Rapaport

Every diamond have a price which is independent of each other. Diamonds have various properties that drive the value of it. Most important of them are color, clarity cut, carat and fluorescence. Based on these factors, a tabular form between Shape, carat, color, clarity and cut in terms of number is created which updates every week called Rapaport Diamond Report. This rapaport is a document used to define the value or price of diamond. Before rapaport came into place every retailer had its own price for every diamond and after rapaport came into existence, the variation was reduced and consumers without any fear can buy it at a higher price.

History:

    Martin Rapaport is the founder of Rapaport report in 1978. Many of the retailers did not accept it because they see lowering the price of diamonds through rapaport and they say it is the wholesale price book and not retail. Consumers used rapaport to buy diamonds whereas retailers did not accept it and finally they had to sell diamonds at a higher discount. The best thing about this report is that it created transparency between retailer and consumer.

 Martin rapaport have interesting history and to know click here.

How to use Rapaport:

    Today rapaport became the only way to know the real value of diamond. Below is the how this report looks. Thanks to rapaport to share the video for us. See below the video to get brief idea of how to use it. We will elaborate it further:

    Rapaport report divided into 2 main reports:

1. Round
2. Pear(Fancy shapes)

    These reports are broken down into tables of weight ranges (Example: 1.00 -1.49 CT) where rows are colors and columns are clarities. Each color and clarity intersection have a value in numbers called "dollar per carat" ($/cts). This report also have lot of relevant data for you to understand which we are not going to touch. We are going to understand how to use this report for our diamond value calculation.

      1. Round: This report consist of 18 tables starting from 0.01cts to 10.99cts. Below picture shows 4 tables out of 18 tables. 

    Lets say a polished diamond is graded as 1.00cts, H col, VS2 clarity and 3EX cut. Use the below table and insert the numbers accordingly.

                    

    Discounts will vary day to day sales and retailer to retailer. We would suggest to go as below just for basic general discounts:

EX- 38%

VG- 41%

GD- 45%

    Check the difference between 0.99cts to 1.00cts and 1.00cts to 1.01cts. You will observe that 1.00cts will price too high compared to 0.99cts because it is changing the table. Basically 1.00cts is called break size. Similarly 1.50cts, 2.00cts and others will price too high than 1.49cts, 1.99cts respectively.

      2. Pear(Fancy): This report consist of 14 tables starting from 0.18cts to 10.99cts. Below picture shows 4 tables out of 14 tables. 

    Lets say a polished diamond is graded as 1.00cts, H col, VS2 clarity and 2EX cut. Fancy shapes do not have cut. Use the below table and insert the numbers accordingly.

    Discounts will vary day to day sales and retailer to retailer. We would suggest to go as below just for basic general discounts:

EX- 45%

VG- 50%

GD- 60%

    Check the difference between 0.99cts to 1.00cts and 1.00cts to 1.01cts. You will observe that 1.00cts will price too high compared to 0.99cts because it is changing the table. This is the reason 1.00cts is called break size or critical size. Similarly 1.50cts, 2.00cts and others will price too high than 1.49cts, 1.99cts respectively.