Are You Buying diamond jewellery but unaware of how pricing works?

August 16, 2024

In the present era, people are investing in buying diamonds. They choose the top lab grown diamond jewellery that is crafted using gold but when it comes to the pricing, they follow the old traditional method. It is to get the bill done on the counter and ask for some discount without even knowing whether the shop owner is offering them the genuine rate or if there is something fishy with the pricing method. So, basically we never check how the pricing is done and pay whatever the jeweller mentions in the final bill. However, we need to change this thing and should be aware of the pricing formula before we buy the diamond jewellery.

Undoubtedly, Lab Grown Diamonds are the most preferred and valued ornaments in the world because they represent love, celebration, as well as wealth. So, it's time to help people know everything about how they can calculate the price of diamond jewellery to say no to scams and be alert.

A Brief Analysis of the Diamond Jewellery Price Determination

Often investors think that the price of the lab diamond is easy to evaluate since it is simply a piece of jewellery. It is clear that several factors exist and the impact of these factors changes throughout the process and can significantly impact the cost of the diamond jewellery. With this in mind, you will be very well informed in terms of the kind of diamond jewellery you are going to buy.

Factors Affecting Price

The 4 Cs parameters of diamonds and gems include cut, color, clarity, and carat.

Cut: The cut determines exactly how well a diamond can reflect light, thus its brilliance and amount of sparkle. We can say that the cutting of a diamond can dramatically increase or decrease its price and the way it looks.

Colour: Diamonds come in a spectrum of colour from completely white or ‘colourless’, which is the most desirable and costly, to light yellow, or even brown. The extent of color is a determinant of price, with fewer amounts of colour yielding a higher price for the diamonds.

Clarity: Technically, clearness is one of the imperfections that may be present within a diamond and it means that the diamond contains natural flaws. Therefore, if there are more inclusions and blemishes in the diamond, its price will be lower in comparison with the diamond that contains fewer of these drawbacks.

Carat Weight: Carat is used to count the weight or check the physical size of the diamond. It also determines the price of the diamonds as large ones are relatively harder to find in the market than small-sized ones.

Additional Factors: Setting|Brand|Certification

Gold Shining Cluster Diamond Ring

1. Setting: Not only does it help put and secure the diamond but it also enhances the appearance of the diamond. The intricate design that has been put on the ring and the type of metal used in the ring may also be other causes for its high cost.

2. Brand: Some companies establish attractive higher prices because they are well known, in great demand, and assure the exclusivity of the appearance of the products.

3. Certification: A certified diamond has a report from such an organization as GIA or AGS and in such a report there are descriptions of the features of the respective diamond. With the use of certification, the price may be driven up through the capacity of the certification to guarantee that the buyer is getting genuine diamonds.

How to get the Best Value?

To get the best value you must know how the pricing is done so that you can calculate the actual price to be paid for the diamond jewellery you want to buy. The formula goes like this:

(Price of 18KT/14KT gold x weight of gold in the ring) + (price of diamond based on 4Cs x weight of diamond) + making charges + GST.

So, you need to confirm the price of each identity i.e.

Price of 18K/14K Gold at present
The Exact Weight of Gold used to make the jewellery
Price of diamond based on 4C’s
The exact weight of the diamond
Current making charges on gold
GST%

After confirming all these details, you can calculate the exact price of the selected jewellery and tally the same with the bill you get from the jeweller. If both calculations are the same, then you are getting the jewellery worth the money you pay. And if there is a big difference between the two, then you must clear it with the jeweller.

Common Pitfalls That You Must Avoid

1. Overpaying for Brand Names

This is especially so because brand name jewellery comes with quality, but if you find the right jeweller store that gives you quality as well as affordability, you can buy the same design jewellery without affecting your budget.

2. Ignoring Certification

It is very dangerous to purchase a diamond without the relevant certification. It is recommended always to check that your diamond is accredited, to prevent overpaying for lower quality stones.

3. Focusing Solely on Carat Weight

Clearly, when one looks at the size of a custom house compared to that of a historic house –the former is usually much larger than the latter. Rather than a larger diamond that could be lower in cut, color, or clarity, a smaller and better cut, color, and clarity diamond may be more valuable.

Diamond Jewellery Buying Tips

14K Gold Classic Glamous Diamond Bracelet

Set a Budget: Understand how much money you are willing to spend before you proceed with shopping. This will assist in the elimination of general options and prevent anyone from spending a lot of money.
Prioritize the 4 Cs: Figure out of the 4 Cs which to you is more critical and make your deciding factor on that.
Shop Around: Take time to compare prices from different stores and online stores to get the best price that they are selling at. Do not shy off from bargaining especially when you are buying a certain product that you want to have.
Consider Customisation: While the prices of such pieces may be slightly higher, a person gets the chance to develop an item that will be unique and have a special meaning.

So, in the end, we can say while buying diamond jewellery, utilizing the right knowledge is power. By understanding the key factors that influence pricing and being aware of common pitfalls, you can make an informed decision that you’ll be happy with for years to come. Remember to prioritize what matters most to you, whether it’s the sparkle of a well-cut diamond, the reputation of a brand, or the sentimental value of a customised piece. With these tips in mind, you’re ready to embark on your diamond-buying journey with confidence.

Check out the Complete Price Breakup on Buying Diamond Jewellery with GIVA

GIVA completely supports the fair pricing system and for this reason, we have mentioned the price breakup with each product available in our store. We make sure that our customer knows each detail related to the price that we offer on our exquisite gold diamond jewellery. So, being our proud customer, you need not to worry about any miscalculation. You can choose any product you want to buy, click on the price breakup, and know how much you have to pay and what is included in it.

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