It was four years ago, an initiative was thought out. An initiative that contains the power to change the face of the global diamond industry was thought out loud amongst four bright and experienced minds of the industry. Suresh Hathiramani, President, Diamond Exchange Singapore, Rumi Baron, President, Diamond Dealers Club of Australia, Alex Popov, President, Moscow Diamond Bourse and Nicholas Chretien, an marketing visionary, worked steadily together for a year with a determination to lay out a solid blueprint that was worthy enough to be proposed to the members of the prestigious committee, World Federation of Diamond Bourses (WFDB). They called this idea, the World Diamond Mark (WDM).
It was in the World Diamond Congress in Dubai in 2011, the idea for the WDM was revealed to the WFDB members. The members seemed convinced and offered to provide the seed capital to road test this new idea. Though this was just an idea but it had some spark and the members knew it.
Albeit, the goal was established, there was no turnkey solution at the initial stage. The team decided to take a year and reveal the game plan in the next congress, held in Mumbai. They were on scout for something that would immediately strike a chord with people. A simple and comprehendible concept that would benefit the global diamond industry was conceptualised. This concept was revealed to the world at the World Diamond Congress held in Mumbai in 2012. It was the overwhelming response that fuelled the growth of this initiative. No idea can be fructified without a backing of immense groundwork and research and in order to bring concrete results, it meant investigating the problems that the diamond sector was experiencing in marketing and promotion. As expected it boiled down to a lack of generic promotion. It is a noted fact that there is not only a lack of generic marketing when compared to other luxury products that are heavily promoted, but that the diamond pipeline has fundamentally changed in recent years, thereby compounding the difficulties.
One of the foremosttheories of the World Diamond Mark is the issue of comprehensiveness – ensuring that all sectors of the diamond pipeline are symbolizing including the jewellery retailers, who are the face of the industry to the end consumer.
The Progress of The Plan
Rumi Baron, one of the four-team members who thought of WDM idea shared, “The need and desire for a fundamental change in the industry is massive since there is no real alternative to moving forward. While the concept of branding is rather exclusive, we want to make the WDM extremely inclusive. We want to make it so that everyone can benefit and we are making big efforts to be inclusive.”
Taking the point of inclusiveness further, Alex Popov, Chairman, World Diamond Mark Foundation (WDMF), says, “Since the start of the work, the World Diamond Mark has made serious progress in developing the concept and preparing the groundwork for the launch. Our team has travelled the world and got the inputs of all industry stakeholders. We have always established that we’re inclusive, not exclusive, and listen to the views and opinions of the others. As a result we have amended the core participation principles of the World Diamond Mark. From the beginning we had planned to rely solely on the network of Authorised Diamond Dealers (ADD). During last four-five months we have encountered great interest and support from big chains as well as providers of services to the diamond and jewellery industry.Therefore, we have developed a 2-tier membership structure that allows jewellery retailers to become ADDs as well as to take active participation in WDM promotion activities on local and global scale. The 2-tier membership means that any Authorised Diamond Dealer, small or large, may contribute additional funds to specific generic promotion campaign or event. We call it Strategic Partnership that can be global or local, depending on the scale of contribution.”
When asked to share about the interest that is being generated in the industry, he has a content look and articulates; “We have seen a great deal of interest from various related companies to the WDM programme. So, we have taken a decision to introduce the Global Partner concept where biggest service providers to the industry will become partners of the initiative. The rationale behind this is simple – for years these companies benefited from our industry providing financial, logistics, certification, equipment, exhibition, insurance and other services. Today, when the industry is fighting to renew its image and regain the market share, it is their obligation as well as business interest to take part and return a token part of their profits to the common cause. Therefore, the WDM team and myself met and discussed the programme with industry leaders in China, Hong Kong, Dubai, USA, Belgium, India, Russia, Israel, South Africa, Italy, Turkey, UK, Singapore and Australia. We have signed MoU with GJEPC, HRD and IDMA who wholeheartedly support the initiative. Other major organizations are considering or negotiating similar documents while we speak.”
He further adds, “Everybody is looking forward for the other to take the first step when it comes to generic promotion. The reaction to WDM marketing plan is overwhelming – everybody hails it and sees the opportunities. We have to be very careful not to allow private interest to take over the common goal – health and future growth of diamond sector in the luxury industry.”
