Market analysis and trends for 2025

Every new year brings hope, but also uncertainty. In an era of wars and global crises, can 2025 usher in peace and growth? According to research from McKinsey & Company, inflation and geopolitical instability are no longer our top concerns. Now, we worry about more mundane matters—whether customers will be willing to shop.

Where will the shopping appetite be greatest, and what will capture customers’ attention in 2025? Where do the risks lie?

We invite you to explore our analysis.

What the Statistics Say

The global jewelry market was estimated at USD 353.26 billion in 2023. The rise in jewelry sales from 2019 to 2023 was driven by investment purchases. It is therefore not surprising that the largest segment remains gold jewelry—accounting for 55% of the market. Experts expect the average value of the jewelry market to grow at an annual rate of 4–6% from 2025 to 2027. In Europe and the United States, declining inflation, intensified tourism, and post-presidential election optimism are boosting sales, while in Asia, rising household incomes and infrastructure development are the main drivers.

Additional factors in favor of jewelry include:

• An increase in the value of jewelry items over time
• Growing demand for luxury gifts
• The trend of pairing exclusive accessories with non-luxury items
• Creating new shopping opportunities among younger generations
• Rising incomes and demand among the wealthier segment of society

E-commerce

There are nearly 27 million online stores worldwide, with 2.7 billion people making purchases in them. In 2024, 20% of all retail purchases were made online. It is estimated that by 2027, this figure will rise to 22% globally, with jewelry accounting for 18–21%.

The fierce competition for leads has made acquiring customers online both challenging and costly. To encourage purchases, stores began offering free returns; however, since on average 30% of purchased items are returned, this incentive has proven expensive. Consequently, some companies have introduced return fees, which cause nearly half of potential buyers to abandon their purchases.

On the other hand, the sheer number of products and options available online can leave consumers feeling overwhelmed. 80% of customers report dissatisfaction with search results. Another significant group abandons their shopping carts because the overwhelming variety makes it difficult to decide.

This is where artificial intelligence comes in. A virtual sales assistant is a tool that heralds a new era of shopping. Moreover, 82% of respondents say they would like AI to support them during the purchasing process to reduce the time spent searching for the right product. So, if your business is primarily online, it’s worth exploring the possibilities offered by AI. We encourage you to check out the shopping platforms Daydream and Capsule, which were the first to introduce virtual assistants.

However, despite the growing popularity of e-commerce, jewelry is still most frequently purchased in brick-and-mortar stores.

• Did you know that S&A offers high-quality images you can use in your store?

The Human Side of Sales

More than 80% of jewelry is purchased in physical stores. The store plays a crucial role in building trust and loyalty. Here, the quality of customer service has a direct impact on sales. Customers are becoming increasingly demanding and expect that as prices rise, so too will the level of service.

75% of surveyed customers state they are willing to spend more if they receive professional service. They expect sales staff to have in-depth product knowledge, the ability to advise, and the skill to find the right item. Understanding a customer’s needs is an art that not only directly influences sales performance but also enhances customer satisfaction, relationship building, and loyalty.

If you run a brick-and-mortar store, invest in training your sales team.

• Did you know that S&A can support you with training materials on our products to boost your team’s knowledge and professionalism?

Another issue frequently raised by customers is dissatisfaction with post-sale service. Effectively handling returns or repairs directly impacts customer loyalty to the brand. Ensure you offer high-quality repair services and efficient return processes. Also, verify that customers receive sufficient information on how to care for their products, as this is another commonly mentioned concern. Remember, what happens after the sale often influences future purchasing decisions—implement and maintain procedures to keep in touch with customers and sustain their excitement about their purchases.

• Did you know that S&A offers a lifetime service for its jewelry?

Generation Z

Those born between 1995 and 2012 represent the younger segment of society who are just beginning their professional careers and are becoming an increasingly important group of consumers. Many jewelry brands are targeting them, which makes the competition in this segment fierce. They buy jewelry for themselves—often without any specific occasion. They choose brands that align with their values, yet they are not particularly loyal, following what is currently fashionable and resonates with them. They are mindful of sustainability and environmental issues. On the other hand, more than half of Generation Z worries about their financial future, making them very price-sensitive. For this reason, in 2025, fashion brands targeting the younger generation may face challenges in increasing sales.

• Did you know that 100% of the gold and silver used by S&A is recycled?
• Are you familiar with the Genesis collection, designed to reduce the carbon footprint?

The Overlooked Client X

People over the age of 50 represent a growing demographic with a significant share of global spending. In 2025, they will account for over 30% of the population in highly developed countries, representing 48% of global expenditures. For example, in the USA, 73% of the affluent segment consists of individuals over 55 years old. Brands have typically overlooked them in their strategies, focusing on younger consumers. However, those in their 50s wield considerable purchasing power, and tailoring your offerings to them could boost sales. Years of work and stable incomes have made them disproportionately wealthier than other generations and more resilient to economic fluctuations. This “Silver Generation” is set to generate the highest revenues in 2025.

What the Silver Generation Buys

They shop with equal ease both in-store and online, though they often seek inspiration in physical stores. They opt for timeless designs suitable for any occasion. Unmoved by fleeting trends, they value their own style, which makes them loyal customers. They appreciate high quality and functionality, preferring to invest in one high-quality item rather than several cheap, low-quality ones. Companies targeting Generation X should emphasize quality above all other product attributes.

• If you want to tailor your offerings for these consumers, we recommend exploring the S&A Stay Classic and Choose Glamour collections.

Industry Outlook

By supplying a wide range of companies from various markets with jewelry, we have a broad view of the industry. We listen to and observe the evolving trends among buyers and consumers. Every year, the January fair in Vicenza serves as a barometer of the industry’s mood. This year, optimism and a desire for growth were evident among buyers and exhibitors. We are entering the new year with a positive attitude, excitement, and confidence in success—and we wish the same for you.