How the diamond ring industry will be in 10 years’ time
The Future of the Diamond Industry
11th September 2020
It’s fair to say that diamond rings have definitely evolved over the years, not only in shape and finish but also in price. The more “bling” on a ring the higher the price tends to go, and in the last 10 years the average price for a diamond ring has risen by almost 20%.
Whilst there will always be a demand for a “ring with a bit of bling” times are changing, and as the ‘minimalist look’ is becoming more on trend by the day, it seems like for a large majority of people “less is more”. Although trends will have a significant impact on what’s more desirable, we should also consider how the actions of society will also have a strong influence in the industry.
Let’s consider a few different styles, classic and trending, and weigh up the probabilities of each.
The type of diamond set within the ring is a large contributor to the overall price. Diamond colours are graded from D to Z, and at the moment the colourless range of diamonds, which are still trending today (D, E and F), are the most expensive in the market to date. Whilst diamonds that come in shades stronger than Z are classed as “Fancy Diamonds”, it doesn’t necessarily make them more expensive than the classic white and other colourless hues that are more in demand.
There are a variety of metals you can choose from when it comes to buying a diamond ring. Platinum is currently sitting at the top end of the price spectrum, followed closely by gold in its many different hues. As rose gold has been the colour of the season for the last three years or so this colour is in high demand. Those who aren’t too keen on this colour but might not be able to afford platinum, while often opt for white gold, which always looks timeless. Whilst there is still a market for yellow gold the majority purchasing this colour is slowly reducing as the years go by, and it will be interesting to see if there is still a demand for this, ten years down the line.
The shape of any diamond is also a huge dictator when it comes to price. As round diamonds tend to be more popular the price is usually higher, however coming back to trending influences, the public perception of their ideal shaped diamond is seemingly changing. For example pear shapes and shard looking diamond shapes are some of the common shapes, seen across large social media platforms such as Instagram and Pinterest. Does this mean that the market will soon see a price increase on these styles should their popularity continue to rise? Unfortunately it’s unclear to tell at this time.
Considering all of these factors, it’s evident that the industry is starting to change. Where the classic platinum white round cut diamond used to be a public favorite, more and more people are turning towards princess and pear shapes, with tinted hues in rose or white gold metals. This could mean that the market will fluctuate from the traditional styles we’ve come to know all too well.
We also need to factor in the change in lifestyles within society. As a population brought up on the idea that when you find someone you love, you will probably get married, buy a house, and have kids. It’s a progressive timeline that has been inspired through the decades by our families before us. However times have drastically changed, particularly in the last twenty or so years, and marriage isn’t necessarily the first priority in people’s lives anymore. Could this hint that maybe some of the top end diamond ring designs might start to fall in price in the next ten years, should people start looking towards more affordable options, if they have other expenses to fork out for.
All we know for now is that business in the diamond industry still remains strong, and retailers have been quick to react and adapt their business to the demands of their consumers. A diamond, as they say, is forever.