Luxury Brands Dying, Reports Claim Chanel, Dior, Gucci Allegedly OUTPRICED Themselves

The topic of the end of luxury has been well discussed on social media platforms. It seems that in contrast to a few years ago, there have been a significantly lesser amount of social media users doing unboxing hauls for their luxury brands. Additionally, some reported that Chanel has not had a price increase in September as they traditionally had. 

Chanel’s price increase postponement

Luxe Collective, a prominent pre-loved selling boutique in Europe states that Chanel has yet to increase their prices last month. They cited the brand’s CFO stating that their price increases are inevitable yearly. But, reports from the Financial Times and CNN are showing otherwise for Chanel’s competitors. 

Luxury brands outpricing themselves

Super Dacob, a well-known YouTuber, claims that even the nouveau riche are now shunning luxury brands. He has been discussing the decline of luxury for several years and has accurately predicted trends in the fashion industry. Unfortunately for these brands, their future does not look as promising as they would like. 

The Financial Times states, the value proposition of luxury goods may surprise many. Consumers often criticize rising prices of essentials, yet tolerate high costs for luxury items. Post-pandemic price increases have dented the luxury sector’s appeal. 

Between 2020 and 2023, prices at Dior rose 66%, while Hermès saw a 20% increase. Now, with economic tightening, many brands have stopped increasing prices, and some have reversed. Hermès managed an 8-9% rise this year, while Moncler and Prada’s lower base allowed them to avoid pricing out customers. However, Burberry’s new, pricier collections led to a 21% volume decline.

Luxury fashion customers TIRED with brands increasing prices

Redditors have stated their frustrations towards these fashion houses and their alleged quality decline. The user then commented that their new purchase is flawed. Flaws on a bag that costs more than someone’s possible yearly salary (in Malaysia), should not happen in any way.