CaratLane, a wholly-owned subsidiary of Titan, is intensifying its focus on expanding offline stores and strengthening its presence in the competitive diamond jewellery market. With over 300 stores and 19 new openings in the October-December quarter, the brand is keen on catering to evolving consumer preferences. Atul Sinha, chief operating officer (COO) of CaratLane, spoke with Krishna Barot about the brand’s future strategies and market insights. Edited excerpts:
Q How is demand for diamond jewellery evolving in Tier 2 and Tier 3 cities?
A. We are witnessing a steady shift in consumer behaviour in Tier 2 and Tier 3 cities, with increasing demand for diamond jewellery. More consumers in these regions are embracing diamonds and incorporating them into their jewellery collections. We recently launched stores in Moradabad, Navsari, and Bokaro, and their performance has exceeded our expectations. Although these markets are still emerging, they offer tremendous potential. We are committed to making diamond jewellery more accessible and desirable in these regions.
Q. Has inflation impacted consumer demand in the diamond jewellery segment?
A. Inflation has had minimal impact on the diamond jewellery market. While inflationary pressures have affected some jewellery categories, diamonds remain resilient due to their enduring value and aspirational appeal. Additionally, we offer collections across various price points, allowing us to cater to different consumer segments and maintain steady demand.
Q. What factors will drive the growth of the diamond jewellery segment in 2025?
A. One of the biggest drivers is the increasing financial independence of women. Jewellery is no longer just a traditional purchase, it has become a form of personal expression, especially for regular wear. Another growth factor is the surge in jewellery gifting. More people are opting for affordable diamond jewellery to celebrate their relationships. Additionally, our kids’ jewellery segment has gained significant traction, particularly with collections inspired by popular brands like Disney’s Lion King. These designs resonate deeply with both children and parents, creating a new avenue for demand. However, challenges include rising competition from international brands entering India. While they may not directly compete in the jewellery segment, they influence consumer spending and take a share of the market. Continuous innovation is key for us to stay ahead.
Q. How do you view India’s declining gems and jewellery exports?
A. While India’s gems and jewellery exports face certain challenges, we see great opportunities in international markets, especially within the Indian diaspora. Last year, we opened our first store in New Jersey, USA. Our parent company, Titan, has an established international presence, which gives us valuable insights into consumer preferences abroad. We aim to leverage these insights and expand our footprint globally.
Q. Beyond affordability, what attracts consumers to CaratLane’s jewellery?
A. While affordability plays a key role, our designs are crafted for modern lifestyles, offering lightweight and versatile jewellery for various occasions. Additionally, our omnichannel approach enhances the shopping experience. Customers can explore our collections at physical stores, engage in online consultations, or opt for try-at-home services. This seamless integration across channels allows us to cater to evolving consumer preferences effectively.