Titan Company has reported an increase in sales of diamond jewellery, attributing this to rising gold prices and a focus on high-value collections.
Ajoy Chawla, CEO of Titan’s jewellery division, noted on an analyst call that while gold prices have been volatile, diamond jewellery sales have shown stronger growth.
Consumer Preferences Shift Towards Studded Jewellery
Chawla highlighted that an increase in average transaction values contributed to diamond jewellery sales. “The buyer growth in studded was healthier than that in gold, much healthier I would say,” he stated. The company introduced collections aimed at high-value customers and expanded its marketing efforts during the Diwali and Dhanteras period, as well as at the start of the wedding season. These initiatives, including exhibitions of select collections, contributed to increased sales of diamond-studded pieces.
High-Value Purchases Support Growth
Titan noted an increase in sales of high-value diamond jewellery. “The value growth in studded has also got an additional kicker, thanks to a lot of high-value studded sales, where we are seeing very good traction,” Chawla added. The company’s marketing efforts, including wedding collections and events targeting premium clients, contributed to this trend.
Titan Unconcerned by Lab-Grown Diamond Competition
Chawla also addressed the impact of lab-grown diamonds, stating that the company had not observed significant consumer demand for synthetic stones. “In the spot checks that we do at Mia, CaratLane and Tanishq stores, customers have not commented, ‘Why are you not keeping lab-grown diamonds?’” he said. “Many of them continue to say, ‘I hope your diamonds are all natural.’” Titan indicated that most of its customers continue to prefer natural diamonds.
Financial Performance in Q3
For the third quarter ending 31 December, Titan reported a 24% year-on-year increase in total sales, with jewellery revenues rising by 26%. Sales of plain gold jewellery grew 24%, while studded jewellery sales increased by 21%. The company stated that the quarter represented the highest sales total for studded jewellery in fiscal 2025.
Industry Implications
Titan’s results indicate a shift in consumer spending patterns, with diamond jewellery sales benefiting from fluctuating gold prices. The company’s targeted product launches and marketing efforts contributed to increased demand for studded pieces. The reported preference for natural diamonds is notable, particularly as the industry assesses the long-term impact of lab-grown alternatives.
