Jeweller set to exit retail business

Regrouping: Ong says company is exiting the retail side of the business although she does not specifically rule out a return with a diffent business model.

OE Fine Jewellery, the retail subsidiary of Penang-based OE Design Sdn Bhd, will exit the retail jewellery business in Malaysia after 17 years.

Its general manager Ong Li Dong said the retail outlet in KLCC, is scheduled to close by the end of this month, while the outlet in Straits Quay, Penang, will shut its doors at the end of next February.

“The are many reasons for slowing down and the timing is perfect now. First, it has to do with the shrinkage of the global jewellery market, which has taken a beating for the past few years.

“The effort we put in to market our jewellery products under the OE brand name has not yielded the desired results, especially in light of the escalating cost of doing business, and the competition emanating from on-line businesses and the changing consumption patterns of consumers.

“Furthermore, it has become extremely difficult to hire skilled labour for production.

“We thought that it is best to dismantle the old production system, take a break and possibly launch a different business model later,” Ong said.

According to Ong, all the jewellery in the outlets will be sold at reduced prices from now till the two outlets cease operations, .

Among the highlights are the C-Natasha Collection, designed by OE’s technical director, Urs Andreas Capol.

The collection is designed to resemble the shape of the heart, which comes in a three-dimensional design with diamonds suspen-ded inside a mirror-finished interior, amplifying their sparkle, Ong said.

“Another eye-catching offer is the Rudolf Erdel Platinum Collection, which is designed by hand using state-of-the-art technology, featuring the designer’s signature satin-finish platinum.

“The collection is the brainchild of the late Rudolf Oeding-Erdel, the eldest son of Erich Oeding-Erdel, the founder of OE Penang.

“Another attraction are the auspicious jewellery pieces from the Lillian Too collection.

“Each piece is designed according to specific proportions to harness the powerful ‘chi’ of dragon’s breath so as to bring luck to the wearer,” Ong said.

Ong added that it was a good time to acquire OE jewellery pieces now, as the goods and services tax (GST) had yet to come into effect and the attractive deals on offer.

“Presently, all the jewellery items are tax-free. After April next year, there will be 6% GST added to prices,” she added.

Ong said for those who wanted to continue buying from OE Fine Jewellery after the closure of the outlets could do so by visiting the wholesale office at 4th Floor Wisma Binjul in Tanjung Tokong, Penang. “We continue to operate there on a smaller, more manageable scale,” Ong said.

Established in 1974 in the Bayan Lepas Free Industrial Zone as a jewellery manufacturing facility, OE Design exported to some 40 countries worldwide and made items for some of the most recognisable brands worldwide.

In 1997, OE started to expand its retail business to the rest of the Peninsular Malaysia, making its jewellery more accessible to people in other states.

In the late 1980s, a showroom was opened inside the factory to sell factory surplus goods to retail consumers at factory prices.

The company’s well-made jewellery and great value for money remained a well-kept secret among Penangites.

Special collections designed by the company recently include the C-Natasha and Lillian Too Feng Shui Fine Jewellery Collection ranges.