Imitation Jewelry Business in India
The jewellery sector in India summons entrepreneurs due to its stability and a vigorous return on investment. India is world over praised over the magnificent work of its artisans and craftsmen. Export of jewellery was over 2 billion US dollars in 2011. The banking sector as well as the policies and regulations of the Government in India support the jewellery sector significantly. The Indian diamond industry has received up to $3 billion by about 50 banks. Moreover, it is expected that the Indian economy will have a diamond exchange as well. The World Gold Council indicates that India is the largest consumer of gold! In 2009, India’s gold consumption, (mostly jewellery) was down 33% to 480 tonnes as compared to 712.60 tonnes in 2008.
India continued to maintain its second position in the third quarter-ended 2009 as well and accounted for 20.87% of the total gold consumed all over the world. The growth in exports of gems and jewellery sector has been primarily driven by the Cut & Polished Diamonds (CPD) segment over the years. CPD exports grew from $7.11 bn in FY03 to $13.02 bn in FY09. Though, this particular segment has always shown the highest possible export in terms of gems, however, in recent times, gold jewellery has shown a promising rise in exports from about 16% in 2007 to approximately 33% in 2009. It has been noted that Indian jewellery has a well established market demand in the US, Hong Kong, UAE, Israel, Japan, Thailand and even Belgium. On the import front, Europe has been the largest importing destination for India followed by Middle East, Oceania and Asia. This being the scenario it is quite evident that the profitable sector to invest and associated with is the Indian jewellery sector. NextBigWhat (2013) states that the domestic market for gems as well as jewellery is about INR 1,200 crores and only one percent of which is sold online. Most online sale is of imitation jewelry instead (NextBigWhat 2013). Another example of impending success is the Chennai based online jewellery retailer Caratlane which had raised total of $27 million from Tiger Global in three rounds. Last month, the US based VC firm pumped $15 million in Series C, earlier Tiger Global invested $12 million in two series. The gold and diamond sector is heavily invested in. The area of imitation jewels with sterling silver and semi precious stones is in high demand abroad and even among Indian women. It is true that chunky gold will always have a place in bridal wear; however women are increasing interested in contemporary lighter pieces.
Earlier India witnessed a slow growth in retail sector as the classes of India were not flexible enough to adopt the western trend, the education was less prevalent and the income levels were low but today it was at the boom with lot of International and National brands coming in. With the changing times the concept of malls, hypermarkets, supermarkets have become more prevalent and people prefer to hang out at such places very frequently. Hence with the growing demands and consciousness the consumer has started looking towards the concept of branded goods. With this lot of malls are coming in as the consumers are adaptable towards it and they provide them with all the day to day offerings.
In rural India the most preferred metal for jewellery is the silver. People wear all sorts of traditional jewellery made in silver in rural parts of India. India sells silver in Bulk in rural parts of India. This metal is also prominent among the youngsters teenage who view silver as the affordable metal for fashion. The lower medium class segment also prefers this metal in most of their jewellery collections especially the ornaments for legs, armlets and for the toe rings.
Bearing in mind the growing potential of Indian retail and the growing economy which is fuelled up with the other factors like the increase in the per capita incomes, increased urbanization, changing tastes and preferences and the growing young population, one can forecast the positive growth prospects in imitation jewellery.
Diva is an upcoming jewelry outlet for the modern 21st century woman. It is a store that combines traditional and contemporary designs to cater to the growing dynamic female of India. Diva uses silver, gold, rhodium and platinum in the jewelry. The jewelry has many themes and styles from Asian and classic Indian to western styles.
To create an environment with a committed team of talented professionals who will continue to build on the heritage and reputation of Diva for trust, craftsmanship, innovation and market leadership.
To become the first choice for imitation jewellery purchase in India.
Diva is a joint venture of three people. It is the property of all three. As aspiring entrepreneurs we have stepped in the jewelry business. Other than certain international brands, there is really no strong local India brand which women from all walks of life can approach. Diva will be launched in New Delhi and another one in Ahmadabad the hub for the corporate India and craftsmen. It is now as sprawling as Mumbai nor too elitist as Bangalore. With an increasing urban area, Diva will be situated in the mall to allow a wide audience when inaugurated. Ambience Mall, more popularly referred to as AMBI mall is the mall goers’ delight. Most of the renowned brands have their retail outlets in the premises of the mall. The mall timings from 9:00 to 10:00 will also be the shop timings.
To sophisticated women, Diva is an elegant, chic choice to sparkle and create an impact to make your mark.