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DeBeers Going Retail.
DeBeers Supplier of Choice Program, which is designed to install vertical integration among it's sightholders so that they become responsible for manufacturing the diamond rough to the marketing and selling of the finished polished diamond as well as jewelry to consumers now is proceeding full speed ahead.
For months New York City residents have watched De Beers prepare its new retail store at the corner of Fifth Avenue and 55th Street. And according to The Times of London, De Beers plans another 150 new retail stores in the coming 10 years.
De Beers LV --a joint venture with the LVMH Group, Moet Hennessey Louis Vuitton-- plans to open Manhattan's showroom in June 2005, followed by a store in Beverly Hills, California, in the fourth quarter of 2005.
The Times quoted Guy Leymarie, CEO of De Beers LV, as saying the target of 150 new stores would not all be operated by De Beers, but he did expect roughly half of the new stores to open in the United States. For decades post-WWII, De Beers was prohibited from conducting business in the United States due to antirust claims, but the issue has been settled and opened the door for business in the states.
London has the first De Beers LV retail store on Old Bond Street, opened in 2002, and De Beers LV owns three stores in Japan, of which two operate at a profit, Leymarie told The Times. Leymarie was chief executive of Cartier prior to joining De Beers LV in March 2004.
A new jewelry collection called Radiance will hit the London market during the week of May 16, 2005. The collection is designed by Raphaele Canot. Prices in the collection range from $18,000 (GBP 9,800) for a diamond ring, to $721,000 (GBP 390,000) for its Sun Grand Medallion.
The end of days for the diamond and jewelry middleman are nigh.
Perhaps an apt slogan for DeBeers ought to be:
"From The Mine To You".
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