Other

Five forces shaping the future of the industry

OtherJun 02, 2014

Five forces shaping the future of the industry

What retailers need to know about lab-grown diamonds, the evolution of retail channels, the Millennials, the rise of experiential retailing and the potential end of growth all were covered at a panel held in Las Vegas. 

Las Vegas--At a panel held Saturday during the Las Vegas jewelry shows, four panelists tackled five topics expected to have a major impact on the future of retail.  

The session was an abbreviated take on a multi-part blog industry consultant Ben Janowski penned late last year in which he covered the top 10 trends for 2014. 

It covered five of the 10 trends outlined by Janowski: lab-grown diamonds, the evolution of retail channels, the Millennial generation, experientialism and environmentalism, and the potential end of growth. 

1.  Lab-grown diamonds. The topic of a number of panels held in Las Vegas this year, lab-grown diamonds, also known as synthetics, are a growing issue for the industry. 

On one hand, the man-made stones can provide consumers with access to colored diamond jewelry they otherwise could not afford, pieces set with blues and pinks that would be hundreds of thousands, if not millions, of dollars if they were set with natural diamonds. 

Panelist Lita Asscher’s company, Royal Asscher of America, has a line of lab-grown colored diamond jewelry called Rebel Chique, which she said are being acquired as fashion jewelry pieces. “At this time, it’s not the bridal market, yet,” she said.  

However, non-disclosure of lab grown diamonds remains a concern for retailers. 

Panelist Abe Sherman, a second-generation retailer and CEO of Buyers Intelligence Group, or BIG, said when stories about lab-grown diamonds being sold as natural get into the press, it will cause problems for retailers, even though they are not the ones responsible for the synthetic-natural mixing in the supply pipeline. 

“It becomes a credibility issue,” he said. “We have enough issues with the press taking us to the woodshed for things we haven’t done. It’s a major problem.” 

2. The evolution of retail channels. The boom years of mall expansion that the United States experienced in the 1960s and 1970s has long since fizzled out and the number of independent retailers has shrunk. 

Markets that once had 15 guild-level retailers now have three or four. But those stores that still are open are, in many cases, making more sales. 

With this period of change, “there’s a period of opportunity,” Janowski said. 

Panelist Brandee Dallow, who heads Rio Tinto’s U.S. representative office, encouraged retailers to embrace omni-channel retailing: selling both online and in store and allowing customers to move between the two freely; i.e., order online and pick up and return in the store.

Russell Shor, a senior industry analyst with the Gemological Institute of America, said retailers need to think about improving the in-store experience they are offering consumers, which, traditionally, has not been among the industry’s strengths. 

3. The Millennials. This is the name given to the generation born between the early 1980s and the early 2000s, also known as Generation Y. There has been much conversation about how to best sell to this generation of opinionated and well-informed young adults. 

Dallow said that telling stories is the best way to capture the Millennials, which is something Rio Tinto is doing. In addition to its “Diamonds with a Story” lines, the miner debuted the “Oculus Rift” at JCK Las Vegas, a virtual reality ride into one of its mines that is meant to engage consumers and help them understand how their stones got from mine to market. 

She also said that in order to work with Millennials, retailers need to talk to them and understand what they want. 

Sherman noted that Millennials are a generation of young adults who are getting engaged later in life and who don’t have as much financial security as their parents did. They are children of the recession and many are buried under mounds of college debt.

If retailers want to sell to Millennials, they better have diamond engagement rings starting at $1,499 or $1,999 in stock, he said. 

4. Experientialism and environmentalism. Luxury is no longer about “stuff,” it is about stories that can be retold. In the future, consumer focus will be less about buying objects and more about having experiences, which is why retailers need to make their store an experience. 

Janowski also noted that people’s concern about climate change and environmental shifts will have an effect on consumer mentality going forward. 

If, for example, certain species of African wildlife are in danger of extinction, consumers may choose taking a trip to the continent to see these animals before they are gone over buying a diamond mined there. 

5. The end of growth? No new, large chain stores are expected to launch any time soon and the middle class, at least in the United States, is in a state of dramatic decline. 

The end of rapid growth and decline of widespread financial security in the United States raises an interesting question for jewelers: People will continue to accessorize, but with what? The type of jewelry sold by fine jewelry retailers or the trendy, and cheaper, accessories that can be purchased at stores like J. Crew and Forever 21?  

Michelle Graffis the editor-in-chief at National Jeweler, directing the publication’s coverage both online and in print.

The Latest

2025 National Jeweler Retailer Hall of Fame inductees
Events & AwardsJun 06, 2025
Here Are the 2025 Retailer Hall of Fame Inductees

This year’s honorees include a Midwest retailer and two multi-store independents, one in New York and the other in New England.

Harwell Godfrey Granny Square Eleanor Necklace
CollectionsJun 06, 2025
Piece of the Week: Harwell Godfrey’s ‘Granny Squares Eleanor’ Necklace

As an homage to iconic crochet blankets, the necklace features the nostalgic motif through a kaleidoscope of cabochon-cut stones.

 Laura Gallon Joaillerie “Dynasty” ring, Bijules “Compass” bolo tie, Löf “The Orbitalis” ring
Events & AwardsJun 05, 2025
The 12 Fresh Faces in Couture’s Design Atelier

Discover the dozen up-and-coming brands exhibiting in the Design Atelier for the first time.

