Consumers seem to be increasingly turning towards platinum and palladium jewellery as they are more aware of metal prices.

Dr Jonathan Butler, publications manager at precious metals and speciality chemicals company Johnson Matthey, explains that sentiment towards platinum demand for industrial uses has been adversely affected by events including the Japanese earthquake and eurozone debt crisis.

Since September, gold has traded at a "premium" to platinum, he told Retail Jeweller in an interview, adding that "this could have some interesting dynamics in the jewellery market".

"Consumers are beginning to realise that with platinum at a discount to gold ... this could be a good time to buy platinum jewellery," he said.

Harriet Kelsall, managing director of Harriet Kelsall Jewellery Design in Hertfordshire and Cambridge, explained that people are opting for platinum engagement rings in greater numbers.

"We're selling a lot of platinum, a lot of nine-carat gold and a lot of palladium," she told Retailer Jeweller.

Palladium hallmarking became compulsory in the UK last year, bringing the public's attention to the metal, which now has an official stamp of approval.

"Manufacturing of palladium jewellery in the UK has been healthy so far this year, with a five per cent increase in pieces hallmarked," explained Dr Butler.

Indeed, the Daily Mail said in October that palladium is "fast becoming the hottest thing on the jewellery scene".

The Palladium Alliance International has been working hard to promote the metal for jewellery pieces of late with a new campaign.

Palladium featured heavily at the Mercedes-Benz Fashion Week in New York. The metal was incorporated into the Ruffian runway show, Gen Art Fresh Faces and the New York premiere of I Don't Know How She Does It.

Furthermore, Mad Men star Christina Hendricks is the face of Vivienne Westwood's new range of palladium jewellery, which is giving the metal yet more public attention.

"People have become more aware of palladium but predominantly for wedding bands," designer and manufacturer Kevin Charles told Retail Jeweller.

Sources:

Pedal to the metal: News analysis (01/11/11)

Stars don palladium for New York Fashion Week (22/09/11) 

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