David Kellie‘s Key Points • Natural diamonds are now appearing more frequently than ever in popular culture and the mainstream media. • Consumers in the West are not aware of price fluctuations in the diamond industry and are highly influenced by marketing. • To ensure the success of natural and laboratory-created diamonds, the industry must market them as two independent categories. |
Natural diamonds are among the most ancient, precious and real treasures any of us will ever own. Their creation and voyage to us is incredibly serendipitous - up to 3.5 billion years old, these rare stones were created by nature’s extreme heat and pressure, deeper within the Earth than any other precious gemstone.
These geological marvels embody Earth’s ancient history and unparalleled authenticity, keeping these secrets within each piece of natural diamond. Volcanic eruptions carried these treasures closer to the surface, where they awaited discovery.
Today, diamonds are found in the remnants of ancient volcanoes known as kimberlite pipes. An aspirational purchase, they have always fascinated our world with their rarity, purity, and symbolic power. A stone encapsulating pure origins, it embodies both eternity and excellence. These are values that no other luxury item can lay claim to.
The value of a diamond comes from its symbolism, status and rarity as a finite, natural stone. Their rarity is unmatched. In fact, the supply of diamonds is so limited that all diamonds over one carat unearthed in a year could fit inside a single exercise ball.
This scarcity contributes to their lasting worth, with natural diamonds appreciating by an average of about 3 per cent per annum over the past 50 years.
The first diamonds were found in India more than 4,000 years ago in the Golconda region, immediately capturing the interest of the world’s royalty, collectors and historians – including Cardinal Mazarin, who brought the magnificent diamonds to enrich the French Crown Jewels, significantly enhancing their value and prestige.?
This discovery set the stage for a legacy that would span millennia.??
The French Crown Jewels, witnesses to royal splendour and the Napoleonic reappropriation, embody the symbolic power and cultural influence of natural diamonds. They remind us how much this precious stone has marked our collective memory and continues to inspire contemporary creation.
From there, diamonds spread across cultures and continents, symbolising eternal love, power, and enduring value. For centuries, natural diamonds have been woven into human culture, from royalty to cinema, fashion to sports.
They have a timeless brilliance and versatility that transcends trends. Diamonds commemorate life’s milestones, and their value remains from one generation to the next.
Cultural relevance and increased popularity
Natural diamonds are now appearing more frequently than ever in culture and media, transcending genders, decomposing and recreating new styles.
Influencers, sports figures, singers and actresses — from Elizabeth Taylor to Taylor Swift, Selena Gomez, and Zendaya — have long influenced engagement ring trends. Some rings inspire generations, others redefine jewellery itself.
The engagement announcement of Taylor Swift and Travis Kelce earlier this year was certainly the ‘Super Bowl’ for the diamond industry, predicting a boost in demand for similar diamonds and cuts.
The extensive global coverage of their news was primarily focused on the choice of ring. We were delighted to see it’s a shape that beautifully blends vintage elegance with modern sophistication.
The choice of an antique diamond also reflects an interest in story and provenance, which is characteristic of Taylor Swift’s generation.
Many old-cut diamonds have been re-fashioned, which means their rarity increases by the year, providing an important node to the secondary market and the story of the value of natural diamonds.
In a similar fashion, the wedding of Selena Gomez and Benny Blanco featured a very well-curated diamond jewellery collection, helping them express themselves, their love and their unique sense of style. Selena Gomez’s jewellery choices represented a true reflection of her singular sense of style, but equally, the groom stood his ground, representing the rise of an entire generation of men’s jewellery globally.
The likes of actor Timothée Chalamet, rapper A$AP Rocky, actor Colman Domingo, Formula 1 race car driver Lewis Hamilton, multi-talented Pharrell Williams, much-acclaimed footballer Cristiano Ronaldo, extremely popular actor Deng Wei and many more are the strongest ambassadors for a new male-centric approach to buying natural diamond jewellery.
The vague promises of synthetic stones
As shared in one of our latest reports, a diamond is something to behold from all angles, with its brilliance arising from how it reflects light in all directions.
Sadly, claims about the diamond industry are often polarising, shedding light on single facets; however, they fail to reflect the full picture.
This is especially the case when laboratory-created diamonds are discussed or marketed.
