Indonesia sparkles in the jewellery retail market, according to a new report from Euromonitor International.
Buoyed by growth in Asia Pacific, particularly China and India, jewellery will continue to be the best-performing category in the personal accessories segment, according to its research.
Indonesia is expected to be the fastest-growing country in the world for jewellery sales with 7.8 per cent compound annual growth rate (CAGR) predicted until 2021. It is followed by India at 6.9 per cent.
Euromonitor’s research shows that jewellery sales will be worth US$316 billion this year. It is the fastest-growing segment within the personal accessories industry with 3 per cent growth over the past year.
Jewellery, including both costume and fine jewellery, had 15 per cent year-on-year growth of internet retail sales, reaching $19 billion this year, up from $9 billion in 2011. Fine jewellery’s 16 per cent growth in internet retailing beat out costume jewellery’s 12 per cent growth, with more fine jewellery retailers going online.
“Technology is the answer for the future growth of jewellery and personal accessories,” says industry analyst Jasmine Seng. While global sales of personal accessories are growing at 2 percent, internet retailing is experiencing double-digit growth.
The lowest performer in internet sales is the watch segment.
“Facing competition from smartwatches, industry players should collaborate with wearable-technology innovators to drive organic growth for their companies,” says Seng.
Personal accessories sales are forecast to have 4 per cent CAGR between now and 2021 to reach $633 billion.