How Millennial and Gen Z Buyers in the UAE Are Transforming the Gold Market

For generations, gold has represented more than just jewellery for families in the UAE. It serves as a gift, an inheritance, and, for many women, a future investment. However, the relationship that younger buyers have with gold is evolving. While it remains highly significant, millennials and Gen Z are focusing less on sheer quantity and much more on everyday wearability.

Retailers across the UAE note that heavy traditional pieces still hold their rightful place, especially during weddings and special occasions. For daily use, however, younger customers strongly favour lighter, contemporary pieces that seamlessly fit their wardrobes, budgets, and modern lifestyles.

Maha Ali, a 27-year-old Emirati citizen living in Dubai, purchases gold every few months. Although she occasionally invests in heavier designs, she generally prefers smaller pieces for daily wear. She learned the fundamental value of investing in gold directly from her family. "It's something I was taught to do by my family and my mother," she explained. "When I think about the different ways I could invest my money, gold is the one that makes the most sense to me. I also like that I can actually wear and enjoy it while still seeing it as an investment for the future."

Amreen Iqbal, founder and creative director of Piece of You in Dubai, has noticed a clear surge in younger customers selecting lighter, more wearable pieces. She pointed out that this trend extends well beyond just Gen Z. "We’re seeing women across generations move towards pieces they can wear daily, layered and styled in different ways," she stated. "Gold is becoming less about something you keep for occasions and more about something you actually live in."

These lighter chains, rings, bracelets, and pendants favored by younger demographics successfully retain gold’s financial and emotional value while remaining far more practical for work, social events, and travel. "I love gold and see value in owning it, but I don’t want my jewellery sitting in a box waiting for an occasion," remarked Emirati citizen Budoor Almuhairi. For her, choosing lighter jewellery is never about owning less gold. "It’s about wanting to enjoy the gold I own more often," she added.

Design carries just as much importance as intrinsic value for this new generation of buyers. "They want a piece that reflects their personality, can become part of their everyday wardrobe and still holds the intrinsic value of fine jewellery," Ms Iqbal noted. This shift has heavily driven demand for versatile jewellery that can be easily layered, mixed, and worn across various settings.

Shamlal Ahamed, managing director of international operations at Malabar Gold & Diamonds, confirmed that the most substantial change the company has observed is the rapid transition toward lightweight jewellery. He highlighted that younger consumers increasingly gravitate toward minimalist and everyday-wear designs.

Interest in 18-karat lifestyle jewellery is also on the rise, particularly among those seeking both contemporary design and lasting durability. The appeal to younger consumers is partly practical; with surging gold prices making heavier pieces increasingly expensive, a lower-weight 18K design provides a way to own fine jewellery without facing a prohibitively heavy price tag.

Yet, cost alone does not completely explain the ongoing shift. Young customers "want jewellery that feels personal, that they can wear to work, to brunch, to a wedding and again the next day," said John Paul Alukkas, chief executive of Joyalukkas Jewellery. In response, Joyalukkas has introduced targeted collections like Yuva, featuring lightweight contemporary designs, and Joy18, its dedicated 18-karat gold line.

Rising gold prices have clearly shaped how younger consumers approach their purchases. Chirag Vora, managing director of Bafleh Jewellery, explained that young, first-time buyers tend to be much more cautious when prices are high, frequently starting their collections with smaller pieces. Meanwhile, established customers purchasing for weddings or major milestone family events remain firmly committed to gold. The essential difference lies not in a lack of interest from young people, but rather in the size and purpose of their initial acquisitions. "Young buyers may be buying differently, but gold still has a place in their lives," affirmed Anil Dhanak, managing director of Kanz Jewels.

Despite these shifting design trends and higher market prices, the underlying reasons why younger buyers purchase gold remain reassuringly familiar. Family and tradition continue to exert a powerful influence. Sara A, a student in Dubai, began wearing gold specifically to connect with the women in her family. Much of her personal jewellery collection has been passed down directly from her grandmother to her mother and eventually to her. She fondly recalls her grandmother recognizing a pair of earrings she wore at university as the exact same pair her mother had worn in college. "It felt like a full circle moment," she shared. For Sara, these items transcend mere fashion, serving as both a cherished family legacy and a reliable source of financial security.

Tasmiyah Anwar, another student in Dubai, also strongly prefers 18-karat gold. Her appreciation for fine jewellery has grown over time, viewing pieces simultaneously as elegant accessories and smart investments. Most of her current collection consists of gifts from family, and she eagerly plans to buy more once she formally enters the workforce.

Traditional milestones continue to play a central role in driving gold purchases. Mr Abdulla noted that jewellery remains a staple for weddings, engagements, religious and cultural festivals, and family celebrations alike. Both Mr Vora and Mr Dhanak observed that younger buyers are increasingly purchasing gold to commemorate first jobs and significant career milestones.

Ultimately, gold's fundamental role in society is evolving. Whether it is a heavy necklace destined for a wedding or a delicate chain purchased with a first salary, both items reflect the exact same relationship with gold—something beautiful to own, closely tied to tradition, and acting as a dependable investment. Gold must now successfully fit a modern lifestyle, reflect individual taste, remain wearable, and make practical financial sense. "Gold has a unique advantage – it can be both an emotional purchase and an asset," Mr Vora concluded. "At today’s prices, however, customers are much more careful about the weight and overall value of their purchase."