Platinum Guild reports PJBR Q2 2020

 

Recently Platinum Guild International (PGI) reported Platinum Jewellery Business Review (PJBR) for the 2Q 2020. The report says China’s GDP grew in Q2 showing an impressive post COVID-19 recovery. The decline of jewellery sales eased after lockdown measures were lifted in most cities. Platinum fabrication returned to positive growth in Q2, thanks to new product launches, promotions and PGI’s Reboot against a backdrop of positive metal pricing. 

India’s store traffic and consumer demand dropped significantly as the majority of the jewellery business was closed. Once business resumes, platinum jewellery is likely to benefit from retailers’ focus on high margin categories and a conversion of gold customers to optimise return. 

COVID-19’s economic impact is severe in Japan, but the government's cash hand-outs and an easing of the State of Emergency in late May supported a consumption recovery in June. Jewellery sales were dismal; however platinum was still performing best among all metals, driven by competitive prices, bridal demand and Japanese consumers’ high affinity with the precious metal.

The US GDP saw the worst decline in modern history caused by the sudden halt of economic activities. Jewellers were struggling in the first half of Q2, but business started to recover in June and platinum could benefit from a strong bridal season. 

Platinum Jewellery Retail Business Highlights about the four key markets are:

1 China Market: Leading retail brands and manufacturers who collaborated with PGI on innovative technologies and new collection launches saw a significant recovery in their business post COVID. 

PGI has re-launched Reboot in Henan, leveraging omnichannel engagement to increase sales and conversion, and to cement platinum’s pivotal role in the jewellery industry’s recovery efforts. Resultant over all the 2Q grew by +1%. 

2 India: PGI focused on building a sense of hope, empathy and support via online messaging that connects to platinum’s brand identity. PGI continued to develop recovery programmes for the festival season commencing October yet, the 2Q tumbled by -85%!

3 Japan: “New Me, Platinum” TV shopping achieved encouraging sales in spite of the pandemic, targeting affluent, mature consumers. Sales in some contemporary chains picked up in June, led by bridal, category platinum dominates. Perhaps over all 2Q registered a -46% growth! 

4 US: PGI focused on digital marketing to seek out opportunities to keep engagement up with consumers and partners, and increase brand awareness and conversion. Report ted US market growth in 2Q of -40%.