Many things sparkle nowadays, but not everything that sparkles is gold. This is a saying that we've all grown familiar with, and we've probably made it part of our investment principle. Unfortunately, the reality is that investments in many sparkly things don't lead to success. In some cases, it can go the other way. With this in mind, should you enter the jewelry market this year?
The Jewelry Industry
Before we get started, it's essential that we talk about the industry to ensure that we don't make a biased statement about it. The jewelry market as a whole looks good, with a market value of $228 billion. It takes up a significant chunk of the luxury goods industry, which is also suitable for anyone making a business decision. But, here's the best part, it's expected to reach $292 billion in 2025, making it one of the fastest-growing markets in the world.
So overall, the industry looks excellent for investors and entrepreneurs, despite the pandemic. It's thriving from the statistics indicated above. However, starting a business isn't just determined through statistics alone. It's all about the feel of the company and how it will grow in the future.
Is it a Worthwhile Investment?
Despite the statistical growth in the market, joining it might not be the best choice for you. Statistics can only show one side of the coin, and although it looks attractive, there's so much more to your investments than what meets the eye. First and foremost, you have to care about the feel of the industry.
Jewelry tackles all things that sparkle, but as stated earlier, not everything sparkles is gold. The thing is that there is a lot of counterfeits in the market, and no, we're not just talking about the products themselves, but also the way the products are represented.
Ancient jewelry is one of the most expensive types of jewelry being sold, and some people are willing to sacrifice a limb to get one. So it can be heart-breaking once you end up making a huge investment in a particular piece of ancient jewelry and realize that it's counterfeited. This can be a serious dealbreaker for any investor or entrepreneur who's willing to get into the market.
Online trading can also be problematic because people can doctor pictures. In one shot, a piece of jewelry can look authentic and extravagant. In another, it can look 'off.' This is just the reality that the market has to face nowadays, and thankfully, there are ways that are being handled.
By the end of the day, the market still looks good despite all these things. Jewelry is still an excellent investment, and with the security measures being implemented in the industry nowadays, it can be a safe investment for you. So if you're willing to put in a decent investment of about $20,000, your jewelry business can rise to the top. Here are ways you can get started.
Ways to Get Started
Investment
One of the safest ways to get started in the jewelry market is by investing in jewelry. Gold is one of the most fundamental investments you can make because its value doesn't depreciate. It's a universal currency and one that's crucial to an economy's growth. If you don't have access to gold bars or can't afford it, the next choice is pieces of jewelry. It's an investment decision that'll grow much similar to stocks but without the same risk.
Retail Store
If you have access to a business loan or maybe a couple of thousand dollars, starting a jewelry retail store is for you. However, know that this takes a lot of money, and you might have to pay off your loan for quite some time before you start earning a profit.
Retail stores are still the best way jewelry is distributed in the market. It's authentic and trusted by many people. Moreover, people don't need to purchase jewelry from you. Offering services such as jewelry retouching can turn a good profit for you. It's a versatile business, and it's one of the main reasons the industry is growing.
Online
Lastly, we have the option of online selling. We don't suggest this business model unless you're well-known in the industry because, as we have stated earlier, there are a lot of counterfeits in the market right now. However, once you're well-established, this might be a good business expansion for you in the future.
The world of jewelry isn't just for glamour. It's closely knitted to the economy, and it's one of the fundamental ways of trading. So if you have enough funds right now, it might be worth investing in the market through the various ways we've listed above.