French market
The diamond market in France
The diamond is a brilliant, hard, usually colourless, hard precious stone that can take the form of a jewellery diamond or an industrial diamond. The diamond market is a sub-segment of the jewellery market which has changed significantly following the acquisitions of the major luxury goods players who participated in the concentration of the sector.
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The diamond is a brilliant, hard, usually colourless, hard precious stone that can take the form of a jewellery diamond or an industrial diamond. The diamond market is a sub-segment of the jewellery market which has changed significantly following the acquisitions of the major luxury goods players who participated in the concentration of the sector.
The world diamond market represents more than $70 billion and in France, the figures lack precision because of a certain market opacity . However, the diamond market accounts for a significant share of the jewellery market, up to more than a third of this market. It should be noted that diamonds are an indissociable element of the jewellery market as they contribute to generating traffic in stores and to conveying a prestigious image that encourages consumers to buy.
Diamond dealers work in workshops integrated into the companies of trading or in small workshops (about ten specialized craftsmen in France). In France, 80% of diamond manufacturing is carried out by craftsmen with fewer than 10 employees: the market is therefore very small nuked . This is a niche business with a high level of know-how.
The luxury groups began a strategy of buying up jewellery houses in the mid-1990s and consequently a phenomenon of concentration. Thus, LVMH, a major player in the luxury sector, bought Fred, Chaumet and Bulgari. The strategy of the major groups consists in integrating the most value internally, including the know-how of the diamond dealers.
Faced with the strong competition represented by the players indian and Israeli French companies are relying on original creations and on the very high end. France can rely on an image of quality and prestige conveyed by the great luxury houses and renowned boutiques on Place Vendôme.
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