By Morgan Beard

Sydney, Australia, home of the ICA's biennial congress. Photo courtesy Sydney Convention & Visitors Bureau.

Eighty-five members of the International Colored Gemstone Association (ICA) gathered in Sydney, Australia, from April 29 to May 3 for the association's biennial congress.

The congress was a mixture of educational seminars on topics ranging from gemology to branding and the Internet, as well as extensive discussion on the association's own future.

A consistent theme throughout the congress was marketing, be it electronic or through more traditional media. Delegates heard from successful Internet-based gem companies such as Thaigem.com and CherryPicked.com on methods of marketing online and how the landscape has changed.

"There's no new economy, just new technology in an old economy," said Don Kogen, CEO of Thaigem.com. "In no way is e-commerce ever, ever, ever going to take away the jeweler. [But] at the end of the day there is a market out there. I reckon about 5 percent [of the total market will be supplied via the Internet] -- but 5 percent is a potential lot to gain."

"I believe the first thing we need to understand is that we are not selling gemstones, we are selling trust," said Richard Orbach, founder and CEO of CherryPicked.com, a site that specializes in selling high-end gems online. He suggested fostering trust through disclosure, prompt and personalized communication with customers, offering laboratory certificates, and having a good return policy.

In more general terms, marketing consultant Bob Pritchard, gave the delegates advice on promoting colored gemstones and the ICA.

"You need to clearly define what it is youíre selling," said Pritchard, who has worked for corporations like General Mills, Ford, The Coca-Cola Company, and Anheuser Busch.

"You have to educate people." He described a focus session in which he asked 15 women, whom he described as "sophisticated buyers," to list some colored gemstones. "There was not one mention of ruby, emerald, or sapphire. [When I asked about those] they said, 'These aren't precious gemstones, they're different.' . . . 'Colored gemstone' does not mean to the public the same thing it means to you. You've got to understand what it is you're selling, and you've got to communicate that to the consumer."

In an open session where members addressed their concerns to the board, promotion was high on the agenda, but members were split on what to promote and who the target should be.

Some people were pushing for a marketing campaign for colored gems aimed directly at the consumer. "I feel we should direct [a promotion] to the consumer," said Jacqui Grande of Radiance International, pointing out that as dealers, they had a far greater interest in selling color than most retailers do. "I believe if we did step forward, weíd have a lot of people behind us [to help with funding]."

Others argued that promotion to retailers would be less expensive and possibly more effective. "The people who sell colored gemstones are the people behind the counter," pointed out Tom Cushman of Allerton Cushman & Co. "If we're talking about selling colored stones, let's promote them to the people who are going to sell them."

Still others advocated promoting the ICA and its members as a reliable source of gems in an uncertain market. "If we advertise that you should buy gemstones from an ICA member, [that buyers will] get good disclosure and a good product, that leads to branding of gemstones sold by ICA members," said Oren Eliezri, son of ICA President Israel Eliezri.

After the congress, board members were scheduled to meet and discuss potential future action. While promotion remains a priority, at a post-congress press conference board members indicated that a consumer promotion was unlikely.

For more extensive coverage of this year's ICA Congress, see the July/August 2001 issue of Colored Stone (online soon).