Gold jewellery is trending among China’s Gen Z – Vogue Business
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Gold jewellery is trending among China’s Gen Z customers, shaking up a market dominated by silver and diamonds.
Gen Z and millennials accounted for 20 per cent of gold jewellery purchases in Beijing malls, up from 10 per cent last year, according to a report by CCTV Finance. In an interview with CCTV Finance, Ye Bin, the store manager of China Gold’s flagship store in Beijing, said that sales during the Spring Festival holiday increased by 60 per cent year-on-year, driven by younger customers. And, there’s growing potential: a survey conducted by the World Gold Council in 2021 found that 60 per cent of Chinese consumers have not yet purchased gold jewellery, but are considering it, up from 16 per cent in 2016.
How to sell fine jewellery to Gen Z
Emerging fine jewellery designers, including O Thongthai, Bernard James and Bea Bongiasca, are focusing on Gen Z and millennials, while pioneering new ways of connecting with them.
A defining feature of China’s gold market is that the market pricing of gold jewellery is highly transparent, according to the 2022 China Gold Market Outlook report previously released by the World Gold Council.
With the global economic downturn and turbulent geopolitical situation, savvy young consumers have also taken a fancy to the “value-preserving investment” of gold jewellery. The figures reflect a shift in attitude around gold jewellery and an opportunity for local stores and international brands.
A spike in popularity
“I used to think that gold was very earthy, but now if you ask me whether I should buy gold or diamonds for marriage, my answer has changed — I want gold, not only to look good, but to preserve its value,” says Yin Chen, a 23-year-old shopper.
Domestic jewellery brands have begun collaborating with popular franchises in order to tap younger customer interest. In 2020, Luk Fook Jewellery collaborated with Chinese video game Nezha; and Chow Sang Sang and Cai Bai Jewellery have both launched a joint series with the Forbidden City.
Launching sub-lines or sub-brands is also a smart way to get in front of younger customers. In 2016, Chow Tai Fook launched the trendy jewellery brand Monologue, and in 2017 launched the brand So In Love, which targets the luxury wedding market; and, in 2019, Chow Sang Sang launched the fashion concept brand Minty Green.