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https://labgrownmagazine.com/Issues/February2020/
Mainstream Choices
You are holding in your hand the second
edition of LAB GROWN MAGAZINE,
our monthly look at the world of lab-grown
diamonds in particular and other lab-created
gems in general. We are pleased with the
response LGM has received and we would
like to thank our readers who have taken the
time to comment on it.
As I indicated in our launch issue, LGM has
been created as a neutral entity with the goal
of bringing together opinions and activities of
the various stakeholders in this arena. And,
among the most important participants in the
lab-grown arena are the jewelry designers and
brands that use LGDs in their pieces.
The feature article in this issue-Lab-
Grown Diamond Jewelry ‒ Who’s Making the
Cut?-takes a look at several designers and
companies that use LGDs in their creations.
They range from small and newly created
entities to huge mega-brands such as De Beers
and Atelier Swarovski. And, the reasons for
making LGDs a part of their business strategy
vary as much as the designers themselves.
Some cite the growing need to protect and
preserve Mother Earth; others see LGDs
as a more economical way for consumers
to enjoy the sparkle of a gem that would
otherwise be unobtainable; still others believe
that consumers should have a choice in their
purchases, no matter the reason; and there are
those who see LGDs as an inexorable and
profitable evolution of the industry and want
to be in on the ground floor.
Today, lab-grown diamonds represent
a small fraction of the $80 billion mineddiamond
industry (less than 1% with sales of
$75 to $200 million as estimated by Morgan
Stanley), but their presence is growing. And
the disruption LGDs are causing in the
mined-diamond industry is undeniable. But
with this disruption comes responsiblity.
In the next issue, we will take a close look
at new guidelines set by the FTC concerning
created and mined diamond nomenclature
and the responsibilities of those who sell
LGDs and other man-created gems. Until
then, we hope you find this issue useful.
Zev
LAB-GROWN DIAMOND
JEWELRY
Who’s Making the CUT?
By Dan Scott
Sustenance is a word officially linked to the
diamond trade when the Kimberly Process
Certification Scheme (KPCS) was introduced
in 2000 and the Clean Diamond Trade Act was
signed into law in 2003. Ten years later, the
word was seemingly replaced with the term
conflict diamonds, and sustenance was often
used when referring to jewelers keeping their
business afloat.
Today, the diamond industry is enveloped
by consumer and legal mandates surrounding
sustenance. The word has now reached epic
proportions with millions of Gen Z’ers (children
of the Millennials) posting and petitioning to
save Mother Earth, while the diamond domain
faces restructuring of KPCS operations and
plays tug-of-war over mined and man-made
stones.
This article discusses how the industry has
adapted from a design and brand perspective,
while spotlighting a few influencers successfully
moving lab-grown diamonds from mindto-
market.
The Ultimate Sustenance
The diamond and jewelry industry continues
to see serious shifts in retail sales surrounding
diamond jewelry designs. Engagement rings
are aligning with colored gemstone options with
greater frequency, and demi-fine continues to
lead as an affordable, minimalistic category.
Many lab-grown dealers are promoting a
conflict-free diamond guarantee as they sell
ice from their own freezer and not from a
glacier. Through this all, however, one critical
element remains forever sustainable and that
is consumer demand.
Millennials defend the power behind their
consumer demand voice while Gen Z’ers are
using a megaphone for their messages.
Most of the lab-grown world is taking note,
and some are truly conversing with consumers.
That conversation is becoming more personal
and personalized, and directly affects
the future of lab-grown diamond jewelry in both
style and subsequent sales.
Calling All Consumer Demand
Specialists
Anna-Mieke Anderson is the founder of the
New York City-based lab-grown jewelry design
house called MiaDonna. She was quick
to support lab-grown stones many years
ago, after realizing she had unwittingly
purchased a conflict diamond. Days later,
Anderson was motivated to sponsor
a child laborer in Liberia, Africa,
who was working in the local diamond
mining community. After exchanging
several letters, Anderson recalls
a specific sentence from her distant
pen pal. The words would resonate as a
personal and professional game changer. The
African boy wrote that he had a good summer
and that “only one of his friends from the diamond
mine died.”
