J.K. Symancyk, CEO of Signet Jewelers, believes that in order to succeed in the jewelry business, companies must connect deeply with their customers – just as couples do when they exchange rings.
Symancyk, who joined Signet in November, is focused on transforming the company into a brand-driven business rather than just a retail chain. Signet is the world’s largest retailer of diamond jewelry, and under Symancyk’s leadership, it is looking to grow in both its core bridal jewelry market and expand into the everyday jewelry sector.
With brands such as Kay Jewelers, Zales, and Jared under its umbrella, Signet is aiming to increase its share of the U.S. bridal jewelry market, where it already holds nearly 30 percent. The company is also planning to enhance its real estate strategy, moving over 10 percent of its mall stores to off-mall locations over the next three years.
However, Symancyk believes that these business strategies will only succeed if Signet focuses on creating meaningful connections with its customers. He explained in a recent interview that the company’s purpose is to “inspire love.” When a company’s mission, values, and goals align with its customers, Symancyk said, it can create the best stories and make the most significant impact.
Signet has faced challenges in recent years, with Symancyk noting that “growth has been elusive,” partly due to lower customer consideration. He pointed out that the company has historically been too focused on transactional sales and promotions, rather than building strong, emotional ties with customers.
Symancyk shared a personal story to illustrate the potential for connection. He received an email from a couple celebrating 60 years together, who had upgraded a ring they purchased from Signet. “At our best, we were entwined in their stories,” Symancyk said. He emphasized the importance of this connection, stating that it is crucial for Signet to remain relevant and credible in the jewelry market.
Investors have shown strong support for Symancyk’s strategy. Following the announcement of the plan, Signet’s stock rose by 17.5 percent, reaching $56.65 and giving the company a market capitalization of $2.5 billion.
For the 13-week quarter ending February 1, Signet reported a 5.8 percent decline in sales to $2.4 billion, compared to $2.5 billion in the same period the previous year. Same-store sales also fell by 1.1 percent. Net income totaled $100.6 million, down from $617.6 million the year before, which had benefited from a tax change in Bermuda. Adjusted earnings per share dropped slightly from $6.73 to $6.62.
Despite these challenges, Symancyk remains focused on the long-term vision. Drawing from his extensive experience in retail, he believes that customer feedback holds the key to success. “The answers are right there,” he said. “If you listen to your customers and talk to your teams, the ability to deliver delight to customers is in front of you.”
For the full year, Signet’s adjusted earnings fell by 13.8 percent to $8.94 per share, with a 3.4 percent decline in same-store sales. Looking ahead, the company forecasts adjusted earnings between $7.31 and $9.10 per share, with same-store sales projected to fluctuate between a 2.5 percent decline and a 1.5 percent increase.
If Symancyk can successfully inspire love and deepen customer connections, Signet is poised for future growth.
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