Once considered the trade of seedy pawn shops and desperate patrons, scrap gold buying has moved into mainstream in a big way. Mark Rogozinski of Marquis Jewelers in Newton, MA, told the Boston Business Journal earlier this year that it’s the direction jewelers have had to go to meet customer demand in an industry that’s struggling. It’s a momentous time in the fine jewelry biz, well worth custom article framing to commemorate Rogozinski’s candor in the face of a changing business model.
The financial meltdown has had harsh effects on the fine jewelry business, which has also suffered from competition in the form of big box store discount jewelry counters. While a sluggish economy left many jewelers tanking, the high price of gold made what many considered a customer service – buying back gold jewelry – take center stage in many stores. Rogozinski said after 35 years in the jewelry business, Marquis Jewelers had to adapt to stay afloat, and as a result has seen its “secondhand gold” business skyrocket as more people find themselves in financial dire straits.
While the gold trade yields only about a 10 percent profit for resellers, the sheer volume of business that jewelers like Rogozinski have seen more than makes up the difference between scrap gold and fine jewelry dealing. While major jewelers were going under after the recession hit, Rogozinski saw the writing on the wall and started advertising their gold-buying service. Marquis Jewelers has not only survived the downturn, its business is also booming, to the point that store expansion is on the horizon.
The Worst and Best of Times
It may seem counter-intuitive to memorialize what, on the surface, appears to be bad news for the jewelry industry. But, it’s Rogozinski’s recognition of changing times and flexibility that have kept his business afloat. It’s a model for entrepreneurs everywhere, and it’s press that needs preserving in the form of custom article mounting as a reminder of self-determination – in good times and bad.
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