De Beers Enduring Value' Campaign Revealed

In a series of presentations to Sightholders and background discussions with the press this week, De Beers detailed its marketing plans for Holiday Season. In short - a blitz of activity on almost all fronts, to drive consumer demand for diamond jewelry in response to, or ahead of, the impending crisis.

The starting point of the campaign is idea that diamonds are an ultimate icon of enduring value. David Lamb, Forevermark chief strategic officer, told IDEX Online that their consumer research found three aspects to the diamond story:

• It is a "store of value" that 52 percent of U.S. respondents said that diamonds preserve their value in the long term;
• Diamonds are the "ultimate symbol of love"
• In these economic times consumers will choose between categories and not within them, and therefore the campaign encourages to purchase "fewer, better things"

A TNS survey found that when having to choose two items out of a list of holiday gifts, 30 percent of women want to receive diamond jewelry, ahead of any other item (health spa came in second with 28%, large electronic item third with 27%). Interestingly, it will seem that men are far more inclined to give diamond jewelry then women wishing to receive it - a whopping 41 percent.

Another finding: 87 percent of respondents answered “I would rather buy something that is a bit more expensive but will still have value in a few years, than something that is more affordable but will only last a short time”

Finally, 66 percent of women agree diamond jewelry is wonderful gift to hand down to next generation. It is also perceived to be safer than stocks, real estate, and fine art.

Screen shot from the 2001 Hands commercial

The result is a doubling of the fourth quarter budget over last year, put into a multi-channel effort. The 2001 Hands commercial, which ends with the narration "There are two things in the world that last longer than time. Love is one of them," while showing a diamond ring. The original sound track will be replaced, most likely using Ben E. King's Stand by Me. The commercial will be aired in heavy rotation in the top 10 diamond consumer markets.

This will be backed by full page ads in the likes of The New York Times and the Wall Street Journal, 128 full page ads in all and an online ads, search engine and email campaign aimed at getting in access of 40 million impressions. In a departure from the past, the ads are not white lettering on a black background. Still similar to them in the lay out, they are black on white with grayish outskirts and the diamonds very bluish.

Lamb estimates that 97 million Americans will be exposed to the campaign over six times during the two month period.

Clearly, the campaign is not aimed at lower end of the U.S. middle class. The research questioned people with an annual income of more than $100,000.

It is interesting to note that, while it sought to forego the Custodian of the Market position, De Beers took a leadership role and once again took on itself to invest heavily -  estimated in the tens of millions of dollars - in generic marketing. Those that saw the presentations were very impressed (the press did phone interviews and received copies of the PowerPoint presentations).

A quick check finds that hopes for the campaign success are high. At the same time, De Beers is not subtracting from its Forevermark marketing budget or the financial support it is providing to a small number of Sightholders in specific marketing efforts.

In De Beers' own words: "We are supporting the market with our strongest arsenal."