Valentine’s Day all set to boost jewellery biz

February 06, 2009

Commodity Online
NEW YORK: Recession or no recession there is no stopping love. So, when February 14 dawns all lovers will go out and definitely will buy some V-Day gifts for their heartthrobs.

That is what the result of a survey showed in the US. So, economic slowdown has not hit the love. In fact, love blooms at the time of crisis that is what all the romantic movies taught us till now.

According to a survey conducted by Harris Interactive on behalf of Blue Nile, 89% of US adults still plan to celebrate Valentine’s Day, and 62% still plan to purchase gifts.

Keeping tight control of their budgets is top of mind for most consumers, with only 12% of those surveyed planning to spend more than last year, and half of those surveyed planning to spend the same or less.

Jewellery remains one of the most popular gifts among those who plan to purchase Valentine’s Day gifts. About 28% of men say it is the gift they would most like to give, while 22% of women describe it as the gift they would most like to receive. However, while jewellery tops many wish lists, it also conjures images of high prices, overpaying, confusion and frustration.

In fact, 61% of those who are in a relationship said they would be more inclined to purchase Jewellery if the overall experience was better.

Reasons cited included, knowing they were getting a good value (29%), product-quality confidence (23%), increased consumer education (19%), and working with a no-pressure, non-commissioned salesperson (17%).

While the traditional diamond engagement ring still reigns supreme, with 62% of those currently in a relationship but not married describing it as a very or somewhat important part of the proposal, the slowing economy has impacted how people think about this tradition as well.

When asked to imagine they were considering proposing/being proposed to in the next 12 months, 52% said they would consider altering their proposal plans because of the current economic environment. According to the survey, 26% would consider proposing with a non-traditional engagement ring, such as a diamond eternity band or a ring with a precious gemstone as the center stone. While 18% said they would consider proposing without a ring, only a small minority (8%) would consider delaying their proposal.

Whether they are looking to propose or to purchase jewelry for their significant other this Valentine’s Day, Blue Nile is here to teach consumers how to make “smart” jewelry purchases. Following are tips and product recommendations to save consumers anywhere from a few hundred dollars on a gift of jewelry to a few thousand on the perfect engagement ring.

While traditional jewelry stores often mark up their diamonds as much as 100%, internet retailers like Blue Nile sell diamonds of comparable or higher quality at prices that are 20% to 40% less. Depending on the retailer, that’s a savings of anywhere from $500 to $4,000 for a one-carat diamond.

While the traditional diamond solitaire is still the most popular engagement ring choice, the economy has inspired a new trend. To save money, some grooms-to-be are proposing with diamond eternity bands, multi-diamond bands, or rings that emphasize a colored gemstone instead of the diamond. For example, Blue Nile’s Sapphire and Diamond Ring in 18k White Gold retails for only $2,425, a savings of nearly $500 compared to the $2,900 national average price of a traditional engagement ring.

A diamond has four major characteristics – Cut, Colour, Clarity, and Carat weight, known as the Four Cs. Although Carat weight tends to get the most attention, and also has one of the biggest impacts on price, it is the Cut of a diamond that is most critical, as it determines brilliance (sparkle). To get the best of “both C’s” while keeping costs low, opt for a better Cut, but a smaller Carat weight. Then select a design, like Blue Nile’s Cirque Ring, that encircles the center stone with micropavé diamonds, making the solitaire appear larger to the eye.

Red is the colour of Valentine’s Day, but as much as we love the rich hues of a red ruby, this rare gemstone can be costly. If your budget is tight, consider a red Garnet instead. For example, Blue Nile’s Garnet Bezel-Set Pendant in Sterling Silver is $45 as compared to the Oval Ruby Pendant in White Gold for $1,250. With a savings of more than $1,200, you might even have money left over for the Garnet Bezel-Set Earrings in Sterling Silver for $45 to accompany the pendant.

When it comes to fine jewelry, it is important to remember that what you spend doesn’t have to signify how you feel. Symbolic pieces like Blue Nile’s Love Knot Bangle, $45, or Heart Tag Bracelet, $80, speak volumes without breaking the bank and will last forever.

No matter the variety, the ideal pearl is perfectly round and smooth, with a strong reflective quality and brilliance, or “luster.” All of Blue Nile’s pearls embody these characteristics, but freshwater pearls are an extremely affordable option when compared to other varieties such as South Sea, Tahitian and Akoya. For example, at a price of $115, Blue Nile’s Freshwater Cultured Pearl Earrings in 14k Gold are less than half the $260 price of the Premier Akoya Cultured Pearl Earrings in 18k White Gold.

While free FedEx shipping on every order is a standard part of Blue Nile’s exceptional customer service, for Valentine’s Day, Blue Nile will provide the best shipping offer in all of online retail. Orders can be placed on Blue Nile as late as 6:00 p.m. ET on Friday, February 13 and will be upgraded for free to FedEx Priority Overnight® Shipping with Saturday Delivery to ensure customers enjoy a happy Valentine’s Day.

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