Mines to Market – The Austrian Diamond Bourse

Anlässslich des 35. World Diamond Congress in Mumbai wurde vom internationalen Fachmagazin „Mines to Market“ eine Sonderausgabe publiziert, in der auch der Diamant Club Wien als österreichische Diamantbörse portraitiert wird.

Der Artikel ist auch als PDF abrufbar –
Die gesamte Sonderausgabe findet sich unter folgendem Link.

The Austrian Diamond Bourse

The organization of the Austrian Diamond Bourse dates back to the early 20th century. The first preliminary organization was named the “Diamant-Klub Wien” and was one of the founding members of the International Federation of Diamond Bourses in 1907.  In the year 1921 the newly founded Diamant Club Wien (DCW) was established as a legal body and gained more than 460 members in a short period of time. In the time of reconstruction during the post-war years the DCW became a member unit of the World Federation of Diamond Bourses in 1947.

Originally founded as a trading floor, the DCW has undergone an intense period of transformation. The Diamant Club as a business institution has historically been used as a trading floor, but the trading behavior of its members has changed over the time:  presently, the trading takes place in the members’ own offices or in studios and stores of their clients. Accordingly, over the last years, the focus of the Diamond Bourse has been shifted from a trading floor to an informational platform. Facing these challenges the leadership team of the Diamant Club Wien has always been focusing on adopting its bylaws to benefit the club purposes and its members’ interests. As a result of this process the management of the DCW has formulated 4 key principles to ensure a prosperous future.

  • Encouraging business activity among club members and the entire jewelry business of Austria,
  • Preparing, editing and providing specialist information as well as subject content for club members,
  • Incentivize social activities throughout the club members by organizing year-round events across Austria,
  • Ensuring and strengthening high ethical standards and sustainability in industry throughout the entire supply chain.

The challenges of the international diamond trading business are also impacting the Austrian markets.
Sales numbers have not increased as much in the present year as historically observed. Millennials and other young buyers are shifting their buying power towards the internet. Fortunately, these customers are not solely considering e-commerce platforms, as they still value the consultancy of a local shop. Online market share will, however, most likely increase in the near future. The Austrian markets have also to deal with increasing customer awareness towards the origin of the products. And, moreover, a considerable number of customers are even intended to buy “fair traded products”. Industry leaders consider this as a duty to provide detailed information about the diamond pipeline and encourage the supply of ethically sourced diamonds. As synthetic diamonds are even entering the Austrian market, a clear nomenclature seems to be crucial in maintaining a trustworthy relationship between customers and merchants. Key factors such as “transparency”, “providing full information to customers” and “communicating key issues about the products” may lead to success in the industry in the future.

The DCW has issued a new communication concept and provides a steady up-to-date information flow for customer interaction at the point of sale. Educating members of the Diamant Club has always been a key task. It shall ensure that members can provide expert know-how and deep expertise to customers at the utmost level. For this purpose, the DCW has organized a few expert meetings and conferences in the next months to share knowledge with its members.

The Board of Directors is fully aware of its responsibilities and takes them very seriously. The DCW will encourage and promote diamond trade among the jewelry business in Austria. Concerning synthetic diamonds the “Diamant Club” will insist on a clear and a non-confusing nomenclature. At the same time, promoting higher ethical and moral standards in the whole industry will be more important. As a first step, the DCW has decided to join the friendship program of the Diamond Development Initiative to benefit the situation of artisanal mining communities.

All these activities shall secure a sustainable and ongoing trustworthy relationship among all market participants.