Jewellery Focus JFOC July 2017 digital | Page 7

MONTH IN REVIEW GO ONLINE www.jewelleryfocus.co.uk START: THE MONTH’S NEWS BEGAN HERE M&A Citizen Watch and Bulova announce merger Citizen Watch UK and Bulova UK have announced they will be merging their UK operations. The decision has been made by Citizen Watch America, which is the parent company for both watch brands, in hopes of streamlining operations in the UK. To accommodate this, the BUK office in Watford will be closing and business will be transferred to CWUK’s Wokingham office. Jeffrey Cohen, president of Citizen Watch America, said: “With both sides of the business utilising shared resources at its core; each brand will gain from enhanced productivity, updated systems and processes, increased knowledge sharing and best practice resulting in greater efficiencies and cost savings across the group.” The merger will be effective from 31 December 2017. America has recorded five years of consecutive growth in the diamond industry, and its consumers now account for roughly half of all diamond jewellery sales worldwide. Bridal jewellery accounts for the most sales but a higher value of spend from single women has driven demand. Both single and married women saw an increase in self-purchase trends. Some 57% of self-purchased diamond jewellery is acquired by married women, while a third is from millennials. Retailers also reported high levels of consumer interest for multi- diamond pieces. The data showed that consumers are spending more per piece on diamond jewellery, with retailers reporting an increase in the $1,000 (£776) to $4,999 (£3882) category.Globally, demand for diamond jewellery in 2016 increased marginally in US dollars (at actual exchange rates) to $80 billion (£6.2bn), with demand growth from the US offsetting a contraction in India. Further marginal growth in US dollar terms is expected in 2017. Bruce Cleaver, CEO of De Beers Group, said: “American consumers continue to express strong desire for diamonds, but their purchasing habits are changing rapidly. “However, while US demand drove global growth in 2016, it is increasing demand from emerging markets that is behind the last five years being the strongest on record. Despite some markets facing challenging conditions last year, we see this trend continuing, with improvements in demand from China and India, in particular, emerging in 2017.” DIAMONDS American diamond demand drives global sales American diamond jewellery demand has reached a record high of $41bn (£32bn), according to data published by De Beers Group. The US consumer demanded exceeded $40bn for the first time in 2016 with a 4.4% increase. July 2017 | jewelleryfocus.co.uk Hallmarking in May fell 14.1% to 732,159 items (compared with the previous May) 1 2 3 4 5 6 SUPPLY CHAIN IIDGR unveils first synthetic tester for multiple mounted stones The International Institute of Diamond Grading and Research (IIDGR) has unveiled its new screening device to test multiple synthetic gems, SYNTHdetect. The device, created by the De Beers Group company, is the “first in the industry” with the ability to test multiple mounted stones at once without the need for a probe. It is also said to have the lowest referral rate at around 0.05% which means a reduced need for further testing and a potential reduction in costs, when compared to other screening devices with referrals of around 10%. The device was unveiled at the JCK show in Las Vegas and uses IIDGR’s patented luminescence technology to screen stones set in a wide range of jewellery pieces. SYNTHdetect is said to have been designed “specifically for back office use to support jewellery manufacturers and retailers to better and more easily ensure the authenticity of the diamonds they purchase.” Jonathan Kendall, president of IIDGR, said: “SYNTHdetect screens multiple stones in set jewellery quickly, easily and reliably, and with the industry’s lowest referral rate. It will provide jewellery manufacturers and retailers with greater levels of assurance that every diamond they purchase and sell as a natural diamond is exactly that.” JEWELLERY FOCUS 7