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Yeeeeeaaaaah!
INSIDE: I Wish I Knew Then: Hope Wixon Reflects • Pricing a Custom Piece, Fee by Fee INSIGHTS INTO DESIGNING AND MARKETING CUSTOMIZED JEWELRY Yeeeeeaaaaah! At Old Town Goldworks, custom clients get a hands-on experience BY ETTAGALE BLAUER Many jewelers these days recognize that the customized trend is here to stay and have added custom jewelry to their repertoires. So many, in fact, that it can make it difficult to stand out from the crowd. But that’s not the case for Old Town Goldworks in Fort Collins, Colorado. A modern-day alchemist’s shop, the college town jewelry store owned and operated by husband-and-wife team Tom and Sandy Linenberger have taken the process of using customer’s old jewelry to create new, custom pieces one step further than most: They give customers the chance to take part in the process of actually melting down their old silver or gold and then seeing it emerge in a totally new form. The response has been nothing short of magical. Tom Linenberger, who grew up in the jewelry business and went on to complete GIA courses in diamond and continued on page 6 MJSA Would Like to Thank the Custom Jeweler Sponsor Please see our ad on the back page • VOL. 7, NO. 1 2 MJSA Custom Jeweler Vol. 7, No. 1 3 LIFe LeSSONS I Wish I Knew Then… Hope Wixon’s reflections on life lessons EDITOR’S NOTE: In this occasional column, we’re asking experienced custom designers and makers to share a few of the things they wished they’d known when they were getting started. Hope Wixon of Wixon Jewelers in Minneapolis talks about what helps her run her business smoothly, and why she doesn’t apologize for her pricing. I wish I knew then…not to hire by training or experience. We hire differently than we did in the beginning. Then, we were looking for whether or not they had jewelry experience, or if they were a Graduate Gemologist. Today, we do the exact opposite. Now, we hire based on personality. We have found that we can train anyone on the products they need to know, but we cannot change their personality. As a result, we have a cohesive unit. We don’t want to have one person who thinks they’re a hotshot and that the rules don’t apply to them. I wish I knew then…that commission selling can actually be detrimental. We found in the past that when employees are on commission, whoever is up next gets the client, regardless of what they know or whether their personality is a match for the customer. Also, if a good customer comes in, and the salesperson they normally work with is off, everyone scatters. No one wants to help because it’s not their client and they don’t get the commission. The client ends up being treated like chopped liver: That’s the worst thing that can happen. We are no longer a commission-based store. Everyone is on salary. If there is no commission, everyone is there to help the client. If we take the commission out of the equation, we can choose who is going to help a customer and try to match personalities. Where there is a better fit, there is a better relationship. We’re better able to establish long-term relationships and give the greatest care to our clients. I wish I knew then…not to apologize for the price. We don’t apologize and we don’t discount our custom designs one cent. Over the years, we’ve lost some sales because someone else was $500 cheaper but, six months later, that customer brings in the piece they bought somewhere else because they’re so unhappy that it was made poorly. Now it’s really expensive because they’ve paid the original price plus ours. We hire the best people and do the best work. You can’t offer the best prices if you hire the best people. 4 MJSA Custom Jeweler I wish I knew then…how important clienteling is. In the beginning, it’s natural to think, “We got a sale! That’s great! Let’s take the next client.” You can spend a lot of advertising dollars to get that customer into the store, but what good is it if you don’t build on it? If a client has bought from you before, you have already won half the battle. Any multiple sales generated down the road are so much easier than making a new sale. You should be tapping into those clients again and again. You want to build a rapport with the customer, so they treat you like the family doctor or dentist. Whenever they have an event coming up, they come to you. u Tomorrow Is… …CAD technologies that create custom designs before your customers’ eyes. …Manufacturing technologies that turn those designs into finished pieces exceeding expectations. …Waiting for you at MJSA Expo, where you can discover what you need to make and sell great jewelry, profitably. Connect With Tomorrow March 13-15, 2016 Javits Center, New York City Running concurrently with the JA New York Spring show Go to MJSAExpo.org to learn more and register. “The MJSA show is one of my favorites… As far as learning about the latest and greatest equipment, it is the best show out there.” —Glenn Block, Shardan Jewelry, Allentown, PA yeeeaah!, continued from page 1 colored stone identification and diamond grading, knows firsthand the excitement of melting scrap into molten gold. “We were already