The retail jewellery market in India has been growing.
Here are some other facts about the jewellery retail market in India:
- Chain stores: Chain stores have been gaining market share at the expense of stand-alone retailers.
- Omnichannel: Jewellers with an omnichannel presence are more likely to take market share from single-channel jewellers.
- Domestic gold jewellery: The domestic gold jewellery retail industry is expected to grow by 15% in 2023.
- Contribution to GDP: The gems and jewellery industry contributes 7% to India’s GDP.
- Exports: The sector contributes 10-12% of India’s total merchandise exports.
The Retail Jeweller East Forum ’23, took place on November 21, 2023 at J W Marriott, Kolkata, and provided a day full of insightful talks and abundant networking opportunities. With thorough panel sessions headed by industry veterans, the much-awaited knowledge forum had 150 retail jewellers, manufacturers, and professionals share future-forward innovations, strategies, and experiences of improving their businesses in East and North East India.
The knowledge-sharing platform also presented informative and interactive sessions by young jewellers who have taken over the reins of their family businesses and are tackling challenges with innovative solutions. The evening of November 21 shaped a dazzling fashion show where jewellers and their customers walked the ramp, featuring creations from jewellery brands. Under this initiative, The Jewellery Diaries, in association with NGO Nanhi Kali, sponsored the education of 15 girl children from the families of the jewellers’ karigars for one year.
The Retail Jeweller East Forum ’23 is presented by De Beers – Institute of Diamonds and SYNERGICS. Speaking about his expectations, Sachin Jain, MD, De Beers India, said, “The East Forum, a brand-new initiative by Retail Jeweller Magazine, helps the jewellery industry to acknowledge the brilliant works by retailers from the 13 states of east and north-east India. It’s an excellent opportunity to get first-hand knowledge of the unique market dynamics and consumer behaviour in these regions. We are delighted to present this event.”
Sanjib Chatterjee, Founder, SYNERGICS, commented, “The forum provides a platform to introduce new technology that combines emotional intelligence and market trends to serve retailers better. We are excited to showcase our CRM tool for the jewellery industry.”
Samit Bhatta, Director, The Retail Jeweller India, said, “We are seeing extraordinary growth in the East market. We want the jewellery industry to come together and talk about the latest trends in products, people, technology and innovation in the industry, and much more.”
Annargha Uuttiya Chowdhuury from Anjali Jewellers, Kolkata, said, “East India has always been the backbone of the jewellery industry because West Bengal has the best karigars who create beautiful and intricate jewellery. It will be interesting to know the journeys that jewellers from this part of the country have undertaken.”
Mitesh Khimji, Khimji Jewellers, shared his perspective on the jewellery market in Odisha and commented, “Odisha is on a wonderful transition as far as jewellery design is concerned. Steeped into history and embodying global trends in design and jewellery altogether, the state has come a long way. We are excited to share our version at the forum.”
Richa Singh, Managing Director of Natural Diamond Council, showed spotlight on the concept that “Women start deciding about their clothes as soon as they are 12-13 years old. NDC targets the consumer in the 20-45 years of age bracket via 11 mantras. The new luxury is more experiential. The Gen Z masters the Digital Realm and virtual try-ons are a norm today.”
Nitin Jain, Business Head, Non-Apps and Accessories Categories at Reliance Fashion and Lifestyle commented that, “There is standarisation of experience in-store for the top chain stores such as Tiffany and Tanishq. However, there is a disconnect between offline and online presence of thew same brand, confusing consumers about the brand identity. Thus, offline stores should become a marketing and customer service investment.”
Mohit Prasad, Prasad Jewellers, commented on Rourkela’s jewellery sector. “In a place like Rourkela where there is low connectivity, we have started giving our staff engagement activities and optimum leaves. This has led to greater performance levels. A happy employee makes the customer happy.”
On bridal jewellery section Manasvi Soni, L Gopal & Sons Jewellers, Guwahati said, “We introduced a 3-storey showroom recently, with the third floor dedicated to bridal jewellery. Brides-to-be come in wearing casuals, but they want to buy bridal jewellery. Our bridal lounge functions in a manner that the spouses-to-be enjoy the experience with a make-up team. Following trends is compulsory today. We also engage in jewellery kitty for 12 months, which has been a hit in the showroom. This is the first time we are revealing it.”
Vinod Bamalwa, Nemichand Bamalwa and Sons, Kolkata said, “If I talk about the last 2 decades, the sea change has been in designing. Today, global design flashes on Instagram. For retailers to get into franchisee and get into IPOs, that’s a sign of getting out of their comfort zones. We have also benefitted from reverse brain drain through artisans who have returned to Kolkata to work.”
The Indian jewellery market has seen many structural changes over the last decade, some brought about by regulation and some by a shift in consumer behaviour. While the hallmarking regulations will provide a level playing field, national and regional chain stores are set to continue to gain market share because of their access to credit and the large inventory they carry. However, as many players start entering Tier 3 and Tier 4 cities, there should be a certain level of aspirational demand that they can tap into, allowing branded players to quickly gain market share. Small players need to become more transparent if they are to access credit, as banks and financial institutions are currently wary of lending to the gems and jewellery sector.
While the jewellery retail sector continues the trend it began over a decade ago and becomes increasingly organised, the manufacturing sector is only at the beginning of this journey. Government and industry are focusing on shifting manufacturing from congested centres to jewellery parks and this will aid organisation within the trade. Meanwhile, the growing concern among retailers and consumers about ethical standards and working conditions of artisans represents an industry threat. In response, many large players only want to work with organised manufacturers, and it is these who will see their market share strengthened going forward.
