Modern designs, creative marketing strategies and an enhanced online presence are crucial to further raising the profile of and boosting demand for gold jewellery in the US market, the World Gold Council (WGC) revealed in a new study.
The research, Retail gold insights: US Jewellery, presented bright spots and challenges in the gold jewellery sector in the US against the backdrop of the Covid-19 pandemic.
“The US is the third largest gold jewellery market in the world,” said WGC. “But while American women appreciate its traditional and sentimental values, it often falls short of meeting their style needs. The insights in this report should help the gold jewellery industry to protect and grow its position, strengthening its connection with American women.”
The study said nine in 10 women in the US would consider buying gold, which indicates substantial headroom for growth. They however find it difficult to find gold jewellery that they like or suits their style – highlighting the need for greater variety in gold jewellery designs to appeal to a wider range of tastes.
While gold is appreciated as a lasting heirloom, the style or design of "inherited" gold might not match that of today's female consumers, hence making gold jewellery “modern, wearable and individualistic” is likely to help to overcome this perception, especially for younger buyers in the 18- to 24-year-old group.
Improving gold jewellery's online presence – with creative social media content, targeted marcomms and celebrity endorsement – would also raise awareness of the range of designs on offer and deepen its fashion appeal.
There is also a need to educate buyers on the value of gold. While American women generally say they appreciate gold’s durability and long-lasting value, those who have not previously bought it do not appreciate its worth.
“This suggests a need to promote lighter-weight, more affordable pieces, while also playing up gold’s inherent financial value. Amid the current global climate of uncertainty and economic hardship, this messaging could land particularly well,” remarked WGC.
The study conducted 2,054 online interviews with female fashion and lifestyle consumers across the US.