If you’re looking for advice on how to start your own jewelry business, then look no further. You most likely have a creative side, and might even be making jewelry as a hobby already. But you’re probably asking yourself:
- Is the jewelry business profitable?
- How much does it cost to start a jewelry business?
- How do you market yourself?
- And more…
Jewelry is a great way for people to share a connection, and even has the potential to become a family heirloom no matter what the monetary value. Starting a jewelry business can put your product in customers’ most important life moments.
A jewelry business doesn’t have to be difficult, and I’ll be breaking down the steps you need to get started.
With the right business plan and a product that stands out from the rest, you’ll be able to have a successful jewelry business.
First, let’s discuss what makes a jewelry business profitable, and what can ruin the chances…
Is the jewelry business profitable?
Income – Expenses = Profit
In order to run a profitable jewelry business, you need to budget. You need to make sure that the expenses for your business are less than your income.
One of the benefits of owning a jewelry business is that it can be run from home, which means it can keep costs low by not needing a traditional brick and mortar store.
A jewelry business can be very profitable when you market yourself correctly, systemize production, have enough people know about your products, and when your sales exceed the amount you spend to run your business.
How much does it cost to start a jewelry business?
The cost of starting up a jewelry business can vary greatly depending on the owners preference. With modern technology, it’s possible to dropship or become an affiliate of a jewelry company, and make money as if you’re the jewelry maker!
Someone that works with silver and precious stones, or someone who needs specialized equipment will have a much larger start up cost than someone using glass beads and sterling silver for their pieces.
Similar to how the cost can range with jewelry supplies, the same is possible with marketing, you can choose to have an ecommerce store, social media pages, google ads and more. Alternatively, you could approach local businesses about selling your work in their stores.
When it comes to materials, tools and supplies, do your research online for wholesale suppliers. And, don’t be afraid to ask other artists where they get their supplies from. Asking around and doing your research can be a great way to make connections and source products, and find better prices. The networking and research you do to source your products or mingle with others in your niche will benefit your business in the long run.
Each business choice you make is going to have its own costs and benefits. You’ll have to weigh out your best options based on your budget.
Other expenses that are common with jewelry businesses are:
- Digital advertising (even if it’s just hosting, a domain name ,and SEO training) – $300
- Paying for help
- and More
How to Start a Jewelry Business – Step-by-Step
If running a jewelry business is something you really want to do, here are the steps we recommend you take to get started…
1.Create a Business Plan
First you’ll need to start with a business plan. Here are some recommended questions you should be answering when you’re creating a business plan:
- Will you create your own jewelry? Dropship? Or, become an affiliate of a jeweler?
- When do you want to launch?
- Who is your ideal customer?
- What type of jewelry will you make?
- How will you sell your products?
- How much will you charge?
- What products and services do you need to launch?
- and More
Your business plan is your guide. It will explain the steps you need to take for each of your businesses milestones. It’s the foundation to starting your business.
You can use our Business Planner to help you get clear about your goals and tasks you can do to attract customers online.
2. Incorporate Your Business
Incorporating your business can bring many benefits like tax advantages. One benefit to incorporating your business is that it can help you save on self-employment taxes.
Most importantly, incorporating your business is one of the best ways you can protect your personal assets and limit liability. It separates the businesses assets from the owners and investors assets.
You’ll need to file a document called Articles of Incorporation.
Some important information you’ll need for this document is:
- Your Company Name
- Your Business’ Mission
- Name of Registered Agent
- Director Information
- Leadership Structure
- And Your Business’ Address
Suggested resource to help you get your business incorporated:
3. Build a Website
Once you have a basic business plan, you’ll want to build a website that will be attractive to your ideal customer. You want it to explain to them why your product or service is something that they need.
With online shopping becoming such a massive industry, especially this past year, a website can be a very beneficial investment to your business.
For less than $300, you can buy a domain and get hosting. These are two foundational assets for starting a business website.
I also suggest setting up an ecommerce store to give customers more options to purchase your products. By setting up an ecommerce store you’ll also free up more time for yourself so that you can focus on doing things that you love. A well set up website allows customers to easily find and purchase your products.
