That response from Rap sounds similar to what Ebay said when confronted by Tiffany about counterfeit Tiffany goods for sale on Ebay. I believe Ebay is now being sued bc of it ...

Hi Shanu ... Isn't people printing out Blue Nile lists (which anyone can access) more of a problem than people coming in with Rap? Or am I wrong on that?

Rob--Nope! Blue Nile is an online retailer with lower prices. Just yesterday my customer looked on there to educate herself but bought from me because she could see the stones and compare them next to one another--my prices are higher because of the service in house that we offer--it just doesn't end with the sale--its about my store helping her maintain and care for her diamond. The local store is telling consumers Rap is used to buy diamonds--and for many it is--that store is using Rap to show selling strategies--personally I can answer any question related to Rap and have sold diamonds to their customers as well--but the point is that is created for wholesalers and that stores gimmick is "we sell below wholesale prices to the public." I'm angry that they are creating a bad image of our entire industry. This is a classic example of a jeweler hurting us all. Our industry needs to change--we all can make money and sell the product we all love so much--what's the need for hurting us all (this is just telling consumers that jewelry and diamonds are overpriced and can always be sold for less).

Shanu, rather than complaining about this pernicious practice in your blog, you (and other retailers who have to compete with it) need to be much more proactive and aggressive in countering it. Part of your sales presentation needs to address the existence of Rap and what it is, that "wholesale to the public" is an oxymoron, that claiming to sell at or below wholesale is illegal (an FTC violation), that the prices in Rap aren't what they appear to be, that stores using Rap like this are behaving unethically, and do you really want to buy from a store that's deceiving you like this? If more jewelers took this approach, I guarantee the problem would go away eventually. Unfortunately, too many are too terrified of even admitting Rap even exists, and that just lets the few unethical stores pretend to be giving their customers access to "secret industry price lists."

When "Not for profit" and "Open to the Public" became the montra of the jewelry "Trade". Then Follow the money came next.

I have been out of the diamond business for many years but as a wholesaler and then a retailer, this problem has existed for years (Rappaport) and will continue to exist. It's what the industry brought onto themselves. I started selling diamond to Jewelers in 1980 at the height of the certificate market. 1ct D-FL with cert for $40,000.00 p/c. Crazy. As a retailer I did not lose to many sales as I spend the time to educate the consumer. Most jewelers dont know enough about diamonds and the most important "C" which is CUT. Jewelers who hand out price lists are doing harm to themselves and the industry.

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Greetings Shanu Singh Guliani:

A lot of things in the jewelry industry could and would be addressed and INSTANTLY CHANGED FOR THE BETTER if the jewelry industry as whole was really interested in stopping a lot of UNETHICAL and UNPROFESSIONAL BUSINESS PRACTICES within the jewelry industry.

All it would take would be an organized and concerted effect from all of the jewelry trade associations and organizations to enact, support and strictly enforce a ZERO TOLERANCE POLICY of Truth, Honesty, Professional Ethics, Professional Codes of Conduct and Professional Business Practices as an integrated part of their membership requirements to their organizations, associations and/or societies.

The technology and infrastructure is readily available and they, the jewelry industry, as a whole could effectively police ourselves if they were truly interested about doing such a thing.

However in today’s marketplace, PROFIT and SALES at any and all costs overrule Truth, Honesty, Professional Ethics and Professional Codes of Conduct.

The sad fact is, that approximately 95% of all jewelry stores nationwide are untruthful, dishonest and refuse to practice any form of Professional Ethics and refuse to follow and practice any type of Professional Codes of Conduct. I can prove and quantify this statement as fact in a court of law!!!!

Just Google my name.

LaShawn Bauer, GG
High Sierra Gem Lab, LLC. Reno, NV

There is a way to cure this from a selling standpoint.
When confronted with the Rap report from a customer, very quietly ask the customer if they really believe that a retail store would actually show them their wholesale price?. As far as Blue Nile goes, use their game. A customer offers to pay you the same as Blue Nile, say OK, ask for a credit card, write up the sale and tell the customer that you will ship the diamond to them the same as Blue Nile. (This gets their attention) If the customer protests, explain that you are there in person, a part of the community, you donate to local charities and that you pay local taxes.Ask them if Blue Nile is willing to do these things for your community and then sit down and explain to the customer the costs to own a store and provide personal service. This is what they are paying for. SELL YOURSELF AND THE STORE...

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