Laboratory-created diamonds, also known as synthetic diamonds or laboratory-grown diamonds, have been on the market since the 1970s, with gem-quality products and commercial manufacturing having dramatically increased in the past decade.
This has spurred myths, false claims, and oversimplifications about what they are and what they mean for the diamond industry.
Natural and laboratory-created diamonds are two different product categories. Both have a place in the market. To ensure the long-term growth of both markets, the industry must avoid comparing them on value, meaning, or impact.
As they are not identical products, they are driven by different economic factors and offer very different value propositions to consumers.
Any comparisons only perpetuate misinformation, consumer confusion, and long-term mistrust.
The US is the leading consumer market for diamond jewellery. It has reached a certain maturity for laboratory-created diamonds, based on very low prices. This, of course, has had a significant impact on business turnover, prompting many retailers to rethink their marketing strategies and sales practices.
Recent data from industry analyst Edahn Golan on the US market shows that unit sales of laboratory-createddiamonds above $USD10,000 have decreased by almost 31 per cent year to date. The average cost of goods sold at the retail level in the US has decreased by 7 per cent in October 2025 alone.
Prices of lab-created diamonds have been continuously falling both at the retail level and even more so at the wholesale level. Consider,
for example, a 1-carat round near colourless (FGH) high-clarity (VS1) lab-created diamond.
Data supplied by two analysts, Edahn Golan for wholesale prices and Paul Zimnisky for retail prices, reveals that the wholesale price for this product is now just 5 per cent of what it was seven years ago. In other words, it has fallen by 95 per cent in seven years.
Meanwhile, the retail price is 24 per cent of what it was in 2018, representing a 76 per cent decline in seven years.
In a competitive global market fuelled by technological advances and economies of scale, it is safe to say that the cost of manufacturing lab-created diamonds will continue to fall, pushing overall prices down.
Analysis by Zimnisky for the past five years shows that the average retail margin on laboratory-created diamonds has increased
over the period from 46 per cent to 84 per cent.
Put another way, this means the average mark-up on synthetic diamonds has increased from 85 per cent to more than 500 per cent.
This explains the expansion of the laboratory-created diamond market, the push of laboratory-created diamond jewellery and the lack of proper marketing.
This is a very short-term approach, as, on the flip side, consumers who would view a natural diamond piece of jewellery as an aspirational and emotional luxury purchase will be educated to focus on price.
With this price only going lower and lower for laboratory-created stones, will also impact total income.
As jewellery is an infrequent purchase, consumers are not fully aware of or attentive to price fluctuations and are highly influenced by marketing.
With that said, this is eventually going to catch up, and the industry will need to be prepared for the backlash by consumers realising that some jewellers have exploited their trust in an honest pricing policy.
What comes next?
Historically, December is a month that distinctively favours natural diamond jewellery purchases, signals analyst Edahn Golan. This highlights once more the meaningful purchase that natural diamonds represent. I am hopeful that, with the current appeal and popularity of this real gift from nature, it will be the primary choice during this holiday season.
Purchasing a diamond is more than a transaction. It is one of the very few items that creates a lifelong endorphin rush, bringing meaning to people every day for years. The role of the Natural Diamond Council is to communicate to consumers the value of natural diamonds and the stories they spark, celebrating these beautiful creations for generations to come.
The physical magnificence of natural diamonds is enhanced by their responsible journey, marked by ethical sourcing practices that benefit communities. The modern natural diamond industry supports the livelihoods of 10 million people worldwide.
Up to 80 per cent of the rough diamond value remains with local and indigenous communities through local purchasing, employment benefits, social programmes, healthcare, and infrastructure investment.
In Botswana, it contributes a quarter of the country’s Gross Domestic Product (GDP). Through protecting threatened species like the African elephant and rhinoceros from extinction and conserving land, each natural diamond contributes to a stronger future.
Consumer demand for natural diamond jewellery is key to a prosperous diamond industry. Our collective success depends on the admiration and trust of consumers.
It is encouraging that young consumers are enthralled by them; however, this must be sustained by an ongoing and appropriate promotion. The Natural Diamond Council is the only not-for-profit entity that is also brand and retailer agnostic – and it relies on the support of many stakeholders to expand the reach and impact of its all-important message.
THE GREAT DIAMOND DEBATE III
Table of Contents
The Great Diamond Debate Collection