This week I have been explaining how two diamonds with the same certificate information can be priced differently [Click Here] and what some of the factors are that can explain this [Click Here]. Here is an example of a real case that I had not long ago.
I was recently working with a customer who was interested in a 0.81ct round diamond of ours, with a GIA certificate graded H color, VS2 clarity. At the same time, she was considering a 0.80ct GIA certificated H VS2 diamond from another source who had borrowed the diamond from its owner to try to sell it to her. She showed me a copy of the certificate of the diamond she was being offered and I told her that it looked like a very good diamond on paper but that I couldn’t be sure without seeing the diamond. After telling me that she wanted to purchase her diamond from us, she asked me if I could obtain the other diamond and compare the two diamonds. I was able to obtain the diamond from the owner.
The comparison was truly enlightening, but also frightening at the same time. The other diamond did have a great certificate and paper grade. However, in looking at the diamond itself, I could clearly see that it was undesirable. It had a brown cast to it with a steely darkness. Compared to my H color, this other diamond was dark and lifeless. Holding the stones side by side, my customer was able to see the difference immediately. I told her, in no uncertain terms, “you don’t have to purchase my diamond, but you definitely shouldn’t purchase this other one.” I also told her than any seller who would sell her the other diamond was doing her a great disservice. My diamond was desirable, the other was not. But you could only see that from the diamonds themselves, not from their certificates.
What is the lesson here? You have to purchase your diamond from a source that truly understands diamonds and invests his own money in his inventory. When one spends his own money on something that he has to sell, he’s careful to look beyond the paper and examine the goods. That is the only way that people in my business can give our customers true value for their money.
In the meantime, until next time, Mind Your Diamonds!
Josh Fishman
josh@afishman.com
Mind Your Diamonds 