How Traditional Pricing is Changing
Underserved populations, such as those in urban demographics, are often left behind by shifts in traditional pricing models. In a market that has historically relied on markup practices to create barriers for middle and low-income consumers, many have turned to more conscious and economical options to fuel their aesthetic. An analysis from Boston Consulting Group revealed that traditional retailers continue to mark up rates that often exceed their material costs. This has created market opportunities that allow for smaller companies to create products that offer transparent pricing for their customers. CarticeNYC challenges this practice by offering moissanite-based pieces that deliver considerable visual comparisons to diamond jewelry, but at accessible price points. Technological advances in synthetic, lab-grown gemstone production have also enabled alternatives that meet the expectation for premium aesthetics, without the cost. “What we learned is that most companies in this space underestimate how much consumers value transparency and quality over brand prestige,” a CarticeNYC representative was quoted as saying. “The market has been ready for this disruption–we just had to prove that quality craftsmanship doesn’t require luxury pricing.”
Consumer Behavior and the Shifting Market
Research from Bain & Company’s luxury study has revealed that younger consumers prioritize value and authenticity in a brand, often over a brand’s traditional luxury counterpart. This has created numerous opportunities for new brands to create products that combine not just quality materials, but accessible price points. This accessibility has experienced noticeable growth, especially among consumers seeking alternatives to high-priced retailers. Grand View Research market data has projected a continued expansion in the fashion jewelry categories, which include premium alternative materials such as those used by CarticeNYC. With a customer base that reflects these trends, CarticeNYC’s users have reported that the brand enables their professional appearance enhancement without causing financial strain.
