Correction on Price Increase
- Thread starter CHANELboy
- Start date
May I know what color and where did u get your jumbo flap with distressed caviar?
Thanks!
Thanks!
Omg. I was away for a week, and came back to read the "old" price increase thread, as well as this updated one, and either way, I can honestly say that I'm close to tears, in addition to being absolutely disgusted by this. 
I think in the next few months my plan of action is going to be to sell a few bags I don't adore, and purchase some that I really want in my collection... after that, I'm pretty much done and/or need to be beyond blown away before I buy another Chanel.
Chanel can kiss my butt if they think I will fork over $2350 for my medium classic flaps, many of which I own at the $1595 price, as well as an extra THOUSAND from what the Jumbo used to be at $1695 not too long ago.
Gucci's Guccissima leather bags are looking pretty great to me right now, as well as Balenciaga's... and at around $1000, they're practically "free" compared to Chanel.
I think in the next few months my plan of action is going to be to sell a few bags I don't adore, and purchase some that I really want in my collection... after that, I'm pretty much done and/or need to be beyond blown away before I buy another Chanel.
Chanel can kiss my butt if they think I will fork over $2350 for my medium classic flaps, many of which I own at the $1595 price, as well as an extra THOUSAND from what the Jumbo used to be at $1695 not too long ago.
Gucci's Guccissima leather bags are looking pretty great to me right now, as well as Balenciaga's... and at around $1000, they're practically "free" compared to Chanel.
I know it seems extreme for CHANEL to increase their prices so much. The reality of it is, the cost of labor in France and Italy is raising dramatically. CHANEL is one of the only luxury brands that is privately owned. That means they own every factory that makes every indiviual material used in each of their pieces. They still use many of the same ateliers that Coco Chanel used from the very beginning. Nearly every single piece from CHANEL is made by hand very intricately.
Keeping all of that in mind, it really is an investment to purchase CHANEL. Not just an investment into the specific piece, but also into the rich history that is behind the CHANEL brand.
Keeping all of that in mind, it really is an investment to purchase CHANEL. Not just an investment into the specific piece, but also into the rich history that is behind the CHANEL brand.
Omg. I was away for a week, and came back to read the "old" price increase thread, as well as this updated one, and either way, I can honestly say that I'm close to tears, in addition to being absolutely disgusted by this.
I think in the next few months my plan of action is going to be to sell a few bags I don't adore, and purchase some that I really want in my collection... after that, I'm pretty much done and/or need to be beyond blown away before I buy another Chanel.
Chanel can kiss my butt if they think I will fork over $2350 for my medium classic flaps, many of which I own at the $1595 price, as well as an extra THOUSAND from what the Jumbo used to be at $1695 not too long ago.
^^ I totally understand what you are saying however there are other designers that make their bags by hand... I mean Guccissima is hand pressed to create the GG imprint. That does not mean that it is equal to chanel I am just saying that labor is labor... I understand increases but not 3-4 $300+ increases each time. Thats a lot IMO
Perhaps there is an element of truth to this Chanelboy, however according to the article attached below, Chanel's new global CEO, 43-year old Maureen Chiquet is targeting "new wealth" customers. "More and more customers are acquiring wealth at earlier ages," Chiquet says, "defining wealth as a net worth over $1 million. These women have more cutting-edge fashion tastes."
Excerpt from the article: "Like most designer-led luxury brands, Chanel traditionally pushed its product to market with little consumer input. Chiquet tripled the consumer research budget. In a meeting held in offices above Chanel's East 57th Street store, she and her team discuss a group they are targeting as a result of research: "new wealth." "More and more customers are acquiring wealth at earlier ages," Chiquet says, defining wealth as a net worth over $1 million. These women have more cutting-edge fashion tastes."
Chanel's American In Paris http://www.businessweek.com/print/globalbiz/content/jan2007/gb20070118_532070.htm
This would explain the price increase of almost one-thousand dollars on the classic flap bags in a little over one year. They are selecting for a certain demographic (customer) and I find this disturbing to say the very least.
Hi Lucas. My PM was written late in the day (or early in the morning), and I was beyond exhausted, hence the dramatic tone. That being said, I agree with the points you put forth, and am familiar with them, but nonetheless, there are a few things that continue to bother me. Chanel can increase their prices so dramatically, and the wealthy will continue buying, no big deal to them, whatever. I just don't feel as though Chanel's craftsmanship, as Roey pointed out, is in keeping with these dramatic price increases. While labor may be expensive, I don't understand how rising costs warrant a one thousand dollar increase on a Jumbo flap, for example... surely, the labor ued to manufacture the flap remains the same, and if a worker is paid more, costs of manufacturing increase, etc. that still is no justification (IMO) for the massive increase. To me, there is much more to it, which the excerpt from the article Layla posted highlights... and it is disturbing to read.
I also realize that the ladies on tPF who have had problems with their bags, etc. represent a small percentage of every Chanel customer, however, I find it disturbing that these large price increases coincide (perhaps not on purpose, but still) with quality issues... you would think that the more $$ you pay, the better the quality of the item, and I'm not so sure that this is true. It seems to me that the company is just looking to target the (generalization to follow): millionaire Mercedes driving, head to toe designer wearing, Pastis going, 20 something customer, and if that is the case, I'm not quite her. It's not as if I'll never buy Chanel again (it has been my favorite brand for as long as I can remember), and I do consider every bag I have (probably near 25) to be an investment piece, but with a second price increase of such a substantial amount in less than a year, on principle, I need to be really blown away before I pull out my plastic, or fork over mad cash for any future Chanel purchases haha.
