Signet Jewelers has made an acquisition that gives it a foothold in a fast-growing online service that appeal to next-gen jewelry customers.
The parent company of Zales, Kay Jewelers, Jared and other banners has acquired Rocksbox, a jewelry rental subscription platform. Financial terms of the deal were not disclosed. Launched in 2012, Rocksbox allows its monthly members to rent exclusive and designer jewelry styles via its online platform. Members pay a $21 monthly subscription fee, which can be used as a credit towards buying any items in the rental box that they choose to keep.
The acquisition comes as Signet is focused on the acceleration of its services business as part of its new growth strategy. The retailer expects to expand its current offerings such as repair, warranty services and piercings, while also introducing new ones. Signet said that, with the Rocksbox acquisition, it will tap into a highly engaged customer base, generate a new revenue stream and add another capability to its “connected-commerce” strategy.
In adddition, Rocksbox provides Signet with an additional point of entry for self-purchasing women customers, a segment in which the jeweler is currently under-developed.
"I'm delighted to welcome the talented Rocksbox team to our Signet family and am confident this union will generate exciting opportunities to accelerate our growth in services and reach new customers," said Signet CEO Virginia C. Drosos. "Under CEO Meaghan Rose's leadership, Rocksbox has revolutionized the jewelry rental subscription marketplace by delivering personalized, online and data-driven customer experiences for jewelry lovers who prioritize fashion, online convenience and sustainability. We look forward to bringing Rocksbox's outstanding services to more customers, and to introducing those new customers to the balance of Signet's banners."
In a statement, Rose said the acquisition will take Rocksbox to “an entirely new level.”
"I started Rocksbox to make it easy and fun for women to discover jewelry that they love – and that won't change,” she said. “We're excited to give even more members the opportunity to experiment with new, fashionable jewelry styles through a technology-enabled, personalized rental experience. As a customer-first, data-driven and values-oriented company, we were selective about finding the right partner.”
Signet operates approximately 2,800 stores primarily under the name brands of Kay Jewelers, Zales, Jared, H. Samuel, Ernest Jones, Peoples, Piercing Pagoda, and JamesAllen.