De Beers, the world’s largest diamond producer, said Tuesday that it was branching out into value-added services and would launch its own consultancy business.
The announcement was made by Gareth Penny, managing director of the Diamond Trading Company to clients at the third sight, or sale, of the year in London, the Financial Times reports.
“We see a huge opportunity in expanding in services and support and no longer just selling our products,” Penny reportedly said. “The idea is to use our expertise to ensure our clients can maximize the value of the products they sell.”
From the middle of the year De Beers will offer two-and-a-half-year contracts to its sightholders, or clients, to assist with planning, marketing, key account management, and implementing best practice systems, the publication reports. The DTC’s value-added services will consist of core services, a set of supply planning tools provided to all sightholders for a fee, and growth services, which include business sustainability measures such as demand generation and consumer confidence programs.
“Other companies offer a similar service, but no other diamond producer in the world offers the range of services we do,” Penny reportedly said. “I think this will become a sizeable part of our business.”
De Beers worked with Bain & Co, a U.S. consulting firm, for two years to develop a shift in strategy for the company, from seeking to control world diamond supply to focusing on increasing consumer demand for diamond jewelry.