Investment Purchase

[bluediamond35]

Hi All, Thought this question would generate a conversation!

If you were to buy an Hermes investment piece for purposes of resale only what type of leather, hardware, type of bag would you chose?

 

[bluediamond35]

Type: BKC
Leather: Barenia or Croc/Alligator
Hardware: Gold
Color: Dark Neutral

i think my choices would have have larger maintenance but I think it would generate the most "resale"

 

[WhiteBus]

When so many buyers are patiently waiting to get their personal desires fulfilled I find the idea of buying to flip repugnant and should be discouraged by enthusiastic collectors.
Nonetheless everyone has a right to use their own money as they see fit.

 

[bluediamond35]

If this not an appropriate topic I ask the moderator to take it down. My intent was never to encourage resale and only to generate conversation.

Sadly the leather scarcity and the "Hermes game" makes it difficulty for anyone to buy. Its really disappointing.

 

[Israeli_Flava]

Not sure which topic, this one or designer dupes/fakes/inspirational pieces, pluck my nerves more That might just be me tho... can't take one more story about a "journey", an "investment" piece, or one more photo of a fake Alhambra bracelet! Rant over.

 

[WhiteBus]

It has generated conversation, but perhaps not of the nature you expected.
I believe that purchasing new bags from resellers should be frowned upon. There should be no justification that gives approval. Every bag acquired from Hermes for a reseller is a bag that is not available to ordinary customers.

 

[GabrielleS]

In addition to everything else everyone said, I do not understand why anyone would buy from the store to resell with the goal to make a profit. You will have to spend a fortune in prespend to get an offer and bag prices are high. I doubt any resale mark-up could cover the amount of pre spend required and the cost of the bag these days.

 

[cravin]

It has generated conversation, but perhaps not of the nature you expected.
I believe that purchasing new bags from resellers should be frowned upon. There should be no justification that gives approval. Every bag acquired from Hermes for a reseller is a bag that is not available to ordinary customers.

I don’t know whether I agree. H has the limited supply/demand formula down to a science. Assume I were the husband that knew nothing about H other than where the stores are AND there was situation where I just HAD to get my hands on a bag for the wife for a special occasion, the reseller route would likely end up being the only viable route.

I’ve been very fortunate in my dealings with Hermes, but I’ve also had my fair share of dealing with SAs that have the holier than thou attitude. I was lucky that I was able to buy my wife’s first Birkin after meeting a fantastic SA after only buying an Evelyn, but even then, it still took nearly two months for the bag to get to the store from Paris.

Time and supply are not your friends with H so the reseller route is the only route for some.

 

[Deleted 793791]

Investment?? I have been buying the Hermes stocks (ticker: HESAY) when it is low. Bags, RTW, etc. will all wear out eventually.
When I think of investment, I only buy the Hermes stocks from the stock market. Also, I feel good that I "partially" own the company. Haha!

 

[WhiteBus]

I don’t know whether I agree. H has the limited supply/demand formula down to a science. Assume I were the husband that knew nothing about H other than where the stores are AND there was situation where I just HAD to get my hands on a bag for the wife for a special occasion, the reseller route would likely end up being the only viable route.

That is a perfect example of where a reasonable person might consider it an acceptable course of action.
I still don't think we should condone it.
Whilst there are still clients that black market will exist and the trade will continue.

 

[bluediamond35]

I think people could wait on line and purchase K/ B without any pre -spend prior to the lottery system. Also, someone could purchase a handbag and pass down to a family member as inheritance. I would think this could be considered an "investment" if resold.

I don't consider all new bags on the resale market a flip because some are marked as " unused "condition and circumstances change. However IG video unveilings of purchases straight from the Hermes store to consignment stores make me annoyed, angry and sad.

 

[QuelleFromage]

"Investment" and "flip" are opposites, so unsure of the real question here?

If you want a bag that you can hold for years and resell at a profit, personally I would just buy an index fund LOL, but obv the classics are going to hold up best. You'd be betting on H prices increasing AND the mania at resale continuing.

I'd personally rather buy a great bag and use it but not abuse it, then get much of my money back if I ever tire of it or need cash. I know that with many of the vintage or older bags I have bought, I have paid at least the retail price from that time - so that seems like a GREAT deal to me - $0 cost per wear!! But that is not an investment - it's not going to increase in value by a meaningful factor. And again one cannot count on demand continuing.

If you want the "best" bag to instantly flip...ignoring the fact that for most here, flippers are the bane of our existence...I think we all know what commands highest price at resale right now: tiny, and either pink or a classic color , A La Carte bicolor would be ideal. And guess what? The glut of Sakura/Craie or Sakura/Nata Mini Kelly SOs that showed up at resale once those colors became available for SO tells us that the resellers think exactly this way.

 

[QuelleFromage]

I think people could wait on line and purchase K/ B without any pre -spend prior to the lottery system. Also, someone could purchase a handbag and pass down to a family member as inheritance. I would think this could be considered an "investment" if resold.

I don't consider all new bags on the resale market a flip because some are marked as " unused "condition and circumstances change. However IG video unveilings of purchases straight from the Hermes store to consignment stores make me annoyed, angry and sad.

The lottery system is only in Paris, and prior to the lottery system, yes, there was a giant queue around FSH starting at like 3 am, but Birkins and Kellys were not guaranteed just because you could get into FSH.

 

[880]

Agree with above Get your ‘investment’ out via cost per wear. The significant amount of pink mini Kelly bags at Fashionphile attest to the difficulty of flipping at triple the price. Small bags have been on the decline, in terms of cutting edge or even classic fashion for some time.

My best bag ‘investment’ via cost per wear: either DH’s sac a depeches 21 or my Loewe mini puzzle. They paid for themselves.

OP’s best bag investment simply might be her favorite one. Other than that, I vote for a 25/28 black box Kelly (to be defined, if one was only to own a single H bag). But, it is one bag in my own closet that I rarely reach for.

 

[cravin]

To the OP’s original point though, there are pieces that immediately leave the store at 3x-5x value (LE bags come to mind). When people were buying the Kelly Picnic a couple years ago, they were immediately on TRR and whatnot for $60k. This annoys me like the rest of you. It would be so easy for Hermes to stop, but they can’t.