DCA-student-cert-NJ1872x1052-2.png
Brought to you by
The True Power Behind the Counter: Why Sales Associates Are the Heart of the Jewelry Business

When investing in your jewelry business, it's important not to overlook the most crucial element of success: the sales associates.

Jack Abraham The Royal Ruby Collection
SourcingJun 05, 2025
A Rare Suite of Rubies Has Arrived in Las Vegas

The “Royal Ruby” Collection is a quintet of untreated rubies curated by collector Jack Abraham.

Weekly QuizJun 05, 2025
This Week’s Quiz
Test your jewelry news knowledge by answering these questions.
Take the Quiz
Daymond John
Events & AwardsJun 05, 2025
Daymond John to Give Keynote at JCK Las Vegas

The entrepreneur and “Shark Tank” star will share his top tips for success.

Vaishali Banerjee and Pallavi Sharma
MajorsJun 05, 2025
Platinum Guild International Updates Leadership Team

Two existing executives have been given new roles.

Article Image 1.png
Brought to you by
Clienteling Isn’t a Buzzword. It’s an Essential Business Model.

More shoppers are walking out without buying. Here’s how smart jewelers can bring them back—and the tool they need to do it right.

Meredith Tiderington
Events & AwardsJun 05, 2025
Zillion Announces 'Women in STEM' Scholarship Recipient

Meredith Tiderington, an electrical engineering student, was selected for the award.

The Gemological Institute of America’s logo
Lab-GrownJun 04, 2025
GIA Reverting to More General Terminology for Lab-Grown Diamonds

It will quit assigning the stones specific color and clarity grades in favor of applying “new descriptive terminology.”

Exterior of the Venetian and the Las Vegas Sphere
Events & AwardsJun 04, 2025
As JCK Talks Returns, Don’t Miss These 12 Sessions

From design trends to sustainability, here’s a roundup of can’t-miss education sessions at JCK Las Vegas.

JCK show
CrimeJun 04, 2025
10 Safety Tips for the Las Vegas Shows

The Jewelers’ Security Alliance offers advice for those attending the annual trade shows.

Amy Curran
MajorsJun 04, 2025
Amy Curran Promoted at Hill & Co.

Her new role is director of strategic initiatives.

The eight rings in Viviana Langhoff’s AU79 jewelry collection
CollectionsJun 03, 2025
In Her Latest Collection, Viviana Langhoff Is Leaning Into Gold

The designer is embracing bold pieces with weight to them in “AU79,” a collection she celebrated with a creative launch party.

Gold and diamond bangles on a pair of jeans
FinancialsJun 03, 2025
Signet Jewelers Sees Turnaround in Q1 With Sales Ticking Up 2%

On an earnings call, CEO J.K. Symancyk discussed what’s working for the company and how it’s preparing for the potential impact of tariffs.

Woman’s hand holding shopping bags
SurveysJun 03, 2025
Consumer Confidence Improves in May

The index partially rebounded after months of decline, due in part to the U.S.-China deal to temporarily reduce import tariffs.

Dakota Johnson as Roberto Coin Brand Ambassador
CollectionsJun 03, 2025
Dakota Johnson Is Roberto Coin’s New Brand Ambassador

The actress stars in the latest campaign set in Venice, Italy, and is set to participate in other creative initiatives for the jeweler.

Mason Kay Jade necklace
GradingJun 03, 2025
Mason-Kay Jade Adds ‘Fei Cui’ to Jade Reports

The company has joined other labs, including GIA and Lotus Gemology, in adopting the Chinese term for "jadeite jade."

Gemfields ruby
SourcingJun 02, 2025
Gemfields’ June Auction to Include 36-Carat Ruby

The large stone will be offered at its June sale along with a selection of secondary-type rubies from a new area of the Montepuez mine.

Adobe Stock image of skyline of Bangkok, Thailand
GradingJun 02, 2025
GSI Opens New Lab in Thailand

Located in Bangkok, the laboratory is Gemological Science International’s 14th location worldwide.

Seaman Schepps pearl earrings
TrendsJun 02, 2025
Amanda’s Style File: Three Gems for June

Those born in June have a myriad of options for their birthstone jewelry.

David Allouche
SourcingJun 02, 2025
David Allouche Joins Grandview Klein Diamonds

The diamond industry veteran has been named its senior sales executive.

Movado Connect 2.0 watches
FinancialsMay 30, 2025
Movado’s Q1 Sales Slip Amid ‘Challenging’ Retail Environment

The company plans to raise the prices of select watches to offset the impact of tariffs.

Zoë Chicco Bracelets
Policies & IssuesMay 30, 2025
Tariffs & Designers: Navigating Pricing in an Unstable Environment

Between tariffs and the sky-high cost of gold, designers enter this year’s Las Vegas shows with a lot of questions and few answers.

Renato Cipullo Hematite Blaze Necklace
CollectionsMay 30, 2025
Piece of the Week: Renato Cipullo’s ‘Hematite Blaze’ Necklace

Designed by founder Renato and his daughter Serena Cipullo, it showcases a flame motif representing unity and the power of gathering.

Stock image of shipping containers
Policies & IssuesMay 30, 2025
Trade Court Declares Trump’s Tariffs Invalid

However, the tariffs remain in effect in the short term, as an appeals court has stayed the U.S. Court of International Trade’s decision.

Britney Spears
CollectionsMay 29, 2025
Britney Spears Files Trademark for New Jewelry Line

The pop icon is one step closer to launching her “B Tiny” jewelry collection, a collection she first began posting about last fall.

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy