Zale Corporation is a leading specialty retailer of diamonds and other jewelry products in North America. The Company has significant brand name recognition as a result of each of its brands’ long-standing presence in the industry, having 2.349 stores in the United States, Puerto Rico and Canada. The Company´s vision “provide customers with quality merchandise at the lowest possible price” has remain the same since its first store opening in 1920´s. The Mission of Zale Corporation is to be the best specialty retailer in North America. Our goal is to develop and maximize the finest collection of jewelry brands in order to build lasting customer relationships that will generate solid returns for our shareholders. Zale Corporation pursues a direct sales strategy characterized by a typical business to customer relationship and reports operations under three business segments: Fine Jewelry, Kiosk Jewelry and All Other. Fine Jewelry segment generates approximately 89 percent of its revenues while the Kiosk Jewelry segment represents approximately 10 percent. Fine Jewelry segment focused on the moderate income consumer as its core customer target. Each brand specializes in fine jewelry and watches, with merchandise and marketing emphasis focused on diamond products. Additionally, each brand differentiates itself through a customer experience with different points of emphasis. The brands in the Fine Jewelry segment have expanded their presence in the retail market through their e-commerce sites, www.zales.com, www.gordonsjewelers.com, and www.baileybanksandbiddle.com. The Kiosk Jewelry segment specializes in gold and silver products that capitalize on the latest fashion trends. At the entry-level price point, the Kiosk Jewelry segment targets a young, fashion forward customer. The kiosk segment offers an extensive collection of popularly-priced bracelets, earrings, charms, rings, and 14 karat and 10 karat gold chains, as well as a selection of silver and diamond jewelry, all in basic styles at moderate prices. In addition, trained associates perform ear-piercing services on site. Kiosks are generally located in high traffic locations that are easily accessible and visible within regional shopping malls. All Other segment provides insurance and reinsurance facilities for various types of insurance coverage, which typically are marketed to our private label credit card customers. The Zale strategy is composed of three components: Regain market share, improve gross margin and invest in people.
THE IMPROVED VISION AND MISSION
“Provide customers with quality merchandise at the lowest possible price” is a vision establish for the opening of the first Zale`s store in 1924, which sold not only jewelry but also small appliance, cameras and cookware. At that time, using merchandise in their vision made sense but for the present time, it is better to make clear that Zale`s business is focus on quality jewelry. Also I think in this original vision was underestimated the potential of the successful future of the company, so it is important to have a new vision in which the company is consider to become a strong, on top of everyone else, specialty retailer of diamonds and other jewelry products For those reasons, the improve version is: “Zale Corporation`s vision is to be the number one customer’s choice for retail quality jewelry products”. The Mission:
Zale corporation mission can be improved by adding some customer related statements. The Mission of Zale Corporation is to be the best specialty jewelry retailer in North America, generating trust trough years of experience and creating high values for our customer’s satisfaction and the environment. Our goal is to develop and maximize the finest collection of jewelry brands in order to build lasting customer relationships that will generate solid returns for our shareholders.
ZALE CORPORATION´S EXTERNAL OPPORTUNITIES AND THREATS