Young And Global Indian Shoppers Add Sparkle To Lab-Grown Diamonds: Limelight’s Pooja Sheth

What plays behind the making of a $300–350 Mn market for lab-grown diamonds in India that’s growing at 14.8% a year to reach $1.19 Bn by 2033?

Ask Limelight founder and managing director Pooja Sheth and she would say it’s the urban and global Indian shoppers’ growing interest in utility and affordability. “It’s an exciting shift, one that reflects a growing awareness and, in this journey, trust plays a central role.”

The shoppers understand that the product is essentially the same, just made above the ground and not sourced from underground, which makes it more cost-effective and environment-friendly. With growing awareness, today’s consumers walk in with a deeper understanding – not just of brands, but also of the nuances of the different types of man-made diamonds like CVD (predominantly Indian) and HPHT (largely Chinese).

Sheth shared her views in a panel discussion on ‘Lab-Grown Diamonds And The Next Chapter Of Aspirational Retail’ at the 6th edition of Inc42’s D2C & Retail Summit on July 25. The panel also featured Lisa Mukhedkar, founder and CEO of Aukera, Darayus Mehta, who cofounded True Diamond, and Coluxe founder and chief executive Priyanka Gill. The session was moderated by Ishaan Khosla, founding partner of Huddle Ventures.

The panelists stressed on the low entry barrier for lab-grown diamonds and fine jewelleries, which has led to a crowded marketplace with many brands coming in and exiting. They deliberated on the importance of differentiation, with one strategy being to focus deeply on a single niche and consumer cohort.

The panelists noted that much of the fine jewellery space appears undifferentiated, which makes it crucial to have a clear, ownable brand identity. On retail expansion, they said that quality and profitability of physical stores matter more than rapid growth. Building a national presence is key for consumer trust, but it must be done sustainably, ensuring that each store adds value and strengthens the brand equity.

Sheth also highlighted how the aspirational shift has taken place in the jewellery segment, particularly in tier II.

“In tier I, awareness of lab-grown diamonds is fairly established. In contrast, Tier II cities are just starting to catch up in terms of exposure and understanding. However, the adoption curve is being accelerated by younger, more globally exposed audiences, particularly those who have studied abroad or are active online,” Sheth said.

They influence the purchase decisions of their seniors in the family, stating that the lab-grown diamonds make a more rational and practical choice. “It’s a bit like what we saw with smartphone adoption—young people are educating the older generation and guiding their choices,” she added.

There’s also a noticeable shift in perception around resale value and long-term utility. While consumers initially question the resale aspect, they quickly learn that many lab-grown brands offer exchange and buyback offers – similar to natural diamonds.

The panelists explored several key themes such as the rise of conscious, price-sensitive, yet aspirational buyers, and discussed how new-age brands were building trust without legacy to win first-time buyers.