LVMH’s top fashion brand, Louis Vuitton, raised its prices around the globe this week, citing increased manufacturing and transportation costs according to a spokesperson.
The spokesperson for the French brand in China told Reuters that it is one of the first big labels in the industry to increase its prices this year in order to protect margins.
The price increases will affect Louis Vuitton stores worldwide and cover leather goods, fashion accessories and perfumes, the spokesperson. No further details had been given on the scale of the rises, beyond saying that they would vary depending on the product.
“The price adjustment takes into account changes in production costs, raw materials, transportation as well as inflation,” the label said in a statement given to Reuters.
According to some Chinese social media bloggers, the price of some models of handbags such as Capucines and Neverfull, now priced at 46,500 yuan ($7,323) and 12,000 yuan ($1,890) respectively, would rise by 20% or more in China, without citing sources.
PurseBop, a website tracking the luxury market, projected the increase would be between around 4% on the lower end and 15-18% on average on the higher end.
LVMH’s boss Bernard Arnault said in January the group had enough wiggle room to increase prices in an inflationary environment but would have to be “reasonable.”
Luxury label Chanel increased prices on some of its handbags three times last year.
Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.