Indian companies gathered at the Le Royal Meridian on the January 22, 2008, to listen to Liz Chatelain, president of MVI Marketing and Indo-Argyle Diamond Council (IADC), urging them to hang onto US markets despite the rough times. The US markets’ 2007 holiday season sales, had slumped and there is huge pressure on margins.

Liz noted that the jewellery sales slowed down while other luxury goods fared alright. Overall luxury sales were down 4.1 percent but if jewellery was dropped from the luxury category the sales were up 6 percent, according to market reports. The interactive session saw companies raise several questions about the market conditions in US and shopping environments and consumer experience.

Liz suggested that they should start consolidated advertising by raising a small fund to “draw consumers back to the jewellery stores”. De Beers has stopped the vast advertising campaigns it carried on and this has affected sales. The fund would help bridge this gap and lure consumers to the stores.

The impact of media hype of an impending recession and the changing culture (more couples are living together, hence less engagements and less marriages), is another cause for less sales. She also stated that based on her research and talks with major US retailers Liz suggested that diamonds combined with silver and two tone metals could bring down cost of the jewellery and attract consumers. Innovation was the key to keep sales up.