This ignited Anderson’s philanthropy side
and opened the doors to The Greener Diamond
Foundation. Recently, this non-profit
group created by Anderson, purchased ten
acres of prime diamond mining land in Liberia.
But the land isn’t being used for diamond mining.
All the property purchased is being given
back to the locals, many of whom are trained
to grow their own food, a basic occupation lost
after the civil war. The plan is to offer more
options to make a living, other than mining diamonds.
And, it’s working.
The MiaDonna brand uses the slogan Eco
Diamond in its advertising. In many ways, the
company and its non-profit speak to the same
goals. Doing so secured a coveted corporation
certification—a certification that other labgrown
companies might want to consider.
Many lab-grown
dealers are promoting
a conflict-free diamond
guarantee as they sell
ice from their own
freezer and not from
a glacier.
The Benefits of Being a “B”
Certified B Corporations are businesses meeting
consistent, high standards in verified
environmental and social performance. Select
businesses are graded by “standards analysts”
who work for non-profit B Labs, presently in
Pennsylvania, New York, and Amsterdam. The
B Corp group is governed by a private, nonprofit
citizen’s counsel and is not affiliated with
any government, although it engages with most
governments in many countries.
There are presently 2,500 Certified B Corporations
in 50 countries to date, and the decadeold
B Corp movement continues to gain new
ground, as the worldwide consumer-driven
culture shift comes into play.
The movement focuses on young consumers
expecting and even demanding businesses
to operate in a transparent and sustenant way.
From employees to the community, from the
environment to customers, all aspects of the
supply chain and input materials are considered
in a consumer purchase and the potential
of gaining a B Corp seal. Charitable corporate
giving and positive online employee reviews
are also ranked in an inclusive and sustainable
economy and environment, making B Corps
the modern day Good Housekeeping Seal of
Approval. MiaDonna recently received its certification
as a B Corp company.
As the B group gains more traction, labgrown
firms that are already adhering to many
of its rules may wish to be reviewed and potentially
awarded the certification, a certification
that many Gen Z’ers consider as important as
a diamond cert.
Swarovski Used To Mean Crystal
According to a report in the Financial Times,
the privately-held enterprise, D. Swarovski KG,
has yearly revenues of $4.6 billion with 80%
derived from jewelry sales. In 2018, De Beers’
Element Six was in acquisition mode with this
128-year-old crystal-retailing giant. The buyout,
however, did not occur. What did happen
was a curious conscious luxury union of sorts
between the two mega-brands.
De Beers introduced Lightbox Diamonds in
harmony with Swarovski-created diamonds.
Most of the credit for the equilibrium between
these two global brands goes to Nadja
Swarovski, the corporate branding and communication
mastermind and fifth generation
female executive of the Swarovski empire.
Since 1997, she has consistently forged
premium fashion-based relationships and collaborated
with Hollywood’s hottest properties,
including decades of success with the 007
James Bond brand and the Bond dressed-tothrill
ladies in his life.
This type of marketing marvel sustained over
2,500 Swarovski-branded stores to be top of
mind and on top of sales.
Soon after the Atelier Swarovski launch at
Baselworld in 2017, it was no surprise to see
female celebrities lining up to create their own
lines. What was a surprise was the first person
to make the cut. That position was taken
by the well known hard-rock-luxury designer
Stephen Webster in 2018.
The conversation between
brands and consumers
about lab-grown diamonds
is becoming more personal
and personalized, and
directly affects the future of
lab-grown jewelry in both
style and sales.
Touting his desire for a greener earth,
Webster was quoted in several interviews discussing
his use of recycled 14K gold for this
line, and the use of small, but colorful and conflict-
free Atelier Swarovski-created diamonds.
