Lab-grown diamonds are gaining popularity as a substitute for mined diamonds, particularly among couples shopping for engagement rings. Toronto residents Daniel Ng and Olivia Chan opted for a lab-grown diamond during their ring selection in 2024 due to the significant cost savings compared to natural diamonds.
Industry analysts highlight that lab-grown diamonds can be up to 90% cheaper than their natural counterparts. The affordability and increasing availability of lab-grown diamonds are attracting more young couples towards this option. However, a recent investigation revealed significant price discrepancies for similar lab-grown diamonds, questioning whether some consumers are overpaying.
In a comparison, two lab-grown diamonds with identical specifications were purchased from Blue Nile and Alibaba. The Blue Nile diamond cost $1,639.23, while the Alibaba diamond was priced at $228.86. Subsequent research found similar stones listed at prices as high as $1,500 before additional charges.
Despite the price gap, experts emphasize that the quality of lab-grown diamonds remains consistent. Appraisers confirmed that both diamonds were of equal quality and should be valued similarly. The affordability of lab-grown diamonds, produced in manufacturing hubs like China and India, has led to significant price variations in the market.
Retailers justify the pricing differences by highlighting factors such as brand reputation and quality assurance. While industry experts acknowledge the normalcy of markups, they caution against exorbitant pricing practices. Consumers are advised to research, read reviews, and verify diamond authenticity to make informed purchasing decisions.
Looking ahead, market trends suggest that prices for lab-grown diamonds will continue to decrease. Despite their initial surprise at the cost variation, consumers like Chan and Ng appreciate the accessibility of lab-grown diamonds and advocate for transparent and consistent pricing in the industry.
