Since their widespread introduction to the market nearly a decade ago, lab-grown diamonds have managed to capture a substantial share of the market. Industry analyst Paul Zimnisky He recently told the AFP news agency that lab-grown stones accounted for 18.5 percent of diamond sales in 2023 and would exceed 20 percent this year. Perhaps this is not surprising now that scientists can Grow diamonds in just 150 minutes—faster than you can look Oppenheimer.
In the United States, lab-grown diamonds are forecast to overtake natural stones in terms of units sold by early 2024. At the same time, however, their values have plummeted: the price per carat fell nearly 90 percent in the five years to 2023, according to analyst Edahn Golan.
De Beers, which fiercely resisted the introduction of lab-grown stones but eventually launched its own range called Lightbox, Reduced prices in May 2024 before announcing that it would be closing its consumer range of lab-grown diamonds altogether in June after six years, stating that the economics of lab-grown diamonds for jewelry were not sustainable.
In fact, the proliferation of lab-grown diamonds at prices De Beers doesn’t like to consider perhaps underscores the brand’s decision to go all in on expensive mined gems. Pandora recently launched a campaign, fronted by Pamela Anderson, showcasing pieces from its lab-grown diamond collection made from Less than $300.
However, a lab-grown diamond can take on shapes not normally possible from mined stones – something watchmaker TAG Heuer has exploited to great effect with its unique Carrera Plasma designs. They are predictable, consistent and unaffected by the ethical and environmental issues that plague traditional diamond mining.
Their affluence has contributed, at least anecdotally, to a rise in diamond sizes for engagement rings in general, as the larger sizes made possible by machines have forced those buying natural stones to up their carat value. But they have a PR problem: despite offering vastly improved value and far better green credentials, if they become too cheap, lab-grown diamonds will lose their luster with buyers who want to know that a symbol of affection came at a significant cost.
Now, jewelers who craft lab-grown diamonds are opting for a more premium model, seeking to establish differentiation within the lab-grown diamond market and appeal to customers’ better natures as well as their magpie instincts. And, for some, it’s working.
