ZACHARY’S JEWELERSAnnapolis, MDURL: www.zacharysjewelers.comOWNER: Steve SamarasFOUNDED: 1992OPENED FEATURED LOCATION: 2005 (2007remodel)EMPLOYEES: 9 full-time, 2 part-timeAREA: 4,000 square feetARCHITECT/DESIGN FIRM: Aleksey andKarolina Belinskey with Formatum Inc.

››› QUICK FACTS

8 4 A U G U S T 2 0 0 8

A U G U S T 2 0 0 8 8 5

Downtown Annapolis, MD, ispacked. On a sunny Sundayafternoon, families and cou-ples bustle up and down thesidewalks, which are linedwith boutique retailers —many local, a few chain stores— upscale souvenir shops, and an inordinatenumber of ice cream parlors. The crowd is a mixof older folks, whose T-shirts and shorts can’tconceal the signs of a comfortable income, andyounger adults, whose quietly dignified carriagesuggests an affiliation with the U.S. NavalAcademy, which sits next to the shopping zone.

In the middle of it all is Zachary’s Jewelry,right on the corner of Main Street, nearlyimpossible for anyone not to walk by.

It wasn’t always this way, though, and it couldhave turned out very differently. Because whileperseverance, brains and a love for his people,his work and his community have played a hugerole in owner and president Steve Samaras’ suc-cess, he was also helped along by a bit of badluck. Really bad luck.

An Annapolis native, Samaras entered thejewelry industry in the late 1970s when he start-ed working for his cousin, who set up an opera-

tion to buy gold and silverfor resale. It later expand-ed into a retail storefront intown. The businessmenhad big dreams — theyhoped to “establish a littlebit of 47th Street” in

Annapolis, Samaras says — but by the late ’80s,the venture was losing money.

The Greek-American Samaras ran sales andpurchasing for his cousin, and had gone togemological school to better understand hisproduct. The production manager was a manhis age from Belize named Errol Daly. When itbecame clear they were going to be out of a job,Samaras approached his co-worker and friend.“This is the only thing we know,” he told Daly.“Let’s try and move on.”

Small-business ownership wasn’t entirelynew to Samaras — his parents had run a liquorstore for years. He also had a set of close friendsand mentors, including his attorney and anIsraeli diamond dealer, to whom he turned rou-tinely for advice. “My father had a saying, one ofmany: ‘Success has a million fathers, and failureis an orphan,’” he says.

He sold his home, took $20,000 in equity and,

THE COOLEST OF ’EM ALL

S M A L L S T O R E C A T E G O R Y

ZACHARY’SOver the course of a decades-long

journey, Steve Samaras of Zachary’s Jewelers

met pain and disaster with friendship,

skill and ingenuity that would do his Greek

ancestors proud — and that have made

him a local legend.

B Y J O S H W I M M E R

PH

OT

OS

: H

EA

TH

ER

CR

OW

DE

R P

HO

TO

GR

AP

HY

m Despite setbacks, Steve and Challie Samarasnever lost faith in the success of the store.

8 6 A U G U S T 2 0 0 8

at almost 40 years old, moved in with his par-ents. Daly came to work for him, in the down-town building that had housed the old opera-tion, and didn’t take a paycheck for two years.“We went through the first winter withoutheat,” Samaras says. He convinced about a quar-ter of his vendors from his cousin’s business tostick with him, and to give him what he neededfor a solid inventory mostly on memo: “We wereprobably showing a quarter of a million dollarsor more in product, and we owned $20,000.”

And he and Daly worked around the clock.“There wasn’t an hour in the day that we would-n’t open for someone,” he says. His sister,Evangeline Ross, now the store’s sales and mar-keting manager, adds that it wasn’t just aboutstaying busy in the store.

“Steve never refuses an invitation,” she says.“He’s like the mayor in this town. He’s too mod-est to say that, but I can toot his horn. I used totease him about how he would always triple- oreven quadruple-book himself. I’d say, ‘How canyou enjoy yourself?’ But he does, and he makeseveryone he touches feel like they are the mostimportant person in the world.”

And Zachary’s grew. The heat came on. Dalystarted drawing a paycheck. The store addednew lines.

