Millennials who want to get hooked approach the mall’s two jewelry chains to get engagement rings, and that’s great news for their parent company, Signet.
Signet, who also owns Zales and Piercing Pagoda, also raised its outlook for the year, citing strong demand in both its physical and online stores.
While the Delta variant continues to fuel Covid outbreaks across the country, Signet CEO Virginia Drosos said consumers are safer from the economy as a whole and that millennials (who could have been in the brink of getting married during the pandemic) are now preparing to tie knots.
This is a “growing tide of commitments,” Drosos said in a conference call with analysts.
He added that the company’s research “indicates that 15% of engaged couples, or approximately 2.3 million couples, plan to commit this calendar year, which exceeds the high digits [compared] to a typical pre-pandemic year “.
Signet’s bridal category sales increased by more than $ 150 million, or 25%, compared to the same quarter two years ago.
Drosos also noted that approximately 30% of engaged couples this year said they bought their ring online, more than double the 2019 levels. These younger shoppers, in addition to the richer older ones, are also willing. to spend more on diamonds, gold and other high-end items.
As a result, Signet adds higher quality and more expensive jewelry to many of its stores.
“Confidence is higher among millennial and higher-income customers. Our recent research also shows that 80% of American consumers believe they are the same today or better off economically than before the pandemic,” Drosos said. .
The company also abandoned its famous “Went to Jared!” slogan in late 2018 as part of a marketing update.