Dubai is renowned for its luxury and high-end jewellery market. As well as all the big names like Cartier and Tiffany & Co., the region is well known for its home-grown brands. But how do you launch and scale a successful jewellery business in one of the richest cities in the world?
Benefits of starting a jewellery business in Dubai
Dubai offers a whole host of advantages to entrepreneurs hoping to build a successful jewellery business in Dubai, including:
Booming luxury market
Dubai is one of the richest cities in the world and home to a wealthy local population. It’s also popular with high-net-worth individuals and tourists, who regularly purchase fine jewellery for personal use and investments. There is consistent demand for premium products which, even in the face of a global pandemic, didn’t decline.
Supportive jewellery infrastructure
Dubai has a long-established jewellery trade and several iconic locations specialising in selling and production, including the Gold Souk, Dubai Multi Commodities Centre and Dubai Diamond Exchange. Home to some of the largest jewellery markets in the world, the city is set up to make it easy for businesses to connect with wholesalers, customers and retailers.
Access to skilled workforce
Over 90% of the population of Dubai are expats for good reason. The city attracts diverse talent from across multiple sectors, including manufacturing, design and craft, making it easier to recruit strong and capable teams.
No income tax and low corporate tax rates
Dubai offers some of the most competitive tax rates in the world. Business owners can benefit from 0% personal income tax and capital gains tax, as well as ultra-low corporate tax rates. Some businesses may even be exempt, depending on the jurisdiction.
Strategic location
Dubai is a major global trade hub that offers easy access to international markets across Europe, Asia and Africa. From Dubai International Airport to Jebel Ali Port, the city boasts some of the best-developed infrastructure in the world to facilitate seamless logistics, easy imports of raw materials and smooth export of finished products to markets in the Middle East, Europe and beyond.
How to start a Jewellery business in Dubai: Step-by-step
To give you an idea of what to expect when setting up a jewellery business in Dubai, we’ve broken down the process into five simple steps.
Step 1: Market research
To ensure the best chance of success, you’ll need to have an excellent understanding of the local market and identify your niche early on in the process. For instance, will you target affluent expats or tourists? Do you plan to sell high-end diamond pieces or customised, contemporary pieces? You should also prepare a comprehensive business plan that identifies key competitors and opportunities for collaboration.
Step 2: Register your business
Choose whether you want to operate a free zone or a mainland business. Both offer significant, but different, advantages so you need to make sure you choose the most appropriate structure for your business. Register your business name with the relevant authorities (making sure it complies with UAE naming conventions).
Step 3: Obtain your license
All businesses require a license to operate legally in the UAE. You will need to apply for a trade license, which a reputable business setup consultancy like Set Hub can help with. You may also need to apply for industry-specific permits, particularly if you are working with gold and diamonds.
Step 4: Build and roll out your marketing strategy
Good marketing plays a major role in the success of any consumer brand. Invest in developing a memorable logo and design aesthetic, and make sure you have a thorough online and offline marketing plan in place before launch.
Step 5: Build partnerships
Strong relationships are essential, particularly in Dubai. You will need to work with suppliers, designers and distributors, as well as jewellery associations and brand ambassadors. Dubai hosts hundreds of industry events every year, so make sure you attend important jewellery trade shows and other networking platforms to secure new connections.
Key jewellery companies in Dubai
Dubai is home to multiple multinational jewellery companies, including Damas, Cartier and Tiffany&Co. Here are three key companies born and scaled in Dubai:
Dhamani 1969
Founded in 1969, Dhamani 1969 is a renowned Dubai-based jewellery brand best known for its exquisite diamond pieces that combine traditional elegance with contemporary styles. It’s also known for its high-end prices. Flagship stores can be found across the UAE, with notable locations in The Dubai Mall and Mall of the Emirates.
Bymystique
Crafted in Dubai using 18-karat recycled gold, Bymystique is beloved for its glittering pave diamonds, mother of pearls and miniature-coloured gems. Designs include high-end rings, pendants and earrings, made-to-order for clients. The brand is committed to sustainability, which makes it popular with luxury media and eco-influencers. Byystique is a Dubai-based business available only online.
Gafla
Gafla is a contemporary fine jewellery brand based in Dubai. Founded by Hamad Bin Shaiban and Abdulla Beljafla, the brand infuses Emirati heritage into its unique designs, from traditional symbols of Arabic culture to historic materials. Pieces range from showstopping connoisseur collectables to glittering strands of pearls. Gafla operates online and from an upmarket store in the Dubai Design District.
How to scale a jewellery business in Dubai
Once you’ve established your business in Dubai, you may want to consider scaling. Here are three tips on how to tap into Dubai’s infrastructure and systems to successfully grow your business:
Invest in digital marketing and build a strong brand presence
You need to have a strong online presence to stand out from the crowd. Invest in a strong social media strategy on visual platforms like Instagram, Facebook and Pinterest, and develop effective partnerships and collaborations with macro and micro influences. Brand ambassadors who align with your target audience can boost visibility and trust too.
Tap into Dubai’s luxury and tourism market
Dubai boasts one of the world’s leading luxury markets thanks to its high-net-worth population and affluent tourists. Focus on catering to this demographic by creating products that appeal to their tastes and preferences. That means high-quality pieces with a strong brand identity. Establishing a physical presence in high-traffic areas like The Dubai Mall and Dubai Marina should help too. You could also consider offering exclusive collections or limited-edition pieces to cater to this market.
Deliver exceptional service and customised experiences
In today’s personalised world, customers don’t just expect brands to understand what they want, they expect them to anticipate what they will need. Jewellery businesses can leverage this trend by offering bespoke jewellery design services, exclusive fittings and one-to-one consultations to appeal to these customers. Building strong relationships and personal connections with clients will ensure repeat business too. You could also appeal to the city’s diverse and multicultural population by creating culturally tailored products, such as designs incorporating Arabic motifs.
About Set Hub.
Set Hub specialises in expert business setup in Dubai. For over 10 years, we have helped more than 25,000 entrepreneurs turn their brilliant ideas into even better businesses. With our customer-centric approach and dedicated expertise, we can help make the process of setting up a jewellery business in Dubai swift and successful. For more information about how we can help with unique solutions tailored to your business needs and requirements, reach out to us today.