Next up to the lab-grown diamond bandwagon
was Penélope Cruz-routinely seen
dripping in diamonds on many a Hollywood
Red Carpet-who is a be-good-to-Mother-Earth
parent of two children. She joined Atelier
Swarovski in 2019 with her own branded line of
jewelry.
Atelier Swarovski offers an interesting blend
of colored Swarovski-created diamonds and
created colored gemstones, as well as natural
stones. The merchandise is a mix of jewelry
including solitaire engagement rings featuring
blushing pink and baby blue colored lab-grown
stones integrated with modern, refined fashion
styles with smaller stones.
Meanwhile, getting back to De Beers, the
company’s Lightbox Diamonds has also been
promoting shades of pink and blue lab-grown
stones, while merchandising engagement
rings with fashion designs.
In comparison to the branded “Swarovskicreated”
diamonds, which does not specifically
mention the term “laboratory-grown” diamonds,
De Beers clearly places the term “laboratorygrown”
as part of the Lightbox Diamond brand
and product description.
All “Mine”
But, you don’t need the brand power of De
Beers or Swarovski to sell winning styles in
today’s marketplace. What you do need is to
think like a twenty or thirty-year-old consumer,
or at least understand their mindset. That’s
easier to do so if you are in that age range right
now and selling lab-grown diamonds.
Enter Navonn and Biren Bhansali, a newly
married couple in Chicago in their early thirties.
What is the name of their company? Mine. That
clever brand name speaks both to personalization
and to being Earth-friendly. Mine’s labgrown
diamonds are branded as: Forget mining,
our diamonds are made with you in mind.
The company offers a selection of mostly
small lab-grown stones in a variety of earrings,
bracelets and pendants, at affordable price
points, but doesn’t offer bridal jewels or stones
over one carat.
Earth-mined diamonds sold today may be
stamped conflict-free, but many may be decades
or even centuries old, so who knows the
original history? This is where Mine starts its
peer-to-peer conversations in quintessential,
demi-fine style. In this situation, it’s not so much
the product style that is the major draw (the
collections are inspired by the best-selling
demi-fine designs of the last two years). So
what is the big attraction? Answer: the company’s
founders—people just like those they are
targeting as customers. Trust and the relatable
factor score high with the youth of America,
when it is the youth of America who are offering
the product.
Examples of creations by other small to midsized
lab-grown leaders are shown in this story
with captions that speak to their progress.
Take inspiration from these examples, and apply
your own brand message built around honesty,
personal attention and trending demi-fine
styles to reach newfound lab-grown sales.
Demi-Fine and Lab-Grown
Diamonds
We have used demi-fine several times in this
article and, as a relatively recent term, a definition
is perhaps in order. Basically, it refers to a
hybrid of precious and non-precious materials
crafted within trending designs offered at midtier
retail price points. The term was created
and trademarked by Luxe Licensing, LLC in
2015 to better help categorize and distinguish
this broad type of jewelry
In the last four years, the term demi-fine has
been used heavily within the global jewelry
industry. This category concentrates on minimalistic
looks and streamlined styling, such
as slim, lightweight wrist and ankle bracelets,
bangles, rings, bands, necklaces, ear cuffs
and earrings—many of which are cast in 10K
to 18K gold or sterling silver and feature labgrown
diamonds, lab-grown gemstones, small,
mined diamonds or a mixture of these.
The demi-fine difference is the bridge or
hybrid creation of precious and non-precious
materials produced together within one offering.
Companies such as Neiman Marcus, Saks
Fifth Avenue, J. Crew and WWAKE have been
fast to adopt this term which now produces over
397 million results in any daily Google search.
About the Author
Dan Scott is Founder and Brand Architect
with Luxe Licensing, a brand, marketing and
digital agency with present and past clients that
include Pirelli, Gucci Jewelry, Harry Winston,
Chanel, Erbert Chong, Elf Cosmetics, Creative
Being and more. Dan welcomes conversation
and may be reached at dannjscott@gmail.com
or +1.201.294.3697. (luxelicensing.com) ■
