[Feature]High gold prices, young people become the new force in buying gold – Local – Feature

Posted: 12:13pm 24/04/2024

Report: Li Guiping Photography: Lu Jiaming

Su Lixing believes that the epidemic has changed everyone’s mentality, and social media has a lot of information about “buying gold” experiences, which has played a guiding role in consumption habits. Young people no longer think gold is old-fashioned and are willing to join the ranks of buying gold to preserve value.

“However, compared to investing in gold bars, young people prefer gold jewelry.”

He pointed out that with the rise of this trend, gold jewelry merchants need to make changes in terms of operations, quality and other aspects, and integrate young elements into processes, channels, products and services.

On the other hand, regarding the continued strong rise in gold prices, Su Lixing said that the gold market is in a bull market, and some people are optimistic about it, but some people in the industry are not very optimistic about the future of gold prices.

He said that the price of gold will exceed US$1,700 per ounce in 2022 and has so far risen to US$2,400 per ounce, an increase of up to 40%. It is still in the high-end range.

“The gold market has now reached a crossroads. Despite the backdrop of increasing global uncertainty, in the long run, gold prices are believed to continue to rise, or even go higher.”

Gold prices fluctuate widely, and gold jewelery dealers are urged to remain vigilant to avoid the risks of high gold product costs, declining profitability, and inventory impairment.

Huang Deli, vice president of the South Johor Gold Jewelers Association, said that in addition to gold and its manufactured products that are necessary for important ceremonies such as traditional weddings, gold is an important safe-haven asset and its price is closely related to the international economic situation.

“Driven by the Federal Reserve’s interest rate adjustment and heightened geopolitical tensions, as well as the current global central bank’s massive hoarding of gold, the retail price of gold has experienced an unusually accelerated adjustment this year. Gold jewelers need to be cautious in purchasing goods to avoid losses.”

He said that in today’s inflationary economic environment, gold has become the first choice for many people to invest or cash out due to its value-preserving properties. In view of this, gold jewelry merchants need to do a good job in operational planning and marketing networks, integrate resources, and strengthen their own brands. and product positioning.

“While catering to the needs of various consumer groups, merchants still need to provide professional consultation and after-sales services to maintain product quality and ensure that customers receive the highest quality products at affordable prices.”

Huang Deli also suggested that consumers should purchase gold jewelry from reputable retailers through formal channels to avoid encountering the dilemma of product failure.

In addition, although the government will postpone the implementation of the luxury tax policy, Huang Deli believes that there are still matters to be demanded, especially in refining the tax structure, the scope of taxed goods and the tax rate level.

The mini gold beans are made of gold and have a shiny effect. They are rich in texture and small and cute. They have become one of the most popular gold purchases among young people in recent years.

Gold jewelry dealer Hou Jianchun pointed out that the weight of mini gold beans is generally between 0.5 grams and 1.5 grams. You can buy them one by one and save them. They can be used as investment collections, ornaments and ornaments, and they can also serve as a forced savings. effect.

He said that gold buyers have tended to be younger groups in their 20s and 30s. Some young consumers will spend hundreds of ringgit every month to buy small gold beans, or buy gold jewelry to maintain value, so that they can cash out if necessary.

The gold market has attracted the attention of countless investors. This craze hides many fraud traps. Especially online gold transactions must be cautious and guard against.

Hou Jianchun revealed that his company has had its signboards and gold jewelry samples stolen by online criminals. The scammers’ usual modus operandi is to use low deposits or gold prices as bait. Once the victim remits the money, the scammers disappear.

“Victims may lose hundreds of ringgit and think the amount is not large, so they often choose not to call the police. This gives criminals the opportunity to continue committing fraud and crimes.”

Hou Jianchun called on victims of online gold trading to report the case to the police. Any information may be helpful clues for the police to solve the case.