Market Research Report Economic Boom To Raise The Demand For Luxury Jewel | Page 2

After the crises in Russia, people again started choosing gold jewellery and a
hollow construction of a layer with diamond gilt, which is considered by low
prices and less weight. It also became very popular between low class and middle
class people. In 2016, the people with higher income did not show any change in
behavior and preference in the purchase of luxury goods at the time of economic
crises. They continued to spend money on luxury jewellery. Therefore, the effect
on economic crises and devaluation of national currency was not suffered by
luxury jewellery. To maintain their wealth, spending of luxury jewellery was
considered as investment tool under more challenging condition of the economic
downturn in Russia.
According to the market research report "Luxury Jewellery in Russia", in 2015,
the leading player of luxury jewellery was Sokolov OOO a domestic company in
Russia, with a retail value of 7%. Through the continuous enhanced product
portfolio, the company aimed to collect all types of consumer segment ambitiously.
Utilization of precious metals and up-to-date design are the features offered by the
product of Sokolov OOO. In 2015, the company witnessed the largest growth
because of the offers of silver items.
Luxury jewellery is expected to show growth of 2% at constant 2016 prices in
future years. It was expected that people would tend to demand cheaper option
because of lower disposable income in future as well. However, in 2018 it is
expected that the economic situation will be restored and will boost up the demand
for luxury jewellery.
Axnoff Jewellery, Alchemia, Markin Fine Jewellery, Gourji and Yana
Raskovalona are the top five Russian brands, which are gaining popularity and
recognition worldwide. The luxury jewellery manufacturers seek out the global
best practices, technology in Russia. There are more luxury jewellery brands,
which have become successful in Russia like- Alena Gorchakova Jewellery,
Chapurinrwady to wear Jewellery, Gaydamak Jewellery, Clvex Jewellery, Faberge
Jewellery, etc.
It is not only a stereotype but data has also shown that the brands, which offer
“bling” to meet Russian taste, will succeed in the Russian jewellery market. Not
only people with higher income spend money on luxury jewellery but also the
middle class people tend to buy luxury jewellery for investment and future
benefits. In addition, after the Soviet Union adaptation buying luxury goods
became a trend, as there was sudden increase in purchasing power.