BAUNAT is an online diamond jewellery brand, which designs, develops, manufactures, promotes, markets and sells online and in its own showrooms. BAUNAT is a branded solely owned diamond jewellery, with the brand-name protected under trademark worldwide.
BAUNAT wants to become a unique, qualitative and trustworthy global online diamond jewellery brand, catering to the smart buyer, by offering unbeatable prices and timeless designs.Stefaan Mouradian, Co-founder & CEO of Baunat
BAUNAT was founded in 2008 in Antwerp, Belgium, home to the finest and most talented craftsmen in the diamond industry, and the world centre of the diamond trade since 1447. The experience, passion and skills in the Antwerp diamond district are incomparable to any other city in the world. Our entire team works in close cooperation and is focused on delivering high quality jewellery worthy of the city of Antwerp and the exceptional BAUNAT quality standard.
Today, after 7 consecutive double digit growth years, all foundations are set to roll out BAUNAT as a global brand: a loyal and growing client base spread over more than 50 countries, a balanced bricks & clicks distribution model, a unique price-quality value proposition, jewellery fabrication, design meeting the highest European standards and a flagship 7-language website.
We have achieved this thanks to our talented, committed & international team, driven by the unique BAUNAT corporate culture.
Over the coming years the prime strategic goal lies in marketing acceleration in order to safeguard and solidify BAUNAT's 'first mover' edge in the unexplored segment of global online diamond jewellery brands.
The medium term strategic goal of 3 to 5 years is to propel the uniqueness of our brand above the "Global Radar" and to become attractive in terms of acquisition for a large variety of players across different industries: large jewellery groups, private equity groups, luxury funds, E-commerce funds, BRIC Retail Groups, fashion tycoons, and others.
You now have the opportunity to become a part of this disruptive company that is changing the diamond jewellery business, and this at exactly the same conditions as the previous investors, mainly business angels, of this capital round, which started on 10 November 2015, when existing and new shareholders made a contribution in cash of a total of 3,300,000 EUR. Now we want to complete the projected capital increase of 5,000,000 EUR with an investment of the crowd for 1,500,000 EUR, plus another 200,000 EUR coming from within the existing shareholder network.
There is a huge inefficiency in the current diamond jewellery market, which makes diamond jewellery unnecessary expensive: many middlemen, expensive marketing campaigns and luxurious offices do not contribute to more qualitative jewellery but instead only raise the price for the end buyer. Moreover, the founders observed in 2008, and again in 2016, that in this industry no diamond jewellery brands were offering a consciously chosen price quality proposition for the 'smart buyers', who are informed and attentive consumers who search - mainly via the internet - for high quality products which are priced at their intrinsic value.
The founders have and always had the urge to strive for beauty, high quality and purity in everything they do or buy. Moreover they are focused on the intrinsic value and want to avoid inefficiencies. Thus, when both founders observed that – mainly due to the rise of the Internet - more and more consumers around the world and across all industries share this same buying attitude, they decided to create the world of BAUNAT, a company selling high quality diamond jewellery at prices very close to the intrinsic value of the product. Whereby they preferred valuable, pure and tangible (visible) ingredients far above intangible costs such as celebrity endorsement or other forms of pompous marketing.
There was clearly room for a better, more efficient and smarter approach to create and distribute high-quality diamond jewellery. And this is exactly what BAUNAT offers. "Smart in Every Way" is the base line driving the BAUNAT brand. The word 'smart" has two meanings, both neatly covering the BAUNAT business proposition: 1) attractive / high quality & 2) intelligent / efficient. Thus applicable on BAUNAT this gives a smart product which is offered at outstanding prices due to a smart (cost & service efficient) business model. Or: "Smart in every way..."
Three pillars support BAUNAT's smart approach:
- Online distribution & marketing: More than 60% of our clients buy online. Once an order is placed, BAUNAT buys the diamond and assembles the jewel. Therefore, BAUNAT does not have to invest in an expensive stock of diamonds. On top of that, BAUNAT focuses heavily on digital (online) marketing, which is far more efficient and effective than traditional marketing.
