The Lab Grown Diamond Market Is Shifting: What Retailers and Buyers Need to Know

For years, the narrative around lab grown diamonds has focused on innovation, ethical sourcing, and affordability. But according to diamond industry analyst Paul Zimnisky, the market is reaching a turning point. In a recent interview, Zimnisky noted that while lab grown diamonds—often promoted as sustainable alternatives to blood diamonds—have become incredibly popular, the rapid price drops and changing retail strategies could signal deeper concerns for the industry.

Zimnisky points out that demand has largely been driven not by consumers, but by retailers attracted to profit margins that were once as high as 80-90%. As lab grown diamonds became easier to produce—sometimes for under $10 per rough carat—their value perception began to erode. While it's now easy to buy man made diamonds online or source loose lab grown diamonds wholesale, the glut of inventory is putting pressure on pricing, with the average lab grown diamond 3 carat price dropping dramatically. Wholesale lab created diamonds, once seen as a lucrative segment, now raise concerns about long-term sustainability.

The challenge, according to Zimnisky, is differentiation. Many retailers still present lab grown and mined diamonds as equal, which could confuse customers and damage the perceived rarity of natural stones. His suggestion? Segregate the categories entirely—sell mined diamonds in one store and custom lab grown diamond engagement rings in another. With platforms like CVD Diamond Inc and Rare Carat lab grown diamonds pushing accessibility and price, the conversation must shift to product transparency, design innovation, and consumer education. As the diamond market continues to evolve, brands that clearly define their offerings—whether it's GIA certified lab grown diamonds or custom lab grown diamond rings—will be the ones that maintain trust and value in an increasingly competitive space.

Lab Grown Diamonds Are Reshaping the Engagement Ring Industry

With wedding season in full swing, more couples are opting for lab grown diamonds—and the data backs it up. According to The Knot’s 2025 Real Weddings Study, 52% of couples who got engaged in 2024 chose lab grown diamonds over natural stones. That’s a 40% jump since 2019. The reason? Price, customization, and ethics. A one-carat lab grown diamond now averages just $845, compared to $3,895 for a mined diamond of the same quality.

Lab grown diamonds share the same chemical and physical properties as natural diamonds and are graded using the same diamond grades: cut, clarity, color, and carat. From custom lab grown engagement rings to elongated cushion cut lab grown diamonds, couples have more freedom than ever to design a ring that suits both their budget and personal style. Plus, many prefer the transparency of GIA certified lab grown diamonds and the ability to buy lab grown diamonds online with confidence.

Still, experts encourage buyers to understand the pros and cons. Lab grown diamonds offer huge savings and avoid ties to blood diamonds, but they typically don’t hold value over time. Sustainability is a complex issue too—lab production requires significant energy. For those focused on long-term investment or minimal environmental impact, alternatives like second-hand stones may be worth considering. Regardless of the path chosen, today's couples are redefining the engagement ring tradition with informed, intentional choices—and lab grown diamonds are clearly leading that shift.

https://www.nbclosangeles.com/news/business/money-report/more-couples-are-choosing-lab-grown-diamonds-over-natural-stones/3649861/?os=vpkn75tqhopmkpsxtqemvd8y1m&ref=app