4. Map your Customer Journey
But how will you get consistent sales online? To do this you want to think from your buyer’s perspective.
I’ve been to websites in the past that are confusing to navigate and have design flaws that make it difficult to view products.
At times it wasn’t clear to even know where you’re supposed to pay. And the worst is when a website doesn’t even look trustworthy.
You will want a website that looks trustworthy, and is clear and concise about where customers should go to view your products and pay.
Your customer journey could look like this…
- Facebook/Pinterest Ad or Offline Referral
- Optin Page
- Collect email in exchange for discount or referral
- Check out website
- Left item in Checkout cart Email reminder or Simple Follow up
- Make the sale
Once you test your customer journey, you can tweak it to optimize for sales.
5. Choose your Tools and Equipment
The first step is figuring out how you want to source your products. To keep overhead costs low, you may want to start out by partnering with jewelers who are already making sales in the market–this can help you to learn as you’re making revenue.
From selling a product that’s already in the market, you can learn what consumers like and don’t like, what the strengths of your competition are, and how you can carve out a unique selling proposition when you create your own products.
If you decide you want to go straight into creating your own jewelry, you want to decide what type of jewelry you want to make and sell. The types of jewelry you can make are endless.
Here are some examples:
- Laser Cutting
- 3D Printing
- Crystal/Gem Setting
- Modeling Clay
- Wire wrap
- Resin work
- And so much more…
With some of these styles it’s recommended that you look into specialized courses and training. There are lots of free resources available on YouTube and Pinterest.
You can keep material costs quite low when you are first starting off. Clasps, beads, wire, and leather can have low purchase costs, which will help to increase your profit. There are other materials that have low costs in addition to the others I mentioned.
There is always the option to expand your product line and get into higher end materials such as silver and gold if you want. With using more expensive materials like silver, semi/precious gems, and specialized equipment; you can set a higher price per item. People tend to understand the higher costs for products that contain more expensive materials like gold and silver.
If you’re going to be working from home it’s very important that you make yourself a workspace. Ensure that you have enough room to comfortably work, can store equipment and materials neatly, and are able to keep any harmful or dangerous tools stored away safely when not in use.
Once you know the type of jewelry you’ll be making then you can price materials, research competitors, set up your work area, and figure out how to efficiently produce your jewelry.
When you systemize your production you help manage the costs of materials, and your time. A successful business owner knows the value of their time.
6. Set up Payment Options
You will most likely rather focus on your craft than have to worry about manually running transactions, but then how will you get paid? You’ll want to have your website set up with a checkout.
Here are some recommended services:
- ThriveCart – You can use this to set up one-time payments or recurring payments. Check out the full ThriveCart Review here.
- Leadpages – Conversion Optimized Landing pages
7. Advertise and Get People to Know about Your Business
Nowadays, you don’t need a storefront to run a successful jewelry business,but having a presence online can help your business to reach a larger and wider audience than if you just focused on local sales.
When you start your jewelry business, you’ll want to get the word out. There are lots of resources available to help entrepreneurs with this. You can use tools like social media and search engines (Google Ads, Facebook, Pinterest, etc.)
With focused ads and social media management, you’ll be able to target customers that need your products. By targeting customers with an interest in what you sell, you’ll save time and money.
You don’t want to forget about offline sales though. Offline sales can be approached the same as online. Search out customers who need your business.
There are opportunities everywhere to increase brand awareness. Keep business cards on you to hand out to potential customers. You can also leave business cards at local boutiques, salons, and gift shops. You can look into farmers markets, trade shows, and Christmas markets to increase awareness.
8. Sell and Make Money
When you have a quality product that stands out, traffic coming to your website, and you’re presenting your products to people who need it, then you’ll be making money.
Owning a jewelry business can be a very rewarding job. It’s a great way to have your art displayed in the world and marry your creative passion to your income.
Get started with our free business planner, and begin getting a clearer picture of your goals. If you have any questions, you can leave them in the comments section below.
If you’re ready to get started with your business, I recommend you check out the Startup Entrepreneur’s Toolkit and learn how to master the process of getting consistent online sales.