Rapaport Testing Agentic AI Tool to Transform Market Analysis

Rapaport is piloting an artificial intelligence (AI) tool giving users diamond-market advice amid a revamp of the company’s products, CEO Dan Mano announced Sunday.

The AI agent, which Rapaport is testing internally, combs through data to answer questions such as what diamonds to buy, how to price them, and which goods are sitting in inventory too long, Mano told the audience at the company’s annual breakfast during the JCK Las Vegas show. The resource connects to data on inventory, price, trading patterns, and searches, Mano explained.

“It’s like you have an analyst inside Rapaport that has access to all the data and it’s working for you, 1,000 times faster than a strong analyst,” said the executive, who took over from founder Martin Rapaport as CEO last year.

Once developed, the agent will be able to respond to complex scenarios, such as a jeweler wanting to know the best way to help a customer upgrade a diamond depending on what stone he or she already owns and his or her budget. It will also be able to undertake a detailed analysis of a particular diamond category, Mano added, calling for beta testers to join the project.

“AI should help the trade get the right answer faster,” he commented. “Using real-life data with precision and control will give a lot of power to our business.”

Searching questions

Mano took the stage to outline the company’s rebrand, which sees RapNet, the diamond industry’s largest market place, renamed Rapaport Trade.

The business, which provides information and services to the natural-diamond industry, also introduced changes to how Rapaport Trade’s search function will work. The lowest-priced diamonds will no longer appear at the top of results, with a “best match” instead providing the most relevant stones based on a range of factors, Rapaport Chief Revenue Officer Jeremy Werblowsky said.

“When any of us go to Amazon, to Booking.com, to find a hotel in Vegas, we’re not looking for the lowest price first,” Werblowsky observed. “That’s not what we want, and that’s not what comes up.”

The new algorithm “is going into effect as we speak,” he added. “And slowly, you’re going to see the differences.”

In addition, the platform will group together nearly identical stones from the same seller rather than presenting them as separate listings. “It creates a much cleaner search experience, more variety for buyers, and better visibility across sellers,” Werblowsky explained.

New intelligence

Other changes include improving the chat function to help keep all business conversations in one place. “That means fewer scattered WhatsApps, fewer lost emails, and a much safer trading process overall,” he said. “Coming soon, this is where payments will connect as well.”

A new inventory price-management tool will let sellers compare their diamond stocks against the market. The SellerIQ feature will provide information on which goods are getting attention from potential buyers. “Think about it as LinkedIn’s ‘who viewed your profile,’” Werblowsky continued. “We all click on that and see who’s looking at us now.”

The company is also rolling out Rapaport Polaris, a dashboard with data on pricing, inventory, and other market knowledge, as well as the rebranded Rapaport Intelligence Report, formerly the Rapaport Research Report.

He also announced the launch of Heard on the Street, a new video series from Rapaport News featuring leading industry members.

Veblen goods

Martin Rapaport, now the company’s executive chairman, also appeared at the breakfast to give his annual address on the state of the diamond industry, arguing that companies should focus on selling to the affluent.

Diamonds, said Rapaport, are Veblen goods — a term named after American economist Thorstein Veblen for products that increase in demand as prices rise.

“I believe natural diamonds are for wealthy people who want to spend money,” he asserted. “You can be luxurious without being crazy expensive. But I think the diamond industry has gone too far the other away.”

Younger consumers will walk into wealth soon as their parents die, leaving inheritances, Rapaport added. “Guys, there’s a tidal wave of money coming down the road at your jewelry store. Either you know how to get the money, or you don’t know how to get the money.”

Image: Rapaport CEO Dan Mano and executive chairman Martin Rapaport speaking at the JCK Breakfast. (Rapaport News)