The way the diamond industry works may seem to be shrouded in mystery, but there are two important truths to take into consideration for your diamond purchase: the cost of mining diamonds and the notion of pre-owned diamonds. This post includes a video that explains these truths and what they mean for you.
Truth #1: Like any commodity the manufacturing costs of mining, refining and importing diamonds drives up the price.
Most retailers buy diamonds through the traditional channels of brokers and cutters. By finding unique and unconventional buying opportunities we are able to lower our costs and pass those savings on to the customer. One of the creative ways we buy diamonds is from the public.
Truth #2: Diamonds are billions of years old and many diamonds in circulation have been bought and sold numerous times.
Many diamond brokers buy diamonds from the public or retailers going out of business and then sell them back to other retailers for a profit. Not all of the diamonds they sell to retailers come straight from the mine. In the industry the terms estate or vintage will denote a pre-owned diamond, however this term is only applied if the diamond is in its original setting. If a diamond is reset, it is difficult to determine if it has been previously owned. Although a diamond can be “pre owned,” that shouldn’t factor into your decision making process since it’s not an accurately tracked statistic. Instead, focus on the 4Cs and getting the best value.