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Esteemed Contributor
Posts: 5,660
Registered: ‎03-09-2010

High end luxury bags are taking a heavy hit

On the front page of today's Washington Post there is a story about declining sales at such luxury bag makers as LV , Gucci and Prada. The high end buyers who can afford these bags are beginning to turn away from them in search of bags that express their individuality. Today's wealthy buyers have soured on such obvious signs of affluence as these recognized manufacturers and are are buying unique hard to find pieces. interesting story. You can read it in the online edition of the Post right on the front page.
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Respected Contributor
Posts: 3,227
Registered: ‎12-07-2014

Re: High end luxury bags are taking a heavy hit

Thanks for the article, intriguing. Perhaps it explains why I haven't increased my LV collection beyond the trusty monograph speedy and never-full, but instead am really enjoying my GILI Roma 2s and, for whimsy and individuality, my Peanuts Coach (with tiny yellow Woodstock):

 

snoopybleeckerduffle_black.jpg

 

 

Honored Contributor
Posts: 9,673
Registered: ‎01-19-2015

Re: High end luxury bags are taking a heavy hit

All l can say is-- it's about time! I think it's obnoxious the way these high-end brands keep raising their prices, in an attempt to create a buying frenzy to avoid the next price increase. When everyone is carrying the same bag, it "cheapens" the brand. I like to carry bags that l don't see "coming and going."
~~Be careful when you follow the masses. Sometimes the 'm' is silent.~~
Esteemed Contributor
Posts: 7,226
Registered: ‎03-17-2010

Re: High end luxury bags are taking a heavy hit

I agree and I see it in pre-owned sales as well.  

 

The raising of prices in the LV arena has been frustrating and I believe it was due more to creating exclusivity than anything else as LV has historically always been able to write their own tickets (they've been in business since 1860, with counterfeiting being such a problem that they designed their Monogram Pattern in 1880 to help diffuse the fakers) .  BUT, I think that the observations recently are correct, there has been a pivoting away from ostentasious branding by those that can afford it.  Rather than flaunting their wealth the rich seem to be trying to find original styles that do not necessarily draw attention to themselves as rich or by branding themselves with an obviously upper end brand.

 

It's been extremely interesting watching all this.... 

*~Smile...... it makes the wrinkles go up.....Unknown~*
Esteemed Contributor
Posts: 5,539
Registered: ‎03-10-2010

Re: High end luxury bags are taking a heavy hit

[ Edited ]

http://www.washingtonpost.com/business/economy/louis-vuitton-and-guccis-nightmares-come-true-wealthy...


It's interesting how social media is fueling the cycle of wanting and then not wanting logo luxury brand handbags. LV logo bags are common in Vancouver but a lot of people assume that the bag is probably a fake due to lots of counterfeit bags around.

Honored Contributor
Posts: 14,386
Registered: ‎07-22-2011

Re: High end luxury bags are taking a heavy hit


@Q4U wrote:

I agree and I see it in pre-owned sales as well.  

 

The raising of prices in the LV arena has been frustrating and I believe it was due more to creating exclusivity than anything else as LV has historically always been able to write their own tickets (they've been in business since 1860, with counterfeiting being such a problem that they designed their Monogram Pattern in 1880 to help diffuse the fakers) .  BUT, I think that the observations recently are correct, there has been a pivoting away from ostentasious branding by those that can afford it.  Rather than flaunting their wealth the rich seem to be trying to find original styles that do not necessarily draw attention to themselves as rich or by branding themselves with an obviously upper end brand.

 

It's been extremely interesting watching all this.... 


Bingo! Your post hit the nail on the head!

Honored Contributor
Posts: 49,768
Registered: ‎03-10-2010

Re: High end luxury bags are taking a heavy hit

It makes sense, even when they're affordable, I mean for any given individual.  The prices have just reached ludicrous proportions and with so many nicer bags and brands readily available that don't do a full tilt boogie on the wallet, even those Madame Got Rocks have no real reason to lay in a steady supply of multi-thousand dollar bags.  Great high end bags can be found in the mid-hundreds range.  Even that's most often too rich for most our blood as a regular occurrence, but, past a point there's simply little reason anymore, other than conspicuous consumption, to up the ante... 


In my pantry with my cupcakes...
Honored Contributor
Posts: 49,768
Registered: ‎03-10-2010

Re: High end luxury bags are taking a heavy hit

I do, though, think the luxury brands would be making a huge mistake to try to reinvent themselves across the board.  Yes, they need to stay relevant, but they're iconic for a reason, and it will always be the case that everything old will be new again.  They'll always be in demand, sometimes lessor and sometimes greater.


In my pantry with my cupcakes...
Respected Contributor
Posts: 2,306
Registered: ‎10-15-2010

Re: High end luxury bags are taking a heavy hit

Thanks for posting the article. I read it and found it very interesting as I worked in the fashion industry for many years.

 

I did some research and found this article from Bloomberg News that goes in depth about this topic if anyone is interested:

 

http://www.bloomberg.com/news/articles/2015-05-26/luxury-brands-value-shrinks-7-billion-as-china-cur...

~Live with Intention~
Honored Contributor
Posts: 25,929
Registered: ‎03-09-2010

Re: High end luxury bags are taking a heavy hit

I agree with TY1 - there are so many perfect looking fakes around now a days that I assume a bag is fake when I see one.Who wants to pay all that money to carry around a bag everyone assumes is a fake? After all - status is the whole point.