Man-made diamonds keep growing in terms of popularity, customer’s awareness and demand across the country. While the retailers saw a little decline in jewelry sales this summer, the lab-created gems proved to be one of the most steady categories. As the new season is expected to start in the month, we predict how lab-grown diamonds will behave this Fall.
The biggest announcement this August came from Pandora. While they’ve been successfully selling jewelry with man-made stones in The UK for over a year, last week they launched their first collection with lab diamonds in The US and Canada. The jewelry pieces are said to feature only recycled silver and gold and the stones that are grown using 100% renewable energy. The new promotional campaign boosted by such names as Ashley Graham and Rosario Dawson point out the sustainability of lab-grown diamonds.
The launch of Diamonds by Pandora in The United States will certainly increase the public’s interest and bring more people into the jewelry stores to ask for lab-created gems. CEO Alexander Lacik expects high figures of sales across the States and Canada during this season, and local jewelers may find themselves competing with the giant company. This is why one of the main issues the brick and mortar stores are currently facing is finding the trusted provider of lab-grown diamonds.
Newcomers and Veterans
According to WWD Magazine, the lab-created diamonds are the diamonds of choice for the newcomer jewelers. Many recently launched brands both domestically and abroad focus on the pieces made with the manufactured gemstones. While most of them are tied to the fashion category, such as New York based Montserrat, they all aim to fall into the fast-growing market by both educating their customers and promoting lab-grown diamonds as a sustainable choice.
Now we see many established jewelry stores playing catch-up, and that is not going to go away this season. As the mined diamond supply stays disrupted and the prices peak due to the Russian-Ukrainian conflict, more and more jewelers increase their lab-grown category. “It’s really fast-forwarded a shift towards lab” said a designer of a Philadelphia based fine jewelry retailer who now have around 70% of their business consisting of man-made diamond sales.
Recent The MVEye’s research on the core consumer segments of lab diamonds. According to their outline, there are three massive groups responsible for “explosive global growth” of the man-made diamond market.
The biggest segment are 25- to 38-year-old millennials who are aware of the lab diamonds and purposefully choose them.Those are the type of consumers that value education on the technology behind manufactured diamonds, as well as ecological and social aspects. We can expect more jewelers basing their promotional campaigns on these factors during the season.
The second group are the millennials who are in the dark when things come to lab-grown gemstones, but who can be easily convinced by the price difference. These consumers want the biggest and best in terms of quality diamond that fits their budget. After finding out about lab-grown stone, they tend to choose this option instead of the mined one. This season, retailers are expected to have more lab-grown diamonds in stock and offer them to more people, even assumed mined diamond shoppers, to reach this audience segment.
The last significant consumer segment is the upgraders. These are usually older shoppers who want to upgrade their jewelry piece. According to CNN Business, many jewelers across the country report couples asking to swap the mined diamonds in their rings for the lab ones.While this segment is the least marketed to, retailers see more and more people who would like to get a diamond which is two times bigger or higher and color and clarity than a mined stone that the currently have. But they’re also looking for a gem that fits their budget. This Fall, jewelers are expected to work with more consumers like these, most of whom will happily opt for a man-made diamond.
It seems as if lab-grown diamonds are becoming deeply connected with every aspect of the jewelry business. Both retailers and consumers are driving the demand further on. The researches and predictions indicate that jewelers stopped asking themselves whether they should start offering lab-created stones. Now the main question is what should they do to provide the best selections and services for man-made diamond shoppers. And finding the right supplier is the fundamental step. LaBrilliante offers a variety of top quality manufactured diamonds of different shapes, sizes, and colors. For almost a decade, we’ve been helping many jewelry stores across the country and abroad to start and increase their lab-created gemstone sales. Choose LaBrilliante to build up a successful lab-grown category and win over the upcoming season.