Draco Diamond caps discounts at 5%-12% as returning users drive 78% of sales
As of September 15, 2026, Draco Diamond limits discounts to 5%-12% while returning users drive 78% of the retailer’s sales, according to founder Garrett McMartin. Despite returning users representing only 14% of Draco Diamond’s web traffic, they generate the majority of its revenue.
Draco Diamond’s Founder Pricing program features four items every two weeks, with five units of each marked down between 5% and 12% off. The retailer displays prices on product detail pages for comparable items sold by other merchants to show buyers the market cost. Founder Garrett McMartin said the approach avoids the perception of scams that deep discounts on high‑ticket jewelry can create. Although margins are lower than the $4,000 to $5,000 typical at other jewelry retailers, the strategy drives organic traffic and sales. McMartin said he’s doing something that’s really not been done in jewelry before: he’s going to be transparent and show people what it costs. He launched Draco Diamond in early 2025 as his second iteration of a jewelry brand. He did not begin running ads until spring 2026, choosing instead to focus on answer engine optimization. Now Draco Diamond runs ads as part of its marketing mix.
“If you go in and you see, ‘Oh, this ring’s $1000 off?’ You’re gonna be like, ‘Well, it’s already a $2,000 ring, so why is it $1000 off? That’s really weird. It would be $1,000 [discount] when every other ring is $5,000. I don’t know, this must be a scam or something.’ So it’s a very fine line,” Garrett McMartin, founder of Draco Diamond said.
McMartin’s first jewelry brand operated with weekly limited drops for nearly three years but did not generate the expected hype. He concluded that building brand awareness would take too long, so he turned to AI tools to strip down the predecessor website and start anew.
What we know
Just 14% of Draco Diamond’s web traffic comes from returning users, but they account for 78% of the jewelry retailer’s sales, according to founder Garrett McMartin.
Aside from a branded hat, the lowest-priced item on Draco Diamond’s website is a pair of earrings that costs more than $500.
He puts four items in the collection every two weeks, stocking five of each.
He then marks down the prices at a range of about 5% to 12% off.
Although he still makes a margin on his products, it’s far lower than the $4,000 to $5,000 margin at other jewelry retailers, according to McMartin.