Asia Pacific emerging as new growth hub for jewellery, watches
15 November 2010
Research by the independent retail analyst, Verdict, wholly-owned subsidiary of leading European market research firm Datamonitor, has revealed that although many jewellery retailers across the globe have struggled over the last couple of years, Asia Pacific has remained relatively unscathed by the global economic crisis.
The region accounts for 31.2 per cent of the global market and has achieved the fastest growth rate over the last five years, which can be largely attributed to the rapid growth in China and India, says the report.
Both India and China are notable as major jewellery producers as well as consumer markets.
Over 2005-10, the Asia-Pacific region has accounted for a growth of 51.5 per cent of jewellery products in value terms, which is more than twice the global average.
The region overtook the Americas to become the largest jewellery and watches market in 2008 and consumer spending on watches and jewellery is estimated to reach $74.2 billion by the end of 2010, according to the research.
India offers retail investors much potential with a market of over one billion consumers and an increasingly prosperous middle class with the means and willingness to spend more on jewellery. Besides, it has a culture of gifting jewellery and has a long established jewellery industry.