Tuesday, June 4, 2024
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Creating Demand for Platinum Jewelry: Insights from the 2024

New York— The 2024 Platinum Jewelry Business Review (PJBR) by Platinum Guild International (PGI) reveals strategic insights on creating demand for platinum jewelry across various stages of the product journey. PGI, a global marketing organization, aims to strengthen the platinum jewelry market through innovative actions, technology integration, and consumer behavior influence.

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“Driving sales and value for platinum jewelry for our strategic partners is crucial to creating demand in ounces. We achieve this by implementing innovative ideas, introducing technology and design, and influencing consumer behavior. This year, we are also expanding into new categories and markets,” said Tim Schlick, CEO of PGI.

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The 2024 PJBR underscores PGI’s strategic actions in key markets, integrated across all regions:

Japan boasts the highest per-capita demand for platinum jewelry worldwide, driven by nearly 100% awareness of the metal. Since 1975, PGI has established platinum engagement rings (ER) and wedding bands (WB) as essential to marriage ceremonies. Today, over 90% of ERs and 80% of WBs in Japan are platinum. PGI also introduced “Thanks Days Platinum” in 2007, targeting men reaching retirement age to buy platinum jewelry for their wives, and “Platinum Woman” in 2020, aimed at young, affluent working women. Platinum jewelry in Japan is rarely recycled, often becoming heirloom pieces, and has one of the highest paid-to-earned ounce ratios globally.

China faces challenges such as a slowing economy, an aging population, and high youth unemployment, impacting the platinum industry. PGI has promoted technological advancements, including new alloys, 3D printing, and industrial applications, to bridge the innovation gap with gold. PGI’s efforts have resulted in innovations like diamond cuts and dark electroplating, creating 265 new SKUs across 28 branded collections. Collaborations with schools, laboratories, and fabricators further support the platinum agenda in China.

In the US, design is the primary market driver, historically favoring white gold due to its availability in more designs. PGI has engaged designers to create well-designed platinum jewelry beyond the bridal market. The Platinum Spotlight Program at the COUTURE Jewelry Show in Las Vegas inspired designers to create signature pieces in platinum, leading to an increase in non-bridal platinum jewelry market share from 32% in 2019 to 44% in 2023. “Platinum Born” was also developed to cater to the women’s self-purchase segment with fashion-forward platinum collections.

In India, where gold dominates 80% of the jewelry retail trade, platinum is the metal of choice for younger consumers. PGI has turned retail store layouts into opportunities by increasing platinum’s visibility in gold sections and focusing on its benefits. Innovations like platinum designs with rose gold accents have helped, resulting in the gold section program accounting for 30% of all platinum jewelry ounces in India. PGI’s training program has reached almost 80,000 sales associates, with an enhanced replenishment model ensuring products are restocked within 72 hours.

Since 1975, PGI’s efforts have generated approximately 90 million incremental ounces of platinum jewelry. “By identifying and addressing specific opportunities in our key markets, PGI has created demand for platinum jewelry where it never existed before and built a solid foundation for the future,” said Schlick.

The PJBR provides crucial insights into the performance and dynamics of the platinum jewelry market, offering detailed research and analysis on emerging trends, challenges, and opportunities in global trade.

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