Lab-Grown Diamond Jewelry Market Forecast to Almost Double in Size by 2025
Lab grown diamond jewelry market has seen a steady rise over the last few years. And going by research and reports, its market is going to grow bigger in the next couple of years. In this article, we look at some market trends shaping the lab grown diamonds industry.
Lab grown diamond market to double by 2025
Consider these numbers:
- The use of lab diamonds in jewelry has grown from a few hundred-thousand to almost three million carats in 2021
- In 2021, the global lab grown diamond jewelry sale was approximately $5.9 billion
- Lab created diamonds production is estimated to grow $4 billion by 2025
Even though the lab grown diamond jewelry market forms a small share of the total diamond market, which includes mined diamonds, synthetic diamonds, etc., the share of lab diamonds is increasing year-after-year.
The factors for this boost are consumer preference for sustainable diamond jewelry such as lab created rings, quick adaptation by diamond brands and retailers to cater to this growing consumer preference, cost-efficiency of lab diamonds, and an overall increase in conscious consumption all over the world.
The demand for lab grown diamond jewelry has increased
While earlier consumers bought mostly lab grown diamond rings, over the last couple of years, this has changed. Customers are now open to exploring all kinds of jewelry made of lab created diamonds.
From earrings, to necklace, and bracelets to brooches – customers are now looking for alternatives to mined diamonds. Celebrities endorsing and supporting lab diamonds at red carpet events has also given a push to this trend.
Lab diamonds are also used for industrial purposes. However, compared to industrial use diamonds, the use of lab grown diamonds for different types of jewelry is much higher.
Technology for lab diamonds is advancing
While there are two main techniques to make diamonds in labs – the HPHT and CVD, diamond manufacturers have been constantly adapting their processes to advanced technology. This has led to the production of high-quality diamonds.
Moreover, consumers can get personalized diamonds made. For example, if a customer wants a CVD diamond jewelry piece of a specific carat, size, and brilliance, it’s possible.
Jewelry retailers are making a shift to lab diamonds
To cater to the growing preference for man made diamonds, more jewelry retailers are shifting to using lab diamonds for jewelry such as lab created diamond rings, which is one of the highest selling diamond jewelry items.
Fast forward to a few more years, and research shows that the golab lab grown synthetic diamonds market is estimated to generate a revenue of $32740 million in 2028. This is almost double from 2019, when the revenue was $19145 million.
The impact of the pandemic on lab grown diamond market
Just as most other industries, the pandemic had a negative impact on the lab created diamond industry. The reasons being a disruption in supply chains, low spending capacity of consumers, among others.
With the pandemic induced shut-down of brick and mortar stores, the situation led to an increase in online platforms and channels for the sale and purchase of lab diamonds and lab grown diamond jewelry.
With a preference for more sustainable alternatives across industries, including diamond, the post-pandemic market has seen a greater focus on sustainable production of lab diamonds.
Final thoughts
Whether it’s lab grown diamond rings or industrial use of lab diamonds, recent reports show there’s an upward curve in the market. And there are many factors that are coming together to favor lab created diamond jewelry – from a growing consumer preference for sustainable diamonds to technology advancement in the field of grown diamonds to large diamond retailers and manufacturer making a shift to lab grown diamonds – all the factors have aligned well to push the lab diamond industry in the right direction.
