Seasonal-buying trends and diamond jewelry sales

The gift-giving season is here! If you’re planning to sell your diamond jewelry or buy new or used jewelry, this is probably a great time. Read on to discover why. 

The season to be merry

With Christmas just around the corner, the diamond and jewelry market has not only been driven by higher demand as those with a higher disposable income seek out expensive gifts but by people taking advantage of sales. If you look online during holidays, like Christmas, you’ll be inundated with banners offering discounts on diamonds and diamond jewelry. So, people tend to jump at the opportunity to go jewelry shopping. Also, many people want to propose over the Christmas and New Year holiday period. 

Effect on retailers

Other than basics such as food, most retailing is event-driven. In societies with a considerable amount of discretionary revenue, retailers have to create reasons to drive customers to their stores — usually events. Three types of events typically drive sales in the jewelry industry:

• Calendar events: 
  • Holidays – Christmas, Kwanzaa, Chanukah
  • Valentine’s Day
  • Mother’s Day
• Life Cycle/Milestone Events
  • Weddings / Anniversaries
  • Births / Birthdays
  • School Graduation
  • Religious Events – First Communion, Bar/Bat Mitzvah
• Other Events
  • Merchant-Created Events – Trunk Shows, “Midnight Madness,” Black Friday and Cyber Monday
  • Impulse – “I Just Want It Now”(Generally Self-Purchase)

Calendar and life cycle events

Highly seasonal calendar events create jewelry demand in the U.S. and other global markets. For example, typical U.S. specialty jewelers generate around a third of their annual revenue during the November-December holiday shopping season.

In May, two other key calendar events driving jewelry demand are Valentine’s Day in February and Mother’s Day. However, these events don’t come close to the holiday seasons. 

Milestone and life cycle events are less seasonal as they occur throughout the year, such as anniversaries. However, the most significant life cycle events that drive diamond sales, in particular, are engagements and weddings. In the U.S., August is the most popular wedding month, followed by June and July. 

Global diamond buying seasons

Diamond buying seasons are different around the world. In India, with nearly 1.3B people, the marriage season occurs in October and November during the Diwali holiday. The diamond polishing industry closes for Diwali, so there is a peak in pre-holiday sales. Diamonds are increasing in popularity over gold jewelry in-line with India’s preeminence as a diamond manufacturing industry. 

In China, the primary diamond jewelry sales season revolves around the Chinese lunar new year, which typically starts late in January to early or mid-February and can last for 23 days. 

In June and July, the holy month of Ramadan has also become a significant period for diamond jewelry sales, not just in Muslim countries, but in the U.K. and other countries in Europe. In the lead-up to the holiday, affluent people from the Middle East come to Europe to buy jewelry. 

Selling used diamonds

Diamond retailers need to navigate the complex differences in buying seasons to attract and retain customers. This effort involves inventory management so that they can meet demand when required. 

Seasonal changes are less relevant when it comes to diamond buyers. Buyers of used diamond jewelry need to add to their inventory daily all year round. At DNR Diamonds NY, for example, you can sell your diamonds at any time, and you will always receive top value. Why? Your items’ price is not based on consumer demand but their grade and demand from professional buyers.    

Contact DNR Diamonds NY for a free appraisal!