KRC Research conducted an online survey on behalf of the Diamond Producers Association (DPA) regarding US millennial women’s views on luxury goods. The results highlighted three major trends: Long term value both financially and emotionally, Pride in legitimacy of the goods purchased and the expression of self-confidence.
The data found that 75% of the nearly 1000 US millennial (aged 18 – 34) women surveyed saw diamond jewelry as an investment in themselves, while 82% was looking for a long-term financial value in their purchase. Among the higher earning millennials, those with an annual income exceeding $150,000, the numbers surged to 94%. According to the DPA, these figures explain why more millennials are buying their own diamonds, a sentiment De Beers shared in a recent report indicating self-purchasing by US millennials accounted for 31% of all non-bridal diamond sales in 2015, compared with 25% in 2013.
Reportedly millennials are expressing a preference for authenticity in luxury goods, preferring to “buy less, buy better”. For the higher-earning millennials this desire for authenticity was even greater, with 85% saying they “would be embarrassed knowing that they owned a knock-off, especially for luxury items,” the DPA reported. “When evaluating luxury purchases, they seek items that are genuine, unique and not mass-produced, and have inherent meaning and value,” said Deborah Marquardt, the DPA’s Chief Marketing Officer. “This preference speaks directly to the diamond promise - in an increasingly artificial world diamonds remain authentic, rare and precious.”
Another trend higlighted by the survey was that luxury goods served as a way for modern women to express their self-confidence visually, the diamond body noted that 67% of the 995 millennial women surveyed said they felt more confident in themselves when wearing diamond jewelry.
The DPA is well on its way to extending their “Real Is Rare. Real Is a Diamond” campaign, specifically designed to targeting millennials, which is expected to be released in the near future. In June the association announced they had secured a budget of $57 million for 2017. With $50 million already dedicated to the US market, and the remaining budget to India and China, the DPA says the new release of funding effectively signals the full-scale launch of its "Real is Rare" campaign.