As time goes by

How has the industry changed in the last 40 years? Four diamond and jewelry leaders share their thoughts

Valerie Fletcher
Vice president of design and product development
Original Designs Inc. (ODI) In 1979, I bought a mother’s ring at my local mall. It was a big deal at 14 to spend all my money on a ring. I was hooked. In the ’80s and ’90s, I worked on Jewelers’ Row in Philadelphia. There was plenty of business to go around, and the competition was fair. Everyone sold diamonds by discounting from the Rap Sheet [the Rapaport Price List], and customers would go around to stores looking for a better deal on the ODI marquise bypass bridal set. Who knew then that diamonds would go from being a luxury to being grown in labs, sold at Costco and on the internet? In some ways, our industry has changed for the better. With the internet came consumer education and accessibility. [But] some things haven’t changed. I work at ODI now, and we still sell hundreds of that marquise bypass. And my 12-year-old niece recently asked me to help her get a mother’s ring.

Jennifer Dawes
Designer and owner
Dawes Design I’ve been in the jewelry industry for over 20 years and have seen the highs and lows of market fluctuations. We’re in an industry that is still working off a 17th-century retail model and is extremely resistant to change. Jewelry will always be about the human connection, and that is this industry’s saving grace. We see this pattern [of resistance to change] in the diamond industry, playing out [in] the “A Diamond Is Forever” campaign. Now we have “Real Is Rare.” It’s a great slogan, but it falls flat because the messaging is not sincere. The diamond industry needs to put its money where its mouth is and be real with what consumers want. Consumers want to know where their diamonds come from, and they want traceable origin documentation. We are not moving fast enough for what our market wants. We’re seeing the ramifications economically because of this fear of change. Real is real, real should not be rare!

Larry West
Founder and owner
L.J. West Diamonds The availability of information is a key factor that changed the business climate in the diamond and jewelry industry. As Rapaport — [with] its price list, news organization and online trading platforms — and others like it since have grown, the need for middlemen, brokers and dealers has diminished. Clients are savvier when it comes to searching for the best deal. Bid and asking prices are closer, so profit margins are shrinking. There are fewer people and viable companies in the industry today. Those left are the best at what they do. Business has become much more efficient. Rough importers are cutting diamonds where production costs are low, turning it into jewelry, and working directly with retailers. Wholesalers and retailers must adapt to new marketing strategies, evolving technology, and the ways clients are trying to shop. Those who are successful have been innovative in how they differentiate and translate value.

avid Bouffard
Vice president of corporate affairs
Signet Jewelers One of the most successful areas of change is how the industry works to ensure consumer confidence in the products we sell. About 20 years ago, because our industry was in the spotlight with headlines about conflict diamonds, we acted, taking a stance toward greater transparency and accountability to ensure consumer confidence. Signet has supported key legislation and processes that have strengthened transparency in the trade of conflict-free minerals, including being a founding member of both the World Diamond Council (WDC) and the Responsible Jewellery Council (RJC), adopting its Code of Practices as the basis of the organization’s work. Signet requires all suppliers to join the RJC over time. The complexity and challenges of the global jewelry supply chain require solutions that are larger than any one company can drive. It requires a rigorous and collaborative approach.

Image: Adobe Stock

Article from the Rapaport Magazine - June 2019. To subscribe click here.

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