US specialty jewellery retailers reported a strong October, with finished jewellery sales climbing by 11.6% year-on-year, driven by higher average prices as consumers opened their wallets ahead of the festive season, according to a report by market-analytics firm Tenoris LLC, led by industry analyst Edahn Golan.
Revenue from finished jewellery rose by 14%, bolstered by strong demand for fashion necklaces—most of which (92%) contained natural diamonds—and finished engagement rings. Notably, revenue in the fashion necklace category jumped 34.5% while average spend per item surged by 39 %, even as unit sales declined.
Diamond-set jewellery also performed well: revenues rose 9% and average spend per item increased by more than 15% year-on-year.
However, the story for loose natural diamonds is less upbeat. Revenues declined 0.5% year-on-year in October, with unit sales falling by more than 10%.
Cost pressures are mounting: finished-jewellery costs rose 17% in October, while costs for diamond jewellery increased by over 25% year-on-year, partly due to tariffs and rising gold prices. The 50% tariff on Indian-origin jewellery imported into the US is being absorbed partially by the supply chain for now, but Tenoris warns consumer prices may rise further.
With demand for finished pieces robust and holiday shopping underway, the outlook remains positive, yet the divergence between finished jewellery and loose diamonds signals shifting consumer preferences and pressures in the supply chain.