Signet Group Plc., the United Kingdom's largest jewelry retailer, will spend $100 million during the next two years to boost profits and sales by expanding the Jared chain in the U.S., Bloomberg News reports. Signet's plans include doubling the number of edge-of-town Jared stores to 58 and increasing the total space in the U.S. by 25%.
"It makes sense to expand Jared because it attracts more affluent customers," Signet Chief Executive Terry Burman says. "The average transaction in a Jared store is 40% higher than in a typical mall store." The planned changes are expected to increase Signet's sales to over $1 billion.
Strong demand at Jared outlets led Signet's second quarter sales increase. Its total second-quarter sales increased by 22% while same-store sales rose over 8% in the U.K. and 15% in the U.S. Signet's U.S. business accounts for 67% of its total sales.
- by Julia M. Duncan