The Margin Report

We recently asked members of the JCK Retail Panel about their margins on various products.

Retail Markups Based on Various Price Ranges

Price range Markup
Note: Responses are median figures.

Source: www.entrepreneur.com
&$999 2.5
$1,000-$2,000 2.2
$2,001-$5,000 2.0
$5,001-$10,000 1.75
$10,001-$20,000 1.5
$20,000> 1.3

What’s the difference between margins and markup?

“The difference is that gross profit margin is figured as a percentage of the selling price, while markup is figured as a percentage of the seller’s cost.”
(Selling Price — Cost to Produce)/Cost to Produce = Markup Percentage
Gross Profit/Sales = Gross Profit Margin

Source: www.entrepreneur.com

Profit Margins for Various Jewelry Categories

Category Profit Margin
Note: Responses are median figures.

Source: February 2004 JCK Monthly Retail Panel with 26.6% response rate: 178 responses were received out of 670 sent. The number of fine jewelers in the United States is 25,000 according to the Jewelers Board of Trade.
Karat gold 100%
Pearls and pearl jewelry 100%
Colored stones and colored-stone jewelry 100%
Platinum 100%
Watches 100%
Diamonds and diamond jewelry 70%
Sterling silver 150%
Steel, titanium, other 120%