Then disaster struck.

T H E S E T B A C K SIn truth, it struck twice. In November 2005,Samaras, Ross and the rest of their extendedfamily took a long weekend trip, a regular tradi-tion. Near the end of the vacation, the men wentoff to play golf while the women headed to townto shop. Samaras and Ross’ father left with thewomen. But he “looked kind of dejected,” Rosssays, and a few minutes and one cell-phone calllater, the ladies returned and put him in a golfcart to spend the day with the guys. Their fatherhad never learned to play — “I always wanted toteach him, but he’d say, ‘I’m not old enough tolearn to play golf,’” Samaras says — but hesmoked cigars, drank beer and kept score.

That night, Samaras dropped his dad off athome. “He hugged me and said, ‘The one regretI have is that I never learned to play golf,because I could have spent more time withyou.’” The next morning, Samaras got a call: Hisfather had died.

A week later, the family was back togetheragain, having dinner at a restaurant after thememorial services. Samaras’ phone rang. Hisstore was on fire.

The building was destroyed, along with 30 to40 percent of the inventory. It would have been

5THE LOCATIONFoot traffic into the store tripled when Zachary’smoved from a building up the street, crammedbetween other shops, down to the corner of MainStreet facing the harbor, says Evangeline Ross. TheMaryland Chamber of Commerce ranked the corneramong the top 10 in the state.

THE FOODThink your little coffee stand is pretty nifty, huh? Canyour customers get an iced cappuccino? What aboutthe proverbial free lunch? Zachary’s stocks a wideassortment of refreshments and lays out a healthyspread of sandwiches and more on Saturdays.

THE PROMOTIONSZachary’s offers while-you-wait repairs everyWednesday and Friday. They send movie tickets for a“date night” for clients’ first anniversaries, and part-nered with a boutique in town to send gifts for newbabies. At Christmas time, they put gifts under thestore tree for customers’ children. “We get kids bring-ing their parents in — they know,” Steve Samaras says.

THE TECHTo promote a “Write the best love letter” Valentine’sDay contest, marketing whiz Keith Villones put a videoof Samaras up on Youtube; it garnered more than1,000 hits over the next week. To reach midshipmen atthe U.S. Naval Academy next door with a class ringpromotion, Villones scrapped the store’s costly direct-mail strategy and contacted them en masse throughFacebook. Then they featured the young sailors’ photosand stories on a blog.

THE SCHEDULECustomer contact is a huge part of the strategy atZachary’s, but a while back, it became tough foremployees to keep up with writing thank-yous and thelike. Then one staffer suggested that everyone get anallotted time for those duties, instead of fitting them inaround other work. “You can get a lot more done in oneto three hours of uninterrupted time than if you’re try-ing to cover the floor, too,” Samaras says.

ZACHARY’S JEWELERS

››› COOL THINGS

››› HEARSAY THINGS HEARD AROUND THE STORE

“You know how there’sdead silence when some-one asks a question no onewants to answer? That’swhen I bring this out.” DOUG MIXER, showing off his toy cricket,which chirps like a real insect

fair — reasonable, even — to expect Samaras totake some time off to decompress at that point.He shakes his head. “I cried every night whenmy father died — I was all cried out,” he says.Instead of going to ground, he called a meetingwith his employees the next morning.

First, he assured them that they were takencare of — insurance would cover their wagesfor the next year. Next, he explained that theycould take that time to recoup and rebuild or, ifthey were up for it, get things up and runningfor the holiday season that was already uponthem, including the client-appreciation partyscheduled for six days later.

The staff was unanimous: They wanted to beback in business within the week.

They made a list of more than 200 actionitems and had all but a dozen addressed byday’s end. Samaras’ landlord offered to clear

out of his souvenir shop on the corner down thestreet so that Zachary’s could move into the4,000-square-foot space. He, Ross, Daly and theother employees worked around the clock,with help from customers. (“My husband wasgoing to shoot me, because I was pregnant,”Ross says.) By the middle of the next week, theyhad close to $5 million in inventory, thanks tohelp from their vendors. And the party was asmash hit, with some 400 guests in attendance.

