From Prism Volume II 2024: Member Opinion Letter From Eric Schwotzer of Penn Gem International

By Eric Schwotzer, Penn Gem International

Hello, friends!

It’s been 47 years since my entrée to the colored gemstone industry. From an early age, I prospected Beryl in North Carolina and Sapphires in Montana, and in college connected with a German couple who bought and sold gems from ldar Oberstein. I took GIA classes while in college, eventually bought their business, and started exhibiting at AGTA GemFair Tucson when it left the Doubletree Hotel.

I have bought gemstones and cultured Pearls in Japan, Hong Kong, Thailand, Africa, Belgium, and Germany and have been privileged to make many friends with suppliers and clients from all over the world—tremendous experiences that have made for a rewarding profession.

There were no 800 numbers or FedEx deliveries when I started, and I’ve seen many other changes in the industry, from the crazy inflated prices of colored gems, Diamonds, and metals in the early 1980s to freshwater Pearl production in China and more. At one time, my company, Penn Gem International, sold a lot of Thai-, Australian-, and Ceylon-origin Sapphires, though we now sell Sapphires from many locations including my sentimental favorite, Montana.

Sales of colored gemstones have long taken a backseat to Diamonds among American jewelry store owners, but that is now changing. The rise of lab-grown Diamonds and the ensuing marketplace instability has driven many to embrace the beauty, pricing, and vast assortment of colored gemstones.

From Prism Volume II 2024: Member Opinion Letter From Eric Schwotzer of Penn Gem International
From Prism Volume II 2024: Member Opinion Letter From Eric Schwotzer of Penn Gem International
Blue Spinel from Penn Gem International

With natural, rare, and beautiful gemstones now center stage in the market—a move that helps many of us within AGTA—it’s important to educate sales associates and the next generation about the wonders of colored stones. Education can be obtained from GIA and AGS courses, trade journals, and from your suppliers. Use this vital knowledge to help staffers understand the gemstone landscape so they can successfully romance gemstone sales.

Salespersons and retailers, meanwhile, should attend trade shows to understand pricing for many qualities of gemstones. My staff and I spend a lot of time educating jewelers and their sales forces about pricing and options for their requests. Many don’t understand values, and while we are happy to educate about gem rarity and alternative gems for different colors, we encourage the trade to absorb as much of the information available in our field as possible. This will help buyers price gems appropriately for retail sales. This is why the Tucson gem shows are so great to attend; you see so many different qualities and stones that it’s often mind-boggling for most, but these shows are a good basis for buyers to understand how to price.

From Prism Volume II 2024: Member Opinion Letter From Eric Schwotzer of Penn Gem International

Color sells and it’s profitable! If you are not comfortable buying loose gems, buy from vendors and designers who belong to the associations that educate and promote gemstones. Our legacy is to ensure we pass on the love of colored stones to the next generation, which already has plenty of fresh ideas for ways to promote and advertise. I hope the next generation will continue to get involved and show us the way forward.

 

Sincerely,

Eric Schwotzer, Penn Gem International

This is proprietary content for AGTA and may not be reproduced.

This letter originally ran in Prism Volume II. See the flippingbook by clicking here.