Accelerating shift of Diamond Industry

This year feels like a rollercoaster ride through hurricanes and tornadoes. We sure will remember this year with pain in the heart. The pandemic that has hit worldwide has disturbed more than just the routine of individuals. The impact is visible in every sector, nationally & internationally. This year has been unpredictable for the companies as well when it comes to predicting the behavior of consumers. Fortunately, we have good news circulating in the air. We are hopeful with the clear signs that recovery is not that far.

Diamond is everybody’s best friend, even during a pandemic

Diamonds are long viewed as an emotional investment by the consumers and we have seen escalations in sales of diamonds as we near the year-end.

Many industries did hit a rough patch during this pandemic including the diamond industry. But surprisingly, diamonds were the most bought item even during the COVID-19 out-break.

De Beers, through in-depth market research, compiled a report that determined that in India, about 80% of consumers agreed that they will buy diamonds either for themself or for their partner, and in the US, 60% of the men in the did plan to buy diamond jewellery for their partner. 

There is a change in the buying trends, the consumers are adjusting well with the new normal shopping trend – Online Shopping. This pandemic pushed consumers to online shopping portals to browse through the collection that a company has to offer. From the buying trends of diamonds during the pandemic, it was noted that the current situation did not impact the buying sentiments of the individual. 

But the market did have its share of the hit, the industry saw an unexpected downfall in the market of rough diamond and despite all of it, the signs are predicting growth in 2021 – 2022.

But how has this market survived? 

People around the globe turned to internet shopping. This gave the massive push to the digital boom and made this year a milestone for many E-Commerce companies. The same platform goes for the diamond industry for B2B and B2C interactions and trade. The way the trade in the diamond industry has changed, this year will surely remodel the past process. In the year’s span, professionals are now accustomed to online working and using the VOIP modules to trade and exchange. 

The same goes for the customers who are buying the finished diamond jewellery. The virtual stores that serve as a platform for the companies to showcase their collections have launched their websites. And since the buyer is not happening in the stores, the inventory is reducing in the shops. This change means that customers will now look for polished craftsmanship as they will be buying the finished products instead of customizing the jewellery pieces. This trend will surely increase the demand for finesse in jewellery.

Transparency and Technology

Every industry did go through hardship this year but the major set back was felt by the diamond miners. This is seen as the major issue as the problem arises in the transparency of the product. But given this changed outlook toward interactions, there are now technologies that support the true traceability practices.  

It will not be wrong to say that the diamond industry will witness a shift in the trading practices with steady growth in 2021.