“It was really a community-spirited event.You literally could not walk in here,” Samarassays. The corner space was a winner, too —even after missing a week of business,Zachary’s holiday season was double its previ-ous best, thanks to local goodwill and the new,far more visible location.

“Someone at the party said to me, ‘You arethe richest man I know.’ And I had to laugh,

THE COOLEST SMALL STORE

C O O L F A C T S

✪ Production manager Doug Mixer isalso a Baptist minister. “It’s great,” hesays. “I get to sell people a ring andthen marry them, too.”

✪ Employee Keith Villones holds theworld championship title in his weightclass in Filipino stick fighting. Yes,he’s the best in the world. He’sdefending his title this summer.

✪ Confusion often ensues whencustomers see buyer Hind Walker’sfirst name — it rhymes with “wind”(the noun, not the verb).

n The interior ismeant to evoke thefeeling of a classicyacht, with flowinglines and rich woodfinishes.

A U G U S T 2 0 0 8 8 7

8 8 A U G U S T 2 0 0 8

because I had nothing,” Samaras says. “Buthe said, ‘You have more friends than anyoneelse I know.’

“I’ve said to people it’s nothing I wouldever want to go through again, but I am sograteful for having gone through it once. Itshows you so much. It’s like hearing youreulogy when you’re not dead.”

A R E S U R R E C T I O NThe new space offered opportunity. BeforeSamaras’ landlord had used it to sell souvenirs,it had been a Banana Republic, so it alreadyoffered a warm, inviting-but-upscale ambi-ence perfectly suited for Annapolis’ casuallywealthy clientele. A $1 million renovation,paid for in cash and completed in November2007 stepped things up a notch.

“We wanted it to feel like Annapolis; wewanted it to look like it belongs here,” Samarassays. The obvious source of inspiration wasthe water a few hundred yards away, and theships floating on it. At the advice of HarveyRovinsky, owner of Bernie Robbins FineJewelers in Pennsylvania and New Jersey, hetapped designer Aleksey Belinskey, who’ddone work for the high-end Borgata hotel inAtlantic City, to handle the new look.

ZACHARY’S JEWELERS

q Zachary’s staffstands before themaritime-inspiredmosaic.

T R Y T H I S

✪ “Host of the Day.” If you wereever a waiter or bartender, asSamaras and Ross were, you’llappreciate this one: Schedule adifferent member of your floor staffas the store’s official host every day.“You’re like the owner of the storethat day,” says Zachary’s buyer HindWalker. “People like that.” The hostmakes first contact with customers,offers refreshments and filters theclients to the appropriate person.More important, he or she comes upwith a staff challenge for the day,like “Find out one quirky thingabout every customer you talk to”or “See how many pieces you canget each client to try on.” Winnersearn points, and points add up toearn prizes doled out by Ross, whosays she comes up with some of theincentives but that she appreciatesit when employees let her knowwhat they want, too.

A U G U S T 2 0 0 8 8 9

Belinskey brought the theme to life, in sub-tle fashion. Teak flooring and showcases,appointed with brass, evoke a classic Trumpyyacht — especially in the case of the ship-shaped island of cases jutting out from just infront of Samaras’ office, the “helm.” Mutedblue carpet underneath the cases stands in forthe sea, while a spacious lounge area sits on awide swath of sand-toned carpet. One wallsports a sailboat mosaic and the Zachary’slogo. (“Everyone walks in and comments onthat,” Samaras says. “I didn’t know what tothink of it at first, but I’m glad we did it.”)

A less obvious choice was even bolder: Thearchitect wanted to close off a second set ofdouble doors, due to security concerns, butSamaras overruled him, leaving two entrancesinto the store along the route the bulk of shop-pers travel. “That’s probably the best thing wedid,” he says. “People will look in and pass by,but given the second opportunity, they’ll walkin that door.”

And then, of course, most important of allare the people. “This is the most amazing teamI’ve ever seen in the store,” Ross says. Daly, thegeneral manager (and a family member, as faras Samaras is concerned), “is always happy,”she says. “Nothing is ever a problem.” Hisfavorite part of the job is problem customers —seriously — because he loves turning theminto happy customers. “There’s no magic,

there’s no mystery to this thing,” he says, witha musical accent. ‘How can we make youhappy?’ It’s as simple as that.”

