At Pampillonia, we pride ourselves on offering the highest quality natural diamonds. That’s why we’ve made the decision not to carry lab-grown diamonds. However, as part of our ongoing education and training, I recently purchased an identical IGI-certified 1.50-carat E VVS2 clarity lab-grown diamond as offered above.
I paid just $238 net for the diamond—a single stone purchased in the U.S. without any negotiation. This price alone is a stark indicator of how inexpensive lab-grown diamonds can be at the wholesale level. Out of curiosity, I decided to research the retail pricing of similar stones from online sellers. The results were astonishing.
Many online retailers list lab-grown diamonds with an 88% profit margin. To put that into perspective, natural diamonds typically carry a profit margin of around 20%. Furthermore, I’ve learned that if I were to order lab-grown diamonds in bulk from manufacturers in India, the cost could drop to as little as 60% of what I paid for this single diamond.
Why Pampillonia Doesn’t Carry Lab-Grown Diamonds
The economics of lab-grown diamonds underscore one of the key reasons Pampillonia does not offer them. Lab-grown diamonds lack the intrinsic value and rarity that natural diamonds possess. While they may appear similar and are significantly cheaper, their resale value is virtually nonexistent. This, combined with the high profit margins some sellers charge, highlights a lack of transparency that goes against the values we uphold.
What This Means for Consumers
Lab-grown diamonds can be a budget-friendly option for those seeking a visually stunning piece of jewelry at a lower price point. However, it’s important to understand their true value. Unlike natural diamonds, which are rare and retain their worth over time, lab-grown diamonds are mass-produced and have little to no investment value.
When purchasing a diamond, consider not just the upfront cost but also the long-term value and the story behind the stone. At Pampillonia, we believe in offering timeless pieces that hold their value and meaning for generations to come.