About J Vicenzaoro Fall. Innovation & Design Power. Italian Industry
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1 About J Vicenzaoro Fall Innovation & Design Power Italian Industry
2 Two back-to-back shows held in Italy in September against two different backdrops reflected the pulse of the market across the globe. About J, held in Cortina d'ampezzo, took exhibitors by collective surprise as they welcomed new customers they had never met before from different parts of the world. The other was Vicenzaoro Fall, held in Vicenza, a middling show that closed on an optimistic note. Shanoo Bijlani reports. INTERNATIONAL october
3 Driven by a combination of new strategies like screening potential buyers from hitherto untapped markets, and selecting a pristine location that provided an easy and relaxed atmosphere to conduct business, the About J show organised by the Fiera di Vicenza (FDV) authorities helped a crop of couture jewellery and designer brands survive the tough economic climes. The 23 prestigious houses had done their groundwork and adapted to the rising prices of gold and diamonds to offer novel jewellery. That, in turn, whetted the appetite of 170-odd upmarket by invitation only buyers who were hungry to buy the best inventory for their stores. Visitors to the show were mainly from Central Europe, Eastern Europe, Central Asia, the Middle East, Asia Pacific, the US and Central America, besides top Italian buyers. The About J participants reported strong and brisk sales across the board. Speaking with Solitaire, Mattia Cielo, owner of the eponymous Italian luxury jewellery brand, revealed that the extremely well-organised show got him customers from the US, the Middle East, Far East, and North America among others. Our prêt-à-porter range from 5,000 to 15,000 and avant-garde collection from 10,000 to 35,000 were the most sought-after collections. I was not expecting the show to be so good, but am happy that it sprung a huge surprise on me. About J was a window to a whole new world for Sara Fraleoni, a first-time exhibitor. She noted that the show had given them exposure to new markets like Russia, Brazil, China, and the US. The six-year-old Italian brand is recognised for its handmade classic and traditional collections ranging from 5,000 to 100,000 that are mainly glamorised with diamonds, sapphires, tanzanites and other coloured gemstones. Sara reveals that it is a difficult time to sell jewellery in Italy. Our showroom in Rome sees lesser footfalls these days and business is sluggish. But we were pleased to receive a positive response at About J. Originality is always rewarded even in the toughest of markets and it was no different for Sirpa Cohen, head designer and partner of Armas, a Belgian firm based in Antwerp, who informed that their 18-karat gold Abracadabra line of stretchable bracelets, rings, eternity rings, and dual hoop pendants were showstoppers. Armas got buyers from Russia, South America, Venezuela, New York and China. Cohen said, The collection costing from 5,000 to 10,000 can double up as daily or party wear. The jewellery lines were studded with diamonds, rubies, see-through enamel and mother-of-pearl. Valentina Callegher, owner of Di.Go, an Italian jewellery house that takes pride in making sophisticated sartorial jewels set with gold, gemstones and pearls, informed Solitaire that the purpose of participating in About J was to attract new business partners who would be interested in high-end Italian jewellery. The show was more about giving us a chance to promote and explain the concept of our collections to customers who normally don t spend quality time with us at the Vicenzaoro fair. We got heterogeneous clientele mostly 54 INTERNATIONAL october 2012
