undergrad presentation on the legendar

1. “ A Diamond
Is Forever”
De Beers Ad
Campaign:
Case Study

2. Diamond Industry: Present
Scenario
• Global diamond industry is worth around $65
billion
• U.S. leading consumer of polished diamonds
• Retail sales over $ 30billion despite recession
• 70% of the world’s diamonds cut and polished in
India
• Export of cut and polished diamonds down by 8
percent (near about $13024.53 million) in 2010
as against $14194 in India. Yet fastest growing
diamond market today.

3. De Beers: Brief Overview
• Founded in 1888 by Cecil Rhodes, it’s a cartel of 12 companies
spread across the globe
• Historically owned 85% share of the diamond market.
• Infamous for influencing supply and demand to control prices
- Purchasing and stockpiling same diamonds as other manufacturer
- Flooding the market with diamonds similar to their competition that
refused to join their monopoly
• Diamond Trading Company (DTC) is the sales and distribution arm
of the De Beers Group
- Uses DTC as brand name and ForeverMark logo for marketting
purposes
- Exclusive De Beers boutiques operate in select countries
• N. W Ayer & Son was De Beer’s primary advertising agency.
Advertising Age named "A Diamond Is Forever“ best advertising
slogan of the twentieth century.

4. • Losing its Grip on the Market
In 1990s, several events happened:
- Soviet Union collapsed, weakening partnership
- Huge Argyle mine in Australia broke off from cartel
- New mines in Canada discovered
- Increasing popularity of synthetic diamonds
•Market share fell from 85% to 45%
• The Aftermath
- Stopped trying to control market and instead focus on
using its marketing and brand
- Spent $180M on marketing in 2004
- Partnered with Louis Vuitton to open retail outlets
• In 2003, earned sales of $5.5B and income of $676M

5. De Beers’ Marketing Strategy
1. To push the idea that diamonds were eternal, forever
linked with romance, emotionally valued and a
necessary luxury.
2. To strengthen the tradition of the diamond
engagement ring – “make it a psychological
necessity”

6. De Beers’ multifaceted advertising plan
included…
• Public Relations
• Direct advertising in print and radio
• Specific radio programs publicizing
diamond trends
• Weekly service called Hollywood
Personalities which published stories in
over 125 leading newspapers with
descriptions of diamonds worn by major
celebrities.

8. • In-film product placement

9. • Commissioning
portraits of
“engaged
socialites”

10. • Series of successful
magazine ads
featuring works of
The Great Four –
Picasso, Derain,
Dali & Dufy. Other
artists were Jean
Hugo, Bernard
Lamotte

11. Salvador Dali
Salvador Dali (1952)

12. Raoul Dufy

13. Jean Hugo

14. Bernard Lamotte

15. Evolution of
De Beers’
print ads
Late 30’s…

16. Caroline Edmundson, 1946

17. Through the 50’s…

18. 1969
1961

19. 1978
1970

20. The ’80s…

21. 1993
1990

22. • TV ads of featuring silhouettes against the
background score by Karl Jenkins (video)
• Later TV ads (video)
• De Beers ads in India (video)

23. • Ads with De Beers diamonds imposed on
timeless masterpieces
(Manet)

24. De Beers rendition of Botticelli’s “Venus”

25. Other gimmicks
• To mark its 40th
year, De Beers
launched the
most expensive
Barbie doll till
date priced at
$85,000
decorated with
160 diamonds
and gold (1999)

26. Recent Ads…
‘Right Hand Ring’ campaign to attract
non-bridal market base (2003)

29. Viral
Marketting
“The Unending Kiss” (2009)

30. Analysis
• Long term strategy – to change mindset
and behaviour pattern of people rather
than simply driving short term sales
• Ads appeal to emotion rather than the
product itself
• Despite dire economic situations –
Depression and the IInd World War – De
Beers reinterpreted prevailing trends
rather than fighting them

31. Bibli(ng)ography
http://are.berkeley.edu/~sberto/DeBeersDiamondIndustry
http://www.loosediamonds.pro/79-history-of-the-diamond-ring.html
http://www.ibiblio.org/stayfree/archives/16/diamonds.html
http://www.coloribus.com/adsarchive/de-beers-unbreakable-kiss-13350905/
http://www.jewelinfo4u.com/Diamond_Marketing_by_De_Beers.asp
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