22nd May 2024

Why Are Diamonds So Expensive at Brick-and-Mortar Stores

expensive diamond jewellery at brick-and-mortar store

One of the most frequent questions we get asked by our existing and potential customers is, ‘How can you sell natural diamonds so cheaply?
Rather than starting by clarifying how we can sell natural diamond jewellery for very low prices, we begin by explaining why brick-and-mortar stores, such as high-street jewellers, sell diamond jewellery so much more expensive.
The high price of natural diamonds at physical jewellery stores and the potential for cheaper alternatives online, such as through Diamond Jewelry United, can be attributed to several factors:

Overhead Costs

Brick-and-mortar stores face significant overhead costs, including rent, utility bills, employee salaries, and store maintenance. These costs contribute to the mark-up on the products sold in physical stores.
On the other hand, online retailers tend to have much lower overhead costs due to the absence of a physical storefront, allowing them to offer more competitive prices.

Supply Chain

Online retailers often operate with a more direct supply chain, purchasing diamonds straight from the source and cutting out the middlemen, lowering costs. At Diamond Jewelry United, we source large parcels of rough diamonds from South Africa, where they are mined. We then polish the diamonds and manufacture all our jewellery in-house, which helps us keep our costs low.
Brick-and-mortar stores often don’t have direct access or the purchasing power to negotiate prices due to their smaller scale.

Competition and Price Transparency

The online market is highly competitive and price transparent, making it easier for customers to compare prices across different retailers quickly. This competitive pressure keeps prices low. At Diamond Jewelry United, we check competitors’ prices regularly to ensure we offer the best value for naturally mined diamonds. 
Physical stores tend to face less immediate competition, especially in areas with fewer alternatives, allowing them to maintain higher price points.

Market Segmentation

Some high-street jewellers target a market segment that values the experience of buying a diamond in person, including personalized service, the ability to see and touch the diamond before purchase, and immediate gratification. These value-added services can contribute to higher prices. While we don’t have a shop or showroom, we accept appointments at our London office should customers wish to view our diamond jewellery before purchasing. Due to high demand, you will need to book an appointment in advance.

How to Buy Diamonds Cheaper Online:


  1. Research: Start by educating yourself about diamonds, understanding the diamonds’ 4Cs (Cut, Color, Clarity, and Carat), and deciding what is important to you.
  2. Compare Prices: Use online platforms to compare prices from different retailers.
  3. Read Reviews: Check the online retailer’s customer reviews and ratings to ensure credibility and quality. We have hundreds of 5-star reviews online, and our Trustpilot rating is 4.9 stars. We pride ourselves on providing high-quality diamond jewellery and the best customer service experience. 
  4. Check Return Policy: Ensure the online store has a clear return policy in case the product doesn’t meet expectations. We offer 60-day free returns for all our diamond jewellery. 

In summary, the rise of online diamond retailers like Diamond Jewelry Limited has made it possible to find high-quality natural diamonds at more accessible prices by leveraging technology, scale, and direct supply chains to reduce costs and pass those savings onto customers.