- Jewelry and Gems Blog
- Tips on Buying Diamond Jewelry
Tips on Buying Diamond Jewelry
The diamond trade is not regulated and it is very different from selling widgets. The price of a diamond is often based on a perceived value and believe it or not - also based on consumer's knowledge. What you do not know can affect the price you will pay for the diamond jewelry you have fallen in love with.
There are basically some rules that can help you become a savvy diamond jewelry buyer:
Buy Only from a Reliable Source: Only buy from a retail jewelry store and an online store you can trust. What does that mean? It means that buy from a jewelry store that displays its prices clearly, is a member of one or more industry groups in good standing, check references and reputation and someone who you can go back to if there is a problem. Online jewelry stores provide the same value and are reputable as well. In fact, their mark-up or profit is not as high as a brick and mortar store. Therefore, you can find savings in their prices. Before buying, check their online reputation, check their return policy, industry group membership etc. The best benefit we have today from the internet is you can do a price comparison instantly. We recommend that you should check the price on the internet of the jewelry design that you have liked at a retail jewelry store - prior to making the purchase
Know the Basics of Diamond Jewelry: Don't demonstrate ignorance of diamonds. That is an invitation to a higher quote - especially from someone who sells you in person. Know the 4 Cs, how the price is controlled largely by the 4 Cs, certification, what is GIA, AGS, The Rappaport Report, and so on. If you know these things enough, the chances are that a retail jewelry store will hesitate to markup the price higher.
Stay Away from Illusionary Discounts: Think hard about a place that offers unrealistic and too good to be true prices or discounts. There are only 2 possibilities. Firstly, if the deep discounts (such as 30%, 40% 70% or 80%) are true, the original prices must be outrageously overpriced and the discounts are just illusionary. Secondly, the merchant is really taking a 70 or 80% loss. Try to figure that out. In almost all cases, the first scenario takes place and we all fall for that trick.
Leverage the Power of the Internet: Even if you do not buy on the internet, the advantages that internet has brought to the consumer cannot be denied. You can do a price comparison, check a merchant's reputation, complaints against him/her by past customers, look up a trade report, read its history etc. These advantage were not available to the consumer just about 30 years ago. Our previous generation had to be content with a trusted 'family jeweler' who was always right - largely because you knew him and he was a good guy. The internet has challenged that belief.
Find a Design you Like and Do Price Shopping: Don't rush to make a purchase. Take your time to compare the price elsewhere including on the internet. Understand what makes the price - the diamonds, 14K gold (yellow and white) casting or shank, type of ring setting, certification cost etc. and figure what the right price should be. Short list places that offer a good product, a good price and purchase and return guarantees. Negotiate and get the best deal.