Two jewelry store chains are holding liquidation sales this holiday season as jewelers struggle to sell their luxury items in a weak economy.
Village Jewelers and Bailey Bank and Biddle both have several North Texas locations and each have Southlake locations that are closing. Shoppers were cautiously checking out prices Monday.
“I think we just have more of a focus on other things right now,” said Village Jewelers customer Tammy Worley. “Luxury items are not a necessity so we’re not focused on that.”
Irving-based Zale Corp, a nationwide jewelry retailer, has seen its stock price decline recently as investors worried about the company’s performance. Company officials have said their business is sound.
“They have some issues specific to that company,” said Mike Davis, with the SMU Cox School of Business. “But here again, to a large extent, they’re a victim of this economy.”
Davis believes the jewelry business will be slower to recover when the economy bounces back.
“People are going to be more cautious,” Davis said. “They’re going to say, I have to be careful, because I remember what it was like in 2008 and 2009. I’ve got to have money in the bank and I can’t just be spending it on these kinds of luxury goods.”
