Mumbai, Aug. 24 -- Jewellery retailers are increasingly offering customers cash for their old gold as high prices and volatile demand put pressure on sales and margins ahead of the festive season.

Large listed jewellers including Kalyan Jewellers India Ltd and Titan Co. have introduced or expanded cash-for-gold programmes since June, taking a service that was traditionally associated with smaller and regional jewellers into the organised market. Kerala-based Joyalukas, which operates over 200 stores, also offers cash for gold.

Under these schemes, customers can trade in old jewellery for cash. This differs from conventional exchange offers, under which old gold is exchanged for a new jewellery purchase.

The move comes after a difficult...