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Former Tiffany & Co Employee Criticizes Brand Quality and Markups in Viral TikTok June 29, 2023 (0 comments)
New York, NY--A TikTok video by user @backdoorgf, a former employee of Tiffany & Co, has generated widespread attention, amassing around 500K views. In the video, she alleges that the brand's products need to be better made and excessively marked up.
[Image via @backdoorgf]
According to a Daily Dot report, the former staffer expresses that many high-end jewelry pieces are not worth their hefty price tags, citing customer complaints about unexpected damage or tarnishing of costly items. "You are literally paying for it to have a designer name on it," she argues, per the report.
She further insinuates that the company's considerable profits stem from significant price markups, which may not align with the inexpensive materials and labor involved in product creation. She remarks, "How do you think that the owner of Tiffany & Co became one of the richest men in the world?"
As an illustration, she describes a silver ring, typically priced between $450 to $500, that she purchased for $20 with an employee discount. The former employee contends that Tiffany & Co still turned a profit on the sale.
Daily Dot quoted the Retail Owners Institute data, which indicates that jewelry stores' average gross profit margin is around 43.5 percent. This percentage can escalate for luxury brands, especially those retailing high-priced "everyday objects."
The report noted that many TikTok users sided with @backdoorgf, concurring that Tiffany & Co's merchandise is overpriced and not reflective of its value. However, others defended the company, maintaining that consumers must adequately maintain their jewelry to preserve its condition.
Learn more in the entire Daily Dot report.