By
Sandhya Sutodia
Riding high on increasingly expensive gold and global fashion trends, the market for costume jewellery continues to expand. Sandhya Sutodia takes a closer look on how consumers are embracing fashion jewellery to avail variety within a budget and match them with clothes.
Kolkata
Gold asserts itself with prices going north from Rs (Indian Rupees) 12,500 per 10 gm in 2008, going up to Rs 33,000 and now settling down currently at around Rs 26,000. This has thrown open the fashion jewellery market to leading retailers who are now betting big on catering to the growing fashion conscious young India, apart from selling the most expensive gold and diamond sets.
Experts are of the opinion that high import duty coupled with lesser availability of gold has prompted jewellers to reorient its strategy to keep profit in sight. With import duty as high as 10 per cent and premium going up owing to scarcity of gold in the market, pure gold jewellery business is losing its sheen, city based jewelers said. “The demand for this sort of fashion jewellery is increasing in India,” experts added.
While the demand for traditional designs remains constant, the gem and jewellery industry is now seeing more buyers going for easy-to-wear everyday jewellery in contemporary styles – which offer the flexibility of breaking down a single big piece of jewellery into smaller ones for regular use. This multi-occasional jewellery is starting to catch many eyes as they offer multiple combination options, ranging from precious stones with gold to pendants and pearls. In short, this detachable jewellery can be worn in more than one way, the pieces designed to fit various occasions.
It is understood that large jewellers like Gitanjali have taken the decision to cut down on their pure gold jewellery business by 60 per cent and step up diamond and gemstone business by 40 per cent. To cater to the growing fashion conscious young India, Gitanjali has forayed into the fashion jewellery business in a big way.
Anargha Chowdhury, director of Anjali Jewellers talking about the popularity of costume jewellery among the jewellers and customers said: “The reason for consumers and jewellers choosing fashion jewellery is that it looks a lot like real jewellery and one can easily wear them on any occasion.”
Suvanker Sen, executive director of Senco Gold, feels jewellers are moving into fashion jewellery to ensure that consumers continue to visit their store for small purchases as well. Demand for variety is going up.
Customers’ preferences are changing from fine jewellery to relatively inexpensive but equally flashy costume jewellery, feels vice-chairman, Gems and Jewellery Export promotion Council (GJEPC), Pankaj Parekh.
Imitation jewellery is largely made of brass, cast iron, nickel, plastic beads and stones, instead of precious metals and gems. It does not have resale value and is available at a range of less than Rs 500 to any price band depending on the usage of the metal and stones, Ashok Kumar Bengani, president, Calcutta Gem & Jewellers Welfare Association (CGJWA).
Gitanjali uses brass, steel, and silver with semi-precious stones for fashion jewellery to lower the entry barrier further and reach out to a broader customer base, it is understood.
The demand for costume jewellery is growing and is expected to touch Rs 11,000 crore by 2014, say experts. Increased adoption of the costume jewellery category, expansion in product offerings is expected to drive growth to nearly 20 percent, experts added.
The availability of skilled artisans at low cost and base metals, faux gems and stones has encouraged the sector’s growth in India,
Fashion jewellery was always big in the West, unlike in India where buying jewellery is seen as more of an investment. But the trend is changing as a new generation is travelling more than ever before and they prefer to change jewellery along with their clothes.
Global brands like D&G and Juicy Couture occupy the top end, Guess and Fossil being popular with their bracelets, charms, pendants in the segment in India.
The beauty of fashion or costume jewellery is that the consumer can buy jewellery which they can buy and where anytime, anywhere.
“We have been selling costume jewellery for a while now from the entire Anjali Jewellers outlet and have another chain of stores by the name of Nnoni,” Chowdhury added.
All our stores whether its Anjali or Nnoni have an extensive collection of costume jewellery and we believe if one has the intention to buy, one cannot leave empty handed because we have jewellery to suit every pocket, he said. “Fashion or costume jewellery is very important for us as there is an untapped market for it. We have 19 stores of Nnoni which sell exclusively costume and silver jewellery other than the 11 Anjali stores. We intend to pursue the costume jewellery segment very aggressively,” he added.
While for Senco the collection starts from Rs 500, which has diamond, kundan, polka, and vilandhi variants. Talking about the trends now, Sen said for ethnic wear, long and round balis are popular and for western wear long earrings and small earrings for daily wear are in now. “Design is the only way to convince customers,” he added.
Great Post! You are sharing a wonderful post. Thanks and keep sharing.
I totally agree with you. Fashion jewellery demand is increasing day by day!