October 22, 2001
More U.S. Engagements May Boost Diamond Sales
De Beers officials say the increase in the number of engagements following the Sept. 11 attacks in the U.S. could boost U.S. diamond sales, Reuters reports.
The number of engagements has shot up enormously, particularly close to U.S. military bases, according to Gary Ralfe, managing director of De Beers, Reuters reports. However, diamond demand was weak in the first half of the year and the market could still worsen. Ralfe says if the U.S. goes into a recession, diamond demand will drop further.
The fourth quarter of the year is traditionally the strongest for diamond sales when 40% of diamond jewelry is bought so De Beers plans to launch an aggressive advertising campaign in time for holiday sales, Reuters reports. The new campaign will remind consumers that diamonds remain the ultimate gift of love.
- by Julia M. Duncan