Sell Big Diamonds

(Click on image to enlarge)
The question asked everyday by every store. What is the Best Cut?

I have two basic answers, depending on the customer. Either it’s the one I’m trying to sell you right now, or there is no one cut that is the best. Each lab has it’s own opinion and so do dealers.

I can remember before the GIA became prominent, that we would want to show stones with spread tables. This made the stones look larger then they were. We also wanted stones with slight flourescence, because it made the stones white in the sun light.

But times have changed. What do you think is the best cut?

The picture I have posted here is a comparison of the light reflection properties of a well made stone as compared to one that is not. Notice the leakage. That’s bad no matter what the demensions.

Personally, I don’t think there is an Ideal cut, or a best make. I think diamonds are works of art. I know what I like and what I don’t like. And I know I don’t like to sell paper. I like to sell Diamonds.

We  sit in our offices making buying decisions every day.  Is it the right stone? Is it the right price?  Is there demand? 

All valid decisions.  But we must not allow paralysis by analysis.  Case in point:

A dealer walks into my office and offers a stone for $15000. After offers back and forth, I am at $11000, he is at $13000. No deal.

Two days later, I am in a friend’s office, he shows me a stone he is considering, the same stone.  We discuss it and he convinces me to go partner with him and we offer $12000.  Still the other man wants $13000, and we let it pass.

Two more days go by and my brother walks into the office, “Hey, look what I just bought for $13000.”!!! 

Of course the stone was sold in just a couple of days for a nice profit.

The lesson learned; Don’t be afraid.  There are no guarantees, but if you wait for everything to be perfect, you will have nothing to sell.

Larry Horowitz

According to a study conducted and revealed in the latest issue of Idex magazine(May), the single most simplistic method to increase single store sales is to hire more sales people.

I don’t own a store, so some of the discussion was outside of my  experience, but the reasoning presented was quite compelling.  It would appear that other methods, advertising, inventory, etc, cost more money then a salesperson. 

A salesperson can bring customers with them or create new loyal ones that will stay with the store after the salesperson has moved on.  It takes times and money to realize whether any particular advertising plan has worked or not.  But the ability or lack thereof of a salesperson can be seen immediatly.

I recommend reading this issue.  In fact I think Idex is the most intelligent of all the industry publications.  You can probably check it out at www.idexonline.com.

Larry 

I posted earlier about recutting and I should have added this tidbit.

Choose a cutter that has some experience buying and selling diamonds. He will understand cutting the stone for money. Which is slightly different then just cutting it until it is done perfectly. Yes, of course we all want a well made stone. But the differnece between finishing a 2.01ct or a 1.99ct, is the difference between making money and hitting yourself in the head with a hammer.

This is just odd.  I don’t say good or bad, just odd.

My neighbor’s daughter asks me if I can resize a ring she bought from Blue Nile. Nice enough ring, fairly priced.

She tells me the ring is 18kt White gold.  I look inside the shank and it is stamped PLAT.  So she gets me the original description and receipt from Blue Nile.  The description says white gold ring with platinum prongs.

I have never heard of that combination.  On top of which, why would you stamp the shank Plat, if only the prongs on the center stone were Platinum. 

It’s six hours later and I’m still scratching my head.

Build your reputation with large diamonds.
Selling ten 1 carat stones will not build your reputation as much as selling one 10 carat diamond.  People will talk about the 10 carat diamond and build your reputation for you.

Yes, it’s true word of mouth is always good.  Every satisfied customer WILL recommend you to friends.  But big ‘Holy Cow” rocks will create a buzz in the community.  Everyone remembers the buzz created when Kobe Bryant or Ben Aflick bought the big rocks.  Of course those same jewelers sell the average citizen, but did todays $895 studs get your store into the newspaper?

  I always brag when I sell a particularly large diamond.  When dealers and stores think of big diamonds Gerson & Horowitz always comes up.  Your’s can too!

It was  reported an April 28th, that the United Nations has lifted a 6 year old ban on liberian diamond exports aimed at stopping “blood or conflict” diamonds from reaching the world market.

It is gratifying to see that the controls set up by both the U.N. and rough dealers have worked.  Though nothing can ever be perfect, we can honestly allay the fears of our customers.  Our industry does care and has always worked to make the countries in which diamonds are found, just a little bit better.