| Diamond shoppers today have more choices than | | | | of diamonds owned by groups of wholesalers |
| ever on where to buy their diamond engagement | | | | and let the shopper pick the diamond they |
| ring, diamond earrings and other diamond | | | | want based on the specifications in the list. |
| jewelry items. However, with greater | | | | The shopper pays for the diamond in advance |
| selections come bigger potential risks and | | | | and then the wholesaler or the retailer ships |
| rewards. You need to do your homework and | | | | the diamond to the consumer. |
| understand how to select the best company for | | | | |
| your diamond purchase. | | | | The online jewelry retailers offer the |
| | | | advantage of much greater selection than you |
| The retail diamond market is comprised of | | | | can find in a jewelry store and the ability |
| three broad categories of diamond sources; | | | | to ship the items all over the country, which |
| jewelry stores, ecommerce diamond companies | | | | provides greater options for shoppers in |
| and diamond brokers. | | | | small towns and rural areas. Due to low |
| | | | overhead costs, online jewelers can provide |
| Jewelry Stores | | | | lower prices than most jewelry stores. The |
| | | | disadvantage of the online jeweler is that |
| Until recent years, jewelry stores were the | | | | there are few safeguards in place to keep the |
| only option for most diamond shoppers. This | | | | consumer from making a mistake. Picking the |
| was especially true for smaller towns and | | | | least expensive diamond from a list of |
| rural areas. These stores had a monopoly, | | | | options often means there is something less |
| much like Ma Bell with the phone systems | | | | desirable about the diamond. Without an |
| during most of the 20th century. Jewelry | | | | expert adviser to help, the consumer is |
| stores were the only game in town and could | | | | mostly on their own to make their selection. |
| set their prices at whatever markup they | | | | |
| wanted. | | | | Diamond Brokers |
| | | | |
| Jewelry stores depend on impulse buying so | | | | There is a third type of diamond retailer, |
| they focus on having a selection to pick | | | | the diamond broker, that differs from the |
| from, name recognition through extensive | | | | jewelry store or e-commerce retailer. Like |
| advertising, and being convenient so shoppers | | | | most e-commerce retailers, brokers do not own |
| can walk in and make a purchase with no | | | | inventory and have low overhead, but they |
| education or knowledge of the product. If it | | | | differ in that they work as diamond |
| looks nice to an impulse buyer, they will | | | | consultants for the shopper to find the best |
| pull out the credit card and have it | | | | diamonds meeting the consumer's requirements. |
| gift-wrapped. To attract the impulse buyer, | | | | |
| jewelers built elaborate stores with polished | | | | To attract new clients, diamond brokers rely |
| marble floors, expensive display cases, and | | | | on word of mouth advertising. They typically |
| lighting that makes everything in the store | | | | have a website focused on online education |
| sparkle. | | | | and shopping advice instead of a list of |
| | | | inventory and the online shopping cart. |
| To pay for the stores, the decorations and | | | | Diamond brokers work with their client to |
| all the expensive advertising, jewelry stores | | | | find the best diamond on the wholesale market |
| must maintain high markups on the items they | | | | and present it to the client in the broker's |
| sell. The more expensive stores have bigger | | | | office or ship the diamond to the client to |
| inventory, higher rent and more advertising, | | | | examine before they purchase. The result of |
| which dictates the higher markup necessary to | | | | the lower overhead and personal consultant |
| pay for all that overhead. | | | | service is that clients usually get a better |
| | | | diamond at a lower price than with jewelry |
| E-Commerce Diamond Retailers | | | | stores or online retailers. |
| | | | |
| The online shopping cart of hundreds of | | | | To determine which company is going to be the |
| jewelry retailers has been one of the big | | | | best supplier for your diamonds, know what |
| growth areas for e-commerce. Shoppers can | | | | retailer characteristics are most important |
| shop from the convenience of their home or | | | | to you then ask many questions. Be sure the |
| work computer, look at the pictures of | | | | company you select is going to be able to |
| thousands of jewelry items online and place | | | | provide the personalized service, expert |
| their order without ever talking to a human. | | | | advice, high quality diamonds and low prices |
| E-commerce diamond retailers provide a list | | | | you deserve. |