Starting a Jewellery Business Online: The First Part

From the perspective of culture and tradition, jewellery is much more than fashion. In many parts of the world, it is a reflection of highly-regarded values and acts like blessings, affection, appreciation, fortune, and association. Such rich cultural undercurrents associated with jewellery are prevalent in the MENA region. While on the one hand, cultural and traditional values find immense relevance here, on the other hand, countries like the UAE and others showcase what technology-driven modernisation is. This is a vital lesson for online jewellery enterprises.

In this communiqué, retail and eCommerce consulting firm, Your Retail Coach (YRC) highlights five decisive visions for starting an online jewellery business with an emphasis on the MENA region presenting countries like the UAE, Saudi Arabia, Oman, Egypt, Qatar, Bahrain, and Kuwait.

Business Idea Validation

‘I want to start my own jewelry line. Getting to the why of it.’

No matter how appealing a business concept may appear to be, going ahead without validating it often goes against sound business prudence. Having flaws at the point of inception can lead to a massive deviation from the desired or required path in the future. It enhances the risk exposure of businesses on fundamental grounds. Hence, despite the apparent glitter seen with a business concept, a critical examination of the fundamentals behind it is a must. Validating a business idea may include asking the following types of questions:

· Why choose online jewellery business?

· Is there any field-specific expertise and experience or presence in similar value chains?

· Why choose the Middle East or MENA region?

· Will the concept cover any market gap?

· How will the intended propositions contribute to the customer and user journey?

· Are these propositions unique? Will it give a unique brand distinction?

· How easily can competitors replicate or counter in other damaging ways?

· Who and where are the target segments? Who are the ideal customers?

· Can the enterprise and customer access each other?

· How will the value chain function?

· What is the ease of doing business?

This validation step also helps uncover many previously unconsidered SWOTs and insights.

Possibility of Integration

In the business idea conceptualisation stage, one of the strategic angles to review is the potential scope of any horizontal or vertical integration. For example, if there is already an eCommerce channel for an existing business , there might be a scope to utilise the same distribution network for a new product line. Having such pre-existing capabilities emerges as a strategic advantage while easing up the operational burden and costs of setting up a new distribution network from scratch. Integration can also take place if there is already a presence in a similar value chain as a supplier of materials, provider of design and manufacturing services, etc.

Distinctiveness

The online jewellery business is becoming progressively competitive by the day. Not every player out there enjoys any distinct brand positioning. With more and more players entering a market, it becomes more and more difficult to stay unique. One effective way out for new players is to go niche and strive to build and sustain a strong bond with their customer bases. This also highlights the importance of carrying out business idea validation that often reveals potential ideas for unique brand positioning. Given the level of competition in the eCommerce jewellery retail sector in cities like Dubai, Abu Dhabi, Muscat, Riyadh, Kuwait City, Doha, and Cairo, having sustainable brand distinction is highly recommended. In striving to achieve unique brand distinction, it is advisable to be watchful with brand-related terminologies. For instance, in evaluating jewellery online store name ideas, it is important to decipher the meaning and relevance of words or play of words in the local context.

The Profitability Parameter

Business concepts are hardly ever in their best shape or form in their primitive versions. Often new revenue streams are identified in the journey. It is also possible that value propositions prove to be valued by customers more than expected. But these are probabilities and cannot be counted for tangible outcomes. It is important to have a clear vision of the reasons why the business idea in question is promisingly profitable or will create a surplus situation.

Vision for Growth and Expansion

At the time of exploring the possibilities of a business idea and charting the immediate roadmaps, prospects of future growth and expansion should also get due attention.

Experienced businesses with solid product and market expertise tend to strengthen and extend their market shares with pricing, promotions, distribution, service, and operations.

Franchising is a powerful option for brands and businesses with reputation.

Bringing novel products and solutions is a good strategy to gain a competitive edge especially when competing on existing product lines becomes difficult.

With time, new geographical regions emerge as potential markets. It allows lowering the intensity of efforts on extremely competitive markets and shifting focus to emerging and promising towns and cities. The same is also true for products. Succeeding in a new or old market can necessitate introducing new products.

Inorganic growth and expansion tactics like mergers, acquisitions, joint ventures, etc. are more common with conglomerate brands.

Read:

Starting a Jewellery Business Online: The Second Part

Starting a Jewellery Business Online: The Third Part

About Your Retail Coach:

Your Retail Coach (YRC) is a boutique retail and eCommerce consulting brand with over 10 years in business providing expert enterprise solutions. With a scaling international presence, YRC has served over 500 clients in more than 25 verticals. In online jewellery business consulting , YRC offers planning and implementation services and solutions for enterprise setup and growth and expansion missions.

Get advise for E-commerce retail business : https://www.yourretailcoach.ae/contact-us/