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Signet (SIG) Unveils Jewelry Rental Program for Customers

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Signet Jewelers Limited (SIG - Free Report) has been making constant efforts to enrich customers’ experience. The company is focused on making digital endeavors and smooth progress in its Inspiring Brilliance strategy.

In latest developments, the company announced the extended rollout of a fine jewelry rental program for special occasions and weddings. This involves the partnership of its two key banners, Zales, the Diamond Store, and Rocksbox. Markedly, it marks the first time across its banners when the company is offering a fine jewelry experience with its new rental service.

The program is currently available at 50 Zales stores across the nation and is powered by Rocksbox’s rental expertise. The collection of 36 pieces includes necklaces, earrings, bracelets and rings. Customers can rent the jewelry for 14 days for a 5% of the purchase price. They can also purchase anything they rent and apply for the related rental fee to buy the item. The purchase price range for the rental jewelry is $1,000-$10,000.

Presently available by appointment exclusively at select Zales outlets, this program is designed to offer affordable jewelry options for special occasions including wedding parties, celebrations and other occasions. Using Rocksbox's rental technology, customers can try various luxury jewelry options before they buy. The program boasts its own assortment, made exclusively for rental, and fashioned in 10K white gold and handset with lab-created diamonds. It also has a digital look book for customers to browse the jewelry assortment online before the appointment.

What’s More?

We note that Signet is consistently integrating its physical stores with advanced virtual experiences through data-driven in-store consultations and services like buy online pickup in-store and curbside options. The company’s connected commerce strategy helps in combining customer experiences, leveraging in store and online as well as mobile and ubiquitous delivery. This is helping the company cater to customers’ needs more aptly.

 

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Further, the company’s loyalty program is progressing well. It has introduced the option to enroll in the loyalty program while making an account on one of its banner sites, creating a frictionless point of entry for customers. This addition has enabled a more than 50% increase in members during the first quarter of fiscal 2024.

Also, the company has implemented over a dozen new priority feature launches and is on track for 20 more in the fiscal second quarter. These features include enhancements to the online merchandise presentation, messaging, appointment booking and services. Such efforts indicate that Signet has been focusing on evolving its channel-agnostic retailer capabilities.

However, this Zacks Rank #4 (Sell) company has lost 4.7% in the past three months compared with the industry’s 5.9% decline. The company has been witnessing a shift in consumer spending from the jewelry category. Heightened macro pressures on consumer spending and increased promotions act as deterrents.

Stocks to Consider

We have highlighted three better-ranked stocks, namely Abercrombie & Fitch (ANF - Free Report) , Urban Outfitters (URBN - Free Report) and American Eagle Outfitters (AEO - Free Report) .

Abercrombie & Fitch, a leading casual apparel retailer, currently sports a Zacks Rank #1(Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Abercrombie & Fitch’s current financial-year sales and earnings per share (EPS) suggests growth of 3.4% and 732%, respectively, from the year-ago reported figures. ANF delivered an average trailing four-quarter earnings surprise of 480.6%.

Urban Outfitters, a sporting goods retailer, currently flaunts a Zacks Rank of 1. The company has an average trailing four-quarter earnings surprise of 12.2%.

The consensus estimate for Urban Outfitters’ current financial-year sales and EPS suggests growth of 5.1% and 57.1%, respectively, from the year-ago reported figures.

American Eagle Outfitters, a retailer of casual apparel, accessories and footwear, currently carries a Zacks Rank #2 (Buy). AEO delivered an average trailing four-quarter earnings surprise of 9.2%.

The Zacks Consensus Estimate for American Eagle Outfitters’ current financial-year EPS suggests growth of 4.1%, from the year-ago reported figure.

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