An 'engagement hole' is responsible for a pointy drop in ring gross sales, America's largest jeweler says

  • The biggest jewellery firm within the US, Signet Jewelers, mentioned its engagement ring gross sales dramatically decreased.
  • The corporate’s president mentioned a decline in courting through the pandemic created an “engagement hole.”
  • The information comes after David’s Bridal filed for chapter. 

The 12 months 2022 noticed a marriage increase — however that could be coming to an abrupt finish, in accordance with knowledge from America’s greatest jewellery firm. 

Signet Jewelers, the dad or mum firm for jewellery manufacturers reminiscent of Kay Jewelers, Jared, and Zales, revealed its gross sales of engagement rings decreased dramatically within the 2023 fiscal 12 months, CNN reported.

The outlet reported that Signet’s president and chief client officer Jamie Singleton spoke of the declining gross sales at Signet Jewelers’ investor day on April 18, citing an “engagement hole” as the reason for the decline.

As CNN reported, Singleton identified that there was a pointy decline in courting in 2020 because of the pandemic, and {couples} get engaged after 3.25 years of courting on common primarily based on inside firm analysis.

As a result of many individuals weren’t courting for a lot of the 12 months 2020, there have been fewer {couples} getting engaged in 2022, and Signet expects the identical throughout 2023. 

Engagement ring

Signet Jewellery is the dad or mum firm for manufacturers like Zales and Kay Jewelers.

Grace Cary/Getty Photos

“So what’s occurred over the previous couple of years is what we anticipated and what we deliberate for,” Singleton mentioned, in accordance with CNN. “Engagement jewellery gross sales had been lackluster in fiscal 2023, and we count on them to stay so for the stability of fiscal 2024.”

The loss is big for Signet, as 50% of its general gross sales come from bridal, in accordance with CNN. The outlet additionally reported that Singleton mentioned Signet’s engagement ring gross sales might want to enhance 25% by 2026 to achieve the extent of engagements they noticed earlier than the pandemic.

Singleton’s announcement comes on the heels of David’s Bridal submitting for chapter and shedding over 9,000 workers, pointing to hassle for the marriage business as a complete within the wake of the pandemic.

However Singleton is optimistic engagement ring gross sales will return to pre-pandemic numbers primarily based on the courting patterns the corporate is seeing.

“As folks start getting again out after the lockdowns, we monitored the return of courting,” she mentioned, in accordance with CNN. “Courting, in truth, is up 8% to pre-Covid.”