Investment is a top priority for many individuals. It allows you to escape the rat race and earn money even when you sleep. So, if you’re interested in living the dream, you must be considering potential investment options.
Real estate, gold, and stocks are some popular choices that you can try. But have you thought about a lab-grown diamond tennis bracelet? This non-traditional but highly affordable investment can be very profitable in the long run.
Wondering how? Let’s evaluate why lab-grown diamond jewelry is the perfect investment!
What is Lab-Grown Diamond Jewelry?
Lab-grown diamonds are man-made. They are completely artificial diamonds that are created in a laboratory by experts. However, they look and sparkle just like real diamonds.
This means they have the same physical and chemical properties. The only difference is in how they are made. The process of making lab-grown diamonds involves recreating the natural conditions under which diamonds form.
So, the professionals may use high pressure and high temperature or a chemical vapor deposition method. These diamonds take less time to produce and have a smaller environmental impact, which makes them quite affordable.
People who want a more sustainable and budget-friendly option prefer lab-grown diamonds over real ones. In fact, according to recent reports, lab-grown diamonds have taken over 5% to 6% of the global market.
Most of the lab-grown diamond purchasers belong to Gen Z. However, stats have been rising up in millennials and older generations, too.
Why Lab-Grown Diamond Jewelry is the Perfect Investment?
Lab-grown diamond jewelry is an excellent investment option, and many people have been using it to secure their futures. Here’s why:
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Similar Quality
Lab-grown diamonds are identical to natural diamonds in terms of physical and chemical properties. They look the same, shine just as brilliantly, and have the same durability. You will find the same cut and clarity, too.
This similarity in quality makes them a popular choice among buyers who want a genuine diamond without ethical or environmental concerns. For investors, this means lab-grown diamonds can compete directly with natural diamonds in the market.
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Increasing Demand
The demand for lab-grown diamonds has been rising steadily in recent years. According to a 2024 report, the market had a value of $13 billion last year. It also accounted for an incredible 18% of global diamond jewelry sales.
This is because more consumers are becoming aware of their benefits, including lower costs and ethical production. Younger generations, especially, are driving this trend as they value sustainability and affordable luxury.
Experts say that the lab-grown diamond market will grow to $35.97 billion by 2028. This increasing demand makes lab-grown diamond jewelry a strong investment because it reflects a growing market segment likely to expand further.
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Growing Industry
The lab-grown diamond industry has been expanding rapidly, with more brands and retailers entering the market. This has prompted a series of technological advancements in how diamonds are produced.
Companies are now able to mass-produce high-quality diamonds at cheaper prices. This technology is only going to improve with time and increase the competitiveness of the company.
As the sector grows, so does its visibility and acceptance among consumers. This makes it a promising area for investment. Investing in a growing industry means taking advantage of an upward trend that could bring in significant returns in the future.
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Better Profit Margins
Lab-grown diamonds generally offer better profit margins for retailers and jewelers. Since these diamonds are produced in controlled environments, they are less expensive to manufacture than mined diamonds.
This cost efficiency allows sellers to offer competitive prices to consumers while maintaining a healthy profit margin. For investors, this translates to more significant opportunities for revenue growth because lower production costs do not mean compromising on quality. This leads to steady profits.
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Easy to Afford
One of the main attractions of lab-grown diamond jewelry is its affordability. Because they are cheaper to produce, lab-grown diamonds are typically priced 30-40% lower than natural diamonds.
This makes them accessible to a broader range of consumers who want the beauty of a diamond without paying a premium. As an investment, affordability ensures a larger customer base, leading to increased sales and quicker inventory turnover, making it a financially sound choice.
Last Words
All in all, lab-grown diamond jewelry is an in-demand item that will be here to stay for the next decade or so. Thanks to its ethical nature and affordable prices, the demand for it will only increase.
You can invest in the asset now and sell it for a much higher price in the future. In the meantime, feel free to wear the jewelry and impress your friends. No matter how roughly you wear the jewelry, it’s going to stay the same.
Just remember that while it’s an affordable investment option, it’s better to invest in a complete jewelry set instead of one necklace or bracelet. The more items you buy today, the higher profits you will get in the future.