The Internet is not an enemy of the physical store. On the contrary. And in fact, there are those who use the Internet to build customer loyalty or propose new services. Artlinea, a Tuscan goldsmith company, understood this in time, with that intuition and that ability to innovate typical of some entrepreneurs. A way to face the crisis and with excellent results, as can be read in the article in the newspaper Il Sole 24 Ore, written by Silvia Pieraccini.
«If today in Italy we sold only through traditional channels, we would no longer have a market», And instead Artlinea of Capolona (Arezzo), a goldsmith company that produces everything “in house” and distributes worldwide with its own brand, is holding on to the Italian market, thanks to a production-distribution innovation that has required investments in technology, staff training, sales and communication. “The strategy – explains Alberto Martinelli, 34, second generation of the family business founded by his father Doriano more than 30 years ago – aims to provide personalized jewelry to the end customer, who chooses and composes them on our website but does not buy them directly: to do so he must go to the retailer, who has a sampling kit and can show, explain, assist”, we read in the article.
It is thanks to a network of almost 400 retailers throughout Italy that the customer orders the Artlinea ring, bracelet or necklace with personalized names, phrases, dedications or dates and, within a few days, collects the jewelry he created in the store. “Innovative – adds Martinelli – is the fact that we go to produce the object when it has already been ordered, with the result of not having warehouse stock, and that we do it very quickly: within 24 hours of the order”.
In short, according to what we read, customization and technology allow Artlinea not only to remain on the market, but to drastically reduce warehouse costs. A benefit also for retailers who in this case have an additional advantage:
The elimination of the warehouse is a panacea for the goldsmith company, but also for retailers: «With this formula – adds Alberto Martinelli, administrative manager of Artlinea – we have addressed the problem of Italian distribution, which often has difficulty in obtaining supplies and is suffocated by the lack of liquidity. To sell our products the store only buys a display kit, with the advantage of not having to keep stock in the warehouse and of having positive cash flows because it collects immediately from the end customer».
The direct distribution of personalized jewelry to the point of sale – started six years ago with the “tvb” collection, and now also extended to the “forever” line of wedding rings – today gives 66% of Artlinea’s Italian turnover, and therefore allows it to maintain a market worth three million euros; two thirds of the revenues come from abroad, for a total of 8.8 million made in 2013. But, as often happens for gold companies, what counts is not so much the turnover (down 21% compared to 2012) as the value of the workmanship: on this front Artlinea (85 employees) recorded +21% last year (thanks to the “work order”, i.e. gold supplied by the clients) and even +91% in the first half of this year, thanks to the Middle East which, however, is slowing down orders due to political events».
