The global jewellery industry is eyeing lab-grown diamonds as a groundbreaking market development poised to revolutionize its operations. These ethically produced gems are rapidly gaining traction due to their affordability, controlled production, streamlined quality control, and, most notably, sustainability.
Despite widespread misconceptions that lab-grown diamonds are not genuine or prone to losing their colour over time, Ricky Vasandani, co-founder and CEO of Solitario Diamonds, challenges these prejudices. He elucidates why the market is increasingly embracing lab-grown diamonds.
“The global shift towards sustainability has significantly influenced the demand for lab-grown diamonds,” Ricky begins. “These diamonds are ethically produced and free from the ecological concerns associated with mining. In India, the lab-grown diamond industry is capitalizing on the growing demand for sustainable and responsible choices. The Indian government has recognized this potential and has taken measures to support its growth through financial incentives, research and development grants, and promoting innovation in diamond manufacturing.”
Ricky emphasizes that success in the diamond industry requires both financial prowess and market acumen. He elaborates on Solitario Diamonds’ unique position in this competitive landscape: their diamonds are grown, not synthetic or processed, setting them apart. With a focus on bespoke designs and unmatched craftsmanship, Solitario stands out. Ricky explains, “At Solitario, we adopt a franchise model with key partners across various markets. However, more than fifty percent of our catalogue consists of custom-made pieces to maintain authenticity and exclusivity. Our partners offer invaluable insights into local markets, guiding our strategic expansion efforts.”
For consumers desiring larger stones, lab-grown diamonds present a compelling advantage by offering the allure of larger gems at a fraction of the cost of mined diamonds. This appeal is particularly pronounced among Gen Z consumers, who prioritize style and aesthetics over the perception of wealth.
Lab-grown diamonds, characterized by their lustrous appearance and absence of imperfections, owe their durability to cutting-edge production technologies that prevent damage over time.
Lab grown diamonds are created from tiny carbon seeds of pre-existing diamonds. With the use of advanced technology, either extreme pressure and heat or a special deposition process known as chemical vapor deposition (CVD), lab-grown diamonds are produced to mimic natural diamond formation. This makes the process controlled, quick and sustainable.
Vasandani further mentions that Solitario is ESG-certified and equipped with the latest technology. “Our lab-grown diamonds are graded in the same way as mined diamonds—by their Color, Cut, Clarity, and Carat.” Ricky explains.
A key factor weighing down the favour of labs in India is that the segment is still new for the audience. “The global market has embraced lab-grown diamonds for their sustainable and ethical advantages. However, India is only now beginning to warm up to this segment. The Indian market is unique, driven by deep-rooted values and a strong emphasis on trust. Customers here prioritize a seamless experience, with exchange and buy-back policies playing a crucial role.
Ricky’s global experience has deeply influenced Solitario’s operations in India, and he remarks, “At Solitario, we understand these nuances and are committed to building trust through transparency and exceptional service. Solitario diamonds are IGI and SGI Certified, ensuring market resale value and customer assurance.”
To reach a wider audience, Solitario employs three distinct distribution models: standalone boutiques, shop-in-shops within renowned retail spaces, and an exclusive online shopping experience with Parallel World. This approach ensures accessibility and convenience, reinforcing the brand’s commitment to sustainable luxury.
Looking ahead, Ricky forecasts a significant shift in the industry towards the incorporation of lab-grown diamonds, opening up new market segments and driving healthy profits. The surge in gold prices is fuelling demand for lightweight jewellery, a demand that can be met efficiently with advanced technologies. Affordability will emerge as a key determinant in shaping future trends within the industry. “To balance the cost of gold, people may shift to lab-grown diamonds. Solitario is prepared to adapt to these changes, offering sustainable luxury that meets evolving consumer demands.”
Lab-grown diamonds are poised to revolutionize the jewellery industry, bringing new designs, trends, affordability, and sustainability. With their sparkle and ethical appeal, they represent the future of luxury.
