With fewer than 10 weeks to go to the opening of the 2019 CIBJO Congress in Manama, Bahrain, on November 18, 2019, the first of the CIBJO commissions’ Special Reports has been released. Prepared by the CIBJO Marketing & Education Commission, headed by Jonathan Kendall, the report returns to what has been defined as the next great jewellery-consuming group, Generation Z, providing a breakdown of what the industry needs to consider if it is to ensure that jewellery remains a favoured purchase.
Generation Z refers to young consumers, who currently are 15 to 25 years of age.
“Gen Z is coming to our markets very soon if it has not already arrived in reality,” writes Mr. Kendall. “Its members are forecast to spend a whopping $143 billion this year alone. So we better get them on our side if we want to enjoy a rosy future. In fact, the future success of the jewellery industry will depend on our understanding the needs and wants of Generation Z. Get this right and we can all look forward to strong profitable years moving forward. Get it wrong and we could be destined for the scrap heap – not overnight maybe, but ultimately.”
Communicating predominantly via the social media, studies show that Generation Z is more environmentally conscious and gender neutral than any generation that preceded it. It celebrates authenticity, diversity and human imperfection. It is more likely to heed the advice of a friend, rather than a celebrity.
“Gen Z is prepared to splurge but it must be worth it. The more added value the better, and that can come from its environmental credential or its social value,” notes Mr. Kendall.
To download a full copy of the CIBJO Market & Education Commission’s special report, PLEASE CLICK HERE.
CIBJO releases Marketing & Education Special Report, analyzes next great jewellery-buying generationSteven Benson2019-09-11T12:34:04+00:00
ABOVE: Erik Jens, Vice President of CIBJO’s Responsible Sourcing Commission and the seminar moderator, presenting the panel (from left): Michillay Brown, Tracr; Assheton Stuart Carter, The Dragonfly Initiative; Daniel Nyfeler; Gübelin Gem Lab; Konstantin Born, GemFair; Francesca Marino, CIBJO; and Mark Hanna, Richline Group.
SEPTEMBER 10, 2019
With members of the jewellery and gemstone sectors under growing pressure to actively demonstrate that they are conducting their businesses in a sustainable manner, including verifying that the items they purchase, process and sell have been sourced responsibly, a range of technological solutions are currently being developed to help them comply with the due diligence requirements. These came under the spotlight during a seminar on September 9, 2019, at the VICENZAORO show in Vicenza, Italy, organized by CIBJO and hosted by the Italian Exhibition Group (IEG).
The seminar was the latest edition in a series of educational programmes organized by the two bodies, which is endorsed by the United Nations Economic and Social Council (ECOSOC), to support Corporate Social Responsibility and sustainability in the jewellery sector. As, Marco Carniello, Director of IEG’s Jewellery and Fashion Division, pointed out, the seminar this September marked the 10th year of cooperation between CIBJO and Italy’s leading jewellery trade show organizer.
A growing percentage of the jewellery, gemstone and precious metals industries have taken steps in recent years to implement sustainable and responsible sourcing principles in their businesses, with more than 1,300 worldwide already certified by compliance organisations, after undergoing monitoring by independent auditors.
Marco Carniello (left), Director of IEG’s Jewellery & Fashion Division, and Gaetano Cavalieri, CIBJO President, opening the seminar in Vicenza on September 9, 2019.
But in an industry that is dominated by small and medium-sized companies, many participants find it challenging to follow suit and consequently could experience difficulty in gaining access to chains of supply. The technologies discussed at the seminar are largely being developed to address these challenges.
“CIBJO is committed to the development of an ethical and sustainable jewellery industry, which sources its raw materials in both a responsible and transparent manner,” said CIBJO President Gaetano Cavalieri, opening the seminar. “As we reiterated in the new Responsible Sourcing Blue Book which was approved earlier this year, we believe that all participants should do due diligence to the best of their ability. At the same time, we also insist that no ethical members of our community be discriminated against because they currently lack the resources necessary to implement a full compliance system. It is for this reason that we view the development of technological solutions as being so important.”
The panel of speakers, which was moderated by Erik Jens, vice president of CIBJO’s Responsible Sourcing Commission, represented a cross section of this growing industry service sector, providing solutions to industry participants at all stages of the chain of distribution, from the mine to the retailer.
The panel included:
Michillay Brown, Industry Transformation, Tracr, United Kingdom, who introduced the De Beers-developed blockchain-powered traceability platform, which uses cutting-edge technology to connect the diamond supply-chain and provide provenance, traceability and authenticity for the diamond industry.
Assheton Stuart Carter, Director of the Dragonfly Initiative, a sustainability advisory firm in the United Kingdom, who currently is developing a suite of due diligence tools that will be made available free of charge to the jewellery and gemstone industry, as a part of a joint initiative by CIBJO and the Coloured Gemstone Working Group, which Dragonfly facilitates.
