Luxury Products: Are High-End Brands Sacrificing Quality for Vulgarity?

by Kris Wäag | Apr 23, 2023 | Luxury Accessories

Luxury brands have long been associated with high-quality products, exquisite designs, and exclusive distribution. However, the question arises: are these brands still delivering on their promise of quality, or are they sacrificing it for vulgarity?

Luxury brands like CHANEL, DIOR, LOUIS VUITTON, DOLCE GABBANA, FENDI, and others have always been synonymous with high prices, justified by their quality, materials, and craftsmanship. But in recent years, the quality of luxury products has declined, with many brands resorting to outsourcing production to cut costs. For instance, DOLCE&GABBANA has been accused of compromising the quality of its products by manufacturing them with independent manufacturers in China.

Moreover, some luxury brands have turned to vulgarity in their designs and marketing, which has left many consumers questioning the integrity of these brands. The traditional concepts of beauty and elegance have been blurred, and some luxury brands produce products that some consumers deem vulgar.

The characteristics of luxury are no longer as evident in many luxury brands as they once were.

The characteristics of luxury – price, quality, aesthetics, rarity, extraordinariness, and symbolism – are no longer as evident in many luxury brands as they once were. The high price point remains, but the quality of products has deteriorated, and the exclusivity and rarity of luxury items are no longer guaranteed. In addition, the creativity and originality of luxury brands are being overshadowed by mass-produced designs and blatant copying of other brands’ products

One of the most significant issues with luxury brands today is the quality of their customer service. Many consumers are experiencing rude and ignorant reception by customer care services, and the after-sales service leaves much to be desired. Luxury brands must realize that customer service is a crucial aspect of their business and invest in it accordingly.
The decline in the quality of luxury products and the rise of vulgarity have made many consumers question whether these brands are worth the high price tag. In conclusion, luxury brands must re-focus on quality, exclusivity, and originality to remain relevant and desirable to their consumers.

Luxury Product Quality: The Pitfall of Vulgarity in Luxury Brands

Luxury brands are known for their exquisite quality, craftsmanship, and elegance. However, in recent years, there has been a growing trend of luxury brands associating themselves with vulgarity, both in their products and the people they represent.

Unfortunately, many luxury brands have forgotten this wisdom and instead rely on social media platforms like Instagram to promote their products. They often choose influencers and celebrities based solely on their number of followers, even if those followers are fake. This approach has led to many luxury brands becoming associated with rappers and other celebrities with large followings but little interest or capacity to buy their products.
Luxury brands need to understand their target audience’s demands and financial capacities. Rappers and other celebrities may have millions of followers on social media. Still, only a tiny fraction of those followers will likely have the interest and means to buy luxury goods.
One luxury brand that has fallen into the pitfall of vulgarity is SCHIAPARELLI. Despite having a rich heritage in surrealism, the brand has recently chosen to associate itself with sadomasochism and rappers, which has caused many to question its direction.

Other luxury brands, such as CHANEL, LOUIS VUITTON, FENDI, and DOLCE&GABBANA, have also given their products to rappers and celebrities. However, they have not actively advertised this on their Instagram accounts and maintained a more sophisticated and refined image.
In conclusion, luxury brands must remember that vulgarity is the antithesis of luxury. By associating themselves with vulgar trends and celebrities, they risk diluting their brand image and losing their core customer base. Instead, luxury brands should focus on producing high-quality products that showcase their craftsmanship and elegance and promote themselves more sophisticatedly and refinedly.

The article was adapted from runwaymagazines.com

CHANEL 2023 Price Increase

by Kris Wäag | Mar 20, 2023 | Luxury Accessories

CHANEL Tests Purse Lovers With $3,000 Price Hikes

CHANEL SA’s small Classic Flap bag was always a luxury item, but after three price hikes last year, it is selling for $8,200. That is up from the $5,200 it cost in 2019.

The French fashion house has been raising prices at a faster pace than other luxury brands, analysts say, prompting an outcry from some shoppers and testing their willingness to pay.

CHANEL increased its prices for 2023 again, and we share which bags are affected and by how much. It came as a surprise to absolutely no one, but considering the latest hikes for CHANEL bags, it’s hard not to wonder when and if the price increases will see an end.

CHANEL 2023 Price Increase Explained

CHANEL’s chief financial officer, Philippe Blondiaux, has shared insights into the CHANEL price increases. Last summer, he said the brand could implement a price increase “to account for currency fluctuations and inflation.” Moreover, he hasn’t shied away from speaking on the increase in being a part of the brand.

The twice-a-year increase has become something expected by customers over the past years as common practice. When asked about the increase’s reasoning, Blondiaux shared with WWD that “We usually revise our prices twice a year. That’s what we’ve always done and will continue to do.”

In 2022, CHANEL maintained the double-digit revenue growth it has accustomed to, even with the closure of stores in Russia and China. However, when looking at the numbers, research analysts for Jefferies shared that the sales uplift the brand has seen could be due to the 21-30% increase in pricing on its bags over the past couple of years versus the overall volume in sales.

The CHANEL Classic Flap is increasing in price by 12-17%, depending on size.

The New CHANEL Prices and What is Affected

The increase was steep! Steep enough that the only Classic Flap under $10,000 is the small size, with the Maxi reaching the $11,000 mark now. The Classics were hit with a 16% increase, soaring prices above $10,000 for most. The Coco Handle, CHANEL 19, and the Pearl Crush were all given a 14% increase across the board.

This was a global increase, affecting many markets. Below you can find the new, updated prices of CHANEL Bags for 2023.

This CHANEL Classic Maxi Flap with an original $3,700 price tag from 2010. This bag now costs $11,700 – over 300% price increase in 13 years.

Impact on the CHANEL Consumer

The price increases are partly due to CHANEL’s desire to become more exclusive. However, the rate at which these bags have increased has turned many off. Customers of the brand have a hard time stomaching paying nearly $1,000 more for the same bag overnight. Additionally, the frequency and the secrecy of the price increases have some turned off as well.

One user on our forum shared that “when Tiffany’s had a price increase, my SA let me know weeks in advance. I feel like CHANEL just wants us to keep spending more. I just can’t help but feel like I’m in an emotionally abusive relationship.”

While other brands also implement increases, CHANEL seems to be in a league of its own with the percentage and consistency of increases. Though the brand has worked for worldwide price equality, the new prices put these bags on par with Hermès pricing and as reported by many, out of reach.

Final Thoughts

While many feel negative about the price increase, plenty will begrudgingly pay more for the bags they have been eying and others won’t even bat an eye. CHANEL understands its core customer well, one they will confidently retain while reaching new luxury customers.

In-store, plenty of bags are still sold before they ever hit the shelves, letting you know that while these increases are a broadly criticized practice by the brand, it isn’t pricing out its core audience from buying CHANEL.