To My Friends in the Natural Diamond Industry: LGDs Are NOT Your Competition!

We often get stuck in tunnel vision, reducing the idea of “competition” to other diamond dealers or lab-grown manufacturers. It’s a narrow perspective that keeps us focused on internal rivalries rather than external opportunities. But the truth? We’re in a much bigger arena.

We’re competing with:

• Colored gemstones, which offer vibrant alternatives and distinct emotional appeal.

• Designer handbags, symbols of luxury and exclusivity that attract similar consumer spending.

• Luxury vacations, which promise unforgettable experiences and memories that last a lifetime.

• Bitcoin—yes, Bitcoin! The allure of speculative investments and digital assets has increasingly captured disposable income.

A Story Worth Telling

Here’s the kicker: producing a one-carat natural diamond has a smaller ESG footprint than a MacBook or a flight from NYC to LA. That’s a powerful narrative, one that deserves to be shared widely and repeatedly.

Consumers are more conscious than ever about the environmental and social impact of their purchases. The natural diamond industry has a unique opportunity to shift the conversation, focusing not only on the inherent beauty and craftsmanship of diamonds but also on their relatively low environmental footprint compared to other luxury goods.

If we shift our focus and embrace this bigger picture, we’ll realize that we are talking about the wrong things when discussing cannibalization of demand by LGDs. We are talking about survival instead of growth. More importantly, we should be exploring how to drive broader demand for diamonds in an ever-expanding luxury market.

Elevating the Brand

Hopefully, when we see this, we’ll understand that ESG isn’t about matching LGDs or engaging in one-upmanship with peers. It’s about elevating the brand of diamonds as a whole in the broader context of the competition we face. By working together and focusing on the larger luxury market, we can position diamonds as the ultimate symbol of elegance, sustainability, and timeless value.