Use Natural-Color Diamonds to Jump-Start Sales

Natural-color diamond are an untapped resource for many jewelers, one that will bring “profitability, enthusiasm, and excitement” into the stores, says consumer marketing expert Diane Warga-Arias.

However, while consumer research and sales data show consumers want natural-color diamonds, most jewelers stock few, if any, and most salespeople hesitate to promote them because they know little about them.

Warga-Arias, speaking for the Natural Colored Diamond Association, told her audience how to deal with that situation and how to “Jump Start a Selling Spree With Natural-Color Diamonds” in her Thursday seminar at The JCK Show ~ Las Vegas.

“Americans today love what’s natural, from natural fabrics and organic foods to soda and cereals,” she said. “Craving color has clearly entered the mainstream, because color impacts how we feel and behave. So, in the retail environment, natural-color diamonds offer the best of all worlds.”

In an innovative audience response segment (using computer-linked handheld devices), a sizable number of audience members answered Warga-Arias’s questions. For example, 35 percent expect local consumer interest in natural color diamonds to grow, 34 percent have no colored diamond pieces, 49 percent have few color diamond pieces, and 85 percent want to learn more about the gems and have easy access to information about them.

“The best news for you is that consumers want natural-color diamonds, and that you can use them to differentiate yourself in your market and gain an advantage over your competitors,” Warga-Arais told her audience.

Successful selling of them, she said, means:

* Carrying an inventory of 8 to 12 pieces of various types and affordability. “Carry an array of merchandise and choices,” she urged.

* “Sharing the wonder” of natural-color gems and jewelry by using imaginative ways to display them—for example, with organic items, such as perfumes—rather then just putting them in a showcase.

* Using “rich language” to describe them, such as, “Gifted by nature …,” “One in 10,000 diamonds have natural color …,” or “Sparkle brilliance …”
Enhancing sales associates’ knowledge of the gems is as easy as one, two, three, Warga-Arias said. “It’s all about the color.”

1. The rarity of the color determines its value. The rarer the color, the more expensive and vice versa.

2. The strength of the color determines the price. The lighter the color, the more affordable it is, and the more intense and vivid, the higher the price.

3. The size of the natural-color diamond affects affordability, too.  The smaller they are, the more affordable; the larger are more expensive.