using customers’ gold,” he explains. “I had been taking pictures and documenting the process so the customer could have a story to pass down to their descendants. One day, I asked a client, ‘Would you want to watch me melt down the piece?’” And just like that, Goldworks became the go-to shop for a broad range of clients who had sentimental attachments to old jewelry but no way to express that connection. “We explain to them that they won’t save any money by doing this,” Tom explains, “because of the amount of preparation needed, such as removing solder from the old piece.” But once they understand that by using the gold from their own unwearable piece they are honoring their loved one, they’re totally committed to the process. And this isn’t limited to just those custom clients with metal to recycle, either. Although he didn’t have any old gold to melt down, one recent college graduate knew exactly what he wanted to give his fiancée. He wasn’t able to draw his idea and instead brought in a “Barney Rubble” model made of clay and rhinestones. The “clay model” guy, as he came to be known, had placed the rhinestones along the shank of the model. Tom and his team were able to take the customer’s idea and create a fine version of it, using diamonds along a double, openwork shank. The “clay model” guy had the joy of not only being involved in the design of this one-of-a-kind ring, but also in the physical creation of the ring, getting his hands involved in many aspects of the casting process. Making the Magic Happen This hands-on custom process begins with Tom sitting down with the customer and talking through ideas for the new piece. Using his CAD skills, Tom designs a few options to start shaping the piece. “After the design is finalized with the customer, the model is carved out on the wax milling machine and the mold is prepared for casting,” says Sandy. Once the model is burned out and the mold ready, the customer 6 MJSA Custom Jeweler When a client couldn’t draw the design he had in mind, he brought in a “Barney Rubble” clay and rhinestone model of the ring he wanted to create for his fiancée. Tom fine-tuned the design in CAD and then invited the client back to participate in the casting and quenching of the ring. is invited back to the shop to take part in the casting process. Before customers can approach the equipment, they get a rundown of the procedure and any safety precautions. “We explain the casting process first,” says Tom. “Then we give them instructions on how to pour the gold into the crucible and the proper way to quench the flask.” He also reminds them to “just enjoy the whole process.” With the customer advised on what to expect, Tom heats up a crucible and lets the customer put the gold piece into it, then watch as it is melted. (For safety reasons, customers are not permitted to handle the torch.) Tears flow as freely as the gold at this point, as the customer thinks about the person whose jewelry is being melted, and honored, in the process. “This is a particularly special and emotional experience when the customer is using gold from the past that has history to it, and they get to watch their old sentimental gold turn into something new,” says Tom. Customers get to watch one of the most exciting parts of the “And that’s what being a jeweler is truly all about. It’s about forming relationships with clients, and helping be a part of the most important and meaningful moments of their lives.” process as the casting machine’s centrifuge forces the liquid metal into the mold. Then it’s back to work for the customer. “After the piece and flask have had a while to cool, we let the customer quench the flask, which means they get to dunk the flask into a bucket of water to finalize the cooling process,” says Sandy. “This also quickly destroys and removes the investment from around the piece and the customer can reach in and be the first to touch their rough piece.” The customer then hands over the piece so that it can be cleaned up by Tom and his team. A jeweler will finish the piece, setting any gemstones and doing all of the requisite polishing and finishing to ready for the customer’s next visit to pick up the piece. That final visit is celebrated with a glass of champagne or beers. “All in all, it’s a really fun and engaging process that we really love, and love to have our customers participate in,” says Sandy. From start to finish, the entire process takes about four to six weeks. Meaningful Moments While Goldworks advertises this service in local publications as well as on Facebook, word-of-mouth plays an important part of the business. Letting customers know about this unique opportunity begins the moment they walk through the door. “They are always told about the possibility of using old pieces,” says Tom. “Instantly, they start thinking about what they could use.” He estimates that about 60 to 70 percent of their business now involves melting and re-using old jewelry. And virtually all of their customers decide to take part in the process. “People are fascinated to learn how jewelry is made,” says Tom. Given their location in a college town, engagement rings make up a large part