Secrets of the Jewelry Industry: What They Are Afraid You Will Find Out
Some of the greatest marketing stories ever told are found in the jewelry industry. Until the internet came along, jewelry stores have done a good job of keeping their secrets under lock and key. Never before in the history of the industry have people had so much access to information–information that could be damning and crippling to the diamond jewelry stores.
Whether someone is getting engaged, looking to upgrade their wedding ring set, or seeking an anniversary ring, the process can be complicated and confusing to most people. One of most interesting things about the jewelry industry is that they have been so successful with creating a “need” for diamonds–their very own product in which bottom line is to see how much of a markup they can get away with before the consumer balks. It is amazing when diamonds are have been reported to be purchased for around $20 per carat by DeBeers in the African diamond mines. The labor is cheap (if not free due to family slavery) and DeBeers controls how much they sell them to other diamond companies. Not only is the labor cheap, so are diamonds themselves. Even Nicholas Oppenheimer, the chairman of DeBeers, has secretly admitted that diamonds do not have substantial value. Yet his cartel and mafia still boldly advise gullible men that it is desirable to spend two months’ salary on an engagement ring. It is fascinating from a marketing standpoint to have an item that women think they must have and are willing to pay thousands and even tens of thousands for when the cost for the seller is about the same as a few buckets of Kentucky Fried Chicken. This is the finest scam in all of consumer history.
So what is a person to do? Here are four suggestions before buying an engagement or anniversary ring:
1. Buy online. Nowadays, there are so many options out there that you need not venture into a store with high pressured salesmen, crooked “warranties” and markups averaging 600%. Let her go have fun trying rings on at the store, and then find the exact same one online.
2. Look at diamond alternatives such as opals, sapphires, eco diamonds, rubies, high-grade cubic zirconia or the new Swarovski diamond-cut stones that look identical to diamonds. Fantastic diamond alternatives of every shape and size are flooding the market and it will soon be difficult for anyone to know who has real and who saved a fortune.
3. Don’t be afraid to suggest alternatives to shopping and stones to your significant other. Chances are, she may be more open to something synthetic over a mined diamond. Probably even more than you realize. Let her know that she can get the best setting and a more expensive metal if she goes with something other than a diamond. It’s the setting that makes or breaks the ring.
4. Finally, if there is an heirloom diamond in the family on either side, use this instead of a new diamond. It means a lot more and you will not have to buy into the diamond scam.