India’s platinum jewellery sales up 24% in 2015

Platinum Guild International (PGI) announced an analysis of platinum jewellery demand through its third annual Retail Barometer. The Retail Trade Barometer is an annual report by PGI specifically analysing retail sales and trade sentiment for the forthcoming year in the four key international platinum jewellery markets of China, India, Japan and USA. The research was conducted in January and February 2016.

In its focus on the Indian market, the research survey covered over 21 retail companies, with approximately 310 retail outlets across the key platinum markets across India. It recorded an increase of 24 percent in platinum jewellery retail sales in 2015, the only category to consistently grow every quarter. It found Platinum jewellery to gain growing consumer acceptance supported by increase in distribution and successful branded programs. In India, the report findings included, Platinum rings and bands launched in 2009 on the back of Platinum Day of Love, are now considered a main stay category and a high acceptance of platinum in the category of Couple Bands. The bridal jewellery collection Platinum Evara launched early last year has gained appeal among consumers and its advertising and marketing program has driven both consumer enquiry and sales, while also driving men’s jewellery sales.

Increasing acceptance of platinum by men has ensured a high growth in men’s Jewellery, fuelling growth of plain platinum sales which now contributes to 47% of sales.

In the international markets, the report noted that the low platinum price has created a buying opportunity for more consumers, as well as a margin opportunities for retailers. The US market had an overall growth of +10 percent, owing to the low platinum prices. In China retailer chains and PGI’s strategic partners significantly outperformed the market and in Japan demand for platinum jewellery coupled with a shift in share of heavier product led to an overall growth of +2.7 percent.

Huw Daniel, CEO of PGI, commented, “Despite manifold challenges in the luxury category and a difficult year for jewellery in general, jewellery retailers vested in platinum have weathered the storm ahead of their peers. The historically low platinum metal price has benefitted consumers and retailers alike, presenting a unique opportunity to acquire the most aspirational fine jewellery.”