Aims and Ideologies of WDMF
The need for generic promotion of diamonds is getting more and more crucial in the current era as diamonds are vying for attention in competition with other luxury sectors such as designer couture wear, watches, automobiles, gadgets, luxury holidays, etc. The spending power of youth has increased manifolds throughout the world and this young hip population is inclined towards other luxury sectors much more than the diamonds. Then how can the industry catch the attention these smart-suited, superkids? The answer is simple, by uplifting the image of diamond as a ‘hip’ and ‘status-symbol’ commodity such as an exorbitant gadget or automobile.
Popov concurred to this point and added, “Undeniably the branding characteristic is very significant. In today’s world, non-branded goods are observed as being inferior in comparison to branded. We appreciate all jewellery and diamond companies’ brand efforts and advertising. What the World Diamond Mark is about is branding of the diamond itself, irrespective of the jewellery brand. While individual brands are contending with each other in same jewellery shop, we contest with other luxury items, like, gadgets, travel, boats, etc. with the determination to help increase the Authorized Diamond Dealer’s turnover and, in turn, increase the probability of sale of individual jewellery brands.Most diamond manufacturers recognise the necessity of such promotion and are willing to go to great lengths to safeguard the health and growth of the diamond industry.”
When requested to list out, three principles of World Diamond Mark, he states, “The three principles are: a) Education of jewellery retailer about diamonds; b) Confidence of the public with an accreditation program; c) Generic marketing to promote diamonds and diamond jewellery based on the Authorized Diamond Dealer concept.”
The Challenges Faced
No prolific idea has seen the light of day with ease. It has its own challenges and it needs determination to overcome all the hurdles to let that idea shine. The diamond industry is a closely-knit industry, most say. But, there have been incidences in the past that prove otherwise. Lack of transparency giving rise to distrust is one of the biggest challenges faced by country. Does the WDMF also face this hurdle, was our next question to Popov. “The most serious challenge that the World Diamond Mark faces is the one from within our own community. When we speak with ‘outsiders’, like other industries’ leaders or major promoters and personalities, they take our claims of unity of diamond and jewellery industry at face value. Hence, their desire to support the initiative is great. When we come back home, to our industry with results or ideas, we often face skepticism or indifference, like the issues we are dealing with don’t concern anybody. I assume this is normal in any community and this does not easily discourage us,” he tells us earnestly.
The world is a dynamic mix of the good and bad, trusting and skeptical, supportive and unsupportive and the same can be said about our sparkling industry of diamonds. Thus, Popov adds, “The diamond industry is full of smart and visionary people who pledge their support as soon as we are getting our message across. I am thankful to WFDB President Ernest Blom who is one of such visionary figures and takes active role in the WDM initiative. The challenge is to transform vocal support into practical steps and the groundwork.”
Suresh Hathiramani, President, Diamond Exchange Singapore also was in agreement to this point and said, “Synthetics is one of the biggest issues that our industry is facing and it can be a huge hurdle for the industry’s growth. This obstacle can be eliminated only if we as a community, indulge in self-policing and keep the synthetics at bay.”
Future Plan of Action for WDM
Although the initiation of the World Diamond Mark campaigns have been delayed due to various legal issues, the plan is now set to roll. Talking about the future plan of action, Popov states, “Right now our team is working on planning and budgeting of marketing campaigns and initiatives, building up the structure and preparing for the launch. The soft launch will take place in Hong Kong on March 3, 2014. Soon after, we will roll out the first program in Turkey at the end of March and the Global launch is planned with the big fanfare on September 17, 2014 in Hong Kong.”
Throwing light on the countries and regions where the campaigns will have their debut, he informs, “The first area to launch the generic promotion campaign will be Turkey. There the WDM has joined forces with HRD and local stakeholders to start with the programme from this spring, itself. Turkey has enormous potential for development of diamond jewellery retail. The market there is in dire need of supervision and the improvement of image. This opens great opportunities for the WDM to prove the world that its programme is viable and sustainable if we have strong and devoted local partners.”
