According to the Millennial Mindset Report, jointly compiled by the Boston Consulting Group (BCG) and Worth Media Group (the publisher of the finance and lifestyle magazine Worth), millennials are becoming a dominant force in the jewelry market. This trend emerges despite early indications that the industry struggled to adapt to millennial preferences.
BCG researchers found that millennials (born between 1981 and 1996) are more likely to purchase jewelry than older consumers. The survey revealed that 55% of millennials bought jewelry in the past 12 months, compared to only 41% of Generation X and 33% of baby boomers. Additionally, 48% of millennials purchased watches, while the figures for Generation X and baby boomers were 31% and 30%, respectively. The report further indicates that 63% of millennials bought luxury goods in the past year, compared to 50% of Generation X and just 31% of baby boomers.
For the ultra-wealthy millennials (defined as having a net worth of more than $3 million), the numbers are even more striking: 71% purchased luxury goods, 68% bought jewelry, and 59% acquired watches.
The survey highlights that some of millennials' favorite jewelry brands include Gucci, Buccellati, Cartier, and Pandora. For luxury watches, brands like Breitling, Patek Philippe, Rolex, and Panerai topped their list.
“Seventy percent of millennials say that making a good impression is important to them, and 54% say they like to show off their wealth and success,” writes Sean Captain, executive editor at Worth, in the report. “Perhaps understated luxury is dying—or maybe it never caught on with this generation.”
The influence of online information sources, particularly design and lifestyle media, has become a major driving force behind purchasing behavior for the Gen Z audience. This dynamic is one that many in the older generation of the jewelry industry have difficulty grasping due to the rapid pace of market changes. Whether in China or globally, speed seems to be the current market mantra. However, in China, much of the jewelry and diamond industry media merely relay news without independent analysis or strategic thinking. Such an approach not only misleads industry players but also isolates them in their echo chamber of self-congratulation. It’s time for a broader perspective on the global jewelry market landscape. While the dreams of cultivated diamonds and gemstones might seem appealing, without understanding the real rules of the game, getting left behind is inevitable.
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