Even in a Slow Economy, Jewelry and Diamond Engagement Rings are Still Desired, but Consumers Want Better Value and Education

Blue Nile Provides Advice on How to Shop Smart and Save Big with Insider Tips, Tricks, and Value-Conscious Product Recommendations

The slowing economy might be pinching pocketbooks, but it hasn’t dampened the flame of romance. According to a survey conducted by Harris Interactive on behalf of Blue Nile (NASDAQ: NILE), an overwhelming majority (89%) of U.S. adults aged 18+ still plan to celebrate Valentine’s Day, and more than half (62%) still plan to purchase gifts. Keeping tight control of their budgets is top of mind for most consumers, with only 12% of those surveyed planning to spend more than last year, and half of those surveyed planning to spend the same or less.

Jewelry remains one of the most popular gifts among those who plan to purchase Valentine’s Day gifts. Over one-quarter (28%) of men say it is the gift they would most like to give, while 22% of women describe it as the gift they would most like to receive (only a dinner out was higher). However, while jewelry tops many wish lists, it also conjures images of high prices, overpaying, confusion and frustration. In fact, 61% of those who are in a relationship said they would be more inclined to purchase jewelry if the overall experience was better. Reasons cited included, knowing they were getting a good value (29%), product-quality confidence (23%), increased consumer education (19%), and working with a no-pressure, non-commissioned salesperson (17%).

While the traditional diamond engagement ring still reigns supreme, with 62% of those currently in a relationship but not married describing it as a very or somewhat important part of the proposal, the slowing economy has impacted how people think about this tradition as well. When asked to imagine they were considering proposing/being proposed to in the next 12 months, 52% said they would consider altering their proposal plans because of the current economic environment. According to the survey, 26% would consider proposing with a non-traditional engagement ring, such as a diamond eternity band or a ring with a precious gemstone as the center stone. While 18% said they would consider proposing without a ring, only a small minority (8%) would consider delaying their proposal.

Whether they are looking to propose or to purchase jewelry for their significant other this Valentine’s Day, Blue Nile is here to teach consumers how to make “smart” jewelry purchases. Following are tips and product recommendations to save consumers anywhere from a few hundred dollars on a gift of jewelry to a few thousand on the perfect engagement ring.

Diamond Engagement Ring Tips:

I Thee Web

While traditional jewelry stores often mark up their diamonds as much as 100%, internet retailers like Blue Nile sell diamonds of comparable or higher quality at prices that are 20% to 40% less.