This is actually a bit of an oxymoron and I have to laugh a bit every time I see it. If a company is selling something to the public it is not really wholesale, it is actually retail, and when “wholesale to the public” is proudly displayed outside of a jewelry store it is really a deception.
A retail customer (you) usually needs many different levels of “service” that retail diamond jewelry stores are set up to offer and the costs of these services are included in their diamond pricing structure.
If a true wholesale diamond supplier regularly opened their doors to the retail public, yes they could get a higher price for their diamonds but they would also have to offer some of the same services that the retailer diamond jeweler needs to offer (nice jewelry cases full of different diamond engagement rings, proper lighting, more staff to help answer questions, a jeweler to preform repairs, etc.).
Very soon their customers, the retail diamond jewelry store owners, with whom they have been doing business with for years would not be happy and these retail diamond jewelry store owners will no longer want to do business with that wholesale diamond company because that diamond wholesaler is now in competition with the retail diamond jewelry store.
So where does that leave me?
It is difficult, if not impossible, for most people to buy diamonds at true wholesale diamond prices and you should be cautious, actually… be afraid, of someone who advertises to anyone and to everyone that they can sell wholesale loose diamonds and be extra afraid of someone who claims that by following their secret advice (this means you need to buy their book) you will be able to save thousands of dollars on your next diamond purchase.
There has always been people who sell something that make up some highly inflated price, then they will place a big red “X” through that price, and because you are such a great person, they will sell it to you for 40, 50, or even 60% off the original (inflated) price… lucky you!
Price is important but it is not the only consideration when searching for a diamond and if that is your only focus, it can then leave you open to being deceived.
Wholesale Diamonds Scams
#1- There are some retail diamond jewelry stores who do buy diamonds directly from the diamond manufacturers and therefore they can “cut out the middleman”! Does this mean that this retailer can now sell you diamonds at wholesale diamond prices? Maybe… but I doubt it.
#2- Most of these “middleman” play an important role in getting the right diamonds to the right people. If they are not sharp business people they will then end up being cut out of the distribution system themselves. Some wholesalers specialize in fancy shape diamonds, fancy color diamonds, etc., etc.
#3- The closest most people can get to buying a diamond at wholesale prices is to look to the online diamond retailers… please check buying diamonds online.
There are many more pointers you can find out when it comes to wholesale diamonds. For a comprehensive guide and listing of similar scams, check out Beyond4cs.com page on cheap diamond ring scams and wholesale lies.
If you’ve encountered or experienced buying from some one who claims to be a wholesaler, let us know in the comment section below.