It is common to hear about ‘investment pieces’, the things that will last you forever. When it comes to knowing what to ‘invest’ in, when, and why, the fashion world can be somewhat of a minefield. For us, resale value and how much joy the item brings you, along with its history, quality, longevity, and, of course, beauty, play a major role. 

Designer Handbags are a perfect example of this. A well-chosen bag can really last you a lifetime and even become a valuable heirloom after you’re gone (sorry, a bit morbid). In contrast, if you want to make money as well as spend it, then a well-timed purchase and subsequent sale could mean big money for you. 

A handbag addiction can be a daunting and expensive hobby for anyone. Collectors pay a lot for Designer Handbags, and their prices are notoriously high. The most coveted brands – Chanel, Louis Vuitton, and Hermès, for instance – are not just bags, but works of art. A multi-billion dollar industry of copycats reproduces these masterpieces for a fraction of the price. 

Why are some luxury handbags so absurdly expensive? In your opinion, why do people pay $7,500 for a limited edition Louis Vuitton Designer Handbags? In this article, we will explore several reasons why these high-priced bags are so expensive, and how they still remain in high demand. 


Even the layman feels a sense of pride when carrying Designer Handbags from one of the top brands. When you take a closer look at these pieces, you’ll see that every stitch is done by hand and the quality is such that the bag lasts a lifetime. Designer Handbags are often handcrafted by experienced craftsmen, while their look and feel are conceived by in-demand designers. It’s easy to understand that an expert mechanic will charge more per hour than a novice – the same is true for most goods, especially luxury handbags. What you pay for is what you get! 


Most luxury handbags are handmade, so it is not feasible to produce them in a factory line as mass-produced items. The French Royal Court has always demanded Designer Handbags, which led to the creation of Louis Vuitton. 

Prices are largely determined by supply and demand, an age-old economic principle. In some cases, the demand is so high that people stay on waiting lists for years, paying the full price upfront until their designer handbags are ready for shipment 


Do you know of any items that will increase in value over time? 

In general, there aren’t many. Almost all cars decrease in value over time, making them a money-wasting investment, except in rare cases. There are a few exceptions to the rule, such as luxury Designer Handbags. 

There is a very high possibility that a classic Hermès Birkin will resell for more on the secondary market than it was bought years ago. The massive collections of some collectors serve as a safety net, or even a nest egg, for retirement years down the road. 

When you consider vinyl records of Elvis Presley’s music, it makes sense. Sun Records’ original pressings are now worth literally thousands of dollars, whereas when they were released they sold for no more than a couple of quarters. Eventually, the demand for these records will be so great – and they will be so rare – that you will see price increases that are absolutely exorbitant. 

Due to the high demand for Designer Handbags they are actually a better investment than gold, as they increase in value more quickly. 


In your hand, you can feel the difference between a true Chanel designer handbag and a mass-produced or counterfeit one. 

Many of the leathers used for this process are made from cow skin, or from rare and exotic animals. Designer Handbags locks, chains, and other metal accents are sometimes plated with real gold, palladium, pure silver, or even diamonds. The more valuable the material, the more expensive the product.

In the end, the question of “Why Are Designer Handbags So Expensive?” has an easy answer. 

The simple equation involving exquisite craftsmanship, high-quality materials, limited editions, and brand history would make any product more expensive. If you add in the less obvious collector’s market and the high, waitlist-worthy demand, you have a product that typically appreciates. 

You should understand the value and the quality of your luxury handbag collection if you have one. Furthermore, if they have appreciated in value over time, you may have a worthwhile investment. 

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