soviet military surplus

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Wholesale Jewelry Trade Secrets #2

The BIG Boys don't want you to know.

The # 2 trade secret that jewelry stores don't want you to know is that their
average retail mark-up is 100% and Higher. Actually, this information is
available if you dig through the SEC filing for public jewelry companies.

Why is the mark-up so high on jewelry?

The main reason is that there are lots of costs associated in selling jewelry.
For example, each store has to pay rent, pay commissions, pay its sales staff,
pay for advertising, and hold its own inventory. And because most jewelry
retailers do not sell in high volume, their profit must be high for each item
in order to stay in business.

Another reason some jewelry retailers mark-up the price so high is that they
believe a higher price tag increases its perceived value.

How can jewelry stores that have 50% discounts still stay in business?

Have you ever seen small silver trinkets at jewelry stores selling for over $100?
The mark-up can be as high as a few hundred percent. But a high price tag
at a jewelry store does not necessarily reflect its true value.
Have you ever noticed that some stores always have a 40% sale sign especially
around Holidays?

You should watch out for these stores because they always inflate the price
and give you a big discount so you feel like you are getting a great deal.

So how do you find a good price? The best thing to do is comparison shop on
the internet. After comparison-shopping at least 3 internet jewelers, you will
get a good idea of the lowest price you can find. Even if you don't feel
comfortable buying jewelry on the internet, you can use the price to negotiate
a better price at the jewelry store. Almost all Brick and Mortar jewelry stores
are negotiable on price. Remember, most retailers mark-up their jewelry at
minimum 100%, so if you are ready to purchase, they will definitely negotiate
on price to make the sale. Just tell them the price that you found for the exact
same item on the internet. You will probably not be able to get as low of a price
as the internet, but if you want the peace of mind touching the jewelry and
talking to a sales person, the higher price may be worth it.

How is jewelry so much cheaper on the internet?

The nation's largest jewelry chains have more than 2500 stores nation wide.
Multiply 2500 stores by the cost of rent, salespersons' commissions,
advertising, and the cost of holding inventory. That's a huge expense.

In comparison, most of the largest internet jewelers are direct importers
or wholesalers. This means they supply to 100's or 1000's of retailers in volume.
And an online jeweler only needs 1 distribution center to serve the entire US,
with few sales persons. These cost savings result in lower prices for you.

Secret #2 Summary:
Average Retailer mark-up is 100% and higher
High price tag doesn't always reflect true value
Most prices at jewelry stores are negotiable

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