4 from South America and Eastern Europe, who were looking for refined jewellery with unmistakably Italian designs. Natural coloured stones like rubies, emeralds and sapphires were appreciated along with fancy colour diamonds combining yellow, orange and brown nuances. The trend this season favours the concept of one-of-a-kind, traditional and handmade bijoux that distinguishes it from the mass manufactured product. That gives our partners, who always value high quality, the opportunity to have in their store a fresh and different design. The mood on the show floor was upbeat and Licia Mattioli, head designer and owner of Mattioli company that combines age-old handmade techniques with state-of-the-art technology, confessed to having met important buyers from China, Malaysia, the Middle East besides meeting their regular clients from Japan and East Europe. Almost 90% of our jewellery is exported, informed Mattioli. World-renowned British jewellery designer Rodney Rayner, by his own admission, said that he had a splendid run at Cortina. Famous for his iconic coloured gemstone jewellery, Rayner said, We received a very, very good response. We have been participating in all the editions of About J, but this one was the best. I like the show s concise and intimate format as it allows us to have one-on-one dealings with our clients. We met many retailers from Canada, US, Israel, Dubai, Azerbaijan, Kazak, and Russia who liked our collections Via Roma and Bouquet. The Bouquet collection, which was introduced in Baselworld this year, consists of colour doublets like rhodolites and sapphires, amethyst and blue sapphires, while the 18-karat rose gold arabesque line, Via Roma, is an exclusive range of coloured gemstone jewels like sapphires and blue topaz. One of Rayner s showstopper rings centred on a large citrine and enveloped with layers of smoky quartz and citrines won the Couture Award for Best Design in Colour at the JCK Couture show this year. If you lose some, you win some as was the case with Germany-based Gert Hellmuth, who got a fair share of buyers from Kazakhstan, Russia, America and South America. Hellmuth, who is famous for his signature croco motif creations in 18-karat white, yellow and rose gold, said, Greece and Spain, which were our major markets, have suddenly been gripped by an economic crisis. Germany is steady in terms of demand. Participating in About J has given us good leads, and the show has been improving year on year in terms of getting new clients. High gold rates have impacted sales across the world, but that did not stop some exhibitors from experimenting with the use of precious metal in order to scale down price points. Augusto Ungarelli of Vendorafa noted that now was the time to bring back Italy s old traditional techniques of hammering, engraving and enamelling. In times like these, we have had to adapt to market conditions and arrive at designs that are lightweight and big in form through technological innovations. At Vendorafa, we have worked with new combinations this time, and some of our collections are set in silver with cold enamelling and a hint of gold. We have received good orders for it. The deal-sealer jewels are in the range of 2,000 to 7,000. At Cortina, we had time to meet our clients and explain to them the characteristics of our jewellery. We re-connected with a few of our very old customers from America even as we got new orders from Puerto Rico, Mexico, and Ukraine. Things are looking up for the jewellery market, at least, for jewellers who are on top of the pyramid. Bonato s export manager Zoran Corac said that the firm was unsure about its expectations from About J. But we were satisfied as we met new clients from Eastern Europe and South America and America. It was a good PR exercise and good for business since the FDV invited clients from the South American market, who we generally don t meet at the Vicenzaoro show. Italians are good at adapting to new markets and client needs. We have noticed that the mid-segment buyer for luxury jewellery Italians are good at adapting to new markets and client needs. We have noticed that the mid-segment buyer for luxury jewellery is slowly vanishing.
