Jewellery and Other Accessories

Payment Behaviour Analysis: Jewellery and other accessories Sector

An in-depth analysis of the payment behaviour within the Jewellery and other accessories sector, based on a sample size of 57 companies, reveals a distinct disparity between the arithmetic mean and the median payment times. Whilst the average payment time is recorded at an astronomical 75,886.1 days, this figure is statistically compromised by a singular, extreme outlier—a company with a recorded payment time of over 4.3 million days. Consequently, any business analyst must realise that the mean is not a reliable indicator of typical performance in this dataset. Instead, the median payment time of 39 days serves as the true centre of gravity for the sector, offering a more accurate reflection of the standard operating procedure for the majority of businesses analysed.

When we organise the data by distribution, a relatively healthy payment culture becomes apparent amongst the core group of companies. The data indicates that 35.1% of the sector (20 companies) fall into the ‘Fast’ category, settling debts within 30 days. Furthermore, the interquartile range indicates that the middle 50% of companies pay between 26 and 48 days. This tight grouping suggests that standard commercial terms in the Jewellery and other accessories sector typically favour net-30 to net-45 day agreements. Notably, the 25th percentile sits at 26 days, showing that a quarter of the sector is highly efficient, whilst the 75th percentile limit of 48 days suggests that drifting beyond two months is not the norm for the majority of these enterprises.

However, despite these positive indicators, the sector is not without risk. The performance breakdown reveals that 28.7% of payments are classified as late, and 15.9% of the sector takes over 60 days to settle accounts. Specifically, the distribution analysis highlights that four companies fall into the ‘Very Slow’ (61-90 days) category, and one company is in the ‘Critical’ zone (90+ days). This bifurcation suggests a two-tier system: a highly professionalised majority that adheres to standard terms, and a struggling minority that significantly lags behind. Geographically, the dataset is heavily London-centric, with 30 of the 57 companies located in the capital, implying that the payment behaviours observed are largely representative of metropolitan commercial practices.

In conclusion, whilst the standard deviation of 567,597.1 days paints a picture of extreme volatility, this is almost entirely due to the aforementioned outlier. If we exclude the extreme values—ranging from the fastest payer at 11 days to the slowest at over 4 million days—the sector demonstrates a stable pattern of behaviour. Creditors dealing with the Jewellery and other accessories sector should generally anticipate payment within 39 to 48 days. Nevertheless, they should remain vigilant regarding the nearly 30% risk of late payment, particularly when engaging with entities outside the top-performing quartile.