If you’re looking to buy any type of jewelry, you may have considered negotiating prices. Trying to fight for a better price can be effective and satisfying in some situations. This leads many people to wonder whether they can negotiate diamond prices.
You can negotiate prices on diamonds and all different types of jewelry. While it can be common to attempt to negotiate a different price for a diamond you like, it may not always be effective. Some retailers do not allow any price negotiations, while others are more lenient.
Let’s talk more about negotiating the price of diamonds and how you can do it.
How To Negotiate Diamond Prices?
If you want to negotiate the price of a diamond, there are a few ways that you can prepare. While not every jeweler will lower a price for you, these tips can help you get a better deal anywhere that is willing to negotiate.
Know What You Want Going In
The first rule of negotiating a better price for your diamond is to know what you want ahead of time. When browsing at a jewelry store, the salesperson can help you narrow down the diamond size, shape, and other details you want. However, going over these details with the salesperson will show them that you have not done much shopping around for other places.
This knowledge allows the salesperson to be more firm with the price they offer you. If the salesperson is aware that you have not been to other jewelers, they are less likely to give you a discount or allow price negotiations. So, you will want to go into the store confident of the cut, shape, color, and details of the diamond you want.
The 4 C’s of Buying a Diamond
If you want to purchase a diamond, you will need to know the four Cs of a diamond. Knowing these going in can help you negotiate a better price, as it shows that you know what you want. So, you should learn the diamond’s cut, color, carat, and clarity. Make sure you learn at least these four basic characteristics of the diamond that you want before going to the store.
Not only will knowing these help you better negotiate the price, but it will also prevent the salesperson from attempting to sell you something different. Showing confidence in what you are looking for can go a long way with an associate.
Visit a Local Independent Jeweler
Small, independent jewelry stores have a lot to offer their customers compared to large chain retailers. They tend to have a lot more detailed knowledge of their products compared to the sales associates at retail chain locations. This can help you purchase from someone who has a lot of knowledge about diamonds and cares a lot about their products.
This also means that you will be working with someone who has more power to lower the price of a diamond for you than those working at larger retail chains. This means you are far more likely to be able to negotiate the price of a piece that you like rather than being met with the limitations of a sales associate.
Not only do local, independent jewelers tend to have more reasonable prices for their pieces, but they can also normally share why their pieces cost what they do. So, while you may not always be able to get a better price for a diamond at a local jeweler, they will at least be able to be clear on why they can’t go any lower with the price and offer other lower options.
Go to Multiple Stores
While an independent jeweler has more leeway in the pricing of their products, you should also consider shopping around. This can help you see some different prices for the same product and realize when a store marks up the price of a similar piece. This can help you avoid places that are going to be too expensive.
Once you have a good idea of some other stores’ options and prices, you will be able to better negotiate a price that is reasonable. So, use this to your advantage when negotiating a price by mentioning some other prices at different places. This will help the associate understand that you have done your research on the topic and aren’t willing to pay a higher price.
Don’t Immediately Take the First Offer
If you aren’t used to negotiating with a salesperson, you may not have experience with getting a lower price for something. In this case, you may get really excited if the price of the product comes down even a little bit. While that is indicative that you are negotiating the price well, it doesn’t mean you should take the first offer.
Sometimes stores can offer small discounts to their customers when they are purchasing a diamond. This isn’t much of a negotiation because the store most likely has a small window of discounts they can offer to make the sale. So, if the discount they offer is very small, consider not accepting it immediately to see if a better option is available.
This doesn’t mean that you should turn down every first offer. If the store offers you what you believe is a good enough discount to justify the purchase, take it. At this point, you have prepared by doing research and shopping around. So, you know what is a reasonable offer compared to a good discount. Don’t let those good discounts go!
Stay Friendly
While it can be challenging to negotiate just about anything, finding a good price for a diamond can be especially difficult. After going to multiple stores and researching the piece you want many times, the entire process can become exhausting. Remember, the sales associate has full control of the situation. So, don’t be rude to them.
Even if the associate offers you the same price that the store has listed for the diamond, remain friendly with them. It can be easy to slip into rude behavior when you are especially frustrated with the situation. Being rude to an associate will hardly ever get you what you want.
