J.R.Dunn’s take on the Commoditization of Diamonds

It will be very difficult to pull off a futures market for diamonds because no two diamonds are alike even if they are the same grade. DeBeers has 12,000 different categories for classifying rough diamonds alone and no one has agreed universal grading system for diamonds. That being said, the direction the diamond industry is heading is actually not far from a commodity even in it’s current state.

Everyday you see more and more diamonds being sold on the web where pricing is very transparent. As technology improves and customers get better informed it’s going to get increasingly difficult for the big chains and even the Tiffany’s, Cartier’s and Winston’s to get the markups they are used to. We, at J.R. Dunn Jeweler’s, see this transparency of pricing as a good thing because this way every jeweler has a fair chance to make a sale when a client compares apples to apples. We are very proud of our diamond prices and thats why we have them up on jrdunn.com for the world to see!

If your interested in reading more on the diamonds as a commodity debate check out this great post, Luxury or Commodity?, by Judah Gutwein over on Diamondvues.com!

[tag-tec]Diamond futures[/tag-tec], [tag-tec]Martin Rapaport[/tag-tec], [tag-tec]Diamonds as a commodity[/tag-tec], [tag-tec]DeBeers[/tag-tec], [tag-tec]jrdunn.com[/tag-tec]

  1 comment for “J.R.Dunn’s take on the Commoditization of Diamonds

  1. August 9, 2007 at 7:58 pm

    Sean,

    Thanks for the plug and salient points and information!

    Regards,

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