of their business. “Usually, the guys could care less,” admits Tom. “They don’t want to be here.” But that all changes once the process starts and they show up on the casting day. Then, “they are the ones who don’t want to leave!” And sometimes the process becomes a family affair. One of their recent custom projects involved making rings for two women who had been in a committed relationship for 30 years. Now that they were able to legalize their relationship, the women wanted rings to mark the occasion. The couple’s siblings sent them pieces from each of their mothers’ estates to use in the melt. “This creation was a great celebration,” says Sandy, with “lots of laughs and hugs.” Frequently there has been the loss a family member who is being memorialized. “A couple that had just moved to Colorado faced the loss of the wife,” Sandy says. “The gentleman wanted to keep her close to his heart with a cross that had her birthstone, her birthday, and the date of their wedding.” In this instance, the metal was silver and the customer took part in pouring the metal, quenching the piece, and inserting some of his late wife’s ashes into a hollow section of the cross. This was far more than a piece of jewelry. “This job resulted in lots of tears and hugs and a lifelong friend,” says Sandy. And that’s what being a jeweler is truly all about. It’s not just about making pretty, shiny baubles that sell to the highest bidder. It’s about forming relationships with clients, and helping be a part of the most important and meaningful moments of their lives. Goldworks’ involving their clients and their old jewelry pieces in the creation of their new pieces is special, but also something that could be replicated anywhere. All it takes are people like Tom and Sandy who are willing to spend the time to involve the customers, embrace their projects, and show them that recycling old jewelry is a joyful process. u Vol. 7, No. 1 7 CUSTOM PRICING At What Price? Breaking down a custom piece, fee by fee EDITOR’S NOTE: This is one in an occasional series focusing on how custom designers price their work to ensure they remain competitive, cover all costs, and (of course) make a profit. Here’s how Calla Gold of Calla Gold Jewelry in Santa Barbara, California, arrived at the final charge for an autumn-inspired ring. turned off the clock after a while since I was going in a new direction and wanted to do it right. Total Fee: $690 DeSIGN: Although this piece was commis- as my client wanted to wear her ring every day. The finished gold weighed 13.3 grams and we charged $127.44 per gram (includes my markup) for a total of $1,694.95, which we rounded up to $1,695. The cost to have the ring cast was $175. Total Fee: $1,870 sioned as a gift from the man in her life, the client loved jewelry and was the driving force behind the ring’s look and autumn color palette. I spent many hours working on the drawing of the ring, meet- ing with the client several times to keep her in the loop. This design actually pushed the envelope technically for me, which I welcomed. My hourly design time fee is $125. For this project, the design time I charged was $690, although I MeTaL: We used 14k yellow recycled gold, STONeS: I selected a range of autumn-color sapphires from which the client could choose. She picked her favorites and I used as many as the final design allowed. The total weight of the finished sapphires was 3.36 carats, and the final cost for the stones was $1,250 (includes my markup). Believing that white diamonds would change the earthy tones of the ring, I opted for canary, cognac, and champagne colored Australian diamonds. The total weight of the diamonds was 0.23 carat, and the customer was charged $690. Setting all of the gemstones was charged as a single fee, which was $644. Total Fee: $2,584 LaBOR: There were many steps involved in making this ring. The wax creation fee was $805. To have the model textured before and after casting was $345. The charge to oxidize the ring was $100. Each of the fees for the subcontracted work includes my markup. Total Fee: $1,250 FINAL PRICE: $6,394 u 8 MJSA Custom Jeweler Bringing New To You. The Atlanta Jewelry Show is your number one source for fresh new designs, access to emerging artists and a sneak peek at breaking industry trends. All close to home. In one of the Southeast’s premier destination cities. For show information and to register, visit www.atlantajewelryshow.com or call us at 800.241.0399 or 404.634.3434. • • • • New Intros New Exhibitors New Educational Offerings New Networking Events and More February 27-29, 2016 #ATLJewelryshow Connect. “MJSA is a terrific resource for independent jewelers. There’s so little broad-based, unbiased, up-to-date information of the kind MJSA offers, and having the opportunity to learn about what other jewelers are doing is really valuable. MJSA is like an extended family.” — Christopher Duquet Christopher Duquet Fine Jewelry Design Evanston, IL Join a community that offers the information, resources, and connections you need to reach new customers, make great jewelry, and profit. Phone: 1-800-444-MJSA • Fax: 1-508-316-1429 • E-mail: info@mjsa.org • MJSA.org