Why Were Jewelry Sales So Weak in 2008 Fourth Quarter?

The causes for weak consumer demand have been debated for months. For jewelers, there were many reasons for decrease of consumers. Few important significant factors were:

The mass media has been heedlessly contradictory during the recessionary environment. Writers have been creating exaggeration, even when it is not present. These contradictory stories had a degrading impact on consumer expenditure.
Consumers could not get enough credit to support their expenditure practices. The housing ATM was completely ceased. Credit card spending limits were decreased. Loans became difficult to obtain.
Consumers were more in number only during high energy costs, and were quite distressed. Although gasoline prices had reduced, along with oil and natural gas prices, consumers were disgusted about the estimations that the prices would increase again.
New wealth consumers did not spend money like old wealth consumers. Old wealth usually continued to spend, regardless of economic cycles. When considering new wealth, they are approximately three-fourths of the wealthy households in America who have gathered their wealth over the past two decades and observed their wealth vanishing as both stock market values and real estate values decreased suddenly. Many new wealth households’ assets were restricted to the stock market and real estate.