- Buying diamonds at the very source: Thanks to a network of agents monitoring the diamond market on a daily basis, BAUNAT is able to buy its stones directly from the source and at excellent values. Most diamonds are sourced from Mumbai and Surat in India. Mechanisms to assure that the right diamond is bought are put in place (see next section - Market).
- Selling branded diamond jewellery: BAUNAT has since its inception chosen to 'brand' its jewellery, whereby the base line of the brand positioning implies offering a highly qualitative product at the lowest observable prices and with a strong focus on the client service policy.
All operations are supported by a solid IT backbone. BAUNAT has developed a state-of-the-art software system, integrating back-end and front-end operations. If diamond purchasing prices are decreasing, selling prices are adjusted in real time on the website. This makes sure that the end customer always buys at the best possible price.
In short, BAUNAT promises its clients that its prices are in close correlation with the intrinsic cost of the underlying components.
In order to strengthen the position of BAUNAT as a brand, the name BAUNAT is protected as a trademark at European level and in Hong Kong and China. Furthermore, the name BAUNAT is de facto protected by the mere fact that it has been sold, with proven track record, in more than 50 countries, whereas until now no other party has sold any article under this name.
BAUNAT's marketing strategy is mostly focused online. This consists of three parts:
1) Online worldwide advertising campaigns to build the BAUNAT brand and generate sales.
2) SEO, search engine optimization, to enhance the visibility of BAUNAT online (on Google & its Chinese counterpart Baidu)
3) Development of the website, which is considered as the 'state of the art' flagship boutique for the 'smart buyer'
To support the online marketing BAUNAT will also further invest in existing and new Showrooms and offices, incl equipment (Amsterdam, Paris, Germany, Hong Kong, Japan, USA)
Once a diamond jewel is ordered, a diamond is purchased and shipped to Antwerp. BAUNAT relies on a large network of experienced stone setters in Antwerp to craft the diamond jewel. The jewel is then shipped to its final destination. Delivery will usually take from 1 to 8 working days in Belgium and most European countries, and 4 to 10 working days in the rest of the world. This is possible due to the many contracts with different delivery couriers.
Moreover, all shipments are insured until the customer signs for reception.
BAUNAT has showrooms in Antwerp, Paris, Geneva, Amsterdam, Mumbai and Hong Kong and already sells jewellery in more than 50 countries. BAUNAT will continue to open new showrooms internationally in the future and increase its footprint in more countries.
End 2016 early 2017, BAUNAT will start with a new showroom in Germany. BAUNAT aims to open new showrooms in China and Tokyo in 2017, followed by New York in 2018.
BAUNAT strives to be as independent as possible towards most of its suppliers, and succeeds in doing so. Moreover, BAUNAT strives - successfully - for closer ties via shareholding in BAUNAT with partners who are critical to its core activities, thereby enhancing and ensuring long term commitment.
BAUNAT is proud to collaborate with a large range of internationally renowned suppliers, with whom reliable & cost efficient partnerships have been established:
- Diamond suppliers: BAUNAT buys its diamonds at the very source from a carefully developed network of more than 100 ‘niche’ diamond manufacturers (mainly in Surat, India)
- Jewellery manufacturers & setters: BAUNAT is working with approx. 15 jewellery manufacturing companies and approx. 30 artisans working as freelancer. The largest majority is based in Antwerp and those who are based in lower cost countries (e.g. Italy, China) offer in most cases only specific parts of the final jewel. In the coming years, BAUNAT is considering to in-source part of these activities.
- Designers: BAUNAT does not only rely on its skilled team of in-house designers, but also works occasionally on limited collections with established designers (e.g. Wouters & Hendrix)
- Shipping companies: FedEx, Brinks, UPS, DHL, Malca Amit Diamonds & Jewellery Insurer: Driesassur, a worldwide reference for insuring high-value goods safe keeping & shipments until reception by the customer