Sparklecut.com is a revolutionary diamond-tech brand, selling proprietary diamonds D2C + developing a network of national showrooms consisting of existing jewelers. Sales goal $100M+ within 4 years.
Sparkle Cut Diamonds is a revolutionary diamond-tech brand positioned to disrupt a $22B industry ripe for innovation. We use nanotechnology to place patent-pending, invisible finishing cuts on a diamond and create 50%-100% more Sparkle than typical diamonds that cost thousands more - with no carat weight loss. Sparkle Cut's pièce de résistance: we make good diamonds great and great diamonds exceptional. We focus on, and deliver, what matters most to customers (size and sparkle) at surprising price points. Sparkle Cut is setting Sparkle records including an all-time high Sparkle rating out of 4.5 million diamonds evaluated.
Led by a seasoned team from other disruptive brands with a track record of focusing on customer experience and delivering better products and strong financial results.
CEO: Jo Lawson, 9 years at Apple and 3 years at Movado Group - understands luxury/tech intersection with undeniable customer focus and proven product launches.
Co-Founders: Pat Hopf & Mark de Naray, formerly Sleep Number Bed Chairman + CEO, disrupted the sleep industry by building a brand from zero to hundreds of millions of dollars in several years.
Sparkle Cut has raised $2.5M to date, has started booking revenue with D2C and B2B strategies, and is currently raising $1M in funding to fuel exponential growth in 2019 and beyond.
This link to a video shows a sample diamond (much higher grade diamond, Not Sparkle Cut) which costs roughly $10k, next to a sample Sparkle Cut diamond (on right set in yellow gold) that only costs $5k.
Filed a second patent in July.June, 2019
In discussions with wholesalers and retailer interested in carrying our branded proprietary diamonds in their showrooms.June, 2019
Launched Sparklecut website displaying diamonds direct to the consumer.November, 2018
Hired Jo Lawson, a senior marketing executive from Apple and Movado, who became the CEO shortly thereafter.June, 2018
Filed initial patent for the Sparkle Cut process.May, 2018
Closed on a $1.3 million financing with angel investors.May, 2018
Completed an extensive round of R&D testing proving that the Company could increase the Sparkle of diamonds by 50-100%.April, 2018
Completed marketing research and developed the trademarked phrase "The 3S's of Diamonds --- Size, Shape and Sparkle.May, 2017
Jo Lawson was an executive at Apple from 2001 to 2010 during a period of tremendous growth. Mark de Naray was CEO at the Sleep Number Bed from $1 million in sales to $160 million, and it is $1.5+ billion today. Patrick Hopf was the Chairman of Sleep Number Bed for 12 years.
Annual sales are approximately $22 billion, and engagement accounts for about $14 billion in sales. There are 2.3 million marriages, and the average engagement ring costs about $6,000. The average age of first marriages is now flat at 29, and the engagement market is flat to growing slightly.
Most diamonds are unbranded, thus providing an opportunity for a new brand featuring superior diamond products with 50-100% more Sparkle. The largest brands are Forevermark (De Beers), Neil Lane (Kay's) and Tiffany's. Other specialty jewelry brands include Pandora and Swarovski.
Engagement is 65% of the market, and most people getting engaged are millennials. Women are highly influential in the purchase, as they have probably been looking at jewelry sites for a year before the engagement occurs. To date, we have sold engagement rings with prices ranging between $1,500 and $19,000. In addition, self-purchase by women is increasing rapidly, particularly for studs and right hand rings.
Social media marketing is the primary way to reach consumers. In addition, the use of email, YouTube, PR and influencers will also be important.
Not currently, however, we are in discussions with companies which sell to or own jewelry stores. We could then have a Location Finder on our website which would direct consumers to jewelry showrooms where they could see our diamonds and become educated about them. Some consumers may buy at the showroom, and others may return to the website and buy there.
Yes. Currently we offer Sparkle Cut diamonds only in round shapes, which account for more than 60% of the market. We will add additional shapes over the next year. Although we can customize any size diamond, most of the diamonds we offer on the website are .5 to 1.5 carats. We are also adding new diamond designs in studs, pendants and right hand rings.
Primarily for hiring marketing staff and paying for marketing initiatives.
By offering exceptional products and a better customer experience, we hope to become a leading brand in the diamond industry. Leading brands today have sales of greater than $100 million per year.
We believe Costco is the biggest, but they do not focus on branded diamonds or customer service. Blue Nile is the largest e-commerce retailer. Online sales account for 11% of diamond sales today, and this is expected to increase to over 15% within 3 years. Other e-commerce sellers offer primarily commodity diamonds with a focus on price, not superior, branded diamonds with a focus on service.
Yes. They will get a 10% discount all year, and special offers will be made available also. Jewelry can be purchased from the website, or special orders can be handled by our merchandising staff.
More than 90% of all diamonds are shipped from mines around the world to India to be cut. We buy diamonds which have been cut in India, and we apply our patent-pending Sparkle Cut to those diamonds in the U.S. Some people regard this as a "finishing cut," which is designed to improve the diamond. We currently work on and sell only ethically sourced, natural diamonds.
Yes we can, however, we are not offering this service at this time. We have chosen to focus on selling our new, branded diamonds instead. A number of people have asked "why won't all diamonds have a Sparkle Cut eventually," and this can be accomplished by offering an aftermarket service in the future.
No. We are re-directing the beams of light trapped inside a diamond up thru the top, but we are not using laser treatments. The micro-cuts we are applying cannot be seen with a 30X microscope, and the weight is not changed. We also do not change color or clarity. Sparkle is a sub-component of Cut, and we do improve the Sparkle of diamonds and therefore this element of Cut.
We strongly believe in having Integrity be the watchword for all our actions. As a result, we have instituted a series of Promises on our website, which are highly unusual in the jewelry industry. One Promise is to offer consumers an industry leading 40 day return policy. Building trust will take excellent execution daily for years, but by providing the highest Sparkle diamonds, an exceptional consumer experience, and great values, we hope to develop an incredibly positive word-of-mouth over time.
There is NO correlation between color and Sparkle. You could have a great D color diamond, and it may have poor Sparkle. Or you could have a Sparkle Cut K color diamond, and it will have exceptional Sparkle. DEF color diamonds cost two to three times as much as J and K color diamonds, but Sparkle Cut diamonds look as good or better! Customers can save 50% or more by purchasing one of our JK color diamonds with a Sparkle Cut, or they can spend the same amount of money and buy a much larger diamond! Diamond industry insiders don't like us telling consumers to not waste their money on high color diamonds, but if you could buy a 2.5 carat diamond for the same price as a 1.75 carat diamond with a DEF color, and the 2.5 carat diamond had significantly more Sparkle, wouldn't you?
See Risk Factors Document.