CHAT MOMENTSInterview with Shahraz Kassam,
owner and founder of Shamins Jewellers
as printed in Moments Magazine, November 2007.
Inteview questions by Aliya Jiwan.
Where did you grow up?
I was born in Tanzania, ironically the only source in the world for Tanzanite but I moved to Vancouver when I was seven.
What was life like growing up?
Well, we were refugees here so it was not an easy life but my parents made it the best they could for us as they too tried to adjust to a new country. There was a time when we had 13 extended family members in one small house.
What did you want to be when you grew up?
I always wanted to be a Chartered Accountant. Of course, my parents loved the idea. South Asian parents typically want their children to become doctors, lawyers, accountants or engineers, he said with a laugh!
Where did you go to school?
Eric Hamber for high school and then I did Psychology at UBC.
What was your first job?
When I turned 16, I got a job as a bus boy at dinner and a waiter at lunch at Shah Jahan restaurant in Victoria.
You've come a long way-tell me about the route from where you were to where you are today?
Well, I did many odd jobs because in the early eighties we were experiencing the last recession so money was hard to come by and I could not live off my parents. So I worked as a sandwich delivery person for 7-11, a parking lot attendant at Impark and even sold goods at a flea market for one company. All this, when I was 16 to 18 years old and going to university.
How did you come up with the idea for this business venture?
Shamins was born by coincidence. I was working at a parking lot in downtown Vancouver when a man who was waiting for his family started chatting with me. He spoke about his wife and how she was nagging him for a diamond ring. At that time, my uncle, Amin Dhanji, had closed a jewellery store in London, England and immigrated to Toronto. On his way there, he had stopped in Vancouver and left five rings with my mom to sell to any of her friends. So I told the man I had some rings if he was interested. The next day I met up with him, showed him the rings and he bought one for $500. The day after, he called me up and told me he had the ring appraised and it came out to $1300, so he was interested in seeing more rings. I only had those five and with his ring, I was down to four. I realized then that I had a great formula here. The customer is happy with the price, I am happy with the margin and my uncle could keep making rings as he was unemployed in Toronto. So I gathered as many pictures and catalogues of other jewellers as I could and used those to show my clients what I could make. Typically my prices were far lower than other jewellers so word spread quickly. There was a time when I would take a back pack of jewellery and set up a display in the library processing center at UBC for faculty and staff. I would do that at banks and offices downtown. My first clients were the people who used to park in my parking lots. This is why, when I speak to kids at schools, I tell them to take on any job, regardless of what it is, as one never knows the contacts one can make in that job and the skills one can learn.
What intrigued you about jewellery?
Well, I always loved gold and diamonds so this gave me a chance to play with them all the time. Over the initial years, I learned a lot and realized that I was not only selling precious ornaments but was helping people make their moments even more special. There were many in the jewellery trade that saw me as a young apprentice and taught me a lot. I remember one diamond dealer, Transvaal Diamonds, he would give me parcels full of diamonds to look at and teach me what the subtle differences were.
What is the most beautiful piece of jewellery you have made?
Hmm, that’s a tough question. That’s like asking a farmer with 10 daughters which one is the most beautiful? Really to me every piece I have made is beautiful and to some lucky girl it’s now priceless. Recently, we have made many striking rings with 1.5, 2.24 and even 3Ct center diamonds but one that I am working on right now is perhaps one of the most romantic pieces I have made. I had a client referred to me who has a beautiful girlfriend from Colombia. His idea was to have a stunning Colombian Emerald protected by Canadian diamonds all round as he himself is Canadian. I found this to be so romantic that I took it onto myself to find him the most stunning 2Ct Emerald and we are just completing the ring. Hopefully by the time this comes in print, the lucky girl will have the ring on her finger. Can you imagine the story she has to tell her friends and even her grandchildren fifty years from now?
What was your business like in the early stages?
Surprisingly it grew very rapidly. Never underestimate the power of word of mouth. I worked out of my backpack and went to peoples’ homes the first year, then set up a 100 sq ft showroom in my parents home but by 1984 that became too small so I opened my first store, a 2200 sq ft location on Victoria Drive. We did over quarter million dollars our first year and grew to a 2 million dollar store in less than ten years. We were even listed as one of the top
“100 Fastest Growing Companies in Canada” in 1994 by Profit magazine.
How do you compete with all these 50 to 70% off sales and wholesale diamond dealers?
We let our customers’ judge for themselves. At Shamins we don’t have 50 to 70% off unless we are closing a store. The only way a store can have 50 to70% off and still stay in business is to put a fake price on the item and then give a discount. As for the wholesale guys, it’s actually illegal in Canada to advertise wholesale if you are selling to the public, just as it is illegal to advertise false discounts but again, we let our customers see for themselves. They quickly learn that our diamonds are not only the same or less in price than these “wholesale” guys but our diamonds are much better. The odd thing about diamonds is that you can have two stones that are identically certified, both can be 1.30Ct, VS2, D Colour, Ideal Cut yet be thousands of dollar apart in price and more importantly be very different in their scintillation or fire. Just as you don’t judge a painting by the number of brush strokes, type of paint used, the colours used or the type of canvas, you really have to look at a diamond and see what you find appealing.
What kind of challenges or obstacles did you face along the way?