5 Buccellati Show in About J Guests at About J were in for a treat as they got to see up close some of the exceptional pieces from the house of Buccellati. Design maestro Gianmaria Buccellati offered some of the exclusive pieces from his private collection, for the two-day premier show held in Cortina d Ampezzo. Titled Buccellati: a Century of Creativity and Excellence, the small exposition consisted of refined jewels that were a symbol of art crafted in the most sophisticated Italian style. Some of the jewels and historical objets d art included The New Cup of Rainbow, Millennium Set, and the set of briolette sapphires. The other items on display were the Mediccan Cup, the Cup of Muses and the Cup of Euphoric Bliss and the Mediccan Box, Wild Dragon, and the Gran Dama. 56 INTERNATIONAL october 2012
6 is slowly vanishing. A couple of years ago, jewellery ranging from 600 to 2,000 sold well, but today, prices are averaging in the range of 3,000 to 10,000. A strong trend to target the sybarites was evident at the show. Casato s Federico Gauttieri, an About J loyalist since the show s inception, has witnessed steady increase in business year after year. This show is about meeting quality buyers who we have been networking with over the years. It is the effort of constant interaction that has borne us positive results. This time was particularly positive and we received orders from France, America, Dubai and Canada. We took a risk by presenting a super couture Christmas collection, and new buyers rewarded us amply with orders. They were looking for something special, and the line fit the bill. Creativity 5.0 Exhibitors at About J could not have asked for a better wrap-up. The upbeat mood spilled over at Vicenzaoro Fall in Vicenza that housed 1,320 exhibitors of which 931 were from Italy and the rest, from 31 countries. The show ran from September 8 to 12, and opened with a thought-provoking inaugural session that announced Creativity 5.0 as the theme of the fair. Chaired by Alessandro Cannavò, a leading writer for Corriere della Sera, the other speakers included Roberto Ditri, president of FDV, Ruggero Frezza, CEO of M31, Francesco Inguscio, founder of Nuvolab, Licia Mattioli of Mattioli, Francesco Morace, sociologist, Stephan Siegel, founder of Not Just a Label and Gabriele Vacis, film director. The session touched on ways to tackle economic challenges faced in different markets globally with the help of know-how and manufacturing skills and by employing new tools. The challenge lay in marrying modernity with the history and tradition that has made Italian jewellery so popular and coveted throughout the world. The need of the hour was to also create new companies and new methods of communicating and interacting with the consumer who was well-versed with the recent web 2.0 developments; to touch upon areas of widespread creativity where innovation not only permeated product design, but every single aspect of doing business; and the need to integrate know how with the new concept of let know was stressed. The challenge lay in marrying modernity with the history and tradition that has made Italian jewellery so popular and coveted throughout the world.
7 Carla Amorim DI.GO "The future of the economy does not lie in huge companies or in small peripheral organisations, explained Ditri. "It is imperative nowadays to join forces and work together, just as Fiera di Vicenza is doing with Vicenzaoro Italian Club by taking gold and jewellery companies to the United States, Dubai and India and also, in the near future, to China and Brazil. There, with our special format, any company can operate with the same visibility and incisiveness as the more structured ones. The market is in constant evolution, Ditri said, adding, and we must be where the market is... always one step ahead in order to sense the change and provide immediate answers. Corrado Facco, executive director of the FDV, noted, Vicenzaoro confirms Fiera di Vicenza s role as the producer of sector content. The incentives provided by Creativity 5.0, the theme of the exhibition, indicates how, in these times of global change, it is important to nurture our best assets with elements of quality and innovation, with updated creativity and excellent manufacture while still maintaining one s own unmistakable personality. However, an in-depth knowledge of the international markets is absolutely necessary. In perfect line with the FDV road map, the fair authorities have entered into strategic alliances with other international fair organisations to enter into markets that are more vibrant. For instance, in Dubai, the FDV has partnered with the Dubai World Trade Center and acts as the exclusive go-between for the participating Italian and European jewellers, goldsmiths and associated technology companies. In the USA, the partnership with Reed Exhibitions has been successfully ongoing for seven years. It is also developing the North American Buyer Cultivation Initiative Project that aims at promoting a brand awareness campaign and achieving customer loyalty in the American retail market through scouting activities in Misis collaboration with leading independent retailer organisations. The FDV is an official partner of the Gem & Jewellery Export Promotion Council (GJEPC) and will be exclusively representing Made in Italy gold, jewellery and technology