5 Trends Shaping the Jewelry Industry & Market
The jewelry industry is massive. In fact, it's estimated that the industry as a whole will reach 480.5 billion by the year 2025. Although this research was conducted in 2019 before the pandemic, researchers believe with higher incomes and buying trends jewelers will continue their upward climb. If the jewelry market capitalized on these 5 trends, that outlook is certain.
1. Personalized and Custom Jewelry
Customization is found in virtually every industry, but no market has capitalized on this trend more than jewelers. Whether it's rings, necklaces, or bracelets, jewelers are paying closer attention to how customers want to spend their money. Personalized engagement rings, like these stunning emerald rings for women, are customizable to fit any style or preference.
High-end establishments are making a killing creating unique pieces, but smaller shops are able to make made-to-order monogram or name jewelry with CNC software and 3D printing. All jewelry stores should offer customization services on their products to increase sales, but they should also consider increasing the amount of inventory that is easy to personalize. There are many unique types of customized jewelry such as gold teeth that are perfectly fit to your mouth by reputable brands like Custom Gold Grillz. Gold or silver teeth with diamonds have become trending in today's jewelry market.
2. Engagement and Wedding Ring Sales Decrease
Millennials and Generation Z adults are losing their faith in the wedding industry as a whole but are less enthusiastic about buying engagement rings than in the past. A study conducted by The Knot estimates that ⅓ of engagement ring purchasers are spending approximately $1,000-$3,000 in 2019, which is considered incredibly low based on a 10-year jewelry trend.
Although some couples are spending closer to $6,000, that isn't the norm by far. As Millenials and Gen Zers are less trusting of big corporations in general, it may be too late to market wedding rings. Instead, companies should offer lower-cost alternatives more readily. After all, it's better to sell to this ever-growing demographic than neglect them entirely.
3. Customers Prioritize Ethical Sourcing
The disillusionment Millennials and Generation Z feel towards the marriage industry seeps into other aspects of jewelry. New consumers are starting to research where their products come from and who handles the manufacturing and transportation within a market. Since jewelry is incredibly expensive to mine and ship, most companies aren't willing to make the switch.
However, the demand for ethically sourced jewelry is becoming so high that it can't be ignored for much longer. As more businesses exhibit ethical jewelry practices, it will become cheaper. Plus, ethical sourcing will improve work conditions, the environment, and mining practices.
4. Popularity of Financing Increases
Let's face it: jewelry is out of reach for the vast majority of Americans. Most people will only buy a few pieces of jewelry per year or save up for years to purchase an engagement ring. It's common for potential buyers to steer away from purchases they would otherwise make because they have a lack of available funds. Financing can be a significant help for these customers.
Jewelry financing used to be a complicated process that took weeks for customers to achieve approval status. Now, it can take mere minutes for a customer to complete a purchase for a diamond ring. Through financing, anyone can bring home a gift on the same day they applied, which can make a massive difference in the lives of new couples or stressed-out gift forgetters!
5. Marketing and Shopping on Social Media
Social media continues to change how people make purchases. Targeted advertisements have helped multiple industries sell more products to customers who actually want to buy from them. As online shopping becomes normalized, platforms like Facebook and Instagram started to debut shopping features that connect a user to a website or product with one click.
Through expert photography, a user-friendly website, and a consistent social media presence, brands are able to market to foreign countries in a cost-effective manner. In the end, marketing will benefit any business long term, so include it in your lead generation strategy. If a business makes it easier for their customers to purchase their goods, revenue will drastically increase.