Why There Are So Many Misconceptions About Lab Diamonds
Why are there so many lies about lab grown diamonds?
The short answer is that the mined diamond industry, from the industrial mining operations all the way to the independent retailers, fear the coming disruption of laboratory grown diamonds.
Unlike the taxi lobby and the hotel lobby, the diamond lobby has worked preemptively to fight the coming disruption, doing everything possible to stymie the growth of cultured diamonds.
Part of that effort involves spreading fear, uncertainty, and doubt about lab diamonds.
Fears of Industrial Mining Corporations
Diamond miners fear of laboratory-grown diamonds began on 15 February 1955, when General Electric (GE) announced the first successful growth of diamond above the Earth. As a result of the announcement "De Beers stock dropped dramatically ... the diamond industry was in turmoil."
As a result of the recent improvement of diamond growing technology, De Beers and it's rival diamond mining corporations have for the first time in history come together to form the Diamond Producers Association (DPA), a trade group formed to fight synthetics. The 2017 advertising budget of the DPA is $57 million dollars.
Fears of the Jewelry Retailer
Many clients of Ada Diamonds have cross-shopped lab and mined diamonds before choosing Ada Diamonds. They have reported all sorts of falsehoods told to them by salespeople at both local jewelers and global jewelry brands. These falsehoods espoused by jewelry salespeople can be attributed to ignorance in some cases and malicious intent to close a sale in other cases.
The reality is when a retailer has millions of dollars of 'dirt diamond' inventory on their books and the most educated, highest budget customers are inquiring about objectively superior and better value grown diamonds, that retailer fears lab diamonds.
Furthermore, the local jeweler is likely struggling in today's' world of eCommerce and desire for branded jewelry. 21% of US jewelry retail locations have shuttered in the last dozen years:
Expert Predictions About the Rise of Lab Diamonds
Morgan Stanley and Bain both predict that lab diamonds will make up between 7.5% to 15% of a $100Bn global diamond jewelry market by 2020. The area between the two red lines in this chart is Bain's prediction of the share that synthetic diamonds will capture in the decades ahead.