FUTURE OF RETAIL
October 2025
Seismic Shifts Ahead: Long-Term Forces Reshaping the Jewelry Industry
Marty Hurwitz
Why demographics, lab grown diamonds, and a record wave of store closures demand a new, experience driven boutique model.
A DEMOGRAPHIC HAND OFF IN REAL TIME
Baby Boomers—long the bedrock of fine jewelry sales—are aging out of their peak spending years and steadily shrinking in number. Millennials officially surpassed Boomers as the largest U.S. adult cohort in 2019, with Gen Z close behind and entering the labor force en masse in the mid 2020s (Pew Research Center). Bain & Company estimates that Millennials and Gen Z will drive virtually all luxury market growth and represent roughly two thirds of purchasing power by 2025 (Bain). These buyers prize sustainability, transparency, and digital fluency—values that are already reshaping every corner of discretionary spending.
A PARALLEL PRODUCT REVOLUTION: LAB GROWN DIAMONDS
As demographics tilt younger, lab grown diamonds (LGDs) have raced from curiosity to category. The Knot’s 2025 “Real Weddings” study shows that 52 % of U.S. engagement rings now feature a lab grown center stone, up six points in a single year and quadruple their share in 2019 (The Knot). Market analysts value the global LGD segment at about $28 billion in 2025—with double digit annual growth projected through the decade (Research and Markets). LGDs deliver three things the next gen consumer loves: smaller environmental footprint, radical price transparency, and 30–70 % lower cost per carat.
HOW NEXT GEN CONSUMERS WANT TO SHOP
Today’s luxury buyer doesn’t merely want a product; they want a story, a shareable moment, and the power to co create. Surveys across consumer sectors show that well over half of shoppers will pay a premium for brands that mirror their values on sustainability and social impact (Bain). They also expect an omnichannel glide path—moving fluidly from TikTok discovery to virtual try on to an IRL appointment—all while their wish list and ring size follow them in the cloud..
THE RETAIL SHAKE OUT: LEGACY STOREFRONTS ARE DISAPPEARING
Any lingering doubts about the urgency of reinvention should evaporate with the latest closure data:
- Record setting store shutdowns. More than 5,800 U.S. retail locations closed in the first half of 2025, up from ≈ 3,500 during the same period in 2024. Coresight Research now projects 15,000 total closures by year end—more than double last year’s tally and the most since the pandemic peak (JCK).
- Jewelry is not immune. The Jewelers Board of Trade reports 167 U.S. jewelry stores ceased operations in Q1 2025 alone—a 21 % jump year over year—while only 68 new stores opened (JCK).
In short, the traditional “big box jeweler with rows of glass cases” model is under structural siege. Lease liabilities, heavy inventory, and transactional selling floors are millstones in a world where younger shoppers buy online first and visit stores for inspiration, expertise, and Instagram worthy moments—not to browse endless trays of the same merchandise.
WHY ACTING NOW MATTERS
With Boomers exiting, Gen Y/Z dominating spend, LGDs exploding, and a record wave of store closures clearing the retail landscape, the jewelry industry sits at a once in a generation inflection point. Brands that cling to glass case, mined diamond orthodoxy risk becoming the next Blockbuster. Those that pivot to experience driven, lab grown, low inventory boutiques can ride a 40 year demand wave—owning not just share of wallet but share of heart.
Andrea’s Note: You don’t have to jump into a new platform to see the results. Often, it’s about using what you already have smarter.
The blueprint is ready.
Modern product.
Modern place.
Modern process.
Get those three Ps right, and the fourth – profit— follows.
Marty Hurwitz
CEO and Founder THE MVEye
Marty Hurwitz is the co-founder of THE MVEye providing research and communication services to a global client list in the gem, jewelry and watch industries.
As publisher of the highly regarded Lab-Grown Diamond Market Intel Report newsletter, with readership worldwide, Marty is a sought-after advisor and speaker on the future of Lab-Grown Diamonds in gem and scientific applications
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