Dubai's rich splurge on diamond jewellery |
|
Thursday, Sep 04, 2008
Gulf News
Dubai: Dubai consumers are willing to shell out more to purchase expensive and branded diamond jewellery, industry sources said yesterday.
Gold is still considered a better option in terms of investment, but the aesthetic value of diamonds is gaining popularity in the maturing jewellery market. Besides, the growing segment of upscale consumers, those with ample discretionary income, is driving diamond sales up.
According to Karim Merchant, managing director and CEO of Pure Gold Jewellers, the growth rate of diamond sales has outpaced that of gold jewellery, although the latter's sales output is still higher in terms of volume.
"I can't say that diamonds have taken over the gold jewellery sales, but for sure the growth rate for diamond jewellery is higher than gold jewellery, but in terms of volume, gold is much higher," Merchant said.
The Dubai-based jewellery group reported that its diamond sales this summer rose 60 per cent over a year ago.
The increase has topped the 50 per cent total growth for all of Pure Gold's jewellery sales during the first half of 2008.
"Middle East consumers in the last five years have become more brand conscious. They are willing to pay top dollar for design. Resale value of the jewellery is still an important factor, but not so much anymore, especially for the young buyers," Merchant told Gulf News.
Rolf Schneebeli, former head of the World Gold Council, confirmed there has been a shift in jewellery preference among consumers, a sign that the jewellery market is maturing and people's purchasing power has risen significantly.
"A lot of wealth is created. We have seen more consumers coming into the market who can now afford to purchase high-end jewellery," Schneebeli told Gulf News.
He said diamonds are still not a better investment alternative compared to gold, but their artistic value is what attracts many consumers.
The number of super-rich residents in the region, those with net assets of at least $1 million, rose 8.3 per cent in 2006 to 9.5 million.
© Gulf News 2008. All rights reserved.
Loading ...-
Zawya encourages you to add a comment to this discussion. You agree that when you add content to this discussion your comments will not:
1.1 Contain any material which is libelous or defamatory of any person, is obscene, offensive, hateful or inflammatory or causes damage to the reputation of any person or organisation.
1.2 Promote sexually explicit material, violence, discrimination based on race, sex, religion, nationality, disability, sexual orientation or age or any illegal activity.
1.3 Be made in breach of any legal duty owed to a third party, such as a contractual duty or a duty of confidence.
1.4 Be threatening, abuse or invade another's privacy, or cause annoyance, inconvenience or needless anxiety.
1.5 Be used to impersonate any person, to misrepresent your identity or affiliation with any person, or be likely to deceive any person.
1.6 Give the impression that they represent Zawya.
1.7 Advocate, promote or assist any unlawful act such as (by way of example only) copyright infringement or computer misuse. - The content posted on www.zawya.com is created by members of the public. The views expressed are theirs and unless specifically stated are not those of Zawya. Zawya reserves the right to review all comments prior to posting and edit or delete any contribution, but Zawya is not responsible for and can not be held liable for any content posted by members of the public on www.zawya.com.
- Zawya is not responsible for the availability or content of any third party sites that are accessible through www.zawya.com. Any links to third party websites from www.zawya.com do not amount to any endorsement of that site by Zawya and any use of that site by you is at your own risk.
- By submitting your comment, you hereby give Zawya the right, but not the obligation, to post, air, edit, exhibit, telecast, webcast, re-use, publish, reproduce, use, license, print, distribute or otherwise use your comments worldwide, in perpetuity.
Stories
Companies
| Company Name | Country | Industry |
| Consolidated Contractors Company | Overseas | Construction and Design |
| Saudi Binladin Group | Saudi Arabia | Construction and Design |
| Saudi Telecom | Saudi Arabia | Telecommunications Services |
| Nissan Motor Egypt | Egypt | Transportation Products |
| KIA Motors Saudi Arabia | Saudi Arabia | Transportation Products |
| Ministry of Health - Saudi Arabia | Saudi Arabia | Ministries and Municipalities |
| Al Rashid Trading and Contracting Company | Saudi Arabia | Construction and Design |
| Al Azizia Panda United Company | Saudi Arabia | General Retailers |
| Dodsal Engineering and Construction | UAE | Construction and Design |
| Saudi Arabian Oil Company | Saudi Arabia | Oil |
Projects
| Project Name | Country | Sector |
| Ras Girtas Power Company - Ras Girtas IWPP | Qatar | Power and Water |
| IGD - Gasco - Habshan 5 Gas Processing Plant | UAE | Oil and Gas |
| Emirates Aluminium (EMAL) - Smelter Complex | UAE | Industry |
| SATORP - Jubail Refinery and Petrochemical Complex | Saudi Arabia | Oil and Gas |
| Takreer - Ruwais Refinery Expansion | UAE | Oil and Gas |
| Qatar Foundation - Sidra Medical and Research Center | Qatar | Real Estate |
| Aramco/Dow Chemical - Ras Tanura Integrated Refinery and Petrochemicals Complex | Saudi Arabia | Oil and Gas |
| Dubai RTA - Dubai Metro | UAE | Infrastructure |
| Abu Dhabi Ports Company - Khalifa Port and Industrial Zone (KPIZ) | UAE | Infrastructure |
| SATORP- Jubail Refinery and Petrochemical Complex - Conversion Unit and Sulphur Package (Part 2) | Saudi Arabia | Oil and Gas |
Dubai definitely has become a playground for the middle easts' super-rich and the increasing sales of high end designer diamond jewellery is proof of that. [Report Abuse | Email to a Friend | Reply to this Comment]