New York, NY—Charlie Rosario, senior vice president of Lazare Diamonds, was recently a guest on CNBC in Singapore, where he discussed Millennials as the future of the global diamond jewelry market. While they might not be buying diamonds just yet, Rosario expressed confidence that they will be in the future and says that they want the confidence that a branded diamond can offer. They want the story behind the diamond, as well as insisting upon ethical sourcing, said Rosario. Click here to watch.
But last month, CNBC published an article titled “Blame Millennials: Diamond Jewelry Business in a Rough Spot,” describing a global slowdown of diamond sales. That article, which quotes both industry and outside analysts, posits that even if Millennials have the money to spend on diamonds, they’re not necessarily inclined to do so. Des Kilalea, an analyst with RBC Capital Markets, told CNBC that despite well-intentioned and carefully focused efforts on the part of the industry via the Diamond Producers Association, “the challenge is that diamond jewelry appears to be low on the buying lists among so-called millennials." RBC also believes synthetic diamonds pose a significant challenge to natural diamonds in coming years.
Bank of America Merrill Lynch, meanwhile, predicts diamond sales to grow just 2% this year. DPA figures show the U.S. market—which accounts for 42% of the total—is sustaining the growth following slowdowns in both China and India.
The one thing both CNBC reports agree on? As Rosario stated, today’s consumers demand guarantees of ethical sourcing.
Separately, designer jewelry brand Ippolita recently tapped supermodel Kendall Jenner to try and amp up its appeal to Millennials and bolster flagging sales, along with a new more personalized online shopping experience. Read more here.