Industry observation: in 2015 China's jewelry industry entry

Branding barrier

Brand is the main concern of consumers to buy jewelry one of brand awareness for jewelry companies increase market share and improve pricing power has an important role. While China's jewellery industry is still at the primary stage of brand competition, brand has not yet formed a climate, but a few brands brand has been formed, brands of non-brand market alternatives and crowding out has begun. Brand building requires a long-term sedimentation and accumulation of new entrants in the industry it is difficult to build brand loyalty in a short time.

Especially for diamond jewelry items of higher value, only with a certain brand of product to get consumer product quality and after-sale service of trust, so brands diamonds jewelry companies are particularly important, new entrants can take a long time to the terminal was recognized by consumers.

Barriers to talent

With the development of gems and jewelry industry, expand the scale of production, market competition within the industry growing, product design, jewelry making, information management, logistics management, Terminal sales and other aspects of the growing demand for talent. More difficult for new entrants in the industry in a short period of time to find or train a sufficient number of suitable talent, especially in the more well-known jewelry designers and business managers in the industry.

Design of barriers

Designs are able to meet consumer taste, and determines consumers are interested in buying the style, brand jewelry. With the development of social civilization and the improvement of people's living standards, consumers more value to the style, content and design, style and design more and more influence on consumers to buy the product. New entrants in the industry requires a lot of money and time to set up their own design department, training has its own brand of popular design style designer and eventually formed their own design styles.

Financial barriers

Precious stones and metals, the gems and jewelry industry as bedding material, good value products and raw material inventory demand for funds as well. In addition, purchase equipment, hire professional designers and technicians will need a lot of money. New entrants due to other reasons such as brand awareness, its speed is slower than other industries have established businesses with certain customers, therefore, to ensure the normal development of his more bedding must be prepared to fund. New entrants without a certain degree of financial strength, become independent brands of jewelry design, production and marketing business a certain degree of difficulty.

Barriers to procurement

Jewelry products raw materials higher value properties of jewelry industry has higher standards for raw material procurement. Gold, Platinum and other precious metals from gold Exchange Unified purchase and procurement risk was controlled to a certain extent, however, diamond raw material of non-standard features, purchase of polished diamonds, primarily through the SDE deal sourcing, quality, price, require diamond jewelry manufacturer itself recognizes that professional standards for sourcing and procurement personnel have higher requirements.

Channel barriers

Sales stage of the chain, established jewellery brand products generally have their own sales networks, such as import shops, stores and dealers. Sales network establishment and maintenance require large up-front costs and long time. When sales reach a certain size of goods, personnel, brand image and cross-regional supply chain management skills have very high demands, is necessary to maintain a stable, unified management model and difference adjustment according to market characteristics in different regions, how to achieve efficient refinement of management, which takes a long time to exploration and accumulation.

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