Despite the economic slowdown, it seems diamonds are still a girl's best friend. Numerous high-end international jewellers have been keen to exploit the newly moneyed Irish -- or at least those not worried about the mortgage repayments.

Boodles, the British luxury purveyor to stars such as footballer David Beckham and his wife Victoria, set up shop on Dublin's Grafton Street in 2006, while Tiffany and Bulgari are still believed to be scouting around the capital for suitable locations.

A slowing global growth engine seems to have done little to dampen demand. Managing director of Boodles Ireland, Jody Wainwright, says that in February it sold its second most expensive piece to date in Ireland, at a cool €320,000 for a ring.

From March last year to the end of December, Boodles sold 12 items with price tags of more than €100,000.

"In the first three months this year, business at the Dublin outlet has been up about 25pc," said Wainwright.

He adds that while the firm is not exempt from the impact of a slowdown, it's less susceptible, as it is not generally reliant on generating sales from casual footfall. Its top-end sales pitch includes freshly-made cocktails while you browse, but its well-heeled customers are willing to fork out for the service.

But those who may be watching their wallets are now being targeted by US-based Blue Nile, an online jewellery retailer established in 1999. Quoted on the Nasdaq, it had sales last year of $319m.

About 70pc of those are made from engagement rings. Unsurprising then, that 85pc of its customers are male.

Last year the company established a European support office in Dublin, and has also begun selling into the Irish market.

Blue Nile prices its diamonds in dollars, making it a good value proposition for Irish customers, said a spokeswoman.

She added that most Blue Nile orders from Ireland are for engagement rings, with the average spend circling the $5,500 (€3,520) mark, compared to $4,000 (€2,560) in the UK.

She claims that the typical mark-up on a diamond in the US is about 100pc, and even higher in Europe.

The majority of Blue Nile's Irish customers live in the county Dublin area, although the company says it has received orders from all over the country.

Blue Nile's European customers haven't been as loose with their money as their US cousins, though, with the highest priced piece of jewellery sold by the firm in Europe just topping $90,000, significantly lower than the cost of the most expensive items typically sold by Blue Nile in the US.

But while Blue Nile has proved popular in the US among younger males, high street jewellers maintain that for most buyers, choosing a diamond engagement ring or another piece of jewellery, remains a "touch feely" experience.

Gerard Keane, chairman of Cork-based Keanes' Jewellers, says that the personal experience remains important for customers.

"We try to help gauge what the women in their lives like and it's easier to do that in a store rather than online," he says.

He added that there's been no discernible impact yet from the economic slowdown, and that its outlets in Cork, Limerick and Killarney have been performing strongly.

In the 12 months to the end of March 2007, Keanes reported a profit of €1.3m.

Indeed, for most indigenous Irish jewellery retailers, things have been kind over the past few years.

Ireland's largest diamond retailer, Dublin-based Appleby Jewellers, reported an operating profit of €937,000 in the 12 months to the end of April last year.

That was down 37pc year-on-year, but reflected increased staff costs and more money taken off the table by the firm's four directors. It employs 60 people.

Operators

Other operators have also been busy branching out. Last year Fields of Dublin, part of the Anthony Nicholas group, paid in the region of €60m to acquire the UK-based family-owned Fraser Hart chain in a move that should triple the Irish group's turnover to €120m.

But even if the Irish jewellery market has not yet revealed signs of being hit by global economic nerves, in the US consumers may be a bit more wary. Consumer confidence there tanked to a five-year low on Tuesday, while on Monday,Tiffany & Co said that its fourth-quarter profit fell, although it still beat analyst expectations. But that was helped by still buoyant international sales.

And with the many Irish still apparently flush with cash, no wonder firms such as Tiffany are still keen to generate some sparkle in the market.

- John Mulligan