Cartier may raise prices 3-5%, CEO says

Lenore Fedow

Cyrille Vigneron told Bloomberg the brand is considering a price hike in part to cover the higher costs of diamonds, platinum, and gold.

Fine jewelry shoppers could soon pay more for their Cartier baubles.

In a recent interview with Bloomberg, Cartier CEO Cyrille Vigneron said the brand might be raising its prices, possibly between 3 and 5 percent, in the coming weeks.

Cartier is considering the “mild” price increase to offset currency fluctuations and cover the higher costs of materials, like diamonds, platinum and gold, he said.

Cartier is under the umbrella of luxury titan Richemont, alongside Van Cleef & Arpels and Buccellati as well as a stable of watch brands including Baume & Mercier, IWC, and Jaeger-LeCoultre.

The brand is a top performer for Richemont, with its “Panthère de Cartier” designs remaining consistently popular with its clientele.

Rising prices have not yet deterred luxury shoppers, with LVMHWatches of Switzerland, and Brilliant Earth reporting double-digit revenue growth in their most recent results.

The overall growth of world wealth and the overall distribution is coming in favor of global luxury,” he said.

A possible increase in diamond prices could also factor into pricing decisions, said Vigernon.

Diamond miner Alrosa, the world’s largest diamond producer by volume, has been sanctioned by the United States and other nations following Russia’s invasion of Ukraine.

Last year was a banner year for diamond jewelry sales, and that momentum has continued into this year, so a shortage of supply caused in part by the restrictions placed on Alrosa coupled with strong demand could spell higher diamond prices.

But as Alrosa steps back, other miners could step in, said Vigneron, meaning any potential price increase would be short-lived.

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Source National Jeweler