JNA Jan/ Feb 2021

SPECIAL FEATURES 20 | JNA Jan/Feb 2021 “The pandemic has pushed the diamond industry out of its comfort zone and forced us to conduct business virtually. Online tenders and trade shows may be here to stay well past the pandemic. E-commerce has really been a saviour for the international jewellery industry,” declared Colin Shah, chairman of India's Gem & Jewellery Export Promotion Council (GJEPC). Balanced retail strategy The digital transformation of the diamond industry extends to jewellery retail, where online-offline strategies now abound. According to The Diamond Insight Report 2020 of the De Beers Group, shoppers are prepared to return to shopping in-store, under health precautions. Reassuring them of the safety of the purchasing process will be a top priority for retailer communications, but online channels inevitably remain an important way to browse and purchase. Consumers with budget tend to buy what they know and trust, making timeless classics such as solitaires attractive. Diamond jewellery that celebrates new types of union, life milestones or new forms of personal expression is likely to find an eager market. Dvash said, “We must embrace multichannel marketing – combining online and in-store sales. This trend will impact 2021 and beyond. People will want to have the in-store shopping experience, but they will not give up the ease and comfort of shopping from home.” Ephraim Zion, founder of the House of Dehres, pointed out that the process of purchasing high-end diamond jewellery is often a cherished moment for most consumers. “When they buy a diamond of two carats or bigger, they want to go to a store to see with their own eyes the brilliance, sparkle and beauty of the diamonds; to touch it and feel the excitement of the experience of buying a diamond. It is impossible to achieve that kind of emotional excitement and shopping experience over the Internet. The need for the emotional connection is a part of human nature that will never change,” he explained. Fostering demand One crucial challenge facing the diamond industry, even in pre-pandemic days, is marketing diamonds to millennials and Gen-Z consumers, noted Dvash. GJEPC’s Shah added, “People might spend their disposable income on other luxury goods post-pandemic. The diamond industry must ensure it retains its share of the pie through proper promotional activities to create top-of-mind recall for diamonds among consumers.” Zion underscored the need for publicity campaigns to highlight the emotional value of diamonds to consumers and promote the gem as an emotional object of beauty and a symbol of love and commitment. “The new generation of consumers has yet to prioritise their diamond purchase. This can be changed through publicity campaigns, which ensure consumer confidence regarding the value of diamonds, so they won’t gravitate to other luxury products,” Zion said. “Diamonds are also bought as a store of wealth, a financial security and a vehicle for capital preservation. And when I do business, I put emphasis on the most important element – trust and professionalism.” The Natural Diamond Council (NDC), representing seven of the world’s leading diamond producers, has taken up the cudgels for generic diamond advertising, with particular emphasis on engaging diamond narratives for millennials and Gen Z consumers. Originally the Diamond Producers Association, the industry body unveiled its new brand name and consumer identity, Only Natural Diamonds, last June. The OND brand and online platform is designed to appeal to modern sensitivities by also showcasing trends, fashion and sustainability matters. NDC’s first celebrity-fronted campaign, For Moments Like No Other, starring actress Ana de Armas, was released in September 2020, launching at the virtual Emmy Awards for maximum exposure. The campaign celebrates the many emotional connections created by diamond jewellery, a theme that resonates strongly as the world emerges from the Covid-19 crisis. NDC has transformed itself into a digital publisher too, offering content on the values and heritage of natural diamonds to help build affinity with younger generations. Aside from consumer engagement, NDC media assets When most consumers buy a diamond of two carats or bigger, they want to go to a store to see with their own eyes the brilliance, sparkle and beauty of the diamonds; to touch it and feel the excitement of the experience of buying a diamond. It is impossible to achieve that kind of emotional excitement and shopping experience over the Internet. The need for the emotional connection is a part of human nature that will never change. – Ephraim Zion, founder, House of Dehres.