Ross “is the one who grew the company,”her brother says. Her partner in marketing is24-year-old Keith Villones, a former advertis-ing employee who’s behind Zachary’s latestsuccessful ventures into reaching customersthrough online video site Youtube and socialnetwork Facebook. Graduate gemologistRobyn Singh does while-you-wait appraisals,something no other jeweler in the communityoffers. Moroccan-born Hind Walker met herhusband in Annapolis and returned with himto the city after a stint in Manhattan as a buyerfor Aaron Basha. Erica Christian “can tell youthe name of everyone who walks in the door,”Ross says. And when he’s not taking charge ofwhile-you-wait repairs on Wednesdays andFridays, Doug Mixer leads a local congrega-tion as a Baptist minister.

T H E M E TA M O R P H O S I SZachary’s has come a long way, and so hasSteve Samaras. At one point while we’re talk-ing, he mentions dealing with an irate cus-tomer and says something in passing abouthow “the old Steve” would have handled it. Iask what he means.

“The metamorphosis began when I wassitting in the showroom in the old store, withno heat and very little jewelry,” he says.Living with his parents, and receiving theirsupport and that of the girlfriend who wouldeventually marry him, he reassessed. And it’smade him all the more able to enjoy every-thing he has now.

“You really appreciate what it is you’redoing, and what you’ve begun,” he says. “Youthink you’re on your way, and then all of asudden it’s gone — and my dad wasn’t thereto help me.” He pauses, shrugs, and smiles.“But there was never a shred of doubt thatwe would make it.” He gestures at the storearound him. “I’ve got a lot of things to bethankful for, I’ll tell you that.”

THE COOLEST SMALL STORE

TRUE TALE General manager Errol Daly has charmto spare, and he uses it. Once, another

employee was trying to sell a woman a ring, but the woman’s friend — whowas in a bad mood and seemed a little envious — was interfering with thesale. Daly swept in and separated the unhappy customer from her com-panion in such a way that she didn’t even realize it was happening. “It wasjust like a dance, the way he did it,” Evangeline Ross says.

r The cornerlocation has beenranked among thetop 10 retail slots in Maryland.

9 0 A U G U S T 2 0 0 8

BILL AND SHARON BLAIRASSOCIATION AND JEWELRY SHOW HEADS✪Zachary’s was the most consistent of thestores, from the design of the store to theway the owners chose to presentthemselves through individuality andmarketing.

KATE PETERSONMANAGEMENT CONSULTANT✪ Steve Samaras could give everyone avaluable lesson in marshalling courage andresources and in overcoming adversity! Thenew store is a monument to the value offortitude, commitment and will!

BRAD HUISKENSALES TRAINER✪Zachary’s has a very cool interior andexterior, designed around a nautical themein keeping with the surrounding area.

RENEE SINGERJEWELRY WHOLESALER✪Other stores would benefit from learninghow Zachary’s becomes involved in theircustomers’ lives way beyond the sale.Zachary’s creates customers for life,something more stores should do.

AMANDA GIZZITREND WATCHER✪What is really cool about Zachary’s ismore than its appearance. It is its businessmodel. They are dedicated to theircommunity. They work hard to be an

extended home for their employees as wellas the people in their community. Theywant their customers to feel comfortableshopping, spending money, browsing orsimply stopping by.

JAMES PORTEMARKETING EXPERT✪ The store employs innovative marketingstrategies and has aggressively partneredwith other businesses that have the samecommitment to quality and value.Zachary’s has also embraced the Internetwith its virtual marketing efforts.

TERRY CHANDLERJEWELRY EDUCATOR✪A sleek presentation that has strongarchitectural weight speaks immediately tothe seriousness and intensity of theoperation. The ship-like feel and fittingsmake the very point intended.

WHAT THE JUDGES SAY

ZACHARY’S JEWELERS

q Marketing forthe store’s reopen-ing merged its oldlook with the new.

››› SCORECARD

STORY

EXTERIOR

INTERIOR

ADVERTISING

INDIVIDUALITY

OVERALLSCORE

89%80.6%95%84.8%90%

88.6%