Summary
Many first-time diamond sellers assume they can recover the retail price when selling. This guide explains why retail and resale prices differ, how diamonds lose value after purchase, and tips to get the best resale price in India or abroad.
Introduction
Thinking of selling your diamond? Don’t expect to get what you paid.
Many first-time diamond sellers make the mistake of assuming the retail price equals resale value. In reality, a diamond loses value the moment you purchase it. Understanding the difference between retail and resale prices is crucial if you want to sell your diamond in India or abroad. This guide will help you set realistic expectations and get the best possible price.
Diamond Selling Mistake: Retail vs Resale Value
When you buy a diamond, you pay the retail price.
When you sell it, you receive the resale price.
These two numbers are rarely the same. Think of it like buying a new car—the moment you leave the showroom, its value drops. Diamonds behave similarly.
Why Retail and Resale Prices Differ
Retail Price Includes:
- Store rent
- Marketing expenses
- Staff salaries
- Brand markup
Resale Price Depends On:
- Diamond quality (cut, color, clarity, carat)
- Current wholesale market price
- Speed of resale
Example:
You bought a 1-carat diamond ring in Kochi for ₹5,00,000. When you sell, a jeweler may offer ₹2,50,000–₹3,00,000. This is not cheating—it reflects market reality.
Tips for Diamond Sellers
- Know the market: Compare quotes from multiple jewelers.
- Understand the 4Cs: Small differences in clarity or color affect resale.
- Get a grading report: Certificates from GIA or IGI strengthen your negotiation.
- Set realistic expectations: You’re selling into the wholesale market, not retail.
Ask Yourself
Would you pay the same for a second-hand car as a new one? Then why expect retail value for your diamond?
FAQ
Q1: Why do diamonds lose value after purchase?
A: Retail price includes store costs and brand markup. Resale depends on market demand.
Q2: Can grading certificates increase resale price?
A: Yes, certificates from GIA or IGI validate quality and help negotiate better offers.
Q3: How to get the best resale value?
A: Compare multiple quotes, understand the 4Cs, and have a certified grading report.
