Platinum jewelry sales have been trending upwards
By www.nationaljeweler.com
Platinum has long been priced higher per ounce than gold, but that changed this summer, and the shift has been a game-changer for platinum, which now is being eyed as a precious metal that packs more value.
Gold jumped past $1,700 in August, and it’s nearly as high this week, with platinum priced at $1,533 to gold’s $1,651 as of Tuesday afternoon.
Platinum jewelry sales have been trending upwards in response to the closing price gap between gold and platinum, as more consumers begin choosing platinum over white gold for their engagement rings and wedding bands, according to data from Platinum Guild International USA.
The differential has had an impact on conversations that take place at the retail jewelry counter too. Jewelers and sales associates who are accustomed to explaining platinum’s higher cost relative to gold, now are able to do quite the opposite, touting the fact that platinum represents great value to bridal consumers.
“This is an extraordinary time to be buying an engagement ring, because you can get platinum, the best material available to protect your diamond, at such an incredible value relative to gold,” said Craig Rottenberg of Long’s Jewelers, headquartered in Burlington, Mass. The company, which operates five stores across the state, expects platinum sales, which have been very strong this year, to climb higher this year, he said.
He is not alone in his optimism: A full 79 percent of Platinum Guild International’s preferred Retail Partners mentioned positive factors affecting sales of platinum, with price being the most commonly mentioned factor after product features, according to the Independent/Small Chain Jewelry Retailers Sentiment Study of Platinum Bridal
Jewelry, 2011, conducted by GfK for PGI USA.
Although explaining the price of platinum has been challenging in the past, it’s turned into a major advantage, jewelers around the country say.
Similarly, manufacturers are seeing a difference as well. Joel Weiss of Carrera Casting has noted that for the first time in 35 years of casting designer bridal jewelry, he delivered more ounces in platinum than gold during June of 2011.
“We know that the majority of consumers ask for platinum, especially now that it’s hot and affordable,” says Weiss.
Of course, a price differential can only change, so this could be a window of opportunity that won’t stay open forever. For jewelers selling platinum, PGI USA recommends checking out the website platinumlearning.com for a refresher on the key selling attributes of platinum to play up during the sale. For the latest platinum jewelry designs at all price points, view the Design Gallery at preciousplatinum.com .
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