The
Client
Founded in 1836, Bromberg’s is one of the nation’s oldest family businesses,
a virtual icon in Alabama jewelry retailing. Operating four stores in the
Birmingham, AL area, the Bromberg family has been recognized locally and within
the jewelry industry by the company’s long association with the American Gem
Society where family members have served as president of the AGS two times in
recent years.
Bromberg’s specializes in
- Fine diamonds and precious gemstones in the AGS tradition
where all of the company’s sales associates have earned
American Gem Society titles through special training
and study
- Fine Swiss watch brands like Rolex®
- Branded tabletop china and quality gifts, such as collections
of Bernardaud from France and artistic patterns from
Vietri in Italy
Now, Bromberg’s faced growth problems with their flagship
store in Mountain Brook, AL and the branch store in Montgomery. The
Mountain Brook store needed to be remodeled to effectively
service the exclusive clientele that frequented the location,
while the Montgomery store was in decline and needed
to be divested.
The Gordon Company Assignment
Enable the Bromberg family to:
- Profitably operate the Mountain Brook store, while
simultaneously remodeling the location
- Close the Montgomery store and mitigate negative publicity
that could erode the brand value of Bromberg’s in the
company’s trading areas
- Liquidate unproductive and toxic inventory to maximize
cash flow
- Increase Bromberg’s consumer franchise as a luxury
jeweler
- Increase consumer awareness of the brand
The scope of The Gordon Company’s assignment included:
- Developing a sales and marketing plan to sustain the
profitability of the Mountain Brook store
- Developing a store closing marketing campaign for the
Montgomery store to maximize the sales and return on
liquidation of unproductive inventory
- Preparing an integrated business plan, including sales
budget, media plan, and resource plans for the remodeling
and store closure event
- Assisting Bromberg’s management team in identifying
excess and underperforming inventory
- Recommending an optimum pricing strategy to maximize
the liquidation of toxic inventory
- Designing custom creative material, advertising plan,
and public relations plan for the event
- Integrating the store remodel and store closure
event into the corporate marketing strategy and public
relations program
- Preparing synergistic, in-store collateral material,
print, and where appropriate other media advertising
material for the store being renovated, closing store,
and remaining on-going Bromberg’s location
- Assisting with the management, staffing, implementation
of the plan, and control of the event in order to optimize
results
Considerations:
- Protect Bromberg’s iconic, high-quality jewelry
position in the Birmingham market
- Bromberg’s was historically a premium priced, non-discount
jeweler
- Accommodate AGS accreditation terms and conditions,
including use of discounts and promotional pricing
- Support family company brand values
The Gordon Company Solution and Accomplishments:
- The Gordon Company designed and developed an exclusive
marketing, advertising, staffing, and implementation
strategy for each stage of Bromberg’s remodeling and
store closure event
- The Gordon Company’s solution maximized the return
on Bromberg’s dated and excess inventory
- Sales increased during the 135 day Montgomery store
closure sale by 125% of the store’s prior year
turnover and by 3.8 X (277%) the previous period’s sales
- In addition to excellent short-term results, Ricky
Bromberg emphasized, The Gordon Company had orchestrated
a number of events for the company through the years
and had proved invaluable, protecting our interests and
our reputation
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According to Ricky Bromberg…
“ The sale run by The Gordon Company did not
affect business in our other stores. In fact, the
other stores had double-digit increases during
the same period.” |
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