Jewelry Competitive Landscape

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Part
01

Jewelry Competitive Landscape

A competitive landscape has been completed for Tiffany's, Harry Winston, Cartier, Moussaieff, De Beers, Graff and Blue Nile. Cartier and Tiffany & Co., by far, are the revenue leaders. Explanations on how figures were calculated, what information was used, and any other interesting information that was located during the research process is presented below.

The competitive landscape has been placed into a spreadsheet. All numbers were converted to dollars using Google's converter. All triangulations have explanations placed in the comments for their corresponding cell.

As was mentioned in the initial research, if the company does not release annual reports, information had to be obtained through financial databases and media reports, therefore, some information was not available. Fortunately, there was only one company, Blue Nile, where information was difficult to locate. It is explained in the Blue Nile section. Also, some companies have yet to release their 2020 annual report. This has been noted in the corresponding cell.

Market Shares

  • Only Tiffany's had a market share that was published; therefore, market shares were calculated. For each company their 2020 revenue was divided by the total market. If their 2020 revenue had not been released yet, their 2019 revenue was used. If the company did not sell watches, only the global luxury jewelry market was used. The process to triangulate each market share is explained in a comment in each corresponding cell.
  • The global luxury jewelry market was worth $21.55 billion in 2020.
  • The global luxury watch market size was estimated $7.48 billion in 2020.
  • Therefore, the combined luxury and watch jewelry market is $29.03 billion.

Tiffany's

  • Tiffany's research was straightforward with no triangulations. All information was taken directly from annual reports.
  • Tiffany's not only sells jewelry, but watches, home and accessories, fragrance, and baby gifts. Items may be purchased in-store or online.
  • While their in-store sales have not returned to pre-pandemic levels, they had a record-breaking 2020 holiday season. "Preliminary net sales rose about 2% for the period Nov. 1 through Dec. 31, compared with a year earlier, with e-commerce sales surging more than 80% during the period".

Harry Winston

  • Harry Winston is owned by the Swatch Group. Swatch does not share specific information on Harry Winston in their annual reports. Instead, Harry Winston is combined with their other luxury brands.
  • Harry Winston sells jewelry and watches. They do not sell online.
  • A media report was located that put Harry Winston's revenue for 2018 at $30,250,000. Once this number was located it was compared with the Swatch Groups revenue for 2017 to see what percentage of the overall profits came from Harry Winston. ($30,250,000/$9,112,000,000= .33%). Once it was triangulated that Harry Winston accounts for .33% of the overall business, this was applied to the years 2017-2020. Therefore, these numbers are estimates that were triangulated, but they should give an idea of their overall performance.

Cartier

  • Cartier is owned by the Richemont Group. Like Swatch, they do not share specific information on Cartier in their annual reports. The same method was followed as was for Harry Winston. Forbes stated their 2020 revenue was $6.23 billion and the Riechemont Group's revenue for 2020 was $16.963 billion. Therefore, Cartier makes up 36.7% of the overall business. Explanations on what numbers were used have been placed as comments.
  • Their brand in valued at over $15 billion.
  • They sell jewelry, watches, fragrances, personal accessories, and home and stationery items. Some items may be purchased online.
  • Please note that during the research, Richemont servers stopped responding. The annual reports were copied into this Google document in case the servers are still down.

Moussaieff

  • Moussaieff's research was straightforward with no triangulations. All information was taken directly from their annual reports.
  • They sell high-end jewelry. There are no online sales.

De Beers

  • De Beers stopped sharing annual reports in 2010. They now share an annual overview with highlights instead. Figures were obtained through financial databases and media reports.
  • Of note, their sales of diamond jewelry is a very small part of their overall business. They sell a variety of jewelry and some can be purchased online.
  • Their brand, Forevermark, can be purchased in over 2,400 affiliated jewelry stores.
  • Large purchases such as the $87 million acquisition of Peregrine Diamonds and the launch of Lightbox Jewelry have negatively affected their EBITDA.

Graff

  • Graff's research was straightforward with no triangulations. Information was taken from their annual reports.
  • Graff sells jewelry, watches, and fragrances. Some items can be purchased online.

Blue Nile

  • Blue Nile is an online diamond marketplace that offers jewelry at a discounted rate. One of the areas that makes them unique is that they attempt to educate the consumer on purchasing diamonds and have an extensive educational library.
  • Blue Nile's last annual report was in 2016, they then went private. The 2016 numbers were shared in lieu of the 2017 numbers so a more accurate picture of the company could be presented.
  • Figures were not obtained for 2018 after looking through the financial databases that were used for the other companies and performing a media search. 2019 was a modeled estimate from Dun & Bradstreet. Triangulating was not possible, as the numbers varied so widely it would not have provided an accurate estimate.
  • According to GeekWire, "In the two years since Blue Nile sold to Bain Capital Private Equity and Bow Street LLC for $500 million (2016)— removing it from the stock market — the Seattle-based online jewelry retailer has remade its leadership team, streamlined its supply chain and jump started its revenue growth. These moves all set the stage for the company to eventually go public once again".






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