De Beers set to target middle-class

Being the highest consumer of gold, India is seen as the potential market for all gold and
diamond brands. With the same aim, De Beers, the world’s leading diamond company
is now taking the to reach the largest consumer base – the Indian middle class audience.
At present, this Forevermark branded jewellery is available for 1.5-2 carat diamonds,
with high net worth individuals as the target customers. But now, this year end, the
Rs 3500 crore Indian diamond jewellery market would see the entry of this brand
with ‘Forevermark’ encrypted in 18-21 carat gold at the beginning price of Rs 10, 000-
12,000.

This would generate the head-to-head competition with the other players in the market
such as Gili, Nakshtra, Tanishq, Agni etc. Tanishq diamond jewellery, for example, is
available at a price beginning Rs 9,999 and D’damas has fixed its starting price at Rs
15,000. The starting price for Gili and Ashmi is Rs 8000 and Rs 15,000 respectively.
Nakshatra, catering to premium customers, is more expensive with a starting price of Rs
25,000.

De Beers is also getting the distribution act together for a volume-led sales growth. It has
entered into marketing alliances with leading jewellers like Gitanjali Gems, the owner of
brands like Nakshatra, D’damas, Gili and Ashmi.

While India has shown a growth of 15 to 17 per cent, the number for China is 14 to 15
per cent, the retailers are not disturbed by the new entrants, rather they assert that this
new competition would strengthen the branded jewellery market.