Recent data from Vestiaire Collective, a global platform specialising in pre-owned luxury and designer fashion, reveals that Chanel has emerged as the most popular luxury brand, surpassing well-known names such as Hermès and Louis Vuitton. The company released its inaugural Vestiaire Value Ranking, an analysis that combines a range of data points including five-year resale value growth, volume of items sold, user engagement metrics such as likes and searches, and price offers across more than 400 brands.

According to the ranking, Chanel leads in popularity, distinguished by having the highest number of product views per user. Louis Vuitton secured second place, while Hermès, known widely for its iconic Birkin bags, surprisingly ranked third. Following these were Gucci at fourth, then Dior, Prada, Saint Laurent, Celine, and Bottega Veneta. Rounding out the top ten was Balenciaga.

The Vestiaire Collective report notes the ongoing strength of French and Italian fashion houses like Chanel and Gucci, suggesting these brands represent prudent investments in the luxury market for years to come. The report also evaluated the top-value designer brands, highlighting Moncler as number one, followed by The Row—which is owned by Mary-Kate and Ashley Olsen—and Brunello Cucinelli.

One significant finding from the data was the rapid value growth seen by The Row, which experienced a 27 percent increase in resale value over the past five years. Vestiaire attributed this rise to a growing consumer preference for 'quiet luxury,' a minimalist and understated style popularised by celebrities such as Sofia Richie Grainge and Gwyneth Paltrow.

This information arrives amid shifting market dynamics, including recent increases in tariffs and pricing adjustments within the luxury goods sector. Notably, Chanel implemented substantial price hikes in March 2024. For example, the cost of a medium flap bag nearly tripled over the past decade, now commanding approximately $10,800, up six percent from $10,200 just a year earlier. The Boy Bag style saw a price increase of over four percent, while the Chanel 19 Large Bag surged by 7.4 percent, rising from $6,800 to $7,300 within a single year.

These price changes coincide with broader economic shifts including a 3.5 percent rise in consumer prices across the United States last month, which translates to an estimated additional $11,400 needed annually for Americans to maintain their previous standard of living. Consequently, luxury goods such as Chanel handbags are now costing more than this annual increase, highlighting the rising financial stakes in the designer fashion marketplace.

The Vestiaire Value Ranking provides valuable insights for both buyers and sellers within the luxury secondhand market, offering guidance on brands that hold or increase value and those that may be optimal for resale decisions. This report underscores enduring consumer interest in specific high-end brands whilst illustrating evolving trends within the luxury fashion and resale sectors.

Source: Noah Wire Services