Articles and News

Ritani.com President Dishes on Lab-Grown Merchandising Addition April 27, 2022 (0 comments)

White Plains, NY--With the growing support for lab-grown diamonds in the jewelry trade, Ritani President Joel Klein provided The Centurion with both background and his point of view on the company's steps with lab-grown diamonds:

TC: When did Ritani first incorporate Lab-Grown diamonds into its Ritani.com offerings?

JK: Ritani first brought lab-grown diamonds into their assortment in 2018.

TC: How did you feel about the lab-grown business as you were entering it?

JK: Honestly, given my family background, being raised around natural diamonds… I felt uneasy about it. As many jewelers, I didn’t know what to expect or the longevity of the product.

TC: Why did you decide to enter the lab grown business if you felt uneasy?

JK: In this business, you must do what is right for your customers. Our customers were constantly inquiring about lab-grown diamonds. They were looking for education and to understand the similarities and the differences. We built out a program, launched it and have seen so much success ever since.

At the top of the Ritani.com site, customers are invited to start with either Earth-Grown or Lab-Grown Diamonds.

TC: How are lab grown diamonds fitting into your business? Are they taking away from natural diamonds?

JK: Lab grown diamonds are supplemental currently, a world of their own. They are not cannibalizing our natural diamond sales at all. They are in addition too. We find that the customers are different. Lab-grown diamonds have allowed us to acquire customers that we may not have had if we didn’t offer the product. It’s exciting to watch this side of the business grow and learn about an entirely new audience.

TC: Who is the lab grown customer?

JK: The lab grown customer is looking for a way into the diamond market. They might be someone ready to propose with a smaller budget but want to buy an impressive looking ring to show their affection. They can do that with lab-grown diamonds and feel great about their purchase, since it is still a diamond, in its own right.

They can buy a 2.00 Carat Round Diamond l Ideal l G l VVS2 for $3,500  vs. a Natural 2.00 Carat Round Diamond l Ideal l G l VVS2 for $35,000. The difference in pricing is honestly amazing.

A lot of our customers ask if they start off with a lab diamond, if at a later date, they can upgrade to a natural diamond.

TC: Do you find lab diamond engagement ring sales or jewelry more successful?

JK: Both are doing well. We find that people who have purchased natural diamond engagement rings will come back and buy anniversary, birthday, occasion jewelry and look for lab diamond products. It seems to be more appealing as you can buy a beautiful 3 carat lab diamond tennis bracelet for about $2,900 vs. a natural diamond tennis bracelet for about $6,000.

TC: Is inventory accessible? How do you handle sourcing?

JK: Great question. Sourcing is challenging for lab-grown diamonds. Over the years we have worked closely with our partnering vendors, and we have secured over 100,000 lab grown diamonds in our inventory. This allows us to always have lab diamonds on hand and at great pricing.

TC: Do you find that the industry is accepting lab-grown diamonds?

JK: Lab-grown diamonds are here to stay and the demand keeps increasing across all merchandise. We have found that jewelers that use our Virtual Shelf platform have found success in entering the lab diamond business.

The Virtual shelf allows them to have access to lab-grown diamonds and acquire them easily without having to create new vendor relations and dealing with shipping costs and freight issues that may delay deliveries. We’ve really simplified the process for them and the feedback we are getting is amazing. Our jewelers are loving the lab-diamond business, whether it be engagement rings or jewelry.

TC: What is the Virtual Shelf?

JK: Thank you for asking. The Virtual Shelf is a white label marketplace that allows jewelers all over to have limitless inventory at their fingertips for their customers and full control over their margins. Set up is easy and jewelers can seamlessly add in their logo and branding.  We are grateful to be able to bring the ease of inventory and sourcing to jewelers nationwide.

TC: Is the Virtual Shelf just for diamond inventory, whether it be lab or natural?

JK: No, not at all. We have engagement ring settings, wedding rings, eternity rings and a wide selection of jewelry on there as well. Since we manufacture in our own factory, our turnaround times are quick, and the quality is next to none. We constantly update the Virtual Shelf and are working on releasing new products and ways to shop to make the experience even better.

For further information on the Virtual Shelf, please contact BeckyR@ritani.com.