50,000.
A company spokesperson says Tiffany attracts a small but growing percentage of its sales from customers who prefer statement jewellery. Tiffany’s vice president of investor relations, Mark Aaron, believes “there is a big opportunity to grow that higher-end business … it is important to have a dedicated, proactive selling organisation."
He told Reuters affluent shoppers would targeted globally through strategically-organised events where they could get ‘up close and personal’ with exclusive jewellery.
Consulting firm Bain believes the global luxury goods market growth will slow to around 4-6 per cent annually between 2013-15 but these predictions haven’t deterred Tiffany.
The spokesperson says that ultra-wealthy shoppers’ buying habits are not dictated to by financial storms, unlike middle- and upper-middle-class consumers where customers pull back more quickly.
Surprisingly, while Tiffany & Co is renowned for its high-priced items, and around 30 percent of the company’s sales come from its engagement and bridal selection, one-quarter of its sales are generated from relatively inexpensive items such as $US135 sterling silver key charms.
Tiffany has five stores across Australia with a new store opening soon in Bondi Junction, as reported earlier this year in Jeweller.