So recently, I have been constantly asked my opinion on why it is that Hermes bags are the items that are most discussed, and in simple terms, it is because their prices fluctuate the most and the variety of pieces that are created are constantly in more demand than they could possibly ever produce. Therefore, the secondary market dictates that the prices have increased at an exponential rate over the last few years, with bags like the new Birkin Rock (Finally, A Men’s Birkin!), and the Kelly en Desordre being released it has guaranteed that collectors will flock to pretty much anything that they produce and then see prices increased by up to 200% on the grey market.
But what about the other big names, Chanel, Louis Vuitton, Prada, Bottega Veneta…..?
Well, the answer to this question is not so easy…
Let’s start with Louis Vuitton; The Parisian brand has been at the forefront of luxury for over 150 years and in the last couple of decades has been considered to be one of the world’s most valuable luxury brands with not only luggage, but clothing, watches, fragrance and lots of other items in addition.
The monogram bags and purses are probably one of the worlds most instantly recognisable trademarks, and I would bet the vast majority of people would recognise an LV bag, over a Birkin.
Louis Vuitton has many different ranges of products and some standard pieces are a constant, or should I say ‘Classic’. Let’s look at the ‘Speedy 30’ which has been around for a little while, currently retailing at £1,110, it’s a great value little bag, but if we go back a few years…then the price was pretty much half of what it is today, and this has been the story with a lot of monogram pieces.
There is another side to Louis Vuitton. They make some exclusive pieces that one would really struggle to find, and this is where the values start to soar. For example, the Frank Gehry Iconoclast limited edition box – initially retailed around the £2,000 mark, now you will struggle to find one for less than £8,000 – if you can find one at all!
Chanel, of course, is another big player on the handbag market, and what is constantly very apparent is the annual price rise that comes from the luxury French fashion house. Figures of 8% to 10% each year is not uncommon with the most popular quilted bags such as the ‘Classic Small Handbag’ (it’s Chanel, they don’t need fancy names) coming in at over £7,000 in 2022 – this was until recently always considered a £5,000 market bag.
Many of the other brands that dominate the market for handbags, such as Prada, Gucci, and Bottega Veneta will continually release in demand pieces that continue to sell verywell, however, the demand for such items will only ever be at the initial point of sale with the secondary market being nowhere near as lucrative for the resellers, but there will always be the occasional item that goes against the tide and surprises even the experts.
Keeping your valuations up to date is so important as we see values increase in an 18 month period on these handbags….
