G Martin

Zales vs. Peers: Possible Difficulties Ahead

"Revenue per Employee at Zales of $143,352 which lags behind competitors by a large margin, where Signet is able to enjoy $221,964 per employee and Tiffany's of $290,909 per employee."

Does this take into account the recent selling of Zale Corp's high-end division of Bailey, Banks & Biddle? Signet still has theirs: Jared; and Tiffany is already high-end with a considerably higher marchandise markup.

"a casual browsing of their website will reveal some 1604 items sold at discount or at clearance prices, the largest of any category. Their aggressive buy one get one 1/2 off inventory reveals and additional 360 items. For comparison's sake, top selling items at Zales reveal 221 items, Wedding items reveal 585 items, Journey jewelry or "love jewelry" reveals 295 items. "

During non-promotional periods, almost all current items (with the exception of Buy 1 Get 1 Half off) are listed as regular price while only discontinued items are shown at a discount.