A new year begins, and just as quickly we hear of luxury brands increasing bag prices. Recently, we wrote about Chanel. Hermès typically raises prices in January, so the speculation in 2022 is about just how high. The latest expected hikes are from Dior (with its sister company Louis Vuitton probably not far behind).
Perhaps no one should be surprised. Dior last raised prices nearly one year ago in February 2021.
Read: Dior Price Increase 2021
By recent top luxury standards (think Chanel and Louis Vuitton) that’s quite a while ago. Both of those brands took multiple increases throughout the pandemic.
Indeed, some industry analysts suggest Dior can, or should, be thanking Chanel for its own ability to jack up prices without raising too many eyebrows. After all, in 2021, the retail price of a Chanel medium flap rose $2300, or about 35%, through multiple hikes. Due to Chanel’s repeated price spikes, Dior consumers now may be a bit immune to the jarring nature of these increases.
Moreover, Dior may have benefited in other ways from Chanel’s actions. Over the last year or so, the number of google searches for Dior increased substantially putting it closer to par with Chanel. Between the unavailability of coveted Chanel items and the high prices, some Chanel lovers were frustrated. Whether priced out or boxed out, many sought alternative luxury bags.