He further shares, “After the launch in Turkey we will continue to prepare the global launch with emphasis on Hong Kong and China in September. We are working in the Middle East and GCC countries to start before or simultaneously with China.The launches in the U.S., India and some other markets are planned for 2015.Having mentioned these regions does not indicate that we won’t accept members from other countries. Any retailer who wishes and can be accepted as the Authorised Diamond Dealer will be able to join the programme this year via WDM website and via local diamond bourse or jewellery association.There are also several local initiatives, which WDM is currently working with, like Antwerp’s Most Brilliant Label, which was launched recently. We support every local initiative to raise the quality and the profile of diamond jewellery retailers and improve consumer confidence.”
Criterion For Choosing The Regions
The regions from where the programme will be first launched are the decisions of the utmostimportance, as this will prove the viability of the initiative. Will it work, not work, make a difference or won’t, will take time to be judged. But, the initial vibe in the markets just after the launch of the programme, will show the mirror and help set expectations at the right pedestal. Therefore, choosing these markets was a decision that needed much deliberation for the WDMF.
When asked to share the criterion for choosing the countries, Popov explains, “There are several reasons for the choice of areas/regions to launch the World Diamond Mark programme. Some of which are: a) Importance in diamond supply pipeline. Here, obvious choices are Hong Kong/China, U.S., Middle East and India; b) the need of apt self-regulation and consumer confidence improvement. Here, Turkey, Russia, China and other countries are important; c) Ability to find strong likeminded local partners who will lead the campaign in their respective areas.
Those were the reasons for choosing Turkey, China and the Middle East as our fist markets. Our goal is to cover the whole world by the year 2020.”
Message To The Industry
Alex Popov, Chairman, World Diamond Mark Foundation:
“The diamond and diamond jewellery industry is relatively small and insignificant in the global marketplace. When we hear of Verizone/Vodafone $130 billion deal or AOL/Time Warner $182 billion acquisition, the small size of our industry is reinstated. Such deals are less and less uncommon in today’s day and age but every time they take place, we can’t comprehend that 10 times of global polished diamond output has been transferred in one day from one private company to another with a stroke of pen.
Global luxury industry grew 65 per cent from 2000 to 2009 and since the crisis, it has re-bounced with another robust 50 per cent growth. Burberry, Armani, PPR, LVMH, Richemont, Hermes, Prada and others are performing very well, as are Swiss watches, boats, cars, art, exotic vacations, cosmetics brands, gadgets and others. Yet share of diamonds in this luxury pie is declining, as are manufacturers’ profits. In addition, all other luxury brands squeeze us for another percentage point themselves working with 800 per cent consumer margins.
Being the smallest kids on the block, our industry’s biggest companies find it hard to speak on equal terms with these giants, let alone remaining 99 per cent of diamond manufacturers and dealers. All of us are destined to play the role of anonymous suppliers or servants at other people celebrations.
In order to regain our former position, when the diamond was the ultimate symbol of luxury we need to think big, like other industries do. Think and plan in the real world, where other people sell and buy companies for billions and then celebrate in style. If united then the diamond industry can do it. Itcan become an equal to sit at the table, not to serve. Then we’ll be treated as equals as well.
Diamonds are losing consumer image, industry is being labeled criminal, terrorist and unscrupulous. Yet every lady proudly throwing these unfair accusations from high places wears a diamond pendant or earrings bought or given to her in the name of Love. So the battle for her soul is not lost.
When the World Loves, We Are Here- this is the slogan of the World Diamond Mark – join us to make it happen.”
#1
Diamond World Tour:
The most amazing diamond and diamond jewellery exposition tour to keep the dream alive.
In association with the world’s most famous jewellery brands, private collectors, designers and exceptional and unique exposition around the world, The Diamond World Tour will take place in all major markets. The aim of this tour to promote diamond and diamond jewellery on the local media scene and give the opportunity to local retailers to be associated to this unique program/exposition.
#2
My April Diamond
Buy diamond jewellery in April and get a change to win the most beautiful diamond in the world.
In association with diamond producers, designers and manufacturers, WDM organises every year in April an international contest to win an exceptional 4-carat diamond ring designed by a celebrity designer. Any jewellery retailer member of a local jewellery association can be associated to the contest.
#3
Choose Carefully…
If she or he said yes to your diamond ring, get a chance to win the world’s most luxurious honeymoon.
