Why Do Fine Jewelry Brands Offer 40% Off? Is It Necessary?

It’s common to see fine jewelry brands offering 40% off, but why would a luxury product need such a big discount? And is it really necessary?

Why Brands Offer Big Discounts

1. High Markups – Fine jewelry has significant markups, so even with a 40% discount, brands still make a profit.

2. Clearing Inventory – Older designs and seasonal pieces need to go, so brands use discounts to move stock faster.

3. Attracting Buyers – Big sales draw in customers who wouldn’t usually buy at full price.

4. Staying Competitive – With more direct-to-consumer brands and online retailers, traditional jewelry companies discount to keep up.

Is It Necessary?

Not always. Some brands never discount, maintaining exclusivity and long-term value. Frequent sales can train customers to wait for discounts instead of buying at full price.

For independent jewelers, focusing on craftsmanship, rarity, and timeless design is often a better way to build a strong brand without relying on heavy discounts.

Would you prefer steady pricing or occasional big sales for your jewelry business?