Jewelry typically goes through a number of different stages before it reaches the consumer at a retail location. The process begins with the mining of the precious stones and metals that will be used to make the jewelry. These raw materials are then sent to a manufacturer or supplier, who will use them to create finished jewelry pieces.
Next, the jewelry will be sold to a wholesaler or distributor, who will mark up the price to cover their own costs and make a profit. The jewelry will then be sold to a retailer, who will also mark up the price to cover their own costs and make a profit. Finally, the jewelry will be sold to the consumer at a retail location, where it will be marked up again to cover the costs of operating the store and to make a profit for the retailer.
In total, the markup on jewelry can be significant, with the final retail price often being several times higher than the cost of the raw materials used to make the piece. Additionally, the brand name, designer, rarity, and other factors also affect the price.
At Karats Auctions we cut out the huge retail mark-ups as we don't have to pay for a stand alone retail space, fancy signs, salesman commissions, and all of the expensive display cases, lights, and plush carpet! Instead, we offer high quality, fine jewelry direct to the public for 50 to 90% off of retail prices! The only catch is this: you have to bid to win.
Check out our monthly and twice-a-month fine jewelry and gemstone auction right here at www.KaratsAuctions.com