Charles & Colvard will target millennials with a message about ethical sourcing
With the release of its new, more brilliant gem, Charles & Colvard plans to market moissanite to millennials as a diamond alternative, says its new president and CEO, Suzanne Miglucci.
The company’s higher-color ForeverOne product will allow the company “to move up-market and compete directly with diamonds for market share,” said Miglucci in a statement.
“We plan to build a direct relationship with millennials,” she said on a conference call following the release of the company’s latest financial results. “They have a fierce devotion to socially responsible companies and products and they seek out products that are ethically sourced.”
They are also looking for a bargain, she said: “Driven by the significant student loans that burden this demographic, millennials are judicious about how they spend their money.”
“Social- and value-conscious millennials, meet ForeverOne,” Miglucci said. “We will roll out our most extensive go-to-market program ever and let [the industry] know we are a force to be reckoned with.”
She said that the company will tout its product as “untainted by human rights abuses, environmental degradation, or wartime conflicts.”
“It’s astounding to me how little people know [about moissanite],” she said. “It’s also astounding how little people know about the mining of gemstones in general and what that does to the environment.”
The company plans to promote its new ForeverOne product as a gemstone that “exceeds the brilliance of diamonds at a fraction of the cost,” she said.
Miglucci admitted that current awareness of the moissanite is low: “We believe that Charles & Colvard is one of the best-kept secrets in the jewelry industry.”
The company’s most recent SEC filing says that “moissanite jewelry retail sales have historically been less than 1 percent of the total jewelry market.”
Prior to the call, the company announced that it was selling its direct sales channel, Lulu Avenue.
“In 2015, we saw a shift in the direct selling model, one where an online social media driven sale is on the rise,” said Miglucci. “This changing landscape would require a retooling…meaning additional investments to grow the business and a much longer timeline to break even.”