I think the biggest challenge was financing. As I was only 18, it was hard for anyone to take me seriously. I was blessed that a manager at the Royal Bank, Craig Hannay, knew me and had seen me come in to the bank and sell to his staff. So when I talked to him about opening a store, he managed to get me a loan with no security or guarantor and to this day, Shamins remains a Royal Bank Client.
At any point did you think you couldn't make it?
No! I am just not programmed that way. To me the glass is always half full and if I tilt it right it can even look full!
Was there anyone you looked up to or who guided you to your success?
I read a lot of books and had mentors such as Victor Kiam, Peter Legge and Jimmy Pattison. Each of them has their own style but all of them have been an inspiration to me. Of course I grew up in an entrepreneurial family, so everyone from my grandfather down were an inspiration to me. Even my grandmother was entrepreneurial in her own right; having 11 kids she had to be. I spent a lot of time with my grandmother and she was always my strength. If anyone doubted me, she encouraged me to prove them wrong. My grandparents cut the ribbon at my first store and have since passed away. My parents, who cut the ribbon at our latest location, remain an essential part of our ongoing success.
What do you think is your greatest key to success?
Wow! I really don’t think there is one thing. Success comes with ambition, persistence, dedication and a lot of hard work. At the beginning, I was told by an industry expert that to open a store my size I would need $250,000 in capital. I only had $40,000. Instead of giving up and listening to the expert, I took that as a challenge and got on my hands and knees and designed the store using masking tape. I had no budget for a designer or a logo artist so our first logo which still remains on our old store in Metrotown was designed by me. I can honestly say that I literally put my blood and sweat in building my store.
In hindsight, did you ever dream you would become so successful?
This may sound bad but yes. I strongly believe and I teach this to all the kids I lecture--have goals and aim high. The old saying is reach for the moon. I tell the kids to reach for the stars that way if you fall short, you fall on the moon but if you reach for the moon and fall short you end up in the treetops! When I was 15, in my ten year goals, I had visualized myself driving a Porsche and by age 28 I wanted a million dollar home. At that time I had no idea what I was going to become or how I would afford such things but it was a map for me. At least I knew where I wanted to be, the easy part is to get there. There are too many young people who have no ambition, no drive, no goals, which is a tragic waste of energy.
Did you ever get that Porsche?
I was 24 when I bought my Porsche, red, of course. They delivered it to my home and the guy delivering it found out that I could not drive a standard. He was amazed that I had bought the car without driving it. I bought it from MCL Motor Cars and I remember that even though he could have just dropped the keys and left, as it was almost 5pm, he spent more than an hour teaching me how to drive a standard. That was service beyond expectation.
Do you ever pinch yourself and think, is this real?
I don’t pinch myself as the road to where I am today has had its challenges, so I know first hand that it’s real. I am thankful to God and to my loved ones for helping me achieve what I have in my life.
How do you define success?
Being that I am a single dad, success to me is being able to leave work at 2:30pm every day so I can pick up my kids and spend time with them and not have to worry that I will loose my job. I know many define success in monetary terms or in assets, but to me having millions and then not having the time to spend with my kids would make me a very unsuccessful man.
At what point did you realize you had attained success?
There are many successes we reach in our lives and each time we set new goals and new challenges in front of ourselves. My first success was actually opening my own store in 1984 at the age of 21. After that there have been many other goals that I have reached and I continue to set new ones.
Where do you see yourself in 10, 25 years?
My goal is to make this Shamins location the premier outlet for diamonds and fine jewellery not only in Burnaby, as we have already accomplished that, but in the lower mainland. As for 25, I hope to be retired and traveling more around the world.
Is it true that your brothers worked at Shamins when they were only 12?
Yes, I strongly believe that children should be taught the work experience early in life. Otherwise, they grow up with their parents as their ATM machines and then turn to Credit cards to replace their parents. My brothers had high taste in their toys and clothes so they had to work in order to get those perks. What ended up happening is that they also learn how to work in a team atmosphere and build up their self confidence. I think, more than math, science and English, self confidence is the most important trait we can instill in our youth. Both my brothers have gone on to be very successful. Farzaan just graduated with him MBA from Rottman and is now the youngest director at TELUS. Zameer also just graduated with his MBA from Harvard and now works for DeBeers in London, England. Now you will see my kids working here as they turn 12 and 11. With new iPods and phones coming out every year, there is no way I am going to finance all their perks and this way they learn the value of money. The funny thing is that they cherish the iPod they buy with their own money much more than one that I buy them.
What's your advice to other people with big dreams?
Don’t ever give up on your dreams and don’t let the experts tell you it won’t work. There was this one guy, he had a degree from Northern Michigan University and went to work for a small coffee chain. He went on a holiday to Italy and had a big idea and came and told his bosses about it. They shrugged it off. He did not let that stop him. He quit and started his own little coffee shop. Three years later, he bought his original bosses chain and now has 13,747 Starbucks outlets worldwide. That gentleman was Howard Schultz. So you see, never listen to the experts, always follow your dreams and stay true to your goals. Find like-minded people to socialize with, you will feed off each other. Be inspired by mentors, read about them, learn from their stories. Remember, success is like bamboo. Everyone sees it when it’s shooting up above the ground over a foot per day but no one realizes the hard work the roots have been doing for years so the bamboo can grow today.
