A retailer that specialises in selling diamond engagement rings and other diamonds has signed a major new deal with another specialist.
Laings of Glasgow has been selling diamonds for many years in the city since it was established over 150 years ago. It has now signed a deal with diamond engagement rings retailer and manufacturer, Lunns of Belfast.
According to a report in The Herald Scotland, this deal among two of the biggest names in diamonds and jewellery in the UK, is rumoured to be worth an estimated £300,000.
The deal will see Laings replacing around 80 per cent of its diamond rings with rings from a range from Lunns of Belfast. This range is known as the Portfolio of Fine Diamonds.
And according to the newspaper report, this action was taken by Laings in an attempt to salvage the company after dwindling sales of diamond engagement and wedding rings.
Since the beginning of the recession, the retailer has seen sales of these rings fall from 35 per cent down to only 20 per cent.
Owner, Stuart Laing was attracted by this proposition from Lunns after seeing the company deal with similar adverse trading conditions only a few years ago. These changes seen Lunns push for tougher deals with stone suppliers while giving them a slice of the profits.
According to The Herald Scotland, these hard business tactics led to the Irish retailer’s profits rising by almost 40 per cent over a period of three years.
Speaking to the newspaper Mr Laing explained: “ We have been hit by the recession and I believe I lost market share.
“Peter Lunn and I have known each other for years so that’s why he came to me with this idea four months ago.”
The company has bought a total of 400 rings from Lunns which will be sold in two of the Laings outlets in Glasgow.