Industry Analysis & Industry Trends
The Watch and Jewellery Wholesaling industry has lost some of its sparkle over the past five years. Subdued economic conditions and low disposable income growth resulted in weak consumer demand over much of the period. This was particularly evident at the start of the five years through 2016-17, leading to a damaging effect on watch and jewellery sales, which are highly discretionary in nature. Companies in the industry also faced an increasing trend towards wholesale bypass. During the five years through 2016-17, revenue is expected to contract at a compound annual rate of 0.1% as wholesale bypass continues. In 2016-17, industry revenue is anticipated to increase by 1% to £1.6 billion due to stronger demand conditions... purchase to read more
Industry Report - Industry Investment Chapter
On average, for every £1.00 spent on labour industry operators spend 38p on capital. This represents a high level of capital intensity, in line with high industry depreciation and low wage costs. Industry players principally lease out premises, forgoing depreciation on major assets. Equipment in the industry relates to communication, inventory control and security. Security equipment is a major capital expense for the industry and makes up the lions share of industry capital expenditure. Over the past five years, depreciation costs for the industry have been declining as very little technological change has taken place.
Labour consists of customer service operators, buyers and delivery staff. As a share of revenue, wages have been quite volatile over the past five years. Thi.. purchase to read more