The Direct-to-Consumer (DTC) Fine Jewelry Trend

Thanks to the Direct-to-Consumer (DTC) model, fine jewelry brands can now offer products at price points almost comparable to fashion jewelry and semi-fine jewelry. But what is the actual difference?

Let’s clarify some definitions first. Affordable fine jewelry stores are primarily defined as those handling a variety of products under $500 (approximately 700,000 KRW).
Fine jewelry refers to items made from precious metals and gemstones or semi-precious stones. Most commonly, it refers to products made from 10-18 karat gold, sterling silver, or platinum. Gemstones range from sparkling popular gems like diamonds, emeralds, and sapphires to colorful choices like topaz, agate, turquoise, and opal.
Semi-fine jewelry typically refers to vermeil, gold-plated, and gold-filled products. Semi-fine jewelry items do not include high-value gemstones like diamonds, but often feature more affordable options like lab-grown diamonds, white sapphires, moissanite, or cubic zirconia.
Most of this jewelry is made from gold in some form. Gold jewelry comes in several different types.

As entrepreneurs discovered opportunities to offer precious metals and gemstones at reasonable prices, others recognized this and began providing consumers with more options to choose for themselves.
One of the most well-known pioneers in the affordable fine jewelry trend is the Canadian brand Mejuri. The brand has built a devoted fan base with its simple 14K gold and diamond designs.

Fine jewelry has long been inaccessible to the masses due to its price. In recent years, many entrepreneurs have seen this as a golden opportunity.
This was the case for Amanda Thomas, founder of Après Jewelry.

Après does just that, offering engagement rings starting at $1,100. Customers can set a budget and choose from a variety of center stones, from moissanite to natural diamonds, that fit their desired gem size and price range.
Vrai (originally Vrai & Oro), with a similar background story, emerged in 2014, evolving into a digital-first DTC jewelry business focusing on lab-grown diamonds. We spoke with one of its founders, Vanessa Stofenmacher, in 2016. Her opinion was similar to Amanda’s:

These entrepreneurs recognized the need for more affordable fine jewelry and opened stores to meet that demand.
Consumers have responded enthusiastically.

The price difference between affordable fine jewelry brands and other jewelry companies is significant. The same diamond solitaire necklace might sell for $185 (approx. 250,000 KRW) in one store and $680 (approx. 940,000 KRW) in another. This does not necessarily indicate a quality difference but reflects differences in distribution methods.
Most affordable fine jewelry brands operate on a DTC model, with many using a digital-first strategy. This means brands can price autonomously without needing to pay commissions to sell products to larger retailers. From the brand’s perspective, they secure better margins, which can then be passed on to the customer.
Stone and Strand, an affordable fine jewelry shop that started in 2013, has built its entire brand philosophy around this DTC model. Their mission is to allow customers to “enjoy expensive taste without the expense.” The brand manufactures its jewelry in the same factories as its New York competitors on 5th Avenue but chooses to keep prices low.

Notably, Stone and Strand uses 10K gold for most of its fine jewelry products. 10K gold has a gold content of 41.7%, which is lower in purity than 14K (58.3%) or 18K (75%), but it is the most durable gold. Using this as the base metal for fine jewelry not only lowers the price but also makes it more resistant to shocks and scratches from daily life. For Stone and Strand customers, it’s a win-win.

With some affordable fine jewelry makers releasing new styles weekly and prices so low that customers can buy multiple products, concerns have also been raised about whether this business model is truly sustainable.
While it’s difficult to provide a blanket answer to this question, many brands are seriously approaching sustainability in some way. Several brands choose to use recycled gold; for example, Stone and Strand demonstrates its commitment to sustainability by using recycled gold to make its products and ensuring all shipping is carbon neutral. Other brands give new life to old items that might otherwise sit in warehouses by selling vintage or heritage jewelry alongside their own collections.
Fine jewelry is meant to last a long time and can be passed down through generations or remade into new designs, reducing unnecessary waste. High-quality items are repairable, whereas much fashion jewelry is not.
If you are starting or already running a jewelry brand, you can create a positive impact through sustainable business operations. Consider the following elements:
Operate as transparently as possible.
Clearly disclose where and how gems are sourced, and share sustainable practices like the use of recycled/vintage materials.
Partner with ethical raw material suppliers.
Even if your brand follows sustainable and ethical methods, ensure the partners you work with meet the same standards.
Offset your carbon footprint.
You can purchase carbon credits or offer customers the option to offset the carbon emissions of their shipping at checkout.