78 STATE OF THE MAJORS 2026 THE STATE OF DIAMONDS JEWELRY DESIGN COLORED STONES from chasing revenue growth to driving profitability and partnering with the right retailers serving the right customer profile. The impact of that bifurcation is being felt across the supply chain. Manufacturers and dealers are competing for a slimmer slice of goods that are in demand, Bhansali says. The traditional 0.50- to 1.50-car- at range, long the backbone of the U.S. bridal market, has thinned out. Borhanjoo agrees, noting that many retail jewelers he works with say they miss selling those bread-and-butter goods. “That’s the area that we really need to under- stand, how do we get those customers back,” he says. ELICITING EMOTIONS Rebuilding demand, Foerster argues, starts with redefining value by unapologetically positioning diamonds as a luxury product. That work begins at the point of sale, where a diamond’s perceived value is shaped. It requires a full in-store experi- ence and a disciplined focus on storytelling, she says. The conversation cannot revolve around price, adds Anghel. It must be about aspiration, presenting natural diamonds in an inspirational, luxury environment that shifts the focus away from discounts and toward desire. That also means leaning into emotion, creating a connection in-store, and reminding consumers what the diamond represents in their lives. The task has become more urgent as online channels, social me- dia, and artificial intelligence reshape how people interact, progres- sively in more isolated and transactional ways. That digital saturation is creating a counterreaction. The more time consumers spend in virtual spaces, the greater the pull toward tangible, real-world experiences, the PwC report noted. Gen Z may be digitally native, but their path to purchase is anything but linear. They discover on social media and compare prices online, yet increasingly visit stores to touch and see products, experi- ence displays and atmospheres, and pursue promotions, the analysts stressed. According to The Knot’s study, which surveyed more than 10,000 U.S. couples who got married in 2025, most engagement ring shoppers prefer to do so in person. On average, proposers visit two retailers and look at 10 rings in person during the buying process, with 64 percent of surveyed proposers choosing to make their ring purchase at a physical store and one-third doing so online. Borhanjoo recognizes that human need for in-person interactions, and sees an oppor- tunity for the diamond industry, especially amid the rise of AI and the immer- sive digital environment. “With virtual reality becoming more part of everyday life, people are going to want real things and products,” he says. “They’re going to be excited about things that are of age, and this is why it’s so important for us to connect them with our authentic story, with the hardest substance created by Mother Earth more than a billion years ago.” Consumers are also seeking connection to heritage, history, and the traditions associ- ated with brands and their products, Mehta adds. That is where jewelers can tap into the emotional equity of natural diamonds. “It has great symbolic value, building memories when you gift a diamond, whether that’s in a rela- tionship or from generation to generation,” he says. “I think it’s the only product that we can wear and also share with our loved ones in that way.” That sentiment resonated with Tucker-Natoli, who was drawn to her natural diamond ring in part because of the generational role jewelry has played in her family and her own perception of the enduring nature of natural diamonds. “My nana passed down her wedding ring to my grandma when she passed away, and my grandma’s going to do the same thing to my mom. So, it’s also a generational thing with these real diamonds, which hold value, and they hold so much love in my family,” she says. “My nana’s ring from over 100 years ago still looks brand new. I don’t know what a lab grown or a moissanite ring is going to look like in 100 years.” Two rings from Hearts On Fire, the “Vela” solitaire (top) with a 1-carat center stone and pavé diamond band in white gold, and the feather-inspired “Vela” cocktail ring in white gold “It’s a generational thing with these real diamonds, which hold value, and they hold so much love in my family.” —Rodnae Tucker-Natoli RETAIL Tucker-Natoli with her husband, Thomas
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