We have an announcement to make, and it’s one you may want to sit down for. Come November 15th, your favorite pieces will experience a shift in pricing. These changes will be reflected across the board; some lower, some higher as we work towards a consistent 60% margin. There were a few things to take into consideration when discussing the change: raw material prices and domestic production, plus company scalability and sustainability. We made a promise to ourselves (and to you) that we would never sacrifice quality, and sometimes that comes at a cost.
"We’re working towards a slim 60% margin across all pieces; keeping your favorites affordable enough to indulge in, but allowing us room to grow as necessary."
Truth is, gold is publicly traded; the fluctuating cost of our raw materials is no secret. In fact, you can watch real time pricing updates here to see how its value changes day by day. Gold is both a commodity and a currency, and we especially love that the pricing information is so easily accessible, further pushing us to be as transparent as possible (like we have another option). While prices do fluctuate, they’ve climbed a steady 18% in the last year with predictions to continue to do so over the years to come.
We are also set on keeping our production domestic, despite the many attempts by business and financial advisors to persuade us to reconsider. For us it’s important to maintain livable wages and better working conditions for our jewelry makers while at the same time supporting the DTLA community that we’re proud to be a part of. It’s a method of business we keep close to our hearts, but as many companies move production overseas, domestic manufacturers struggle to keep their heads above water. The renaissance of what had been a gritty DTLA (read: increased rent and the desire for new storefronts), coupled with increased overseas production, has had a detrimental effect on jewelers in the area, causing many to go under.
In short, our increased demand (not a complaint) requires that our manufacturers purchase more raw materials upfront, pay higher overhead in rent and work longer hours to maintain supply levels. From there, it’s a simple equation:
rise in gold prices + increased overhead + overtime labor = higher production costs
Being lean is part of our DNA, so you can rest assured knowing that your hard earned money won't be spent on ping pong tables. We produce our jewelry in the USA, most locally in LA, so we can walk down the street to pick up inventory (seriously, they’re two blocks away). We shoot all of our photography in-house using our V&O team members as “models,” and most importantly we embrace a “Get Sh*t Done” attitude throughout our nimble team of nine. While we’re proud of the fact that we’ve been able to maintain a small team and tackle as much as we do, we're excited to be growing quickly and with that comes hiring, more labor, larger expenses, longer hours, etc.
We’re determined to keep our prices as fair as possible, prioritizing lean margins (and transparency) over anything. As they stand now, our margins are inconsistent and unsustainable, so prices will shift accordingly, depending on the piece and all that factors into it. To keep with the theme, we’re working towards a slim 60% margin across all pieces; keeping your favorites affordable enough to indulge in, but allowing us room to grow as necessary.
We never intend to spring things on anyone, so the increased prices will take effect on November 15th, giving you plenty of time to shop your favorites at their current price. The advanced warning is the least we could do.
Thank you as always for your continued support.