Costume jewelry makes chains fashion conscious

Drug Store News, March 4, 1991

Costume jewelry makes chains fashion conscious

Drug chains are beefing up their jewelry sections as today's women welcome costume jewelry as fashion accessories.

Chains, eager to cash in, are merchandising jewelry closer to cosmetics and hair accessories than even before. Many are eyeing bulk programs.

"Drug stores are trying to create a certain fashion image when it comes to cosmetics and fragrances," said Tom McCarthy, president of the drug chain division of Accessory Associates, Inc. "Costume jewelry fits into that mode. The objective is to become a focal point for accessorizing."

Added Kathy Johannes, a Kerr Drug buyer: "When the country's First Lady stands up and says, |look, these (pearls) aren't real,' it carries an enormous message. A lot of what we sell are the $10-$20 necklace sets--the Barbara Bush look."

Indeed, this emphasis on "faux" jewelry instead of fine jewels had sparked drug store sales. AAI's McCarthy said, "drug stores typically have price points under $20, which appeal to consumers rethinking their disposable income."

Newer security measures have increased self-service racks. New Jersey-based Checkpoint Systems, Inc. has designed a detection system, which is placed on the jewelry cards, usually underneath the felt area, so it's invisible to consumers. The system is deactivated at the register, and has already decreased the shrinkage rate in some stores.

Gaining a reputation in the self-service jewelry market is [Ulta.sup.3], the cosmetics-jewelry-toiletries chain developed by former American Drug Stores executives Dick George and Terry Hanson.

Jewelry at [Ulta.sup.3] is displayed in the front center of the store, in gallery fashion on three black, flat wall fixtures. The chain rotates displays every three months to convey fashion stories each season.

"We'll group our merchandise into certain areas, to help customers find their purchase more quickly," said Jodi Mattson, [Ulta.sup.3]'s fashion jewelry buyer. "For example, we'll have sea-life, tropical, or red-white-and-blue, as our stories for the season. Then, we'll also have gold, silver, rhinestone and pearl areas. We also have two poles--one which houses clip earrings and another for color earrings."

[Ulta.sup.3] also discounts all jewelry everyday at least 20 percent off. Seasonal items may be marked as much as 50-75 percent off, Mattson said.

PHOTO : The '90s are bringing in a more rational approach to jewelry buys; emphasizing "faux" jewelry instead of fine jewels. Jewelry at [Ulta.sup.3] is displayed in the front center of the store, in gallery fashion on three black, flat wall fixtures.