Summary of "The Jewellery Boom, Explained" – The Business of Fashion Podcast

Release Date: June 24, 2025

Introduction

In the latest episode of The Business of Fashion Podcast, hosts Sheena Butler Young and Brian Baskin delve into the unexpected resilience of the jewelry sector amidst a broader luxury slump. While luxury brands like Gucci and Dior face declining sales and waning consumer interest, the jewelry market continues to flourish both commercially and creatively. Joining the conversation are BoF correspondents Simone Stern Carbone and Joan Kennedy, who provide in-depth analysis and insights into this burgeoning trend.

The Divergence in Luxury Sectors

Brian Baskin opens the discussion by highlighting the contrasting performances within the luxury market:

"After years of record sales, wealthy consumers just aren't shopping like they used to. And brands like Gucci and Dior are struggling to drum up interest in their latest collections."
(00:08)

In contrast, the jewelry sector remains robust:

"Jewelry sales are still growing, and both big conglomerates like Cartier-owned Richemont and indie designers say business has never been better, both commercially and creatively."
(00:39)

Why Jewelry Thrives Over Handbags

Sheena Butler Young probes into consumer behavior, noting the disparity in perceived value between jewelry and handbags:

"Consumers feel like a $5,000 ring or a necklace is worth it, but maybe a $5,000 handbag is not."
(01:05)

Simone Stern Carbone elaborates on this by emphasizing price sensitivity and material value:

"Prices haven't increased as much in jewelry as they have with handbags and some other categories. Customers are sensitive to those increases, especially aspirational luxury customers."
(01:19)

She further explains that tangible materials like gold and diamonds inherently carry luxury value, unlike some leather goods, which face criticism over quality and ethical concerns.

Emotional and Cultural Significance of Jewelry

Joan Kennedy explores the emotional drivers behind jewelry purchases:

"Jewelry purchases have always been driven by emotion... shoppers are looking for things that make them feel something."
(03:58)

This emotional connection is manifesting in the rise of novelty and playful jewelry designs, appealing particularly to younger generations seeking individuality and self-expression.

Contrasting Trends: Minimalism in Fashion vs. Playfulness in Jewelry

While the broader fashion industry leans towards minimalism and "quiet luxury," jewelry consumers are embracing novelty:

"If you're wearing something pretty basic, you might spice it up with more novel and personal jewelry pieces."
(04:55)

Joan Kennedy adds that jewelry serves as a means to inject personality into otherwise uniform outfits, fostering a balance between minimalism in apparel and expressiveness in accessories.

Emerging Designers and Innovative Designs

The episode spotlights innovative designers who are redefining jewelry aesthetics:

• Nadine Gozen: Known for her stackable burger rings, blending whimsy with fine materials.

"She even came out with a veggie version recently... a really funky, childish, mundane novelty piece, but made in really fine materials."
(06:33)

• Jessica McCormack and Completed Works: From high-end diamond necklaces to more affordable, unique designs like the gold-plated scrunchie earrings that went viral during the pandemic.

"She really got known for her diamonds, whether they're in earrings or in engagement rings."
(08:33)

Simone Stern Carbone highlights how these designers cater to different price points and consumer preferences, fostering a diverse and dynamic market.

Marketing Strategies and Consumer Engagement

Joan Kennedy discusses how independent designers utilize relatable and authentic marketing approaches:

"They present their pieces in a way that's very much like real life, making them feel relevant for shoppers right now... replying to DMs about how to style a bracelet."
(14:33)

Simone Stern Carbone further comments on the effectiveness of these strategies in attracting younger, diverse customer bases:

"Jessica McCormick has Zoe Kravitz as the face of the brand... resonating with modern jewelry customers who seek individuality and creativity."
(15:32)

Challenges and Headwinds

Despite the current boom, the jewelry sector faces potential challenges:

• Tariffs: Particularly affecting Swiss-based producers like Richemont, which owns Cartier and Van Cleef & Arpels.

"Tariffs could necessitate price increases, but they've been conservative so far."
(21:10)

• Rising Material Costs: Gold and silver prices are at near all-time highs, impacting profit margins.

"But smaller brands can pre-purchase materials at fixed prices, mitigating some of the impacts."
(22:29)

Joan Kennedy raises concerns about the sustainability of experimental designs amid increasing costs:

"Rising costs could dampen the experimentation and risk-taking that we've seen over the past few years."
(22:57)

Resilience of Independent Designers

The episode highlights the agility of indie designers in navigating market fluctuations:

Simone Stern Carbone points out that smaller brands benefit from personal relationships with customers and flexible supply chains:

"Jessica McCormack has a return customer rate of over 50%... word of mouth and return customers are strong among smaller, independent brands."
(13:33)

Joan Kennedy emphasizes the authentic and approachable presentation of these brands, fostering deeper connections with consumers.

Conclusion

The Jewellery Boom, Explained offers a comprehensive exploration of why the jewelry sector is thriving amidst a challenging luxury landscape. Through insightful discussions with Simone Stern Carbone and Joan Kennedy, the podcast underscores the importance of emotional value, creativity, and authentic marketing in driving jewelry sales. While acknowledging potential headwinds like tariffs and material costs, the episode posits that the agility and personal connections of independent designers position jewelry as a resilient and evolving segment within the luxury market.

Notable Quotes with Timestamps

• Brian Baskin on luxury slump vs. jewelry boom:
  "After years of record sales, wealthy consumers just aren't shopping like they used to. And brands like Gucci and Dior are struggling to drum up interest in their latest collections."
  (00:08)

• Simone Stern Carbone on price sensitivity in jewelry vs. handbags:
  "Prices haven't increased as much in jewelry as they have with handbags and some other categories... customers are sensitive to those increases."
  (01:19)

• Joan Kennedy on emotional drivers in jewelry purchases:
  "Jewelry purchases have always been driven by emotion... shoppers are looking for things that make them feel something."
  (03:58)

• Simone Stern Carbone on Michelin forecast for jewelry:
  "In 2024, the luxury market as a whole declined by 1%. But jewelry, the segment grew 2%... Bain forecast that the sector as a whole will contract between 2 to 5%. But jewelry is the most positively predicted category to potentially grow."
  (18:46)

• Joan Kennedy on authentic marketing approaches:
  "They present their pieces in a way that's very much like real life, making them feel relevant for shoppers right now."
  (14:33)

For more insights and detailed analyses, visit The Business of Fashion Professional.