That being said, I agree with the points you put forth, and am familiar with them, but nonetheless, there are a few things that continue to bother me. Chanel can increase their prices so dramatically, and the wealthy will continue buying, no big deal to them, whatever. I just don't feel as though Chanel's craftsmanship, as Roey pointed out, is in keeping with these dramatic price increases. While labor may be expensive, I don't understand how rising costs warrant a one thousand dollar increase on a Jumbo flap, for example... surely, the labor ued to manufacture the flap remains the same, and if a worker is paid more, costs of manufacturing increase, etc. that still is no justification (IMO) for the massive increase. To me, there is much more to it, which the excerpt from the article Layla posted highlights... and it is disturbing to read.I also realize that the ladies on tPF who have had problems with their bags, etc. represent a small percentage of every Chanel customer, however, I find it disturbing that these large price increases coincide (perhaps not on purpose, but still) with quality issues... you would think that the more $$ you pay, the better the quality of the item, and I'm not so sure that this is true. It seems to me that the company is just looking to target the (generalization to follow): millionaire Mercedes driving, head to toe designer wearing, Pastis going, 20 something customer, and if that is the case, I'm not quite her.
It's not as if I'll never buy Chanel again (it has been my favorite brand for as long as I can remember), and I do consider every bag I have (probably near 25) to be an investment piece, but with a second price increase of such a substantial amount in less than a year, on principle, I need to be really blown away before I pull out my plastic, or fork over mad cash for any future Chanel purchases haha. ...It seems to me that the company is just looking to target the (generalization to follow): millionaire Mercedes driving, head to toe designer wearing, Pastis going, 20 something customer, and if that is the case, I'm not quite her.
That's exactly who they are targeting. See post #71 directly above yours fieryfashionist.
Lest we forget, "Since Lagerfeld took over Chanel, in 1983, more than a decade after the death of its founder, Coco Chanel, it has become one of the most profitable luxury brands in the world, with revenues estimated at more than four billion dollars a year. The company is privately owned and does not release earnings figures."
^^^ Quote from a New Yorker article - http://www.newyorker.com/reporting/2007/03/19/070319fa_fact_colapinto
As fieryfashionist mentioned the quality (craftsmanship) is not commensurate with the absurd price increases. The materials have not become more luxurious with exquisite details nor are they flawless.
This is a marketing strategy and greed is at play as well.:true:
I will no longer enable Chanel's "potential" crass business practices and enjoy what I already have.
^^^ Quote from a New Yorker article - http://www.newyorker.com/reporting/2007/03/19/070319fa_fact_colapinto
As fieryfashionist mentioned the quality (craftsmanship) is not commensurate with the absurd price increases. The materials have not become more luxurious with exquisite details nor are they flawless.
This is a marketing strategy and greed is at play as well.:true:
I will no longer enable Chanel's "potential" crass business practices and enjoy what I already have.
I don't believe any of the other high end manufacturers are moving the prices up as quickly as Chanel. I just find it disturbing because MAYBE the cost of labor is going up, and maybe the US dollar is weaker but these increases are insane.
To say that we can view the purchase of a Chanel bag as an investment is, in my opinion, false. A collectors item or an investment item must be in pretty good condition or in most cases, perfect, in the box and basically unused to retain any value for resale. I like to use my bags so they aren't going to remain in perfect condition, even if used carefully.
We all love the fact that they are handmade, but so are Bottega bags, and have they had the same increases? I guess it comes down to the fact that if you love Chanel and if you have the money and it is okay to spend it on a bag then do it.
BUT, I do think it is just basically greed of a "privately owned" company and I really don't think that any SA needs to try and justify price increases to the customer by saying they are investments or a rich history of the Chanel brand. We don't hold them responsible for anything Chanel does with their prices. We love our SAs because they are the ones who get us our stuff.
Lucas to you and all the people who work with you at Nordys or any of the other stores that sell Chanel we think the world of you guys and we know this puts you in a difficult postion with all of us complaining and whining.
To say that we can view the purchase of a Chanel bag as an investment is, in my opinion, false. A collectors item or an investment item must be in pretty good condition or in most cases, perfect, in the box and basically unused to retain any value for resale. I like to use my bags so they aren't going to remain in perfect condition, even if used carefully.
We all love the fact that they are handmade, but so are Bottega bags, and have they had the same increases? I guess it comes down to the fact that if you love Chanel and if you have the money and it is okay to spend it on a bag then do it.
BUT, I do think it is just basically greed of a "privately owned" company and I really don't think that any SA needs to try and justify price increases to the customer by saying they are investments or a rich history of the Chanel brand. We don't hold them responsible for anything Chanel does with their prices. We love our SAs because they are the ones who get us our stuff.
Lucas to you and all the people who work with you at Nordys or any of the other stores that sell Chanel we think the world of you guys and we know this puts you in a difficult postion with all of us complaining and whining.