In the dynamic world of online auctions, few individuals stand out as prominently as Zachary Hill, the Founder and CEO of Garnet Gazelle. His journey into the auctioning and fine jewelry industry began in his teenage years, working as a Ringman and Clerk at his uncle Melvin Hill's renowned Interstate Auction. This early exposure, coupled with the family legacy of his grandfather Roy Hill, ignited a passion that would shape his future.
Determined to carve his own path, Zachary transitioned to the digital realm, establishing an innovative online auction platform that revolutionizes how fine jewelry is bought and sold. With a keen eye for quality and a commitment to providing consumers with authentic and detailed information, Garnet Gazelle has become a formidable competitor in the jewelry market, blending tradition with technology to create a seamless, year-round auction experience.
We asked Zachary a few questions about his journey, inspirations, and predictions for the future of the online auction industry.
How did you become interested in Auctioning and Fine Jewelry?
ZH: I started working in the auction industry as a Ringman and Clerk at the locally well-known Interstate Auction when I was a teenager. The Ringman’s job is to be close to the bidders, spotting bids and communicating them with the auctioneer. The job was challenging, fast-paced, and it hooked me. The Auctioneer/owner, Melvin Hill, is my uncle. He has operated his auction for over forty years. This is where I gained much of my business education. Roy Hill, my grandfather, was also a career auctioneer before him. Eventually, I decided to carve my own path by developing an online-only auction. Coincidentally, as I found success, I acquired the “Keavy Auction'' property, which had operated in the early 2000s, mere blocks away from where my grandfather had once operated the original Keavy Auction.
What challenges did you identify that drove you to found a company to address them?
ZH: Jewelry and auctions are a great combination. My goal was to provide consumers with an online window into fine jewelry, sourced from respected jewelry manufacturers and designers, and to provide authenticated, accurate, relevant information on each jewelry item or gemstone before they make a buying decision, all from the comfort of their home.
Historically, consumers have visited their local retail jewelers primarily between November and January, when roughly 40% of retail jewelry purchases were made. Those jewelers had to cover annualized operating costs with large markups and a seasonal events marketing focus. Our online auction model removes the seasonality factor by offering quality jewelry and gemstones through a 12-month business. This allows consumers to view larger selections of quality jewelry, and to find better deals.
Today, Garnet Gazelle is able to compete with retail jewelers by allowing competitive bidding where consumers determine price and realize savings. The virality effect has accelerated our business model. Our consumers are not one-time shoppers. They come back repeatedly to buy more, and then they tell their friends about the great deals they are finding on Garnet Gazelle. Each jewelry piece is cataloged by GIA (Gemologist Institute of America) certified holders or by others who have been trained by GIA certified staff.
The bottom line for us comes down to a passion and desire to offer unique and rewarding experiences every time a consumer stops in to see what auctions are live or “coming soon” that delivers excitement hooks and returns regularly.
Tell us about your team: Who’s on it, and how did you meet?
ZH: From day one, I made it a priority to create a warm and enthusiastic work environment. Garnet Gazelle boasts a phenomenal team, and I’m very proud of what we have collectively built to date as a result. Staffed by a diverse group of both men and women (50%). We employ several Asian (Filipino) staff and from the LGBT community. I feel this diversity has added to our success. Each staff member is encouraged to be themselves, to share personal ideas, and make suggestions.
As we grow, we will always recruit candidates with a strong work ethic, a love of jewelry and what we offer, and business computing skill sets. Our team has regular collaborative sessions to brainstorm ideas around our business processes, our offerings, how we present them, and what customer satisfaction looks like. We also blend in team-building activities that enable a highly collaborative environment and rapport.
Where do you see auctioning/online auctioning headed in the future?
ZH: Traditionally auctions have been very successful for livestock and in liquidating estates. Technology has brought the auction to the everyday consumer. Technological advances will continue to enhance the auction experience, offering buyers more immersive and informative ways to engage with items of interest. eBay was a pioneer of the online auction industry. However, it has evolved into more of a retail marketplace. Currently, only 10% of eBay’s listings are actually auctions.
Garnet Gazelle is dedicated to the auction format, but we also embrace new technology, social media, and modern marketing techniques. Today’s auction companies must seek out opportunities to innovate and improve their bidder’s experience. Since the launch of Amazon Prime, consumers have become accustomed to buying items at a whim and receiving them quickly.
In the future, we believe online auctions must find creative ways to expedite order fulfillment and quick shipping to compete with large online retailers. Traditional auction houses have been slower tech adopters overall, but Garnet Gazelle is breaking that mold with a pioneering focus to enable auctions as a viable option to e-commerce in the future.
What does success look like to Garnet Gazelle in the short term and long term?
ZH: Building on our success to date, our long-term goal is to build a category-leading 24/7 online auction platform. We will continue to expand our offerings beyond jewelry and collectibles, with the goal of offering 1 million+ bidding/buying consumers an easy-to-use, engaging, and fun online auction format.
Garnet Gazelle believes auctions can co-exist as a purchasing option because the market price is determined by the bidder/buyer in each instance. This method eliminates the guesswork of pricing to meet supply and demand. Although we specialized in jewelry initially, we are exploring other popular products to augment and diversify our offerings.
There has been growing interest in specific collectibles auctions. From art, Coins, Sports Cards, and Trading Cards, collectors are starting to realize the internet is a great option to promote, offer and sell their collections. By way of example, there is a resurgence in the popularity of Pokémon cards, which most collectors simply collect and flip rather than play the actual games.
We continually strive to grow our supply chain through quality providers. Garnet Gazelle has sold thousands of collectibles from Pokémon to historical currency and coins in the last year with great success. We will continue to innovate, to improve customer experience, focus on evolving our platform development to deliver a best-in-class online auction platform, and to own our intellectual property outright.
As customers continue coming online and participate in our auctions, we are growing organically by word of mouth. The great deals that we pass on are an important part of the customer experience, but so is the thrill of competing. On this basis, we are exploring gamification models and persuasive system design types, where by employing game design elements, we augment the auction experience by integrating gaming elements into non-game contexts that will enhance engagement and motivate/trigger certain behaviors. A few gamification elements we’re considering include badges (i.e., loyal buyer), leaderboards, points, and rewards, to encourage active participation, and make the experience fun and enjoyable.
The bottom line for us comes down to a passion and desire to offer unique and rewarding experiences every time a consumer stops in to see what auctions are live or “coming soon” that delivers excitement hooks and returns regularly.
Find out more about Garnet Gazelle at www.garnetgazelle.com. Are you a startup based in or looking to relocate to Kentucky? Keyhorse’s current quarterly investment cycle is open! Apply now.
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