Jewellery & Related Article Manufacturing in the UK Industry Market Research Report Now Updated by IBISWorld

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A weak economy, high precious metal prices and growing import penetration have taken the sparkle out of the Jewellery & Related Article Manufacturing industry. The industry is fragmented and there is a lack of large firms able to propel the industry forwards. Consumers have been reluctant to spend on luxury items like jewellery since the onset of the financial crisis. Cheap, imported products from low-cost countries have become more appealing to retailers seeking to protect their margins, and to consumers looking for value for money. Over the five years through 2012-13, industry revenue is forecast to decrease an annualised 11.7% to £650 million. Weak sales and price competition have eroded industry profit margins. Over the five years through 2017-18, the industry is expected to grow modestly supported by a stronger local market (supported by a lift in consumer spending) and increased exports to developing markets like China and India, as well as exports to oil-rich countries. For these reasons, industry research firm IBISWorld has updated its report on the Jewellery & Related Article Manufacturing industry.

IBISWorld Market Research

IBISWorld Market Research

Growing import penetration negatively affects the industry

A weak economy, high precious metal prices and growing import penetration have taken the sparkle out of the Jewellery & Related Article Manufacturing industry. The industry is fragmented and there is a lack of large firms able to propel the industry forwards. Consumers have been reluctant to spend on luxury items like jewellery since the onset of the financial crisis. According to IBISWorld industry analyst Nigel Fitzpatrick, “cheap, imported products from low-cost countries have become more appealing to retailers seeking to protect their margins, and to consumers looking for value for money”.
Over the five years through 2012-13, industry revenue is forecast to decrease an annualised 11.7% to £650 million. Industry revenue in 2012-13 is forecast to decrease by 7.6%, reflecting subdued retail spending and a growing number of imports. Weak sales and price competition have eroded industry profit margins. Fitzpatrick adds, “over the five years through 2017-18, the industry is expected to grow modestly supported by a stronger local market (supported by a lift in consumer spending) and increased exports to developing markets like China and India, as well as exports to oil-rich countries”.
The Jewellery & Related Article Manufacturing industry has a low level of market share concentration. Industry concentration measures the extent to which major players dominate an industry. The top four players are estimated to account for just 6.7% industry revenue. The concentration level has been low due to the cottage nature of the industry. On average, firms employ less than six people, and some craftsman in the industry work alone. In addition, some UK firms have diverted manufacturing offshore and focused local operations on distribution and marketing. Major companies include Boodle & Dunthorne, Buckley Jewellery & Abbeycrest.
For more information on the Jewellery & Related Article Manufacturing industry, including latest industry trends, statistics, analysis and market share information, purchase the full report from IBISWorld, the nation’s largest publisher of industry research.

IBISWorld industry Report Key Topics

Firms in this industry manufacture jewellery and related articles

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalisation & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on many UK industries. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in London, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.co.uk or call (020) 3008 6568.

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Gavin Smith
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