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De Beers India is expecting growth momentum will continue in the current year backed by a steady demand for diamonds particularly from the younger population in tier-2 and tier-3 cities and an expansion of its distribution network. In 2021, the diamond major has registered 20 per cent growth in sales over a year ago period.
According to Sachin Jain, Managing Director, De Beers India, the growth in 2021 was 8-9 per cent higher than the pre-pandemic period of 2019.
“Despite 45-50 days of Covid-induced lockdown in 2021, we saw a phenomenal surge in demand for diamonds. We hope to be able to maintain this momentum and register a double digit growth this year over the high base of last year,” Jain told BusinessLine.
The pandemic has resulted in a major shift in consumer buying and there are signs of growth in exposure and interest among consumers to invest in luxury retail, particularly in jewellery.
“Consumers today look at purchasing items that hold meaning and add value to their lives. Diamonds by their very nature hold an intrinsic value. This new consumer insight emerged over the past two years and despite the challenges posed by the pandemic, Indian consumers have expressed strong demand for diamond jewellery, outstripping demand for other luxury categories. 2021 has been the strongest year for us in the last decade. Given the pent-up demand for diamonds, we are expecting a further rise in the consumption in the near future as well,” he said.
The growing social media exposure among younger population is adding to the demand for simple designs and bigger diamonds.
The company, which is present across 64 cities in India, is looking to strengthen its footprint in existing markets by setting up exclusive stores. De Beers Forevermark is present in 275 doors in India, which includes 14 exclusive outlets. It plans to open 16 more exclusive outlets in the next one year.
“The market is changing a lot and the younger generation is more inclined towards brands. Most of our exclusive outlets are in malls and in such places where there are high walk ins. We are already present in major cities across the country and we are planning to strengthen our presence in some of these places as well,” Jain said.
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