According to Oliver Cabel, a travel and leather goods designer brand, high designer bags that come with a high price tag are as much as 20 times higher than the cost to make them.
“The luxury space is broken,” Scott Gabrielson, founder of Oliver Cabell, told Glossy, a media brand exploring the intersection of fashion and luxury through the lens of digital and tech.
“Designer brands are succumbing to the fast fashion movement, and a handful of conglomerates control the industry,” said Gabrielson.
Oliver Cabell is planning to sell bags this summer for about $200 to $300 that would typically retail for $900 to $1,800, according to Glossy.
Already on its website, it shows the amount it costs to make a designer bag — and the “honest” retail price ($200) compared with the “actual” retail price ($970.)
While many would never spend $1000 for a bag, the actual cost of making them may not stop bag afficianados and some fashionistas from shelling out that money. Fashion comes at a steep price.