Sight 7: Sightholders are Moody

As the seventh DTC Sight of the year draws to a close, one thing stands out – Sightholders emotional state. This is a surprising outcome, but in a business based on optimism, a very troubling one. Sightholders are expressing great concern over their supply prices, DTC policies, and the very future of their business.

While prices have not officially changed, and probably not even effectively, all buyers felt that the prices are simply very high. Sightholders acted cautiously and hardly left any goods behind. Many felt that even with a loss in DTC buyback on paper, it was still worthwhile. This is viewed as an indication that real market prices are lower.

One Sightholder noted very firmly that if prices won’t decrease by the next Sight, De Beers “will see that half of the goods will be left on the table in Sights nine and ten”.

Another insider said that there is a general feeling that assortments since the start of the year are constantly regressing (with the exception of sight six, when assortments were better). Even if this is just a sentiment, this frame of mind is negative, and projects further downstream.

During a round of talks with the market, many expressed concern and even puzzlement over recent actions and statements by the organization, going as far as saying that the diamond supplier has lost its direction and ‘Can Do’ attitude. The outcome is a slow yet steady erosion of the clients.