Bummer news for fashion girls who dream of owning a Chanel bag (or two) someday: The average price of Chanel goods rises by 15% each year, reports Racked in a case study charting the cost of the classic 2.55 quilted bag.
For shoppers, this means that even if you're lucky enough to receive an annual 3% raise, this bucket-list buy could still become less and less affordable each year. And, the exact hikes are unpredictable. While some years pass without increase, the price of the medium 2.55 rose by $500 in 2014 alone.
The bags' price has also far outpaced the rate of inflation. In 2005, the classic medium 2.55 cost $1,650, or about $2,013 in today's dollars. And yet, the bag's suggested retail price is now $4,900. In other words: If you dream of owning this bag someday, and can afford it, now's probably better than later.
A Chanel rep quoted in Racked cited "production costs, the price of raw materials, and exchange rate fluctuations" to explain the increase. But, New York University's Thomai Serdari said the price spikes were a move to "maintain exclusivity and keep increasing profit." And, no doubt, with the massive worldwide surge of luxury shoppers, Chanel is simply embracing good ol' free market logic — keep raising the price until people quit buying.
Click over to Racked to see the sad, sad writing on the wall — and to find out why ever-increasing prices don't necessarily mean these bags are a good investment. (Racked)