Emmanuel Raheb recommends digging into demographic data, customizing your store’s communications, and retargeting ahead of May 12.
Dissecting De Beers' 'distribution update'
After a sleepy couple of weeks, news wise, De Beers woke up the diamond world on Monday when it announced a series of changes, a "distribution update" if you will, to the way it sells its rough diamonds. See story...
After a sleepy couple of weeks, news wise, De Beers woke up the diamond world on Monday when it announced a series of changes, a "distribution update" if you will, to the way it sells its rough diamonds. See story here.
Probably the biggest change: De Beers announced that Diamond Trading Co. (DTC) sightholders--those vaunted companies that receive rough directly from De Beers at its 10 sights (sales of rough diamonds) held throughout the year--will be able to buy rough at Diamdel auctions beginning in October (more on this below).In addition, De Beers also announced that it will give non-sightholder companies the chance to apply for the sightholder status in the midst of the next contract period and that it is taking steps to make the sightholder application process less cumbersome. I'm sure the latter, especially, is a welcome change, as I have heard numerous complaints about the heavy volume of paperwork involved in applying.
After dissecting the alphabet soup-like release (SoC, ITO, DTC, CPQ, whew...), I sent a few questions to De Beers' spokeswoman Lynette Gould in London, who kindly took time to answer via e-mail.
Q. What percentage of De Beers' production goes to Diamdel? How much of Diamdel's allocation is currently sold at auction?
A. De Beers typically sells up to 10 percent of its annual production to Diamdel, which is basically De Beers' rough diamond sales and distribution arm for non-sightholders, companies that are also referred to as the "secondary market." Launched in the beginning of 2008, Diamdel is based in the diamond-trading center of Antwerp, Belgium, and conducts all of its auctions online.
The amount Diamdel sells at auction as a percentage of its total sales varies, but so far has ranged between 40 and 70 percent.
Q. What percentage will Diamdel's auction sales graduate to as the company "continues to transfer more of its allocation into the auction format?"
A. (Note from blog author: Very interesting response here.) If this pilot program is successful, Diamdel will move to an auction-only model.
Q. How many existing Diamdel customers are there currently, and how are they chosen?
A. Diamdel has more than 500 customers registered. They must successfully complete a registration process to be eligible for participation at auctions.
Q. There have been reports that Diamdel has, in the past, not been able to sell all of its goods, and that it has even canceled auctions due to lack
A. Diamdel has never cancelled an auction due to a lack of interest or inability to sell. On occasion, lots fall short of reserves, although, to date, this has happened on a very small percentage of lots and was most notable during the downturn.
Q. What was the impetus behind letting sightholders buy at auction?
A. Diamdel has proven expertise at auctioning and we believe the time is right for this expertise to be tested on a wider group of applicants with an expanded volume and range of goods hence the pilot.
Q. How does De Beers respond to concern that allowing sightholders into Diamdel auctions will make securing rough even more difficult for non-sightholders, particularly for in-demand goods?
A. Diamdel auctions have provided more customers with more opportunities to buy the rough they require to sustain their operations than the previous placed sales model created. The pilot will build upon this and provide greater volumes of a broader range of rough for purchase at auctions on a more consistent basis. Subject to the outcome of the pilot and availability, this proposed model will offer non-sightholders who consistently demonstrate strong demand for categories of rough at auction the potential to ultimately qualify for a sight.
The auctions themselves won't favor one type of business model over another.
(Note from blog author: Arguably, though, I have to say that auctions, by their very nature, favor bigger companies and/or people with more money, i.e., the sightholders.)
Q. What has been sightholder feedback on De Beers' plans to allow non-sightholders/Diamdel customers to compete for sights in the middle of the next contract period?
A. The majority of feedback we have received has been very positive. Sightholders see opportunities in these enhancements.
Q. Can you elaborate a bit on the Contract Proposal Questionnaire (CPQ) portion of the changes? How did it work before? And what is the purpose of this change?
A. The DTC will be streamlining the Supplier of Choice application process for the 2011-2015 contract period to make it quicker, simpler and more efficient. This will include submitting just one CPQ per applicant to cover multiple categories of goods. There will also be fewer questions requiring written answers in the new CPQ.
The Latest
Located in the town of Queensbury, it features a dedicated bridal section and a Gabriel & Co. store-in-store.
The mining company’s Diavik Diamond Mine lost four employees in a plane crash in January.
With Ho Brothers, you can unlock your brand's true potential and offer customers the personalized jewelry experiences they desire.
A 203-carat diamond from the alluvial mine in Angola achieved the highest price.
Ruser was known for his figural jewelry with freshwater pearls and for his celebrity clientele.
The “Rebel Heart” campaign embodies rebellion, romance, and sensuality, the brand said.
For over 30 years, JA has advocated for the industry, fought against harmful legislation and backed measures that help jewelry businesses.
The overhaul includes a new logo and enhanced digital marketplace.
The money will go toward supporting ongoing research and aftercare programs for childhood cancer survivors.
A new addition to the “Heirloom” collection, this one-of-a-kind piece features 32 custom-cut gemstones.
Last month in Dallas, David Walton pushed another jeweler, David Ettinger, who later died.
The move will allow the manufacturing company to offer a more “diverse and comprehensive” range of products.
From now through mid-May, GIA will be offering the reports at a 50 percent discount.
De Beers’ rough diamond sales were down 18 percent year-over-year in its latest round of sales.
Sponsored by the Las Vegas Antique Jewelry & Watch Show
The Patek Philippe expert will serve as personal curator for the brand-focused company.
The 553-square-foot shop is aboard the Carnival Jubilee cruise ship.
NDC filed a complaint against Skydiamond for use of phrases like “diamonds made entirely from the sky.”
John Carter received the AGS’s highest honor Tuesday afternoon at Conclave in Austin, Texas.
LVMH said the company performed well despite an uncertain geopolitical and economic environment.
B&D Sales and Service held a ribbon-cutting event for its new location in Cranston, Rhode Island.
It’s ultra-feminine and filled with gold, pearls, and soft pastels.
Emily Highet Morgan and Emily Bennett have joined the agency’s team.
Its updated book for mountings is also now available.
She has been with the organization since 2010, most recently serving as its chief officer of PR and industry relations.
Joyce’s Jewelry sued the bank after cybercriminals drained its accounts of nearly $1.6 million through a series of wire transfers.