kp special forum on diamond terminology - kimberley process€¦ · what are lab-grown diamonds?...
TRANSCRIPT
DavidBouffard,WDCBoardMemberVicePresident,CorporateAffairs,SignetJewelers
KPSpecialForumonDiamondTerminology
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ErnestJonesSales:~$292millionStores:189
KayJewelers#1jewelry storeintheU.S.Sales:~$2.42billionStores:1,214in50states
JaredTheGalleriaOfJewelry#1U.S.off-mallspecialtyjewelerSales:~$1.14billionStores:256in41states
RevenueinFY19:Approximately$6.2billion
ZalesJewelersAleadingbrandinjewelry retailingintheU.S.Sales:~$1.26billionStores:658in50states
PeoplesJewellers#1inCanadaSales:~$208millionStores:123in9provinces
H.SamuelSales:~$284millionStores:288
AboutSignet:TheWorld’sLargestRetailerofDiamondJewelry
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Whatarelab-growndiamonds?
What They Are
• Same chemical, physical and optical properties as a natural diamond
• No visible difference in appearance to the naked eye when cut and polished
• Produced through Chemical Vapor Deposition (CVD) or High Pressure/High Temperature (HPHT)
• LGDs are a substitute for a natural diamond
What They Are Not
• A simulant (e.g., cubic zirconia, moissanite, crystals)
• Simulants are a complement to natural diamonds; they try to imitate the look, but do
not have the same chemical, physical or optical properties of a diamond.
Lab-growndiamond
Naturaldiamond
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FTCin1996vs.2018:LGDs
1996 2018LGDDisclosure • “Lab-grown”
• “Lab-created”• “[manufacturername]-created”
• “laboratory-grown”• “laboratory-created”• “[manufacturername]-created”• “synthetic”nolongerrecommended• “cultured”mustbefollowedbyoneofthefirst
threeitemslistedabove
Terminology(diamonds)
• Unfairordeceptivetousetheword‘‘real,’’‘‘genuine,’’‘‘natural,’’‘‘precious,’’toanyartificiallyproducedproduct
• Unfairordeceptivetousetheword‘‘real,’’‘‘genuine,’’‘‘natural,’’‘‘precious,’’toanyartificiallyproducedproduct
Environmentalclaims
• n/a • Marketersneedtospellouttheproduct’sspecificenvironmentalbenefits
• “Recyclable”vs.“Eco-Friendly”
Simulants • n/a • Avoiddescribingsimulantsinawaythatmayfalselyimplythattheyhavethesamechemical,physicaloropticalpropertiesofmineddiamonds
• We’reworkingwiththeDiamondProducers’Associationtoprotectterminologysuchas“precious”,“real”,and“genuine”intheU.S.
• The2018FTCJewelryGuidesbuildonguidanceissuedin1996.
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ExamplesofLGDadvertising
ALIGNEDWITHFTCGUIDANCE NOTALIGNEDWITHFTC
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Q&ASession
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ThankYou