De Beers is scaling its Indian retail footprint to 100 Forevermark stores by 2030 to capture rising demand from Gen Z and self-purchasing women. While this expansion highlights the potential of the Indian natural diamond market, the company faces significant competition from the growing lab-grown diamond sector and broader structural challenges at its parent firm, Anglo American.
De Beers, the global diamond giant, is launching a major retail expansion in India to strengthen its grip on the country’s growing luxury market. The company aims to grow its Forevermark brand network to 100 stores by 2030, a significant increase from its current footprint of approximately 10 outlets. This strategy focuses on establishing a strong presence in the top 20 cities through a hybrid business model that combines company-owned flagship stores and franchise operations.
This growth plan comes as the Indian natural diamond market shows strong promise, with projections suggesting it could reach INR 1.5 trillion by 2030, growing at an annual rate of 12 percent. The company is betting on a shift in consumer behavior, particularly among the younger generation. Data indicates that Gen Z currently accounts for 51 percent of Forevermark’s growth in the country. Additionally, there is a clear trend toward women buying jewelry for themselves rather than just waiting for traditional gift-giving occasions. Consumers are also moving toward higher-quality stones, with average demand climbing to 0.79 carats.
Despite the optimistic outlook on consumer spending, the company faces a challenging business landscape. The most notable hurdle is the rise of lab-grown diamonds (LGDs). These stones are created in laboratories and are increasingly popular due to their lower price points compared to natural diamonds. The rapid adoption of LGDs has created significant price pressure across the diamond industry, potentially impacting the appeal of high-end natural diamond retail.
Investors and industry observers are also keeping a close watch on the company’s parent entity, Anglo American. The global mining major has faced financial pressure and has been navigating a period of strategic restructuring, which has included reviewing its De Beers diamond business. These internal financial shifts at the parent company level create a layer of uncertainty regarding long-term resource allocation and strategy. Furthermore, scaling a premium retail chain across India’s diverse and competitive landscape requires consistent execution and significant capital, adding to the operational risks.
For those following the Indian diamond sector, the next few years will be critical. The success of this retail expansion will depend on whether De Beers can differentiate its natural diamond offering against the cheaper lab-grown alternatives and maintain its premium brand positioning. Monitoring the pace of new store openings, the company's ability to maintain profit margins amid rising competition, and any further updates on the ownership structure of the De Beers business will be important for understanding the future of this venture.