Jewellery is a highly competitive business, where brand visibility -- a factor that can amplify the sales potential considerably -- acquires great significance. Jewellers resort to various methodologies to stand out in the crowd, with an effective strategy being going beyond just bonuses and salary hikes, and giving expensive gifts to loyal employees.

Enhanced visibility apart, such generous gestures significantly boost internal morale. Employees become more engaged, productive, and committed, which translates into better customer service, innovative ideas, and a stronger overall performance. The end result is a more robust brand presence.

Recognition a powerful motivator

Not only does giving meaningful gifts become a feel-good factor for the jeweller, the employees who receive them feel valued and recognized for their efforts, which spurs them on to put in their best for the brand. Recognition is a powerful motivator that works wonders. The most recent case of a jeweller giving expensive gifts to loyal employees is that of Ahmedabad-based K K Jewels, which gifted cars to 12 employees who joined the company in 2006.

Talking about the gesture, Kailash Kabra of K K Jewels says, “This gift embodies our gratitude to our employees. I gifted cars to all loyal staff members who have been with me since the day I established the brand. I have not taken this step to gain popularity, or to become a hero. It is purely from the bottom of my heart. But yes, it was also an example to set for others that if you stay with us, we will recognize you for your work, and will reward you.”

Enhanced brand visibility

Expensive gifts to employees often generate a buzz, and attract media attention, generating visibility for the brand. The buzz, invariably, extends to social media platforms, where the news amplifies rapidly. This organic promotion has a far greater impact than traditional advertising, as it comes from personal experiences and emotions.

Challani Jewellery Mart, based out of Chennai, is another example of a jewellery company giving expensive gifts to employees. “We have a culture of rewarding our employees. We recently sent 12 top-performers on a holiday to Dubai. In 2023, we gifted 12 cars and 24 bikes to our employees,” says Gautam Challani, who heads the company.

“We also fund the school fees of two children of any staff member who completes two years with us. Our brand philosophy is that our employees should feel a sense of ownership in the company. They should take pride in the company. When they do so, they put in their best efforts to boost sales, which, of course, results in a healthier bottomline. Thanks to our brand philosophy, our attrition rate is just 2%. We are working towards making it 0%,” he adds.

While Kabra says gifting cars to his employees was simply a way of showing his appreciation for loyal employees, he does agree that such an act translates into enhanced brand recognition. “When the news went around on social media, it reached our clients, and they appreciated us for the gesture. Our staff members know most of our clients closely, and our clients feel happy that the person who is selling jewellery to them is getting a car. They appreciate the company for doing good things for its employees.

“As for the employees, they also feel happy that their services have been recognized and rewarded. It motivates them to put in their best for the company. These rewards develop a bridge between the owner and the employee, and employees take extra pains to understand the brand messaging, and how to convey it,” points out Kabra.

Better Employee Engagement

Giving gifts to employees goes a long way in strengthening employer-employee relations. Gifts can take many forms, and need not always be just cars and bikes. Some jewellers send their staff on paid vacations, others pay the school fees of the children of their employees, and take care of their medical needs. These gestures impact employees at an emotional level, making them feel connected to the company they work for.

Shreyansh Kapoor of Kashi Jewellers, Kanpur, believes that nothing fosters loyalty among staff like empathy does. “Being empathetic, and providing monetary support to your employees in their time of need makes employees feel valued. If treated well, and rewarded properly, employees will certainly make an extra effort to put in their best.

“At Kashi Jewellers, we send our staff on a paid vacation every year. This year, they went to Kamakhya Temple in Assam. We funded the trip of 200 people. In the past, our staffers have been to Vaishno Devi, Ajanta Ellora caves, Kulu Manali, Tirupathi Balaji, Rameshwaram, and so forth.”

Besides, Kashi Jewellers takes care of the medical needs of its employees. “We have a high percentage of women working with us, and we are always mindful of their requirements, be it extended paid leave for pregnancy, post-delivery leave, monetary assistance to meet the medical needs of their family members, and so forth.

“Taking care of your employees generally creates a ripple effect. While employees feel valued, for customers, it is positive reinforcement. They feel good about buying from a company that has a track record of treating its employees well, and rewarding them. As for us, our staff is our family, and we do not just say it – we mean it. We have a retention rate of 97%. That kind of loyalty comes only when you treat employees with dignity and respect, and reward them adequately for their efforts,” Kapoor says.

It is not just retailers, but also manufacturers who believe in rewarding employees and engaging with them on a personal level. Take the case of Laxmi Diamond, based out of Surat. The company believes that more than costly gifts, employees appreciate it far more when their actual needs are met.

“We believe that rewarding employees makes them feel good about the company they are working for,” says Bakul Gajera of Laxmi Diamond, adding, “They feel valued. We go out of our way to ensure that our employees are taken care of. We provide subsidized medication to our employees, and their family. We heavily subsidize the food we provide to our staff, offering a thaali at just Rs 11. Laxmi Diamond operates 17 educational institutions, and we give 50% subsidy to the children of our staff in these institutions.

“We also sponsor trips to various locations in India. Recently, we organized a trip to Rishikesh for our core employees, using the occasion to conduct team-building events. We prefer to provide these kinds of perks, rather than expensive gifts, because gifts are limited to only a section of employees. Being looked after gives employees a boost to work harder, and put in more effort for the company. We have employees who have been with us for 30-35 years.”

And lastly…

Evidently, investing in expensive gifts for loyal employees is more than just a generous act – it is a strategic move that can yield substantial returns in terms of brand visibility and employee retention. Besides, the company acquires a reputation for being generous, something which always goes down well with customers. When companies give expensive gifts to employees, or send them on paid vacations, they do not just get visibility – they gain credibility. After all, there is no marketing quite like word-of-mouth marketing.