Chanel Price Increase Over The Years

Chanel-Price-Increase-Over-The-Years

If you’ve bought a Chanel Classic Bag early on and you are aware of the current prices, then I have to say: ‘you deserve that smile on your face’. The higher the prices go, the more you fall in love. But have you ever wondered, how much your Chanel Classic Bag cost last year, five years or ten years ago?

Price increases can be frustrating, especially for those who are saving money, chasing their dream bag and trying to keep up with the price. Each price increase must feel like a ‘nightmare’.

But price increases can work for you, those who are smart enough to invest in 2008 have seen the prices go up as fast as a rollercoaster goes down – since 2008, the prices have increased with more than $2,000 USD. Investing in a Chanel Classic Bag is safer than investing in the stock market as Chanel bags will only go up in prices and never go down, regardless of the economy.

I can throw ten reasons at those who are still waiting for the right moment, actually – today is the right moment, can you bare another price increase over a few months?

But let’s get the facts straight, check out the prices from 1955 to 2014 for the Chanel (reissue) 2.55 size 225.

The Chanel Reissue 2.55 Size 255 is comparable to the Chanel Medium Classic Flap Bag:

Chanel-Price-Increase-Over-The-Years-2

So what are your thoughts?

Ten Reason To Kick A Chanel Bag In Your Wardrobe

1. Chanel Classic Bags ‘never’ go on sales, the longer you wait, the deeper the hole in your pocket.

2. Chanel Classic Bags are always on-demand, it has always been – for 50 years or so, take another look at the graph. 1950, which year are we living, oh 2014 =).

3. For a decent quality and less expensive bag, you will need to spend at least $200 USD nowadays. Usually these bags fall apart after 3 years or so (mine was less than 2 years) and the warranties are limited. But sum them all up and you can get a top quality, beautiful Chanel bag. If you ever need repair, the Chanel boutique is ready to serve you.

4. Because the value will only go up in the future, just like diamonds and gold, you can pass the Chanel bag to your daughter, what’s a better memorable gift?

5. Investing in a Chanel Classic Bag is better than the stock market, it will never drop in value, unless you abuse it. So start reminding your hubby about the ‘Return On Investment’ before you go shopping.

6. Unlike stocks and other investments, you can actually ‘use’ the bag. An accessory that go up in value and you can use it whenever you want, sounds like a perfect combination for the fashionista.

7. You can learn a lot about fashion if you own a Chanel bag, first it has a rich history and it’s part of Coco Chanel (and Karl Lagerfeld)’s creation. Study the refinement, the stitches and the details.

8. Only limited people can afford and own a Chanel bag today, the Classic Bags are usually sold-out. This will even get worse in the future.
9. Chanel Classic Bags are the most coveted fashion pieces in the world of fashion, it goes with almost everything you have in your wardrobe.

10. And the most important reason: ‘You just need it in your life’.

I belief the tenth reason is the most realistic one.

The purpose of this post is to give you a deep insight of the historical prices of the Chanel bags – in the past 6 years or more. The last price increase occurred in May 2014.

Chanel-Price-Increase-Over-The-Years-3

How frequent does Chanel increase prices

It depends, from experience, they increase prices two or three times a year. Rarely do they increase one time . It usually happens in end of January or the first week of February, around the summer times and at the end of the year, in December. Chanel never give any warning, this will spoil the game, doesn’t. They never give the exact date or tell you when, even the information from your SA are just speculation.

Why Does Chanel Raise Prices?

Is it bullying?

No it’s not.

But we can talk about this subject all day long, let us just highlight a few reasons.

One major cause is the inflation, basic economics – there is a high demand on quality raw materials, more demand means higher prices. If Chanel is paying a higher price for the lambskin leather, they will compensate the loss with your wallet.

Secondly, the cost of labor has gone up, your iconic Chanel bag is probably made in France, Italy or in rare occasion – Spain. We should be proud that their bags are still made in Europe, only then we can be certain of its quality.

Third reason is what I think, a marketing strategy. Price increases should drive customers way, but for Chanel, it works the opposite. The more we need to pay, the more we gossip and the circle of Chanel fans keeps getting bigger.

So tell us what you think about the Chanel prices? Overwhelming or reasonable?

13 Comments

  1. Lola May 8, 2017 Reply

    Hi Guys

    I am tossing up whether to sell my Chanel GST (gold hardware) Black bag. I bought it 3 years ago and it sits in my cupboard in its box and has only seen sunlight a handful of times- where I am protective as all hell. I could use the money for study, just wanted to know whether it was actually worth holding on too as they have discontinued the bag and in the future would it be one of those ‘hard to find’ bags; so an investment rather than passing it on.

    Thanks for your time!! 🙂

    • Author
      Alex May 12, 2017 Reply

      The Chanel GST is a classic handbag, but discontinued unfortunately. Everyone still talks about this bag and in the future as well. If you don’t need the money, keep the bag as long as you can. The GST is like a stock that goes up, but never goes down.

  2. Su March 24, 2017 Reply

    Is Chanel planning to increase their price in April? I heard a lot of rumors but not sure if this is true.

