Paul Zimnisky on Synthetics: Prices Will Fall, Creating Separate Product Class

Opinion piece
24/04/2018 14:04

It will be very difficult for lab-diamond manufacturers to protect price as production processes and economics improve. Ultimately, this will result in lab-diamonds becoming more of their own separate product class, maybe not in the realm of 'fashion jewelry', but their own, completely distinct product class from natural diamonds. Lab-diamond companies that build a very strong brand through marketing or proprietary jewellery design will be less susceptible to price pressure ... Price is a lab-created diamond’s greatest advantage over a natural equivalent. Some think it is sourcing and social/environmental responsibility perception, but at the end of the day most consumers vote with their pocketbook. So, a greater discount will lead to greater penetration of the product in the industry and wider customer acceptance ... The biggest threat to the natural diamond industry is decreasing marriage rates and changing consumer preferences of younger generations away from material possessions.

Paul Zimnisky, interviewed by Mathew Nyaungwa, Rough&Polished