With the increase in prices, many are resorting to ETF or gold shares, says Industry Expert | Photo credit: PTI
Althegh’s jewelry stores are far from being deserted despite the recent increase in gold prices, this Akshaya Tritiya is expected to witness a sauce in high -value purchases, with customers who opt for lower ticket items.
Jewelry retailers are treading cautiously as gold prices have touched a historical maximum of ₹ 89,300 for 10 grams for 22 carat gold almost 30 percent compared to last year.
Take, for example, Rekha Sivadarshini (name changed), a Bengaluru rajajingar teacher. She shared that she plans to buy only 5 grams of gold this Akshaya Tritiya, instead of the usual 10 grams. “If the gold rate falls, I will buy more. But now, it is more need than indulgence. Buy gold as an investment instead of casual or traditional reasons,” he said.
Change in consumer behavior
This change is echoing throughout the industry. The founder of Giva, Ishendra Agawal, said that consumer behavior has evolved, jewels are no longer seen exclusively as an investment, but more as a fashion accessory. “With the increase in prices, many are resorting to ETF or gold actions. Others are diverting their expenses towards experiences such as trips,” he observed.
Reflecting this trend, Titan Company in its quarterly update Q4Fy25 reported that the slow demand even lower ticket items, which leads to the growth of a single digit in buyers. The company added that jewelry with studs saw a low interannual growth duration of two digits in the quarter.
Vibha, who is headquarters in Pune, shared that he has reduced how O ofs buys gold. However, it still buys small amounts in ‘Muhurtas’ and now looks for designs made in 5 to 6 grams, since it saves money while offering the joy of using gold. “
To support buyers such as Vibha, brands such as Tanishq offer schemes to relieve the financial burden of buying gold. For example, Tanishq has implemented initiatives that allowed 2.7 Lakh unique wedding buyers, including 1 Lakh weddings where brides exchanged old gold, bought from any jeweler, buy new jewels. In addition, the brand introduced a wide range of traditional and contemporary light designs in categories such as dress clothes, earrings, chains and bracelets, which attend both to daily use and special occasions, said Arun Naray, Vpan.
While there is a cautious approach in the regional CEO market of Sachin Jain, the Indian Golden World Council, commented that many consumers are adopting a “wait and observation” approach this year, especially after witnessing 14 historical peaks. “Demand will probably return to the market in a very strong way once there is more clarity,” he said.
With gold out of reach, other metals shine
Interestingly, other metals are gaining impulse. Both Giva and Titan observed a greater interest in silver and the single jewelry. According to Titan’s quarterly update, its solitary segment saw a change, with a growth in both the buyer and value. Giva also reported that strong silver jewelry sales, a trend agar is linked to salary stagnation and growing costs. “With limited salary growth and more categories of expenses such as trips, consumers are becoming more selective about where their money is going,” he added.
(With internal bloc tickets Nethra Sailes)
Posted on April 17, 2025