The diamond industry is adopting innovative strategies to reignite interest in natural diamonds, overcoming market challenges by leveraging retail partnerships and targeted social media campaigns.
During the Hong Kong Jewellery & Gem Fair (JGW) in September, De Beers CEO Al Cook projected a 3% annual growth in demand for natural diamonds through 2030. Key drivers include an anticipated rise in engagements and an evolving perception of diamonds as symbols of more than just romantic love.
Facing Industry Challenges Head-On
Cook highlighted the hurdles faced in 2023 and 2024, including supply chain issues and geopolitical disruptions, compounded by pandemic-related dips in engagement rates. However, with restrictions lifted, engagement trends are rebounding. Research by Signet suggests U.S. engagement rates could rise by 25% over the next three years, with a notable 9% increase expected in 2024’s second quarter.
Engaging the Next Generation
De Beers is heavily investing in younger markets, focusing on partnerships with major retailers like Signet in the U.S., Chow Tai Fook in China, and Tanishq in India. The “Worth the Wait” campaign, tailored for Gen Z and millennial couples, taps into cultural and societal shifts, highlighting modern love and transformation.
Spotlight on Key Markets
United States:
Gen Z and millennials now account for over 60% of U.S. diamond jewelry buyers. De Beers aims to differentiate natural diamonds from lab-grown options through targeted campaigns that resonate culturally with these demographics.
India:
As the world’s second-largest diamond market, India offers immense potential. De Beers is collaborating with Tanishq to promote larger diamonds and enhance consumer understanding of natural diamonds’ rarity and value.
China:
Despite a sluggish market, De Beers and Chow Tai Fook are using influencer marketing to target self-purchasers, emphasizing natural diamonds’ emotional and lasting value.
Designing for Modern Preferences
Retailers are innovating to attract younger audiences, blending diamond aesthetics with oriental design elements to suit local tastes. Adjustments in pricing, the use of smaller diamonds, and platinum accents are helping make diamond jewelry more accessible.
A Collective Vision for Natural Diamonds
The Natural Diamond Council (NDC) is working to reshape consumer perceptions through its "Real. Rare. Responsible." campaign. Collaborations with retailers aim to bring this message to over 11,500 stores in 500 cities worldwide by 2025. Future efforts include a new advertising campaign featuring brand ambassador Lily James, spotlighting Botswana's diamond heritage.