In association with the diamond industry, airlines and luxury hotels, WDM organises every year an international contest to win an exceptional honeymoon experience. First-class room suites and most romantic time for 20 days around the world will be the winning prize. Any jewellery retailer member of a local jewellery association can be associated to the contest.
#4
A Sparkling Gift Idea
WDM jewellery gift card: the gift of choice for diamond jewellery lovers and connoisseurs.
In association with a credit card company, WDM created the WDM Gift Card. A prepaid card with special benefits and advantages for diamond and diamond jewellery lovers is the highlight. The objective of the card is stimulating gift jewellery purchases and redirect the prepaid and gift market to jewellery retail. Any jewellery retailer member of a local jewllery association can be associated to the programme.
#5
Diamonds From The Sky
Redeem your airline miles for diamond and diamond jewellery gift card.
In association with airlines companies and airline alliance programs, WDM offers through partners’ service the possibility to get gift card voucher in exchange of airlines miles. The objective is to access to million of Airline’s frequent flyer cardholders, business and first class passengers. Any jewellery retailer member of a local jewellery association can be associated to the program.
#6
Free Marketing Materials
WDM promotes and supports small jewellery businesses with professional marketing tools.
In association with creatives and advertising agencies, WDM gives access to a free catalogue of seasonal ads, indoor visuals, postcards and much more to support marketing and branding initiatives of small and independent retailers. Any jewellery retailer member of a local jewellery association can access to the programme and license.
#7
Diamond Fashion Festival
Every year during two weeks, jewellery stores become the scene of an incredible diamond show.
In association with local jewellery associations and retailers, WDM organises every year the diamond fashion festival. A jewellery retail festival to celebrate the art of diamond jewellery is sure to catch consumer attention. The goal is to create visibility and awareness for diamond and diamond jewellery in the luxury sector and give the opportunity to local retailers to be associated to the programme/event.
#8
Pick Your Dream Diamond
Get 12 months interest free credit when you buy a diamond or diamond jewellery.
In association with banks, WDM makes the diamond dream, more accessible to the generic public and make possible the purchase of several diamond jewellery pieces a year. Any retailer member of a local jewellery association can be associated to the programme.
#9
Sparklingflash.com
Largest online private sale discount site for diamond jewellery lovers and connoisseurs.
In association with online flash sales special and auctions and private sales leader, WDM creates the world’s largest diamond jewellery flash sales website. The objective is to develop a high-end discounting and destocking platform for diamond jewellery retailers and diamond jewellery brands. Any jewellery retailer or brand member of a local jewellery association can be associated to the programme.
#10
Generic Media Campaign
Generic consumer marketing programmes to drive desirability, awareness and market share.
In association with partners and sponsors, WDM offers a wide range of support from targeted online (digital, mobile, social media) and mass media advertising campaigns (TV, print, outdoor), trade show and other public relations activities. The aim is to make diamond the first choice and stimulate diamond industry growth and development around the world.
Marketing Plan for Authorised Diamond Dealer (ADD)
Authorised Diamond dealer is the most determined accreditation programme in the history of the diamond industry. The programme gives entry to educational and degree programmes, trade benefits, exclusive marketing programmes and tools, and presents the chance to be associated to the most direct and engaging campaign to sway the choice of the consumer when buying diamond or diamond jewellery.
#1
The ADD Campaign
For a sale and responsible purchase, always prefer an Authorised Diamond Dealer, Always.
In association with local and international celebrities, WDM created the ‘think jewellery’ advertising campaign encouraging to buy jewellery only from an Authorised Diamond Dealer. The aim is to create the most direct and engaging campaign to influence the choice of the consumer when buying diamond diamond or diamond jeweller. ADD retailer only.
#2
WDM eCampus
The online education and degree programs for the diamond jewellery retail industry.
In association with educational institutions, WDM offers jewellery retailers free online diamond educational, evaluation and certification programmes. The aim is to provide high quality programmes to support employee skill development and cultivate excellence in the diamond client relationship. Free inscription for ADD.
#3
Marketing and PR resources Centre
An expert team dedicated to support and increases the visibility and awareness of Authorised Diamond Dealers.
In association with partners and sponsors, WDM offers a wide range of support from ADD marketing materials to ADD targeted online and mass media advertising campaigns, trade show and other public relations activities. The objectives are to make ADD the first choice of consumer and stimulated ADD growth and development around the world.
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