9 July 2024

Luxury Brands’ Price Hikes

What is the Inflection Point for Luxury’s Price Increases?

Luxury brands are implementing significant price increases to address rising costs and maintain exclusivity. For example, Chanel and Hermès have raised prices substantially in recent years. These increases are driven by the need to cover costs of raw materials, labor, and transport, as well as to adjust for currency fluctuations and inflation. Higher prices also enhance brand prestige and desirability.

However, there are potential downsides. Consumers may turn to secondary markets or competitors with more affordable options. For instance, a Prada Galleria bag can be purchased for significantly less on resale platforms like The RealReal. This trend has fueled the growth of “superfakes” and dupe culture, especially among younger consumers.

Despite these risks, luxury brands continue to escalate prices to uphold their exclusive image, but this strategy raises questions about the sustainability of such increases.

About APLF

We bring leather, material and fashion businesses together: an opportunity to meet and greet face to face. We bring them from all parts of the world so that they can find fresh partners, discover new customers or suppliers and keep ahead of industry developments.


We organise a number of trade exhibitions which focus on fashion and lifestyle: sectors that are constantly in flux, so visitors and exhibitors alike need to be constantly aware both of the changes around them and those forecast for coming seasons.


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