Secrets Of Diamond Jewellery Pricing

The diamond industry is very secretive about its pricing structure. You will see many variations of prices of diamond jewellery and this is very confusing to the consumer. It is very difficult to compare diamond jewellery when shopping especially when jewellery products that look very similar are being offered at very different price levels.

On the other hand, some diamond jewellery is very easy to compare when the specifications are detailed, but again large variations in prices are again found.

Most people are therefore are very nervous buying diamond jewellery and tend to place large amounts of trust in the retailer they choose to purchase from.

Some reasons for large price fluctuations:

1. Jewellery is difficult to brand - Buying in to a brand is usually more expensive but products are easily comparable and you know more or less what you are buying according to what brand you choose. This results in a much wider market place and thus the larger the price variances due to many different retailers with different sales margins/costs.
2. Diamond Jewellery is expensive to stock - A typical retailer not only has to cover the overheads of running a shop, they also have to invest in very expensive stock with a low liquidity level. Ie. They may have to stock an expensive item for a long period before it is sold. Add in the high security expenses and insurance and you can easily justify the high margins a jewellery retailer needs to cover all these costs.
3. Diamond Quality - The quality of the diamonds used in a piece of jewellery greatly affects the final selling price of diamond jewellery. As diamonds are so rare, small variations in the quality of the diamond result in large differences in price. In fact most variances are so small, that only diamond experts can tell the difference yet the differences in prices are huge.
4. Grading Diamonds Is An Art - Ultimately, the grade of a diamond is only an opinion. The more trusted the opinion, the more dependable and thus more expensive the stone. It is therefore very important that you trust the opinion of the grade before you part with your hard earned cash.
5. Unscrupulous Retailers - There are many retailers who will try to exaggerate diamond grades in order profit from their misrepresentations. Beware! Only buy from trusted sources!
6. Many more.....

The above are some of the main reasons why trusting your diamond jeweller is so important. Ask your jeweller questions, try not to be intimidated. Get references, interview them, what does your gut instinct tell you?

A diamond jeweller with nothing to hide and his reputation to keep will not shy away from your questions. When buying online, in addition to the usual online security assurances you are used to, look for clear policies and guarantees. We would most definitely call the online jeweller to confirm their knowledge before your purchase. Good communication is essential!

Once you are satisfied with your purchase, don't forget to recommend to others. Your groundwork will save others a lot of hard work and gives them more confidence to purchase.

We welcome all enquiries, please contact us should you have any questions or concerns.