    • Author
      Alex March 26, 2017 Reply

      Hi Su, there are rumors. Chanel usually increase price in all countries, but due to currency instability, UK has increased several times in the last year while Asia decreases. So if they do, we guess US will remain the same, price increase will occur both in Europe and London.

  3. AMEER March 16, 2017 Reply

    I see that the price of Chanel bag has increased over the years. lets say a Chanel bag was $2000 USD in 2008. However now it costs $5000. Does it really mean that my Chanel bag which I bought back in 2008, is now worth 5000.
    Dont get my wrong. I like Chanel bag. Not because its a beautiful bag.
    my reason of liking this bag, or any bag which costs a ton, is so I can say, ” I have it and you dont”.
    Any bag which sells for any amount of money is worthless till someone is willing to pay the price tag. Dont believe me, then next time when you are in a Chanel boutique, look at all the bags that are showcased. they are being tried on by potential customers. Thats why everytime you buy a bag, your SA says. ” let me bring out a bag which has not been touched by anyone”. They cant sell you a used bag. Hence all those bags which are showcased are most likely will be either sold at half price to there employees or will be sold to reselllers
    Need i say more.
    Enjoy your bag. I just bought my le boy in medium. 🙂

    • Lily March 16, 2017 Reply

      HI Ameer, congrats with your new bag and thanks for sharing your thoughts. There is a huge market for pre-owned bags and as the retail price of a bag increases in value, the price of the same bag but pre-owned increases as well. The value of pre-owned is determined by the condition of the bag.

  4. HYS July 30, 2014 Reply

    I wonder the price is increasing on newer product or existing product, but before the author answers me, let me give you some idea of “real” investment rather than this “fake” investment. As we all know car is not really a good investment, simply because it depreciates over time. However, a good thing of luxury items is, you can retain part of its value if you taking good care of it, but still it does not really appreciate over time.

    I believe that the author is giving example by using the price of Chanel A and Chanel B and this is where the topic is misleading you. Therefore, let me give you an illustration, by assuming there are Chanel A which representing an older Chanel purse and Chanel B which representing a newer Chanel Purse offered in the market.

    What you can see from the increasing price of Chanel is telling you that the Chanel’s products are getting more expensive. In other words, you are just paying more for Chanel B today rather than the Chanel A you bought becoming more valuable.

    If the author is telling you that you should grab Chanel before it continues to raise in price, but I should let you know that if you taking into account time value of money, you are paying more or less the same today or in 55 years ago but you are free to make your own decision. But if you are planning to buy Chanel bags just for investment purpose simply because the author is telling you that it is free from risk, then there’s nothing I can say.

  5. Fernanda July 3, 2014 Reply

    You just wrote what I always tell to my husband!!!

    Best subject ever! Agree 100%

    Chanel bags are priceless and are forever. Best investment.
    xx

    • Author
      Alex July 5, 2014 Reply

      Fernanda, its true right? I mean if you buy a car, it will lose value. If you buy Chanel bags, they get more expensive every year. LOL

  6. helenhandbag June 4, 2014 Reply

    I was wondering about this recently, not only for Chanel but also for other brands. There has to be a point at which people DO turn away and that the increase tactic starts to work against them. And just the other day, I read that Mulberry is the first brand to lower their prices again exactly because they’d reached the price point at which they started to lose profit. Chanel’s probably still a few increases removed from this point, but honestly, if they increase say the jumbo flap by another 20% this year, would you still buy it? I’m starting to get to that point that I might only save up to buy in sale…

    • Author
      Alex June 7, 2014 Reply

      Hi Helenhandbag, I think you made an important conclusion, but why is it then that Hermes keep raising prices of their Birkin and Kelly and people are still buying it?

      Here’s a response from Tina via FB, which I think is also making a good point:
      That’s the reason I no longer buy Chanel. To think about how much I used to pay for the same bag 10 years ago, plus, you didn’t mention how quality (both materials and craftsmanship) has been going downhill…it’s def. marketing strategy, it’s greed if you ask me. Price increase sucks, but at least give me the kind of quality customers would expect at that price range. Also, classic bags used to be in about the same price range with other seasonal bags, there was no price difference between classic vs. seasonal. Then they changed that, pushing classic styles to rocket high price to create a lower price range for seasonal bags which they provide similar styles but with cheaper materials (ie. you rarely see leather lining in seasonal bags, which was not the case in the past), that create the impression that the seasonal bags are more affordable with reasonable prices, to attract customers who still want similar styles Chanel have to offer but may not be able to reach the higher price range of the classics. Very clever strategy, but also really turning off old timers like me. I think the brand is now overrated and it’s all hyped.

      • Bodene Robertson-Wright June 16, 2014 Reply

        I suppose as long as there is people on 2 + month waiting list, they will continue to increase, the demand is there so they sort of need to. The more money people are paying for them also adds value in that persons eyes! Although I agree in the fact that even people who would pay that much for a bag may start to cross their lines and realise that how can a bag be worth paying that much (although the thing that bugs me most about chanel bags is how people have to baby them so much, i mean whats the point in paying for top quality when you have to be so protective over it not becoming ruined.)

  7. Mira June 1, 2014 Reply

    I love Chanel bags! Great buy.

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