HOW TO START REAL DIAMOND TRADING BUSINESS IN INDIA
Although it has just been few million years since the inception of human beings, but our earth has been in existence for more than 4.5 billion years. It has gone through the beating of climate and have produced wonders naturally than anyone can think of. One such wonder is Diamond. The solid form of carbon that has undergone tremendous pressure and temperature and turned into a shiny object which is among the world’s most expensive objects. The uses of diamonds are bounty and versatile, from jewellery to medical equipment, the range is wide and so important and so are the prices. India’s diamond industry is worth around 23 billion USD and accounts for over one-third of its gems and jewellery trade making up to 7 percent of country’s Gross Domestic Product (GDP). It is predicted that India’s exports of cut and polished diamonds and gems stones are likely to grow at 10 percent during the Fiscal Year 2019-20. Diamond is rightly called the Crown of all jewels for its exceptional qualities. It is the interest in the growth that is taking place in this industry, many people look forward to becoming diamond dealers and traders to set their feet in this industry of billions of earn and make good profit for themselves. A diamond dealer or trader buys diamond from the diamond mine owners and sells them to the jewellery maker or retailers after analysing the diamonds. These diamonds are not shaped and are formulated for market only after they are sold by the traders to cutters or jewellery makers. To become a diamond trader, one needs to have years of study and must have interest in diamond trade. They must have good understanding of the market and analyse the risks before putting their money and resources into this business. It is advised to beware of the fraudulent and one must have a team they can trust to do such a high risk business with.
Understand the Market
To start any business, you must know how the market works around it. Find out how many people are investing in diamond business in your area. What other diamond trading businesses are available? Meet with people who have strong connection in this arena. This research will help you understand the market size, strata, variety, and help you build a vision for your diamond trading business. You can also classify and have a decided niche for the variety of diamonds and stones you are going to have in your diamond trading business depending on what other traders in your area possess. This way you can be more focused and the knitted to your business. Understand the diamond trading business along with being a market of huge investment and profit, involves a lot of market fluctuations.
Increase your expertise
To open a diamond trading business, you need to have a lot of information about the stones. You should be an expert. Take diploma or have good qualification in this field so there is no chance of getting deceived. Understand how different types of diamonds and their cost depending on their cuts and designs. A diamond is a result of extensive heat and pressure and climatic changes for millions of years. You should know the worth of it and only then you will be able to sell it for its real value.
Decide the size and mode of your diamond trading business
These are the basics as you’ll need to collect funds for your business according to this plan. Before you start a diamond trading business, you must decide how you are going to organize your business and the size of it. This depends a lot on the connections you have in this industry. Are you going overboard or starting with certain local jewellers? Will you be putting up your business in the e-commerce market? Decide how you’ll get funds for all these. The diamond trading business runs on commission and you have to give the main amount to the artist and you keep the commission. Decide the percentage of your commission beforehand to avoid any hassles.
Be vary of competition
The industry is well equipped and fully established now. We have traders in abundance and companies have multitude of resources to grow their businesses. If you want to establish your diamond trading business, you have to learn a few tricks and tips that will help you outshine others. Focus a lot of marketing, generate leads and meet people in person to build a strong relationship with them and to make them believe that they can trust you and carry out business with you. The competition is varied and is spread across many nations of the world. If you want to collaborate with any company, research about the company and if everything is satisfactory, you can start your enterprise with them.
Apart from generating funds in the beginning of the investment, make sure that you have gotten your numbers correct and are not playing a risky gamble. Get your economic and cost analysis right and follow the ethical codes and international bet practices in the industry as much as possible.
Set a Business Model
Plan how you are going to price your services, how you will arrange the billing, create the funds. Have a set of rules and regulations and have a legal team to layout contracts and agreements with your clients to avoids any problems in the future.
This is one of the most important aspects of the diamond trading business. When you are learning, try to connect with maximum number of people to learn the process of generating leads in diamond business and know more people in this business. Be active on platforms where potential clients and locate you and contact you easily.
Find the right distributor
Diamond trading is a work of a middleman, you collect the stones from mining companies and sell them to the retailers. It is required to be vary of fraudulent in this busines. Find a distributor who has strong connection with you. Same goes with the retailer, you must have a professional, trustworthy relationship.
Create an e-commerce platform
With time changing and the movement of people from store to online is rising at a steady pace, setting up your business online along with offline business is a good option. To open a diamond trading business online, you need to set up a user-friendly glitch-free website or an app. Appoint a technician who would be available at all times to prevent any probability of site going down as it is a big turn off for users. The easier and smooth the handle is the better will be the inclination of customers in using the site, creatively categorize your art based on their types and techniques. It will you popularise your brand and increase the brand value.
Marketing and Social Media
Nowadays, marketing holds one of the prime spots if we think of important things required to start any business. To open a diamond trading business, you must know the people who can make a good customer base, a network of art enthusiasts who can help you with marketing your business. Along with propagating your diamond trading business on different platforms, set up their Instagram and Facebook page so that business is in the reach of right audience. Market your website as much as you can. It is an investment that never fails. You can go for on-page and off-page SEO of your site. You can also set up a WhatsApp Business profile for keeping the customers intact and providing them with various personalized offers according to their needs. Also, invest in offline advertisements. Handout pamphlets to people in your locality so that they know a new diamond trading business has been set up near them.
Diamond trading business is not an easy venture to open but if you have right skills and knowledge about the diamonds and markets and can analyse and foresee the risks and are able to adjust with them, you are likely to settle in this business and earn great profit.