at the India International Jewellery Show in August Bittal Maheshwari, GJEPC s regional co-ordinator for Europe, informed, We are looking for partnership between India and Italy and exploring the possibilities of joint ventures in the automobile, jewellery, textile, furniture, and leather segments. We can synergise in various departments like design and technology, and exchange labour and talent to produce jewellery in our country. As of today, India is virtually absent in the export destination list of Italy. The main export destinations for Italy in value terms are Switzerland (22% of its total exports), the UAE, at 14.3%, the US at 8.6%, and China at 5.6%. At Vicenzaoro Fall, footfalls were lesser this time, but it saw quality buyers who were looking for inventories that were not only high on design but also came with competitive price tags. Reports at the show confirmed that buyers were reposing their faith in gold despite the metal s pricey behaviour. Factors that worked in the exhibitors favour were many. One, the US market is gradually recovering, and two, many new countries are emerging as strong jewellery buyers and like the Italian inventory. 58 INTERNATIONAL october 2012
8 However, some exhibitors were forthright about the crisis plaguing the Italian markets. An exhibitor, who did not want to be quoted, said that in Italy, restrictions on payment methods have kept clients at bay and hit sales of jewellery. Those who want to buy jewellery prefer to buy it from destinations that have no such caps. Export manager Walter Santinon of Sidra, a 36-year-old firm that specialises in 14-,18-, and 21-karat enamelled gold jewellery, informed that labour costs had gone up in sync with the gold prices. We sell less as compared with the past four or five years, but we have retained our clients. The company met its regular customers from North Africa and the Middle East, and did try to tap the Indian market but have been unsuccessful in cracking any deals. I guess India is not ready for our products yet, plus high import duties are a major deterrent for doing direct business. US-based exhibitor Sutra got buyers from Austria, Ukraine, Azarbaijan and Russia. Owner Divyanshu Navlakha said, The show was successful for us even though traffic was slow as I got two or three clients per day. Greece was one of my biggest markets once, but now I m happy to spread my base in new countries through this exhibition. Saluting creativity, buyers flocked to Rosato s booth that had recreated a dream world ambience showcasing tiny, beautifully crafted charms in silver and gold. Valerio Beleggia, product manager of Rosato, stated, We came here to develop a new distribution network from scratch. Nearly 70% of our visitors were from Italy, while the rest came from Russia, Arabian countries and the US. Rosato is synonymous with charms and this year we have silver enamelled pendants from 50 to 150 in shapes of actual prototypes of Italian bags, shoes, homes, pets, etc. The18-karat gold collection is set with diamonds, rubies and enamel ranging from 500 to 1,400. We came here with no contacts, but are going back with a lot of positive feedback. Ricardo Vianna of Vianna Brasil said that he was not expecting Italian buyers at the Vicenzaoro fair. My clients are from the Middle East, East Europe, Russia and the UK. He said, About J was an interesting show for building relationships with our clients. The Brazilian economy is getting better but the jewellery segment is facing huge competition from India and China. High import duties and increasing cost of gold have made jewellery very expensive. Women in Brazil don t wear gold jewellery on a daily basis as they get targeted by thieves. So the whole purpose of buying jewellery is slowly diminishing. Elisabetta Molina Valerani, chief executive officer of Garavelli informed that both the trade shows were successful for her firm. Our philosophy has been to carry on a 100-year-old tradition of making Italian jewellery. About J further sealed our relationship with already existing customers from America and Japan, even as we met new customers from South America, Hong Kong, Russia and America. The most recent collections Coil and the Dune were a hit at the show. Penetrating into newer markets has been the key to survive in this tough economic climate. A spokesperson of Utopia Jewels stated, Our mid-range goods from $5,000 to $25,000 (at retail price) sold well, and that is where our major turnover comes from. The Italian market is sluggish, but we have been spreading our base into new markets such as Russia, the US and the Middle East, and so a little homework helps growth. The escalating cost of precious metals and diamonds has hit sales, he said. Although pearls have seen a marginal increase, the other components have added up to the production and manufacturing costs. Low demand for Indian goods Indian exhibitors complained of a lacklustre showing at the fair. Most received only enquiries but no orders. Some though were anticipating a slow show because a lot of buying took place at the previous two editions of Vicenzaoro. Asian Star s Sonik Jhaveri, marketing director sales, Belgium In Italy, restrictions on payment methods have kept clients at bay and hit sales of jewellery. Those who want to buy jewellery prefer to buy it from destinations that have no such caps.
