Head To Head With The Italians

A significant proportion came from Çivril, Denizli. Some began in small shops, others in a workshop. They also include those who started off in business by selling to foreign markets. But they all share a common feature, continuing the business as a family concern, stressing the importance to brands, opening up to the outside world and corporatism… These are the families responsible for expanding the jewelry sector, which for years was squeezed into the Grand Bazaar, to an annual turnover of $7 billion, and to rank second in global exports, just behind the Italians.

The making of gold jewelry has covered considerable ground in Turkey over the last 10-15 years and has been transformed into a major sector. When one includes the sellers, the major producers and the small workshops then there are six thousand businesses in Turkey, almost all of them family companies… But there are around ten major producers who dominate the sector, which in Turkey has grown to $7 billion, and strengthen their image through success in exports.

They have attainted the position they hold today through their entrepreneurial spirit, the strength of their family structures and their ability to make the best use of opportunities. Each has a turnover of millions of dollars, makes a significant contribution to the Turkish economy and provides employment for a large number of people.

They include the owners of the largest plant in Europe and the first company ever to export to Guam. These ten families have raised Turkey to the point where today it ranks second only to Italy in exports of gold jewelry. Their growth strategies and efforts to make their sector into a global player are examples to the entire business community. Here are the success stories and development strategies of the golden families.

Atasay’s target is China

Heading the list of the groups which are well known in the gold sector and which have made their mark through entrepreneurship is the Kamer Family. The Kamer family comes from Çivril, Denizli, and began in the jewelry business 70 years ago with Hacı Mustafa Kamer, who opened a shop which both manufactured jewelry and served as a money changer. Atasay Kamer learned his trade in his father’s shop and in 1989 founded the ‘Atasay Kuyumculuk’ company. He founded the new company together with his son Cihan Tamer and developed a more productive structure geared towards exports.

Later came expansion abroad. First came an office in America and then in Mexico and Dubai. Now Atasay Kuyumculuk has five offices abroad, three in America and one each in Mexico and Dubai and its plant, which covers 12,000 square meters and employs 1,500 people, is the largest in Europe.

Altınbaş upbeat about franchising

Altınbaş Kuyumculuk was established in 1975 by Mehmet Altınbaş from Gaziantep, a trader in pistachios. Today the company employs 550 personnel and in 2004 had a turnover of approximately TL 81 trillion. Altınbaş Kuyumculuk has exports of $25 million to 35 countries and it offers its products to consumers all over the world in more than 3,000 jewelry shops.

Altınbaş Board Chairman İmam Altınbaş says that in realizing their goals they took major foreign firms as their model. Altınbaş says: “Our target is to become a global brand and increase the number of our stores from 55 at present to 1000 worldwide.”

The only gold company on the ISE: Goldaş

The company was established with a workforce of approximately 50 and today has become one of the largest gold companies in Europe. Sedat Yalınkaya says: “When we established the company we set ourselves the goal of becoming a global brand. We have reached this target.”

Goldaş went public in 1999 and is the only publicly traded company in its field in Turkey. In 2004 the company’s total sales volume reached TL 457 trillion.

ANALYSIS OF THE GOLD SECTOR

SIZE OF THE MARKET In monetary terms the gold sector in Turkey is worth around $7 billion. There are 6,000 producers and wholesalers in the market and 35,000 retail outlets. The sector employs approximately 300,000 people and produces 261 tons of gold jewelry each year, of which 191 tons are sold on the domestic market.

GLOBAL SITUATION According to data from the World Gold Council, 3,500 tons of gold are used in the production of jewelry worldwide each year. Mines produce 3,000 tons of gold each year. The difference is met from gold stocks and gold which has already been processed.

TURKEY’S SITUATION There is almost no gold mining in Turkey. Raw materials are brought from abroad. In terms of domestic consumption of gold Turkey ranks third worldwide after America and India. In terms of gold jewelry production capacity it is third behind Italy and India. In exports Turkey ranks second worldwide behind Italy.

Company Name Story of its establishment

1 Temizocak Kuyumculuk Temizocak Kuyumculuk was founded in by Mehmet Temizocak in Izmir in 1936. Temizocak Kuyumculuk employs a total of 47 people and in 2004 had a turnover of $3 million.

2 Gülaylar Kuyumculuk Gülaylar Kuyumculuk was founded by Mehmet Gülaylar in Istanbul in 1947. In 2003 it ranked 108th of the 500 largest industrial companies. Gülaylar Kuyumculuk has equity capital of TL 247 trillion and employs 140 people. 

3 Karakaş Kuyumculuk Karakaş Kuyumculuk was founded by Ahmet Karakaş, Ümit Karakaş and Yaşar Karakaş in Izmir in 1972. The company employs 200 people.

4 Altınbaş Kuyumculuk Altınbaş Kuyumculuk was founded by Mehmet Altınbaş in Gaziantep in 1975. The number of the company’s employees has risen from seven when it was first founded to 200 today. In 2004 Altınbaş Kuyumculuk had a turnover of around TL 81 trillion.

5 Arpaş Kuyumculuk Arpaş Kuyumculuk was founded by Rıfat Kemahlı, Raşit Hoşgör and Atasay Kamer in Istanbul in 1982. Today the company employs 1,250 people.

6 Midas Kuyumculuk Midas Kuyumculuk was founded by Lütfi Özkök in Istanbul in 1983 The company employs 430 people.

7 Atasay Kuyumculuk Atasay Kuyumculuk was founded by Atasay Kamer and Cihan Kamer in 1989 in Istanbul. The company employs 1,500 people. 

8 Regold Kuyumculuk Regold Kuyumculuk was founded by Selami Hoşgör in Istanbul in 1991. The company employs 70 people and in 2004 had a turnover of TL 15 trillion.

9 Favori Kuyumculuk Favori Kuyumculuk was founded by Selami Özel in Istanbul in 1992. The company employs 600 people and in 2004 had a turnover of $50 million.

10 Goldaş Kuyumculuk Goldaş Kuyumculuk was founded by Sedat Yalınkaya in Istanbul in 1993. The company employs 300 people and in 2004 had a turnover of TL 457 trillion.

Nilüfer Gözütok
ngozutok@capital.com.tr