Cultivating a More Vibrant Market for Platinum Jewelery: Challenges and Opportunities
The jewelry industry is trending toward an increasingly younger demographic, reflecting changing market preferences. In response to this trend, Platinum Guild International (PGI) is leveraging resources gathered at the China International Consumer Goods Expo 2023 to create two exhibition areas. Held in Haikou and Sanya, Hainan, it showcased innovation and professional foresight.
PGI is committed to fostering and guiding the Chinese consumer’s passion for platinum jewelery by providing all possible support to promote the local platinum jewelery industry, and has achieved great results. PGI is also working with industry peers to innovate partnership models and explore new development opportunities for the platinum industry. All of these are aimed at supporting trends towards younger generations and fostering a more dynamic market.
“In 2000, China became the world’s largest market for platinum jewellery. Today, China’s platinum jewelery industry has grown into a mature category and this success would not have been possible without PGI’s promotional efforts in China. It was possible.” Director of Platinum Guild International China. “However, changing consumer habits are currently impacting the jewelery market,” she explained. Puyi further explained that the challenge is that consumers are increasingly valuing the emotional value of jewelry beyond just its design.
In addition to changing consumer preferences, changes in consumer buying habits in recent years have also made online shopping one of the major purchasing methods, posing challenges to the jewelry industry. Speaking at the expo, Pui emphasized that “despite the rise in online jewelry sales in recent years, the expansion of his offline stores is still the main driver of sales growth in the jewelry industry.” bottom. In 2021, according to the TMIX BCG Luxury Consumer Survey, only 50% of consumers in 2021 claimed to have last purchased luxury goods in offline stores, but this is his share of total sales. accounted for 78%.
Pui gave examples of couples who prefer to buy their wedding rings in brick-and-mortar stores. This is because wedding rings are important milestones in life’s journey and moments to be cherished and remembered. The difference between Platinum’s online marketing and offline marketing is in the customized communication available online, which attracts the attention of younger consumers, while brick-and-mortar stores offer a more immersive shopping experience. increase.
Pui therefore emphasized the need for integration to enable retailers to combine both online and offline data to understand their customers more comprehensively and effectively meet their needs. One of PGI’s leading partner programs, he uses his marketing online to attract target consumers. You will then be encouraged to visit our offline store where trained salespeople can provide the full story behind the beauty of Platinum Her jewelry. In this way, customers can see, touch and feel innovative designs for a more immersive shopping experience.
“Obviously, there are some serious issues in the jewelry industry that need to be addressed: Why buy jewelry under the current circumstances? Why buy now? And where to buy?” Pui said. “Innovation is the answer to all of this. The industry needs more innovation to meet ever-changing consumer demands.”
To that end, PGI has presented three concrete ways to support the industry’s innovation pathway. This includes engaging young consumers, establishing a branded Platinum collection, and creating a seamless omnichannel experience that integrates online and offline shopping.
“In my opinion, attracting young consumers is the lifeline for the future of the industry. However, young people’s tastes are so diverse that there is fierce competition from both inside and outside the industry. , consumer groups are getting younger and topics of interest are changing rapidly, which is a challenge for all industries,” said Pui.
In China, the post-95 generation accounts for 13% of total consumption, above the global average of 8%. In addition, her 260 million Gen Z consumers, mostly born in China in the 1990s, account for his 50% share of the luxury market.
To attract young consumers, you need to be truly immersed in their group. Brands need a deep understanding of lifestyles and interests to find ways to integrate products seamlessly. This may include innovative approaches such as offering virtual jewelry in the metaverse. Monetization can be tough, but a survey conducted by Virtue Worldwide in 2022 found that a third of his respondents had already purchased digital fashion items, so don’t ignore it. not.
Regarding the establishment of the branded platinum collection, currently only 15% of high-end jewelry in China is considered branded jewelry. PGI has identified the unique potential of branded jewelery and has been promoting the branding of platinum jewelery over the past several years. This is opening up new growth avenues for platinum and driving the development of the industry. PGI’s market observation also reveals that establishing an emotional connection with the consumer, beyond simply offering an attractive design, is a key factor in successfully branding a jewelry collection. became.
As Pui said, “We need to give jewelry more emotional meaning so that it is more than just decoration, it means more and can accompany consumers on their growth journey.” Created by PGI The Pt Moment® collection is the result of this effort. Under the slogan ‘Tenacity Powered Elegance, emboldened by Platinum’, the collection resonates with young female consumers who are proud of their elegance in the face of social challenges and stereotypes. The use of platinum in her designs symbolizes her tenacity to be her authentic self and addresses the increasing economic impact of women, also known as “her economy,” which is a focus of the consumer market. Respectful.