Luxury handbag brands are implementing more rules and rationing than ever before to keep ultra-wealthy clients interested – from Chanel limiting the purchases of their most popular styles to Hermès introducing a point system.
Chanel’s iconic quilted bags, loved by royalty and celebrities alike, have tripled in price this year.
After suffering a severe pandemic, the French fashion house has seen its revenues increase steadily since then. They have doubled in the past nine months.
The luxury brand has now established a policy that allows customers only to purchase one of its most sought-after handbag styles – the Classic Flap Bag, Coco Handle – per calendar year.
“Some of our products are especially sought after by our clients. According to Chanel, in order to satisfy our clients adequately, we can take appropriate action at a regional level,” a spokesperson said to The Telegraph.
Chanel is rationing bags to keep its ultra-wealthy clients happy. Stock image
The luxury brand appears to be responding the the recent success of vintage markets, which have been cashing in on increasing value of their most exclusive bags over time.
On the second-hand resale site Vestiaire Collectived, The Classic Flap Bag can cost anywhere up to £28,000, while a small Chanel Classic retails at £5,410.
When it comes to Hermès Birkin bags, Kate Moss has one in denim, Kelly Osbourne has one in classic black, and Victoria Beckham, of course, has one in every colour of the rainbow.
A-list fans include Elle Macpherson and Lindsay Lohan, Sarah Jessica Parker, Naomi Campbell, and Sarah Jessica Parker. Coleen Rooney is a fan of tan.
Heidi Klum out and about in Los Angeles, California on 29 March 2021 (pictured left) with her Birkin bag and right, Tamara Ecclestone at Heathrow Airport, London on 26 April 2012
But following its popularity, Hermès made sure their Birkin bag, which starts at £7,030 and goes up to around £200,000, stayed a request of the ultra-rich by making it almost impossibly exclusive – with customers having to Join a waiting-list of at least 2 years
In 2004, a vintage black, crocodile-skin Birkin featuring 14 carats of diamond pavé set in a white gold buckle fetched £32,706 at auction in New York.
But now, Birkin bag shoppers can only buy one Birkin bag after they have shown loyalty to the brand. They can also shop their other lines, including clothing, furniture and watches.
The new system uses a program that records the customer’s purchases in all its stores and their Hermès points determining how quickly they will be able to nab themselves a Birkin.
Elsewhere, Gucci has implemented a different strategy which has seen them open a pop-up on Shoreditch’s Chance Street, allowing the public the opportunity to purchase limited edition pieces made specifically for selected stores.
The high-end fashion brand recreated 5,000 miniscule Seville by Gucci Cadillacs in collaboration with Hot Wheels, and it seems their ploy is working because they have all sold out.
And when it comes to designer suits, Savile Row have limited the amount of bespoke suits each tailor is able to make.