How to Start a Jewelry Business as a Beginner

The Indian jewelry industry market was recorded at 78.50 Billion Dollars in 2021. In fact, the market is expected to grow with a CAGR OF 8.34% to reach 119.80 Billion Dollars by 2027.

 

Moreover, the Indian government has been promoting jewelry exports as part of its “Make in India” campaign. 

 

It offers a variety of incentives, including: 

 

• Tax Relief on Raw Materials and Capital Investment
• Lower Import Duties on Raw Materials
• Preferential Access to Credit from Public Sector Banks for Export-Oriented Units

 

Is there any space for new entrepreneurs in the Jewelry Business?

 

Jewelry has been an integral part of Indian culture for centuries. 

 

The trade was once controlled by merchants who traded with gold and silver. 

 

However, now there are ample opportunities for modern and aesthetic jewelry to make its place in the market. 

 

But, first, let me help you with understanding the legal requirements for starting a Jewelry Business in India.

 

Understand the Legal Necessities

 

Before you can start a jewelry business, there are a few legal requirements you need to consider. 

 

Trying to navigate these processes on your own can feel a little intimidating, but getting in touch with an expert will make it easier for you.

 

Fill out the form on your right and get a FREE Call Back from an EXPERT.

 

The first and foremost legal aspect you need to look out for is registering your business. 

 

You can go for a Private Limited Company Registration Online, One Person Company, Limited Liability Partnership, Sole Proprietorship or Partnership Firm.

 

After that, open a Business Bank Account and Apply for GST Registration.

 

Also, do not forget to take permission from Local Authorities on your Store Location. For this purpose, apply for a Shop and Establishment Act Certificate.

 

Furthermore, if you will be dealing in Gold Jewelry, it is mandatory to apply for a BIS License for Hallmark as well.

 

In case you are planning to go global and want to Export Jewellery from India to the USA, you must have an IEC Certificate.

 

Last but not the least, do not miss out on Insurance to protect your business from any unfortunate mishaps. It will help you to always be on the safer side in future.

 

Decide on Your Product Type 

 

There are many different styles of products available in the market and it can be hard to choose which one to go with.

 

There are many different styles of jewelry that you can create and sell from your business. 

 

You should think about which style would best suit your target market and what you are most interested in making.

 

The three major product styles that you can choose from when starting a jewelry business in India are: 

 

• Ethnic or traditional Indian style, which is usually made with silver or gold.
• Modern western style, which is often made with gemstones and diamonds.
• Imitation aesthetic jewelry is made from semi-precious materials like copper, bronze, steel, aluminum, wood, soil, bamboo, and silk. Even artificial pearls, feathers, and crystals are used to create stunning jewelry. 
• Contemporary Indian design is more stylish and modern.

 

The decision will depend on your investment capability and your area of interest.

 

Research Latest Trends and Demands

 

Trends are constantly changing and it is important to stay up-to-date.

 

Researching the latest trends in a niche or industry can help you make better decisions and take your business to greater heights.

 

There are many ways to research trends, but one of the best ways is by following social media sites like Facebook, Instagram, Pinterest and blogs that specialize in jewelry design.

 

You can also look at what celebrities are wearing, what designers are making, and what stores are selling. In fact, look at jewelry magazines such as Bazaar, Vogue and Elle as well.

 

Another way to figure out the trends is by using Google Keywords. For this purpose, firstly, list some keywords related to the jewelry business that comes to your mind with brainstorming.

 

For example, aesthetic rings, gold earrings, modern jewelry, silver pendant etc.

 

Then start a search on Google Keyword Planner. 

 

It will give you an estimate of people who search for these terms on the internet.

 

Let's look at the term "Aesthetic Jewellery". 

 

It has an average monthly search of 2900 people in 2022.

 

Thus, if you target them in the right way, they can turn out to be your potential customers.

 

It is better to keep an eye on the latest trends in the industry to stay ahead of your competitors. 

 

Also, make sure that you are keeping up with the latest technology and designs to stay relevant.

 

Identify Your Target Audience

 

Picking a target audience is essential for any business.

 

You can use the following techniques to identify your target audience:

 

• Use demographic data to understand the age, gender, and location of your potential customers
• Conduct surveys or interviews with customers
• Use social media channels like Facebook, Instagram and Twitter

 

Your target audience may be defined by factors such as:

 

• Age
• Gender
• Location
• Income Level
• Occupation
• Marital Status
• Hobbies and Interests
• Lifestyle
• Shopping Preferences (for example, instore or online)
• Their jewelry wants and needs

 

Knowing your target audience is important because it will help you decide the kind of products you should offer and the marketing strategies that will work for your business.

 

Find Suppliers and Create your Jewelry

 

When you are planning to start a jewelry business, you need to find reliable suppliers who can provide the raw materials and components that you will need at a good price. 

 

You also need to find suppliers who can provide the logistics support that is needed to get your products shipped on time.

 

You have three options when you are looking for a supplier:

 

• Explore the local market yourself
• Ask people around you for recommendations of reliable suppliers
• Search the internet and read reviews on various websites

 

The internet has made it much easier to find suppliers in India if you know where to look. 

 

In fact, classifieds, social media groups and forums, and industry-specific portals all offer a variety of options for sourcing jewelry suppliers.

 

Set up Your Jewelry Store and Start Marketing

 

To set up your jewelry store in India, consider the following: -

 

• Choose a well-known industrial area, preferably in a posh locality as this will ensure that people will visit the store more frequently on account of its location. 
• Contact the authorities such as the local municipal corporation or police station so that they can provide you with requisite permission and safety measures to be taken while setting up the store.
• Before setting everything up, ensure that all prices are fixed and all necessary bills are ready.
• Decide how to lay out the store, whether it is a single or multiple product stores.
• Ensure that your products are displayed well and attractively as this would help increase sales.
• On your opening day, ensure that all necessary things such as electricity, water lines and an air conditioner are in place before opening for business.
• Have all the necessary inventory in place and stock up on them as soon as possible.
• You may also want to have a team of people who can assist you on your opening day.