# Tanishq Adapts to Record Gold Prices with 18k and Diamond Shift Titan's jewellery arm pivots product mix toward lighter designs as consumer buying patterns evolve. - **Source:** [mint - industry](https://www.livemint.com/rss/industry) - **Published:** 2026-10-14 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/7b176124-497b-470b-a85f-1c1d106cb0a4 ## Record Prices Reshape Buying Patterns Elevated gold prices are fundamentally altering Indian consumer behaviour in the jewellery retail sector. Instead of halting discretionary spending entirely, shoppers are actively seeking value through lighter items, structured exchange programmes, and lower-carat alternatives to manage rising price tags across retail store networks. ## Strategic Pivot to 18-Karat Titan's jewellery division is expanding its range of 18-karat jewellery and lower-carat diamond products. Consumers are adopting these lower-carat alternatives as direct substitutes for traditional 22-karat pieces, allowing retailers to preserve product accessibility while precious metal input costs hover near historic highs. ## Natural Diamonds Regain Retail Momentum Natural diamond jewellery has experienced a sustained demand recovery since January following two years of sluggish consumer interest. This revival directly benefits retail profitability, as the studded jewellery segment commands significantly higher gross margins compared to plain bullion or standard gold ornaments. ## Bullion Investment Demand Cools Down Retail investment appetite for gold coins and bars has moderated after exceptional expansion last year. Previous quarters saw investment-led sales grow up to 80%, creating an elevated baseline that now reflects slower growth rather than a structural abandonment of precious metal assets. ## Exchanges Dominate Store Sales Volume Conventional jewellery exchange programmes now account for more than half of Titan's total retail business. Consumers increasingly trade in legacy gold from various jewellers to fund modern purchases, whereas direct cash-for-gold initiatives launched across retail outlets have generated relatively limited commercial traction. ## Digital Research Precedes Store Visits Purchasing journeys are increasingly starting online, with consumers conducting detailed product research before stepping into physical showrooms. Value-conscious shoppers are proactively comparing promotional schemes, flexible payment plans, and competitive trade-in valuations across digital channels to maximise budget efficiency during volatile price cycles. ## Quarterly Growth Meets Market Scrutiny Titan reported 25% year-on-year revenue growth in Q2 FY27, demonstrating resilient top-line momentum. However, Nomura analysts warn that high base effects and persistent metal prices could cause quarter-on-quarter growth to moderate, contributing to a 10% monthly drop in company shares. ## Retail Execution Facing Price Headwinds Jewellery retailers must continually balance premium brand appeal with pricing accessibility to sustain long-term retail volume. Success depends on scaling adaptable, multi-wear collections and managing exchange margins effectively as persistent commodity inflation tests discretionary household budgets during peak festive shopping seasons. ## Sources covering this story - https://www.livemint.com/industry/tanishq-gold-prices-18k-jewellery-diamond-demand-11791950926289.html — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._