Daniel Nyfeler, Managing Director of the Gübelin Gem Lab, Switzerland, which is has developed a gemstone paternity programme called Provenance Proof, which uses virtually undetectable nano-particles that are embedded in a gemstone, containing identifying information to verify its origin, and then blockchain technology to communicate its provenance through the chain of distribution.
Konstantin Born, Business Development Manager at GemFair, United Kingdom, who described the De Beers’ pilot project that aims to create a secure, transparent route to the market for ethically-sourced artisanal and small-scale mined diamonds, where the miners are assured of receiving fair value for their output, using technology to foster the sector’s development as a credible and trusted source of diamond supply.
Mark Hanna, Chief Marketing Officer of the Richline Group, a wholly-owned subsidiary of Berkshire Hathaway, USA, whose TrustChain Initiative, tracks and authenticates diamonds and precious metals through every stage of the supply chain, as it becomes a piece of finished jewelry, providing digital verification, physical product and process verification, and third-party oversight.
Francesca Marino, Senior CSR Advisor at CIBJO, Italy, who provided CIBJO’s perspective of sustainability and responsible sourcing in the jewellery industry, as it is articulated in the recently approved Responsible Sourcing Blue Book.
ABOVE: CIBJO President Gaetano Cavalieri addressing the 2019 Advances in Gem & Diamond Detection Technology (AGDDT) symposium in Mumbai, India, on August 7, 2019
AUGUST 12, 2019
All participants in the jewellery and gemstone value chain will need to come to terms with the fact that basic due diligence demonstrating that they are sourcing their supply responsibly is becoming is a regular requirement for doing business, said Gaetano Cavalieri, President of CIBJO, speaking last week in Mumbai. At the same time, he added, the systems being developed must be inclusive, meaning that they cannot discriminate against ethical players because of their size or financial capacity.
The CIBJO President was speaking on August 7, during the opening day of the 2019 Advances in Gem & Diamond Detection Technology (AGDDT) symposium, organised by the Gemmological Institute of India. The event at the Bombay Exhibition Centre preceded the opening of the India International Jewellery Show (IIJS), in which Dr. Cavalieri participated the following day. He also joined an AGDDT panel discussion looking at measures that should be taken by the industry to successfully absorb laboratory-grown diamonds into the product mix, without compromising the position of naturally sourced diamonds.
In his presentation on August 7, Dr. Cavalieri focused specifically on the predicament faced by the coloured gemstone sector, which is dominated by small and medium-sized enterprises at almost all stages of the chain of distribution. “In diamonds,” he stated, “close to 80 percent of the volume of rough goods are mined by only seven companies, and more than 90 percent in terms of value. In the coloured stone sector the situation is reversed. Artisanal and small-scale miners account for more than 80 percent of production, both in terms of volume and value.”
A basic premise of CIBJO’s Responsible Sourcing Blue Book, which was approved by the CIBJO Board of Directors early in 2019, he said, was that it would be a “protocol that could be universally accepted by larger and smaller enterprises, which would meet the ethical standards that our industry expects from itself, and at the same time is acceptable from the perspective of the international community.”
“An operating principle of the Responsible Sourcing document was that it would be inclusive, meaning that there is an expectation that the standards, guidelines and systems that it describes can reasonably be applied by all members of the industry, irrespective of size or financial capacity,”he stressed.
In his presenation, Dr. Cavalieri outlined how CIBJO is developing tools and other materials, in cooperation with industry players, which are designed to assist individuals, companies and organisations apply the principles contained in the CIBJO Responsible Sourcing Book, with a special emphasis on meeting the needs of small and medium-sized enterprises.
In April, during the OECD precious minerals forum in Paris, CIBJO signed an MOU with the Coloured Gemstone Working Group, which is a committee made up of representatives of Tiffany & Co., Swarovski, Richemont, Muzo Companies, LVMH, Kering, and Gemfields, facilitated by The Dragonfly Initiative. The goal is to produce an online suite of tools and resources that will be made available free of charge from an online platform, which essentially will enable companies to implement the principles outlined in the Responsible Sourcing Blue Book.
“We do not agree with those who contend that, only because of company’s size, it should be given a free pass when it comes to responsible sourcing,” Dr. Cavalieri said. “Just as there are basic standards of practice when it comes to grading and disclosure, which all members of our industry are obliged to maintain, the same is true with responsible sourcing. Everyone can do something, to the best of their ability.”
“Let us be honest with ourselves,” he continued. “The demand that we document where goods come from and where they are going is not unreasonable. Your governments expect each and every one of you to maintain orderly books and follow basic accounting practices. In other words, you are already doing due diligence in your businesses.”
Standards and due diligence tools being developed to enable all industry participants source responsibly, CIBJO president says in IndiaSteven Benson2019-09-10T16:53:37+00:00