Fine Jewellery vs Fashion Jewellery: What Sets them Apart

The word jewellery can bring to mind several things: luxury, beauty, youth a sense of style, and at a deeper level, identity. When it comes to the reasons why people choose to purchase jewellery, the factors that drive that decision-making process are numerous. Jewellery, are a symbol of value. In an economic sense jewellery as a product category falls under the heading of luxury goods. This means, that these products have a high-income elasticity: which is to say that as people’s income increases, they tend to purchase more of (or higher quality) these products. To understand the nature of these goods, and their differences we need to get into the economics of this subject.

Economics of Fine Jewellery and Fashion Jewellery

Our discussion today centres around the two main reasons why people purchase jewellery, which also correspond to two types of jewellery that are available in the market. And they are fashion jewellery and luxury jewellery. First, as the reader may have noticed, the terms carry overlapping meanings. Technically jewellery is essentially fashion items, and because these are not essential items like food, fuel, or toothpaste. Rather, staying in the area of economics for a while, they fall into the specific consumer goods category of speciality goods.

Speciality goods are types of consumer goods that consumers extend a considerable degree of time selecting, often by comparing and contrasting them with alternatives in the market. According to this definition, jewellery is good and fits this categorization. Since jewellery items tend to be expensive, but come with alternatives and involve a purchasing decision that is made over some time.

Making this more interesting are shopping goods: goods which like consumer goods customers extend a degree of time, and effort, notably in measuring cost before purchasing. However, they are different in that the price point of shopping goods is considerably lower than speciality goods. Here fashion jewellery is a good example. However, fashion jewellery falls short in that the product itself does not command a vast expense: like a sports car, or designer clothing made by some Italian fashion brand.

Here fine jewellery differs in that, in addition to involving a time cost, the comparing of alternatives and a higher price. However fine jewellery is distinct in that they held as a high-value product not only in terms of the final cost but also in terms of how they are perceived by the buyer or wearer.

Nonetheless, both fine and fashion jewellery can be viewed as interchangeable, depending on the intent of the buyer. This takes to the next key point that separates the two types of jewellery.

Reasons for Purchasing Fine vs Fashion Jewelry?

As noted fine jewellery can be sought after and purchased for a variety of reasons. Often the value that is attached to a certain jewellery item comes down to the buyer’s or the wearer's intent. When it comes to buying a high item of any kind, what the user thinks he or she is getting at the end will greatly influence the kind of price they will pay for it. And preceding that, the level of research and time investment they would make. Here is a list of reasons why people purchase these jewellery types. 

The Materials Used

This is the most obvious difference between a fashion jewel and a fine jewellery item. In terms of what differentiates fine jewellery from fashion jewellery, the core difference lies with the kind and quality of the materials used. Fine jewellery is characteristically expensive, owing to the high value of the materials that are used in their production. Notably, these consist of precious metals and gemstones. Specifically, it comes down to the quality of the materials: for it is important to note, that fashion too can feature expensive materials like gold, sapphires and diamonds. However, the key difference lies in the specific value of the materials that are used.

For example, in the world of diamonds, natural colourless carbon-based stones are measured according to their value which is based on four key factors: known as the 4Cs. This measure the diamond’s carat, cut, clarity and colour. Each of these factors greatly affects the beauty and value of the gemstone. In turn, the jewellery item which uses a gem of varying quality will vary in terms of value and cost. For example, a diamond in the (D – H) range would make a great option for a fine jewellery item. Whilst those in the (S – Z) range are more suitable for a fashion jewellery item.

The same point also holds for metals. The use of gold alone is not a good indicator. Rather it is the quality of the gold. For example, fine jewellery is often made with 18 K gold: which is more expensive, whilst more affordable fashion jewellery, the 14K becomes a better option. However, things become more interesting when you consider the design of the jewellery item. This takes us to the next point.

Jewellery Design

This is a tough point to break down in that the design of jewellery varies considerably depending on the type of jewellery, the price point, the jewellery company and the expectations of the buyer. As a standard point, one can differentiate fine jewellery from fashion jewellery by looking at the broad categories under which they fall into. Fine jewellery typically includes bridal jewellery: engagement rings, wedding rings, bridal earrings and necklaces suitable for the occasion. Typically fine jewellery tends to feature, for the lack of a better word, a conservative design language. Though this may not necessarily be so, depending on what part of the world the person is from and the type of jewellery in question, cross-cultural bridal jewellery can be quite extravagant.

Typically, however bridal jewellery/fine jewellery are united in their restraint. But that does not mean they are cheaper. Restraint in design is compensated with the previous point, expensive materials and interestingly certain style-specific designs. Fashion jewellery is generally about communicating a message: which can be a very simple one, like a love pendant, or a friendship ring, or it could take the form of something quite extravagant. Statement jewellery is all about communicating a message. Such as who you are, what you stand for or believe in, and what kind of colour, or aesthetic taste you have. At a deeper level, it is about identity. Which can and often take shape in fine jewellery. But it is fashion jewellery, notably the statement kind that manifests this the most.

Sentimental Value

This is an interesting point since sometimes it is the thought that counts. So it is no longer how expensive or valuable the jewel is: whether it is a simple sterling silver ring, with a quartz semi-precious stone, or a platinum promise ring, that carries white diamonds. What matters is the intent of the giver, for what reason it is given, and how it is perceived by the receiving the jewellery item. In the context of something of sentimental value, like a birthday or anniversary gift, which can take the form of a wearable ring, necklace or bracelet.

The difference between fashion jewellery in this context comes down to the quality of the jewellery, with the key unifying factor being the style of the jewel. Which needs to be, well stylish. Jewellery, at any level, needs to have a visually captivating element. Thus an expensive diamond necklace or more affordable but still high-end sterling silver necklace with topaz gems can still be valued equally, provided they are well designed. However only one of these jewels is an actual fine jewellery item. You can guess what that is.