9 division, said that silver with diamonds is generating a lot of interest in most of Europe, but in general, the market is not picking up. It is not so dismal at it seems as we have retained our existing clients. The popular ranges are between $100 and $250 for gold jewellery, and between $35 and $250 for silver jewellery. A Sunjewels spokesperson said that they were entertaining clients by appointment only and they did receive some orders from Germany and France for their silver and gold diamond-studded lines. An executive of Sanghavi Exports said that jewellery with lower price points (read lesser gold content and diamonds with more openwork patterns) was favoured. Manufacturers also used a combination of white and black diamonds and added coloured gems to make the jewellery more affordable. This is not a great show for new walk-ins. We sell all over Europe, Japan, Brussels, and Dubai, but America is our major market. However, both the shows gave exhibitors a lot of reasons to cheer. The shows wrapped up on a happy note, as most met new buyers from new countries. Change is an inevitable part of business. And this change, in particular, augurs good times ahead for the Italian industry. Sidelights On the sidelines of Vicenzaoro Fall, the Fiera di Vicenza and Federpreziosi (the Confcommercio National Federation of Italian Jewellery, Silverware and Watch Companies) signed a three-year MoU aimed at endorsing the partnership between the two organisations with the purpose of guaranteeing mutual advantages by promoting their respective activities, and strengthening training activities and initiatives aimed at the development and growth of the entire Italian gold and jewellery sector. Both parties will collaborate to sponsor and sustain professional refresher courses to be held at Confcommercio s territorial premises, or similar locations, on administrative, fiscal, retailing and communication themes. Federpreziosi acknowledged Fiera di Vicenza as an exclusive Italian trade fair organisation and will supply logistic and organisational support to encourage delegations of operators to participate at the Vicenza jewellery trade fairs, and Fiera di Vicenza will become an associated member of the federation. The agreement we signed today renders our 15-year-long collaboration official, said Giuseppe Aquilino, the president of Federpreziosi. Signing a partnership at this moment is a positive signal of support to the entire gold and jewellery sector. It provides companies with a solid guarantee that the joint commitment of two important institutions rests on firm foundations. "Federpreziosi is an enormous resource and, as such, deserves to be appropriately supported. Under the present circumstances, this support needs to be strengthened, explained Ditri, president of Fiera di Vicenza. "We are working hard to reinforce the bond between Fiera di Vicenza and the entire Italian production chain, from producer to the final consumer, passing through the strategic retailing hub. The agreement is headed exactly in this direction. Design Awards The FDV announced some important jewellery awards, one of them being the second edition of the Andrea Palladio International Jewellery Awards, which will be presided over by Gianmaria Buccellati of Buccellati. Entries will be accepted till March 1, The entries from all over the world will be judged in seven categories for this edition. The first edition of the Palladio Awards was won by Cartier for the Best Jewellery Communication Award, Van Cleef & Arpels won the Best International Jewellery Brand Collection, Dodo s of London won the Best Flagship Store. Crivelli won the Best Italian Brand Collection and the Best International Designer Award went to Gijs Bakker and Giampaolo Babetto won the Best Italian Designer Award. A special preview of the first edition of the Next Jeneration Jewellery Talent Contest was held in Vicenza to showcase the best creations by participants under 30 years of age. More than 280 designs were submitted from all over the world, and the jury presided by Dutch jewellery artist Gijs Bakker selected 20 finalists. These pieces were manufactured by master goldsmiths of Vicenza. The FDV inaugurated the Souvenir d Italie Exhibition displaying the best designs from the winners of the first edition of the Next Jeneration Contest, based on the theme of Souvenir d Italie. The second edition of Next Jeneration - Jewellery Talent Contest 2013, based on the theme of Porte Bonheur: Contemporary amulets and lucky charms was also announced. The deadline for these entries, too, is March 1, INTERNATIONAL october 2012
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