Resource

How Pre-owned Diamond Jewelry is Priced

Pricing guide

The pre-owned diamond market plays by entirely different rules compared to the retail diamond market. This results in very high retail prices, and then shockingly low resale prices.

Retail

New diamond jewelry pricing breakdown

Resale

Pre-owned diamond jewelry pricing breakdown

1 4c’s, mining, and cutting

A diamond’s price is determined by its 4 c’s (cut, carat, clarity, and color) coupled with the aggregated value created at each step of its production process (mining, cutting & polishing).

2 Jewelry Manufacturing

Once the diamond is ready, it is placed into a setting by jewelry manufacturers. While the metal and melee diamonds that comprise the setting hold some value on their own, the factors that raise the price most significantly are the design and craftsmanship costs.

3 Retail Business Expenses

Once the piece is ready, and sold to the buyer (who sells the piece to the eventual owner), retail operating costs, marketing costs, and profit margins are added and the retail price is set.