PGI ‘Retail Barometer’ Shows Platinum Growth Strong

Art Deco bracelet with emeralds and diamonds set in platinum by Beladora

(IDEX Online News) – Platinum Guild International’s (PGI) first annual Retail Barometer of platinum jewelry markets has been released with reports of growth across all markets in 2013 and with a continued positive outlook for 2014.

The Retail Barometer captures sales from retailers to consumers.

Preliminary results for the US show an 11-percent increase in sales of platinum jewelry, which PGI said exceeds fine jewelry sales and economic growth.

The organization said this increase was due to the greater availability of lower priced “entry” platinum jewelry, such as semi-mount engagement rings between $1,345 and $2,500.

Growth was also prompted by the relative parity of platinum and gold prices in 2013 – the average price gap between platinum and gold narrowed to just 5 percent in 2013. According to a survey from Millward Brown, consumers believe platinum is worth paying extra for, with 77 percent of those surveyed saying platinum was “worth its cost, or more.”

The US platinum market is expected to grow 11 percent this year.

Overall, retail demand for platinum jewelry is forecast to grow by 5.3 percent across the four key global
markets of China, India, Japan and the US, which accounted for 92 percent of global demand in 2013.

Demand in China, the world’s largest platinum jewelry market, is forecast to grow 5 percent in 2014 compared with 3-percent growth last year. In India, the market is expected to grow a further 35 percent in 2014 from 41 percent last year while growth in Japan is forecast to slow down to 1.2 percent from a 3.5-percent growth rate.