Joe Corey, president of Day’s Jewelers, jokes that there’s nothing “overly exciting” about a customer care plan when it’s first purchased. “People are not thinking about their care plan when they buy an engagement ring,” he adds, “they’re excited about the ring.” But when a jewelry disaster occurs—say, an accent gem vanishes, a prong gets bent, or a band gets warped—shoppers fall in love with the robust service guarantee they purchased at Day’s Jewelers.
Day’s Jewelers, which operates eight stores in New Hampshire and Maine, has been using and benefiting from a care plan offer for over five years now. We recently caught up with Corey to talk about how it’s a “win-win” for his company and clients.
The Zing Report: What made you originally think a care plan might make sense?
Joe Corey: I was running a store in Manchester, N.H., when we were introduced to the JM® Care Plan by Jewelers Mutual. We were always a ‘free lifetime warranty’ type of jeweler and we were a little reluctant at first about the product because it was unchartered territory.
But we discovered it was good for customers—and for us—because it removes the burden from us of fixing jewelry down the road when customers have this plan. All these factors combined made sense to us and we’ve been using it ever since.
Why did you choose the JM Care Plan program?
Everything we do as a company we run through our guiding principles. We want to make sure we’re providing the best value to our customers. So, we did the test with the JM Care Plan. We asked ourselves, ‘If I’m a customer, is this going to be a good thing for me? Will it be beneficial?’
We looked at it through that scope and discovered it was good for customers—and for us—because it removes the burden from us of fixing jewelry down the road when customers have this Care Plan. All these factors combined made sense to us and we’ve been using it ever since.
How does the JM Care Plan differ from the guarantee your stores offer?
We still offer a free lifetime warranty on any piece of jewelry we sell, which covers defects and things like loose stones. But for customers looking for that added coverage that a basic warranty doesn’t cover, such as wear-and-tear on a piece that takes place over years, that’s when the JM program comes in.
How do you present the JM Care Plan to customers?
We present it as a benefit to the customer. Engagement rings are a big part of our business, and a woman is going to wear that ring for the rest of her life. I hate to compare a ring to a car, but it’s not much different in that you know you’re going to need new tires at some point. It’s not a question of if, it’s when.
We’ve come a long way in terms of our presentation of the JM Care Plan. Our stores that are most successful with it are talking about it in their presentations of product instead of ‘clerking it’ at the counter. Because usually when you bring someone to the counter, they’ve already made their decisions. When you try to sell something additional at that point, it almost seems like you’re trying to squeeze something out of them. So, the JM Care Plan really should be presented when you’re presenting the jewelry.
As a product, is the JM Care Plan integrated into your point-of-sale system?
Yes, everything is integrated right into our point-of-sale system. It’s very easy to just add the plan onto a transaction instantly.
How does the JM Care Plan impact your bottom line?
It’s very profitable for us. If you’re in my position, as president and CEO of a company, you’re always looking for ways to drive additional revenue, and this is one way that makes sense. You increase your bottom line, and it’s also valuable for your customers, so you can feel proud to sell it to them.
Exclusions and limitations apply. For specific plan details, refer to the Terms and Conditions. JM Care Plan is offered by a member of the Jewelers Mutual Group, either JM Care Plan, Inc. or JM Care Plan Services, Inc.
Top photo: A Day’s Jewelers location