| If you're planning on starting a business in | | | | tasks of design. Everything from setting the |
| jewelry as an importer, wholesaler, or | | | | stones and creating the finish are part of |
| retailer, understanding the costs of jewelry | | | | the significant processing costs associated |
| you purchase is highly important. Knowing | | | | with turning a piece of silver into jewelry. |
| how jewelry is priced allows you to better | | | | Such labor costs are heavily influenced by |
| appraise pieces you purchase and avoid being | | | | where the jewelry is made. Thus, in countries |
| ripped off by those offering over-priced or | | | | with higher labor costs, jewelry production |
| fake jewelry. | | | | is usually more expensive regardless of |
| | | | whether the pieces are of higher quality or |
| Demand Driven Costs | | | | better design. |
| | | | |
| Every year, 650 million ounces of silver gets | | | | Overhead costs |
| mined from countries like Canada, Australia, | | | | |
| Mexico, Peru, and the United States, with | | | | The creation of jewelry and its distribution |
| more coming from scrap recycling and investor | | | | is a business that incurs costs like any |
| trading. In 2001, 24% of the silver was used | | | | other business. These costs are offset by |
| in photography, while 33% was used in | | | | the profit made selling the product. The |
| jewelry, 40% for industrial uses, and only 3% | | | | jewelry maker sells at a price to cover the |
| for coins and medals. Within these | | | | costs of business overhead, such as |
| categories, silver is used in a myriad of | | | | machinery, staff, sales, and marketing, as |
| ways, from circuits for electronics, as | | | | well as make a profit. This process occurs |
| anti-bacterial treatments in medicine, and | | | | again down the supply chain when the |
| even sprinkled on food as decoration. | | | | importer, distributor, or retailer must sell |
| | | | the item at a price where these costs can be |
| As a result of this supply and demand from | | | | recouped and a profit made. The importer will |
| competing industries, the last century has | | | | have to factor in shipping and customs duty |
| seen tremendous fluctuations in the price of | | | | costs involved with getting the jewelry into |
| silver. Prices saw an all-time high in 1980, | | | | the country, while a distributor may have to |
| when it reached $49.45 U.S. dollars per Troy | | | | add costs for warehousing and storing the |
| ounce. | | | | pieces. The final retailer will often have |
| | | | costs of running a brick and mortar location |
| Precious Metal Costs | | | | and advertising to customers. |
| | | | |
| While less expensive than its gold and | | | | Marketing and Branding |
| platinum counterparts, jewelry pieces made | | | | |
| from silver still sell for a high premium on | | | | A final cost worth separating from standard |
| the market. The first cost associated with | | | | overhead costs involves the branding and |
| sterling silver jewelry is the cost of | | | | marketing of certain collections. A sterling |
| silver. The current cost per ounce is around | | | | silver piece from Tiffany's will cost more |
| $15.00 U.S. dollars, having risen sharply in | | | | than one from Walmart. Such costs are the |
| the past few years. The base cost of the | | | | result of the time and money the brand |
| metal used is usually only a fraction of the | | | | holders have put into their brand. |
| costs that go into creating and delivery a | | | | |
| piece of jewelry to the end customer. | | | | Learn more about Sterling Silver Jewelry by |
| | | | visiting the import and wholesale jewelry |
| Costs of Extra Material | | | | knowledge center of Wholesale of Asia at |
| | | | where you'll find a diverse and unique |
| Usually Silver is not the only component used | | | | selection of Wholesale Jewelry such as |
| in Sterling Silver Jewelry. The addition of | | | | Sterling Silver, Precious Stone, Pearl, Jade, |
| Crystals, Pearls, Jade or other stones that | | | | and much more, all at a low cost and imported |
| add to the overall beauty will also increase | | | | directly from manufacturers worldwide. By |
| the final cost of the piece. Many silver | | | | working with manufacturers and retailers to |
| pieces also come coated with other more | | | | produce fresh and trendy new designs, |
| expensive metals, such as Platinum, Gold, or | | | | Wholesale of Asia helps businesses get an |
| Rhodium, either to add tarnish resistance or | | | | edge over competition and increase their |
| improve shine and looks. | | | | bottom lines. |
| | | | |
| Costs of Labor | | | | Note: Article may be freely circulated if all |
| | | | content, author info, and links remain |
| Jewelry pieces are handled by a person at one | | | | unchanged. |
| point or another, often for the more delicate | | | | |