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The global market for fancy color diamonds is witnessing significant growth, driven by increasing demand from passionate collectors of high-end jewelry and individual investors. This market review aims to provide a concise overview of the current state of the fancy color diamond market, analyzing its unique qualities, jeweler approaches, and the remaining timeline for diamond mining.

Covering a wide range of topics, the report explores the history of fancy color diamonds, proper methods for visual analysis, and the challenges they face at auctions. It also discusses manufacturing trends, different diamond categories, and the appropriate approach for retailers when discussing rarity. For the first time, the report unveils the actual size of the wholesale market in terms of dollar amount and explains the price behavior across various weight groups.

Additionally, the report examines advanced grading approaches transforming trading and retail practices for these extraordinary gems. It also analyzes the key challenges and opportunities in the industry, addressing the threats faced by the fancy color diamond market.

With its comprehensive insights, this report provides valuable information for stakeholders, enabling them to navigate the dynamic landscape of the growing fancy color diamond market.

This market review will provide valuable insights for retailers or those who would like to engage with the fascinating world of fancy color diamond trading. By providing an in-depth analysis of the market, we hope to contribute to a better understanding of the challenges and opportunities facing this luxurious industry segment.

The FCRF Team


The Fancy Color Research Foundation (FCRF) is the first and only specialized organization who studied and analyzed the fancy color diamond market since 2014

The fancy color diamond market has never been studied or analyzed using conventional methods. This is because the supply of fancy color rough is scattered globally, and polished transactions, apart from the sporadic sales at auctions, occur behind closed doors with little significant data being shared. The Fancy Color Research Foundation (FCRF) is the first and only specialized organization who rigorously studied and analyzed the fancy color diamond market since 2014. After a decade, it developed tools to penetrate the armor of secrecy and obtain empirical information for commercial use. This review will cover mining and origin, pricing trends over the years, the subject of rarity, positioning in the luxury market through the different tiers in the retail space and more.


Our overview of the fancy color diamond market involves a rigorous methodology that combines a range of research techniques and data sources. Proprietary studies conducted in recent years have laid the foundation for the various topics we are exploring in this market review. Many of these topics have been selected based on the interest that has arisen from interactions with jewelers and collectors who are interested in fancy color diamonds. These studies have provided valuable insights and guidance for this review. Additionally, we have gathered a large amount of data through the analysis of existing research conducted by reputable institutions such as the Gemological Institute of America (GIA). All numbers in their report were obtained from their global database. This has provided valuable insights into the segmentation of colors, clarity, sizes, and shapes. We cross-referenced this data with open sources and sampled tens of thousands of fancy color diamonds every quarter from online platforms to ensure the accuracy and reliability of the findings. The data output later aided us in estimating the market size and building the rarity algorithm to complement other aspects of this research, personal interviews with diamond wholesalers and retailers were also conducted. These interviews provided a deeper understanding of the supply chain dynamics, market preferences, and emerging trends in the fancy color diamond market. These interviews were helpful in identifying potential gaps or inconsistencies in the existing data and providing new insights that can be used to refine the report’s focus.

Our fancy color price report relies on quarterly price surveys with established data suppliers that create the Fancy Color Price Index. These surveys help to track changes in pricing over time and provide a benchmark against which to compare other data sources. Finally, online research for high-end jewelry can be a valuable technique in the market review methodology. This includes examining product listings and auction reviews, as well as tracking the online presence of fancy color diamond jewelry by different brands including red carpet presence and social media.


Strengths: One of the market’s strengths lies in the increasing number of diamond companies entering the fancy color diamond segment. This trend helps stabilize the category as more companies enter, resulting in a reduced number of diamonds available to each. This reduction in supply alleviates the financial burden of maintaining large inventories and contributes to price stability in the long term. The declining offering of new fancy color diamonds is another significant strength. With fewer of these diamonds being unearthed each year, they become increasingly rare and coveted by high net worth individuals and alternative investment funds. This transformation positions fancy color diamonds, perhaps unconsciously, as a long-term investment for wealth preservation among families seeking to secure and pass down their assets through generations.

Weaknesses: While the lack of professionalism among jewelers and sales teams is a weakness, another concern arises from the growing emphasis on diamond origin. As the mining origin of diamonds becomes an important factor for many prominent jewelers, the future reliance on the second-hand market will increase over time. This shift could potentially deny access to the origin information of fancy color diamonds and jewelers will need to adapt in accordance.

Opportunities: Within the $4.5 billion yearly market for fancy color diamonds, there is sufficient room for growth for new jewelers. As the market expands, emerging jewelers have the opportunity to establish themselves as reputable players by demonstrating a large offering with expertise in the fancy color diamond segment. This growth potential allows for increased competition and innovation, benefiting both consumers and industry participants

Threats: The changing culture of luxury and the decrease of social events, galas, and cocktails where high-net-worth individuals can showcase exceptional jewelry pose significant threats to the entire diamond industry. This shift towards valuing casual-looking items, such as expensive sneakers and T-shirts, over traditional luxury goods like exceptional jewelry, may lead to a decrease in demand for the jewelry segment as a whole.

Another potential threat to the fancy color diamond market is the risk of it becoming a commodity if too many organizations decide to invest heavily in these diamonds. As demand continues to grow and more investment companies enter the market, there is a possibility that fancy color diamonds may lose their traditional role within the jewelry ecosystem. 
If the market becomes saturated with funds that invest heavily in fancy color diamonds, in times of economic crises or downturns, there is a remote possibility that organizations holding significant inventories of fancy color diamonds may consider selling off their stock to mitigate financial losses. If such a scenario were to occur, it could temporarily flood the market and create downward pressure on prices. However, it is essential to note that the likelihood of this happening is extremely low due to the limited supply of fancy color diamonds and their status as luxury items that are often viewed as long-term investments.

In summary, the fancy color diamond market benefits from the entry of more diamond companies, which stabilizes the category and maintains price stability in the long term. The declining offering of new fancy color diamonds positions them as long-term investments for wealth preservation. However, weaknesses such as the lack of professionalism among jewelers and the reliance on the second-hand market pose challenges. Opportunities for growth exist for new jewelers entering the market. Finally, threats from the changing culture of luxury and the decrease in high-profile events affect the overall diamond industry, emphasizing the need for adaptation and innovation in the fancy color diamond market.