This article runs in line with a thought yesterday: When might Hermes do something similar to what Apple did a few years ago—start selling prior years models in competition with resellers?
Same reason as a Birkin. The more popular styles aren’t readily available to walk in customers. You either have to get on a waiting list or be familiar with the jeweler to have them think of you when a rare model comes in.Fascinating article, thank you for posting this!
I'm one of those people who has purchased two birkins on the resale market, yet is also building an in-store purchase history because I want the experience of getting a bag in-store, too. Pretty genius that it's not just about the bag, but the way in which you obtain it adds a specialness to the experience, too.
I was very intrigued to see how much higher the Hermes stock is than other luxury brands. Fascinating to see how much their mysterious marketing plays into their success.
Also, the article said that Rolex and Patek Phillippe watches cost more used, too. Why is that?
Why? Most times you have to spend approximately 1:1 to get a B/K so that accounts for 50-60% of revenue and then when you add in other expensive popular bags (Constance, Roulis, 24/24, evelyne, etc), plus the equestrian line, one time belt buyers, fashion jewelry and scarf lovers who don’t necessarily want a B/K right now...adds up to me.I have trouble believing the B and K are “25 to 30% of total sales” for H.
I had no idea! Thanks for sharing.Same reason as a Birkin. The more popular styles aren’t readily available to walk in customers. You either have to get on a waiting list or be familiar with the jeweler to have them think of you when a rare model comes in.
Does anyone here read Business of Fashion? This analyst writes quite a lot there and his Hermes articles are often way off. I wouldn't take his and a reseller's estimates as necessarily close to reality. The H annual report tells you quite clearly what leather represents in revenue (50% in total approx and this includes SLGs and saddlery, where they still do quite well) - the 25-30% on just two bags styles seems like a guess to me.
Does anyone here read Business of Fashion? This analyst writes quite a lot there and his Hermes articles are often way off. I wouldn't take his and a reseller's estimates as necessarily close to reality. The H annual report tells you quite clearly what leather represents in revenue (50% in total approx and this includes SLGs and saddlery, where they still do quite well) - the 25-30% on just two bags styles seems like a guess to me.
I agree with you. BoF is not a credible source IMO, and I don't think this analyst is credible.