:::thank you, god(of your choice), for putting this one into my lap:::
I make my living by looking at jewelry and diamonds all day which people are trying to sell. We buy jewelry/diamonds from the public. We are the among the largest volume buyers in Northern Ohio, perhaps the largest. So I feel than I have some expertise here.
Here is the bottom line: Markdowns, sales, all is cotton candy.
Currently, we, and all retail jewelry stores can purchase new 14K gold chain of many different styles for about $8/gram. Some fancy stuff costs more. We resell it for about $15-16/gram. We double our money. In the jewelry biz this is as low as you can go.
Most commercial jewelry stores sell gold chain for $20-50/gram. The average jewelry store sells you things at a 3 time markup over cost. And that is your price after all sales/discounts. You are paying 3x cost. Chain, diamonds, rings, etc. And 3x cost is average. We see 5x cost and more from the “department store” jewelry counters.
There ain’t no SantyClaus
A typical seller comes into out store and says “I know what my ring is worth. I took it to a jewelry store and they said is was worth $2000.” This means that their diamond ring would sell for this price in that jewelry store. Nevermind that I can buy that ring wholesale for $700. If I needed it. But my offer to buy their ring to put into stock will probably be about $500-600. And guess what, we are the highest actual cash buyers in our region.
The worth or appraisal of an object can fall into four different categories:
- A half carat diamond solitaire ring with a clarity/color of VS/H will have an insurance replacement value of $2000-2500.
- The diamond above costs you $2000 in a typical jewelry store. Bottom line. After all is said and done.
- We sell the same diamond ring for $1300.
- We can order the same diamond ring, wholesale, for $800.
- We will pay you $600 to purchase it for cash outright. And that is the best real offer you will get.
Oh wait!. That’s five categories. But you get the idea.