On the 16th, due to rising manufacturing and transportation costs, Louis Vuitton officially raised the global price of all its products, becoming the first luxury brand to increase prices this year. Authoritative financial institutions predict that in the coming period, major luxury brands will set off price increases one after another, and global luxury retail prices will hit a new high.
According to industry analysts, luxury brands Hermes and Gucci, both belonging to Kering Group, will follow in the footsteps of Louis Vuitton and raise retail prices in an all-round way after announcing their performance reports this week.
Industry insiders pointed out that as early as early January, Balenciaga, which shares the same parent company as Hermès and Gucci, raised its retail price in the Chinese market, with small and extra small handbags rising to US$2,762 and US$1,823 (S$3,730) respectively. and S$2,462), an average increase of more than 3.75%.
It is understood that with the gradual recovery of the world economy, consumer demand has gradually increased, and some consumers are in retaliatory consumption and other reasons, which will increase their spending on luxury goods and create opportunities for luxury brands to collectively raise prices.
According to statistics, in 2021, some of Chanel’s popular handbags will increase in price three times. Compared with the same period in 2019, the price of popular items will increase by more than 60%.