EraGem Enhances Omnichannel Experiences After Switching to Bread
Partner
Eragem
Overview
EraGem’s sales approach for its wide-ranging collection of estate, retro, and antique jewelry is no throwback — the company has reimagined the payment experience for a new generation of omnichannel consumers.
EraGem’s sales approach for its wide-ranging collection of estate, retro, and antique jewelry is no throwback — the company has reimagined the payment experience for a new generation of omnichannel consumers.
Since launching in 2006, founders Michael Magnotti and Weston Macdonald have quickly grown EraGem into a leading vintage jewelry brand, which they owe to their selection of one-of-a-kind vintage pieces, customer-centric focus, and an ability to extend the old-fashioned jeweler experience into the online channels many customers prefer today. Since EraGem began its partnership with Bread earlier this year, it has been able to provide more financing options to its shoppers and generate more online and in-store business, which has accelerated the jeweler’s growth.
“We care so much about our customers and the integrity of our products, which is exactly how Bread treats our partnership. They’ve demonstrated that level of commitment through their ability to fit our financing needs, not the other way around,” Executive Director Mark Magnotti said. “Bread’s longer payment terms, white-labeling and customer service has aligned perfectly with our long-term growth ambitions.”
EraGem has strategically built its business philosophy around an unparalleled commitment to the integrity of its products and customer service, which is rooted in its family-owned beginnings.
We care so much about our customers and the integrity of our products, which is exactly how Bread treats our partnership. They’ve demonstrated that level of commitment through their ability to fit our financing needs, not the other way around.
Mark Magnotti, Executive Director, EraGem
In Bread, EraGem not only found a partner that places equally high standards on personalization through its white-label offering and customer service, but shares an overall alignment of interests with its retail partners. The success of the partnership has been driven by Bread’s efforts to provide EraGem with the greatest opportunity to showcase its brand and convert more sales, which its previous financing provider could not.
The results have spoken volumes about the partnership — over 20% of EraGem’s 2018 sales have been financed with Bread, while the jeweler experienced a 172% increase in year-over-year revenue.
EraGem Sees Nearly 250% Higher Total Financed Sales With Bread
Bread’s white-label solution and in-store capabilities have transformed the vintage jeweler’s customer financing experience, while keeping costs down through its ability to offer a diverse set of payment terms.
“With Bread, we have higher sales that we wouldn’t have captured with our previous provider and the cost of capturing those sales has gone down in the process,” he said.
After switching to Bread, EraGem has seen greater diversification in its consumer financing, with only 48% of its customers using the 12-month, 0% APR option with the rest opting for longer terms. This is a stark contrast from its previous relationship, which led the vast majority of its shoppers down a narrow path to purchase.
“The previous financing provider drove 90% of our customers to check out with a 12-month, 0% APR product, which we believe left a lot of sales on the table,” Magnotti said.
“With Bread, we have higher sales that we wouldn’t have captured with our previous provider and the cost of capturing those sales has gone down in the process.”
EraGem’s financed average order value has risen by 17% since introducing Bread, while total financed sales with Bread are 241% higher than its previous financing provider. Bread’s value is evident — financing has contributed a 30% increase to EraGem’s 2018 year-to-date revenue.
New In-store Presence, Even Stronger Results
EraGem’s consumer journey doesn’t end at e-commerce, demonstrated by their equally high-touch showroom in Bellevue, Wash. The jeweler’s integration of Bread’s array of financing options in-store has empowered customers to walk into their showroom and pay over time, accounting for 11% of those sales.
“People come into our showroom because they know our website and want to see our jewelry in person. The best part for us is they know they’ve already pre-qualified for financing with Bread and just want to simply try on the items before completing the purchase,” Magnotti said.
EraGem said that Bread’s seamless integration into its omnichannel experience has made it an invaluable part of the in-store journey.
“Sometimes, a couple just comes in to casually browse and they love our items so much that while they didn’t plan on making a purchase at first, the opportunity to use financing gave them the confidence to buy the piece they really wanted,” he said.
Magnotti said that the integration of Bread’s white-label financing solution on EraGem’s website and in its showroom was never an either/or question for the jeweler — it’s a necessity.
“Bread’s investment in customer service has really paid dividends for us. If our customers have an issue with their debit card or credit card and can’t contact their bank in off hours, they can use Bread, and we ultimately benefit,” he said.