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Demand for diamond jewelry and loose diamonds Reaches record high

Diamond jewelry demand reached an all-time high in 2013

9 Carat Pear Shaped DiamondsAccording to a newly published diamond report that provides a number of insights and forecasts for the retail and wholesale diamond industry. The Diamond Insight Report stated that global diamond jewelry sales in 2013 increased to US$79 billion, a 3% growth compared with 2012. While this result was said to have been largely driven by the Chinese diamond jewelry market, the US region – still holding the title as the world's largest diamond jewelry market – performed rather well during the period as well.

Today’s diamond jewelry retail sector was described as being highly fragmented with retailers reportedly facing pressures from a weak economic environment and strong competition particularly from online diamond companies on the one hand. While on the other hand, retailers were said to have experienced return on invested capital due to a growing middle class and an increase in consumer appetite for jewelry and loose diamonds.
The diamond report also warned that while overall diamond supply was expected to increase over the next few years, it would level out by 2020 with production levels likely to decline “unless major new diamond mines are discovered and rapidly developed”. This is considered to be one of the key reasons why there has been a significant interest in investing in diamonds.

Analysis showed that globally, online diamond companies were becoming increasingly important both for jewelry and loose diamond sales, and as a research tool for consumers. Online diamond sources such as Diamond Registry provide consumers with a platform where they have access to extensive information covering a wide array of diamond topics such as how to buy a diamond; the qualities of different diamond shapes such as a radiant cut diamond compared to emerald cut diamonds; how to understand GIA certification; how to pick perfect engagement rings; fancy color diamonds; how to source wholesale diamonds and many more.

According to the report, online diamond jewelry purchases in 2013 increased by 30% compared with 2011, and 4 out of 10 consumers said they conducted online research prior to making a purchase. “Online diamond companies can be expected to grow in importance for diamond jewelry retailers everywhere, either for research purposes before a purchase or as a source to actually buy diamonds,” the report stated.

Published on September 24, 2014 by


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