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De Beers hasn't admitted defeat. They've pivoted strategies. "De Beers launched a new jewelry brand on Tuesday [...] The brand, called Lightbox [...] will tran
by acchow 8y ago
De Beers hasn't admitted defeat. They've pivoted strategies.
"De Beers launched a new jewelry brand on Tuesday [...] The brand, called Lightbox [...] will transform the lab-grown diamond sector by offering consumers a lab-grown product they have told us they want but aren't getting: affordable fashion jewelry that may not be forever, but is perfect for right now,"
Genius attack from marketing.
- degenerate 8y agoSo the position is, it's not a shiny rock with natural scarcity and artificial inflated value because we hoard all the diamonds... but instead, a shiny rock with artificial scarcity and value because we hoard all the laboratories and control price. I fear the publishing and journal industries will stick around for another 100 years, just like De Beers has done to the diamond industry. We'll still be in the same crappy predicament in 2118 asking how we got to this point where a few publishers control all the world's flow of knowledge, and the answer will be something to the tune of "because people still like paying high prices for shiny rocks"
- acchow 8y agoHow can they hoard all the laboratories? This isn't a repeat of the early 20th century. It is way easier to make a lab than to find a new diamond mine.
- dbasedweeb 8y agoIt’s even easier for DeBeers to crush that lab, or buy it up and shut it down.
- gonvaled 8y agoEvery time they buy one lab and crush it down, they are losing money. The amount they lose depends on two things: 1 - how much profit the lab owners are making (otherwise, why sell it to DeBeers) 2 - how many labs per year they need to buy The possible scenarios here are complex. Let's explore one: "It is cheap to create a new Laboratory, production of artificial diamonds (identical to natural ones) is cheap, and they produce handsome profits because the competing (indistinguishable) product (natural ones) is very expensive" DeBeers will have a hard time buying all the laboratories popping-up all over the world, while at the same time the price of diamonds starts to drop because of the arrival of these cheap, indistinguishable alternatives. DeBeers will bleed to death pretty quickly in this scenario. Please note that we assume here several points: - artificial diamonds are really indistinguishable - there is no barrier to creating and producing artificial diamonds, other than the usual business barriers that other industries have (investment, IP, ...)
- jimnotgym 8y agoLooking forward to the world market being so flooded with Chinese and indian diamonds that the price dies.
- hulahoof 8y agoPerhaps similar to a printing press however
- philsnow 8y agoI think the brilliance here is not the "may not be forever" bit, but the "fashion jewelry" jab (without giving a crass label to the mined diamonds). We have associations with the term "costume jewelry" that they're trying to have cross over.
- cpeterso 8y agoI think the "may not be forever" suggests that fashion (jewelry) goes in and out of style, so you need to buy new jewelry to stay on trend.
- bitmapbrother 8y agoA diamond is forever was a brilliant marketing campaign. This, however, is condescending and an insult to the intelligence of their customers. Synthetic diamonds have the same chemical and physical properties as natural diamonds with virtually no flaws. In other words, it's actually better than the real thing.