July 12, 2011, 12:12 PM

Blue Nile Launches New Diamond and Jewelry Mobile Shopping App

Customers Can Now Shop Blue Nile's Full Jewelry Line and Purchase in Local Currency From More Than 40 Countries

SEATTLE, July 12, 2011 -- Blue Nile, Inc.(Nasdaq:NILE), the leading online retailer of diamonds and fine jewelry, announced today the launch of its new mobile shopping app available in Apple's App Store. The new app has been updated to provide a more robust shopping experience, including an enhanced engagement ring shopping platform, and access to the company's full jewelry line. In addition, consumers from the more than 40 countries to which Blue Nile ships can purchase in their local currency directly through the app's shopping cart.

A photo accompanying this release is available athttp://www.globenewswire.com/newsroom/prs/?pkgid=9978

"More than 200,000 consumers from around the world already use Blue Nile's original app for iPhone to comparison shop for the perfect diamond engagement ring," said Blue Nile CEO Diane Irvine. "Our new app enhances that mobile shopping experience by giving consumers greater engagement ring visualization and the ability to purchase from Blue Nile's extensive fine jewelry collection."

Features

The updated engagement rings section now enables shopping according to seven different styles of rings, including classic, vintage, gemstone, sidestone, three-stone, the popular Halo settings, and our newest engagement ring designs. This greater level of guidance, as well as the enhanced visualization, makes it even easier for consumers to find their perfect engagement ring.

Also new to the app is the ability to shop thousands of products instantaneously. Blue Nile's full line of bracelets, necklaces, pendants, and earrings are now available for purchase on the app. Alternately, consumers can choose to shop by product type, such as diamonds, gemstones, and pearls. Consumers can further refine shopping results by filtering according to popularity, customer rating, and price. For those consumers who need a bit more guidance, Blue Nile's "Top-10" lists of the Company's bestselling products, as well as gift recommendations are also available.

International Shopping, Shipping, and Currency Selection

Customers from the more than 40 countries to which Blue Nile ships can now shop in their local currency. Items to be purchased are added to the shopping basket, and the consumer simply selects the appropriate currency and ship-to country. Those customers whose jobs require frequent international travel will find this feature especially useful, as the app makes it possible to purchase while traveling on business and ship to their home country for arrival upon return.

Dream Box

One of the most popular features of the original app, the Dream Box contains thousands of one-of-a-kind rings created by Blue Nile's expert jewelry craftsmen. For those consumers seeking inspiration for their engagement ring purchase, or for those just doing a little dreaming, a simple shake of their device will reveal a photo of a custom crafted Blue Nile diamond engagement ring.

App users can view each ring's setting details, including metal type, number of diamonds, and price. They can also view diamonds with characteristics similar to the ring's center stone. Rings can also be saved, emailed, and even shared on Facebook as a subtle hint to that special someone.

Diamond Search

Blue Nile's interactive Diamond Search enables consumers to shop and research more than 70,000 diamonds according to the Four Cs -- cut, color, clarity, and carat weight, as well as price. Detailed information, including diamond grading reports from either the Gemological Institute of America (GIA) or American Gem Society Labs (AGSL), can be viewed for each diamond. In addition, the app allows consumers to review each diamond's specifications for: Table and depth percentages; Length to width ratio; Polish and symmetry; Girdle; Culet; Fluorescence; Price per carat.

Diamond Search is especially powerful for helping consumers to comparison shop for diamonds in real time.

Education

Blue Nile is known for providing extensive education information to make the diamond-shopping process transparent and empowering. Now, these in-depth diamond education guides are available instantly to consumers via the app. Consumers can quickly understand what diamond characteristics are important and why, and use this information to make tradeoffs to find the perfect diamond according to their criteria and budget.

Free Shipping, 24-7 Customer Service

Every Blue Nile purchase ships absolutely free via FedEx Priority Overnight(R) or FedEx2Day(R). For those consumers who need expert guidance to make their fine jewelry purchase, Blue Nile Diamond & Jewelry Consultants can be reached at the touch of a finger from the app, twenty-four hours a day, seven days a week.

The Blue Nile Mobile App is available for free from Apple's App Store on iPad, iPhone and iPod touch at www.itunes.com/appstore/.

About Blue Nile, Inc.

Blue Nile, Inc. is the leading online retailer of diamonds and fine jewelry. The Company delivers the ultimate customer experience, providing consumers with a superior way to buy engagement rings, wedding rings and fine jewelry. Blue Nile offers in-depth educational materials and unique online tools that place consumers in control of the jewelry shopping process. The Company has some of the highest quality standards in the industry and offers thousands of independently certified diamonds and fine jewelry at prices significantly below traditional retail. Blue Nile can be found online at www.bluenile.com, www.bluenile.ca and www.bluenile.co.uk. Blue Nile's shares are traded on the Nasdaq Stock Market LLC under the symbol NILE.

The Blue Nile, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=9579

CONTACT: Josh Holland

206.336.6773

joshh@bluenile.com

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