Lucara CEO Urges Botswana Diamond Industry to Embrace Luxury Market Positioning

Lucara CEO Urges Botswana Diamond Industry to Embrace Luxury Market Positioning. Lucara Diamond managing director Naseem Lahri has called on Botswana’s diamond industry to move away from treating diamonds as commodities and instead position them as luxury products to attract markets willing to pay for their value.

Speaking at the ongoing Botswana Investment Forum, Lahri argued that the industry needs to rethink its marketing strategies and reconsider the markets it targets when selling Botswana’s diamonds.

She said commodity markets are largely driven by price sensitivity, whereas luxury goods operate differently, with consumers placing greater emphasis on brand positioning and perceived value.

“When people buy a commodity, they are price-sensitive, but when buying a luxury brand, they are indifferent to pricing,” Lahri said.

She also questioned the industry’s focus on the United States as a destination for luxury-branded diamonds, arguing that Botswana should prioritise markets where consumers actively seek premium products.

“America is a cheap market and you don’t want to sell your luxury-branded diamonds to a cheap market. You want to go to a market that wants your luxury goods,” she said.

Her remarks highlight the need for Botswana’s diamond industry to examine how its products are marketed internationally, particularly as the country seeks to strengthen the value it derives from its diamond resources.

The proposed shift towards luxury positioning would require a different approach to selling diamonds, moving beyond competing primarily on price towards establishing stronger brand identities and targeting consumers interested in premium products.

Lahri also called for greater market diversification, suggesting that the industry should reconsider its dependence on the US market and explore destinations with stronger demand for luxury goods.

Botswana’s diamond industry remains an important part of the country’s economy, making the international positioning of its stones a significant consideration for the sector.

Her comments at the Botswana Investment Forum place marketing strategy and access to appropriate international markets at the centre of discussions about the future competitiveness of the country’s diamond industry.