Especially at small independent stores, the associates have more freedom to lower a price for you. They hold power in this negotiation. Without their help, you will pay full price for the diamond or have to buy it elsewhere. Always remain friendly, even if they make an offer you don’t like.
If you are too rude, you may find yourself refused a sale at that location. While this may not seem like a big deal, as jewelry stores are everywhere, you don’t want to ruin your reputation with any of them. You never know what they might have to offer you now or in the future. So, tread carefully and be friendly to any associates you encounter.
Don’t Start Too Low
While it is a good idea to start at a low price and work your way up as you negotiate, starting too low is a bad idea. One major part of negotiating a price is that potential customers will lowball the sales associate with an offer that is way too low for what they are getting. However, they hardly ever accept these offers.
Lowballing can work when the seller is desperate to make a sale and just wants the process over with. That is rarely if ever going to happen with purchasing a diamond. You can start the negotiation process with a low price and work your way up, but lowballing involves using an almost offensive first price to get the sales associate’s attention.
One of the most important parts of getting a lowball offer to work is that the seller has to be desperate to sell what you are looking for. Above, we discussed how the associate has power in this situation. So, lowball offers will not work in these scenarios.
How To Avoid Lowballing
You can avoid getting laughed out of the jewelry store by offering a low price without going too low. When it comes to purchasing a diamond, we recommend avoiding prices that are too low.
If you want to offer a low price without lowballing, we recommend starting at 25% off the asking price. This will give you some room to work with the associate and find a happy medium.
In this scenario, lowballing would be asking for 50% off the ticketed price of a diamond and working your way up from there. You can do this if you want, but you are more likely to have the salesperson work with you if you are reasonable in your initial request.
Ask About Cash and Card Prices
At large chain jewelry stores, this may not have an impact on the price they offer. However, you may be able to get a better deal at an independent jeweler by offering cash rather than paying with a card. Many small businesses appreciate the perks of customers who can pay in cash, especially jewelers who so often have customers paying with a card.
If you offer to pay cash, especially at a small business, they may just reward you with a discount without even needing to negotiate. Using a card to process a transaction is very common, but it still costs the merchant money. The seller pays a fee each time a customer uses their card. Paying with cash can help them avoid processing fees.
Sometimes, merchants will add the processing fee to the card payment automatically. So, you may already be paying a higher price for a product without even realizing it. This helps them avoid fees from the processor and still make the same amount of profit no matter the payment type used.
Not only are fees a reason that using cash can get you a discount, but it is also important for small businesses that may need the money immediately. Cash in hand after a transaction is valuable to the merchant as they will not have to wait for the payment to process. This gives them the money immediately without a chance of a later bank dispute.
There Is Only So Low They Can Go
It is important to know that negotiating diamond prices comes with limitations. There is only so low that a merchant can go without taking a loss on the sale. You can’t reasonably expect the seller to offer a 50% discount and have both parties walk away happy. There is too much that goes into the process of making a diamond for this to be reasonable.
Not only is the diamond itself expensive, but you also should consider any materials like gold and silver that line the diamond. These cost a lot of money to make and mold, which is why the final product is so expensive.
Not only are the materials costly, but the labor involved in making jewelry costs money too. From casting the piece, sizing it, polishing it, setting it, and doing quality control, a lot of time and effort goes into every piece that you see. So, asking for a price that is too low means that they may actually lose profit on the diamond.
To combat this, you need to have a better understanding of the materials used in the diamond and the labor involved as well. This is also were shopping around at different companies can help too. Once you have a better understanding of what the diamond cost to put together, you will be able to negotiate a fair price where the seller doesn’t lose any money.
Final Thoughts
Negotiating the price of a diamond is not easy, but it is definitely possible. Whether you can get a discount or not, it is always worth trying to get a lower price if you are on a budget. So, use our tips to your advantage and better prepare yourself to get a lower price.
Jewelers may have only a slight discount they can offer you, but always remember that you can wait and consider each offer before making a hasty choice. In the end, the quality of the diamond matters more than potential discounts.
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