Who’s the expert?
If the wave of online purchasing has taught traditional retailers anything, it is the reminder that diamonds are far from a commodity.
“We ourselves, even as gemmologists and professional jewellers, don’t purchase a stone sight unseen,” Anderson says. “The client should also be doing the same thing.”
Moss sees the issues at a deeper level.
“Can (diamonds) be bought blind? Or do they need to be looked at and discussed?” asks Moss. “Can consumers be experts by reading a few articles and spending an hour online? Who’s supposed to be the diamond expert?”
Returning to the roots of diamond retailing—where a trusted expert explains the difference in cost beyond the certificate—is the key to competing with the rock bottom online prices, says Moss.
“The value-added of going to a retailer is the knowledge they bring to the equation, and if the retailer does not bring a specialized product or knowledge to the table, then there is no reason why somebody shouldn’t buy blind,” he adds. “If you haven’t invested the time learning the product, your customer certainly has. They may throw you a question you don’t understand, and you could lose a sale to some Internet site.”
Wizman notes that when a consumer is only interested in matching the price of an online broker, it is up to the retailer to explain the grading report. For instance, the position of inclusions greatly affects price, which is something most consumers fail to appreciate. This is a prime opportunity for the retailer to show the customer examples of how a diamond they’ve found online compares to a similarly graded stone right in front of them.
Freiberg says it is common to find him explaining the absence of quality in discount diamonds.
“A lot of the time, we’ll have clients who have come in here with diamonds they bought online and don’t understand why their diamond is dead compared to ours,” Freiberg says. “Well it’s dead because it has a huge cloud in it”¦ It’s a matter of educating the consumer more than anything else. When they’re here, that’s the best time to educate them.
“A lot of jewellers today don’t understand buying diamonds—they understand buying paper, and that’s a mentality that has to change within our industry,” he continues. “You don’t buy paper, you buy diamonds. And if you’re buying paper, you’re not a professional jeweller in my opinion.”
It’s a strong sentiment, but a consistent one across the board.
“You must specialize in something that isn’t just about price,” says Moss. “All you’re doing is giving away your expertise, giving away your profit, giving away everything in order to [make the sale].”
