In 2025, the U.S. independent jewelry sector generally recorded positive financial outcomes, although the holiday season's sales expansion was somewhat muted compared to earlier predictions. According to Tenoris, a prominent industry analytics provider, independent jewelers saw their sales climb by 5.6% over the year. Yet, this upward trend decelerated slightly during the crucial holiday months, with November registering a 3% increase and December a 5.4% rise. Industry insiders noted that while December's performance surpassed the previous year's, it didn't meet the high expectations set for an 'exceptional' holiday period.
The overall sales growth for the year was largely attributed to an 11.4% surge in the average expenditure per jewelry piece, which managed to counteract a 5.2% reduction in the total number of items purchased. This reduction was most noticeable in lower-priced categories, specifically items under $2,500. A striking illustration of this trend was observed in December, where consumers acquired 10% fewer items but spent 17.2% more per item compared to the previous year. Furthermore, the market for loose diamonds saw a downturn, with natural diamonds being the least performing segment, continuously losing ground to their lab-grown counterparts. Despite a 1% fall in revenue for unmounted lab-grown diamonds, unit sales increased by 14%, indicating a stabilizing market where the rate of price decline is moderating, and unit sales are improving. Jewelers, in an effort to maintain profitability, significantly increased their margins on lab-grown diamonds, reaching an impressive 72%, effectively absorbing wholesale price reductions rather than passing them on to consumers. Conversely, gold prices soared by 66% in 2025, leading retailers to raise gold item prices by about 30% and offer lighter pieces to mitigate the impact, which still resulted in a 16% drop in gold jewelry unit sales.
Overall, the data presents a complex picture for the independent jewelry market. While the sector as a whole demonstrated resilience and growth, particularly in higher-value transactions, it also highlighted a growing disparity in consumer spending. There appears to be a segment of the consumer base, likely those with lower incomes, who are either less inclined or able to spend on jewelry, redirecting their expenditures to other areas. This suggests a potential lack of confidence among certain market demographics, presenting both challenges and opportunities for jewelers to adapt their strategies to cater to a diverse economic landscape and ensure sustained growth across all consumer segments.