Rising gold prices are bringing 9K gold jewellery into focus, as manufacturers weigh production costs and retailers assess consumer acceptance, pricing challenges, and its potential to attract new buyers, finds out Preeti Kulkarni.
Rising gold prices are prompting jewellery manufacturers and retailers to explore 9K gold jewellery as an accessible price-point offering. While manufacturers examine product design, production economics, and gifting opportunities, retailers evaluate customer acceptance, incremental sales, and the category’s potential to attract new buyers.
Manufacturing 9K gold jewellery presents two distinct considerations for manufacturers: creating affordable products that appeal to consumers, and managing the technical and cost challenges of production.
Says Khushboo Ranawat of Swarnshilp Chains & Jewellers, Mumbai, “9K gold is opening up exciting opportunities in modern gold jewellery, including the gifting segment. Lightweight, contemporary chains are emerging as attractive alternatives to traditional gold coins and bars.”
9K gold jewellery is also creating a new gifting category, replacing conventional gift vouchers. “Today, with a budget of under Rs 15,000, consumers can choose to gift real, wearable gold instead of a lifestyle or shopping voucher, making gifting more meaningful and valuable,” says Ranawat, adding, “9K gold offers greater hardness, and can achieve an excellent finish. However, the key challenge lies in its higher manufacturing cost.
“Despite the lower gold content, the significant proportion of silver and other alloying metals, along with additional processing requirements, increases the overall production cost. The challenge is to maintain affordability, while delivering quality, durability, and design versatility,” she says.
When it comes to 9K jewellery, the manufacturing process requires careful attention to alloy composition and chain construction to ensure consistent quality across designs. Explains Abhi Solanki of Aureza by Sangam, Mumbai, “The main challenges are achieving the right balance of strength, flexibility, and durability, while maintaining consistent colour and finish. Alloy composition, wire drawing, link formation, and soldering require precise control to prevent brittleness and weak joints. Producing intricate designs consistently at competitive prices demands a combination of advanced machinery, technical expertise, and skilled finishing.”
For retailers, the key question is whether accessible price points can attract new customers without affecting demand for higher-karat gold jewellery.
Says Supriya Kataria of Kumari Fine Jewellery, Mumbai, “We are seeing growing openness to lower-karat gold, as gold prices continue to remain elevated. Consumers are looking for affordability, lighter weight, and contemporary design. They are not specifically walking into a store, asking for 9K gold. There is definitely potential in the category.
“We see 9K primarily as an incremental opportunity, rather than a replacement for 14K or 18K jewellery. It allows brands to address a more accessible price point by lowering the entry barrier, and, potentially, bringing a younger or first-time customer into the fine-jewellery category.”
For this opportunity to translate into sales, retailers need to communicate the product’s value beyond its price. Kataria emphasizes the importance of explaining purity, hallmarking, pricing, and exchange policies to build consumer confidence. She adds, “The communication cannot simply be that 9K gold jewellery is cheaper. The proposition has to be around accessible fine jewellery, real gold, contemporary design, and everyday wearability at a more approachable price point.”
PNG Jewellers, Pune, is also evaluating the category after introducing 9K gold mangalsutras on its online platform around two months ago. Hemant Chavaan of PNG Jewellers says the initial response is encouraging, and the company is considering expanding its 9K gold range to include earrings, necklaces and bangles.
“From our initial understanding, the customer base could be a mix of first-time buyers and existing gold jewellery customers looking for more affordable options. The relatively accessible price points make 9K jewellery an interesting proposition for consumers who wish to own gold, while keeping their purchases within a certain budget.”
The company’s online experience offers initial insights into consumer understanding of lower-karat gold. “Interestingly, explaining purity has not emerged as a significant challenge in our online experience so far. Customers exploring 9K jewellery appear to have a reasonable understanding of different gold karatages, and the corresponding price differences. For many, the attraction lies in being able to purchase real gold jewellery at a more accessible price point, without compromising on the experience of owning gold, Customer education is likely to become more important as we expand our 9K gold offering into offline retail,” Chavan explains.
Shreyansh Kapoor of Kashi Jewellers, Kanpur, has a somewhat different take on the category. “9K gold jewellery contains only 37.5% gold, which customers perceive as a low level of purity,” he says, adding, “This leads to negative reactions and concerns about the product’s quality.
“There is no standardized or transparent market rate for 9K gold jewellery, making it difficult to establish fair and competitive pricing. Suppliers also charge significantly higher making charges for 9K gold chains and jewellery, compared to 18K and 22K jewellery, resulting in a higher final price that is difficult to justify to customers.”
While there may not be a consensual opinion among retailers regarding 9K jewellery, it is becoming popular all the same. Clear communication around purity, pricing and exchange terms will be important in determining whether the category can establish a lasting place in the market.
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