Gold and jewellery business needs Starbucks style international chain to revolutionise the industry worldwide

In a hard-hitting presentation Kelvin Williams, Executive Director Marketing, Anglogold, declared 'There is no Starbucks in the retail jewellery business but that is exactly the kind of new modern business model we need for jewellery.'

Mr Williams argued that the industry had to respond aggressively to the needs of the modern consumer who is brand conscious and driven by fashion trends set by youth culture and MTV.

International leaders from the gold, diamonds and precious metals industry participating in the 2nd Dubai City of Gold Conference have all focused on the vital importance of targeting young consumers to ensure the long-term success of their industry.

Experts from the gold, diamond, platinum and wider jewellery business agreed that products aimed at young people and more aggressive marketing were essential to secure a successful future.

Stephen Lussier, Executive Director Marketing of the Diamond Trading Company argued for the importance of role models to encourage young people to both purchase and wear jewellery.

'When David Beckham went to Buckingham Palace to receive his OBE he was wearing a 32-carat diamond ring and two 10-carat diamond studs and that photograph was used -2-
around the world. This is the kind of thing that can help to drive demand for our products,' he argued.

Moaz Barakat, World Gold Council Managing Director for Middle East, Turkey and Pakistan, argued that the industry had to adapt to the fact that young people are looking for accessories and lifestyle products and start to manufacture new products that reflected these demands.

Gold and Jewellery Group Dubai Chairman, Tawhid Abdullah, added: 'I would urge industry bodies to work together more closely in the future to promote the jewellery sector as a whole. At the same time we should also seek to create products here in Dubai that have a more global attraction to our customers.'

The discussion took place in front of an audience of nearly 300 delegates attending the hugely successful conference organised by the Gold and Jewellery Group Dubai under the patronage of His Highness General Sheikh Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and UAE Minister of Defence.

International speakers from 16 countries have been attracted to participate in the biggest conference of its kind ever held in Dubai.

James Courage, the Chief Executive Officer of Platinum Guild International, agreed that closer partnership between the different jewellery bodies would benefit everyone in the industry if it leads to increased demand and awareness of products. He added that the Platinum Guild had already starting working with the Diamond Trading Company in some areas, especially in training sales staff.

Anglogold Executive Director Marketing Kelvin Williams added that a significant challenge was the huge fragmentation of the retail industry, explaining that unlike competitor consumer products, in gold for example there was no retailer or producer big enough in scale to have a truly global brand.

During his opening speech at the conference, Gold and Jewellery Group Dubai Chairman Tawhid Abdullah called for the creation of a new global Jewellery Marketing Body that will drive the growth of demand for jewellery in the 21st Century.

He also called for the conference to create a special committee that would galvanise the necessary resources to move towards creating the worldwide jewellery marketing body that could be officially launched at the next conference held by the Gold and Jewellery Group Dubai in 2004 - what he described as The Dubai Initiative.

Mr. Abdullah also reinforced the call for a new approach to young people. 'Modern teenagers are the future of our industry. To capture their interest and loyalty to our products we need to make sure that our products have a modern image and are seen as trendy and fashionable to them as other products on the market.'

The conference is organised by the Gold and Jewellery Group Dubai with the support of international, regional and local companies and organisations. This year the event is being organised with the support of the Dubai Metals and Commodities Centre and in association with Omega Investment Research of South Africa who have extensive international experience in the gold and precious metals sectors. The official carrier for the conference is Emirates Airline.

Key sponsors for the conference are Anglogold, Standard Bank, Credit Suisse, Diamond Trading Council (De Beers) and the World Gold Council. Support sponsors are American Express, Commerzbank International SA, Fiera de Vicenza, National Bank of Dubai and Scotia Mocatta, Transguard and Sisma.