During the pandemic, diamond prices rose unexpectedly. Supply chain disruptions and the delay of weddings initially dampened sales, but many consumers stuck at home turned to diamonds as a form of self-care. This led to an unanticipated spike in demand and a sharp rise in prices.
The post-pandemic market has painted a very different picture. As traditional engagement and marriage cycles return and supply chains normalize, prices have tumbled amid changing market dynamics, McKinsey & Co. says.
The rapid adoption of lab-grown diamonds has emerged as one of the industry’s most significant disruptors. These stones, virtually indistinguishable from natural diamonds to the naked eye, have gained popularity for their affordability and perceived ethical and environmental advantages.
Ten years ago, young customers were an important segment of the overall demand for precious stones….
