Well, yeah, actually, from all appearances lots and lots of people are doing what they can to reduce their use of oil, from buying high-mileage cars to turning down their thermostats to eating local produce. Are many Westerners giving up all use of oil entirely? No. That's close to impossible for most people in industrialized countries. But obviously the issue of reduction is very much on the table.
As for giving up diamonds vs. oil, I don't see that it has to be either/or. Sure, many billions of people may never buy a diamond -- but SOMEBODY is buying them, and whoever that is holds some influence over the industry and its practices.
OK, but I don't see that. In a recession, no one is giving up their old cars to buy expensive hybrids. People are buying cheap foods, local produce is limited in winter and why spend the gas to drive to a farmer's market when the grocery store is 5 blocks away? If you are lucky enough to have a thermostat and central air (the majority of houses in my mother's neigthborhood, including hers do not) , people are turning them down to save money, not to protest human rights abuses.
Someone does buy the diamonds, but not enough to make much of an impact, IMO, in the fight against human rights violations. I think it's an empty gesture for most people. The people who might make the biggest impact on blood diamonds are the buyers - not the retail buyers - the DeBeers people, the Cartier people. Have them cut off buying such gemstones and a difference might be made.