I
A strong resale market
Hermès handbags hold the highest resale value of any handbag brand — a reflection of scarcity, timeless design, and durability. The RealReal reports resale at up to 80–90% of original retail.
VVintageJane
ParisEst. 1984
Chapter IIUne étude · Hermès№ 001
A Valuable Investment
An asset
that appreciates.
The Birkin has, over decades, outperformed both gold and the S&P 500. A handbag that doubles as an asset class — and a quietly cherished object.
+500%
Value increase, last 35 years (Baghunter)
+13%
Q4 2020 yield, top investment asset (Art Market Research)
+42%
Auction value gain, 2019 → 2020
10–15%
Forecast resale growth p.a. — next decade (McKinsey)
The thesis
A better store of value
than gold.
Many consider the Birkin a better investment than gold or the stock market. A 2021 study from Art Market Research found that Hermès handbags — with a 13% increase — were the top-performing investment asset in the fourth quarter of 2020, outpacing rival luxury collectibles.
Over the last 35 years, the value of Birkin bags has risen by some 500% (Baghunter). The forecast 10–15% annual growth of the broader luxury resale market suggests the demand will not soften soon.
Four pillars
II
Collectable by nature
Collectors immerse themselves in the Hermès vocabulary — leathers, exotic skins, colourways and rare limited editions such as the Faubourg Birkin — building near-encyclopaedic knowledge.
III
Functional art
Hermès' tanning, dyeing and hand-stitched construction elevate the bag to an art form. Few makers approach this level of material craft.
IV
Cherished heirlooms
Because they hold their structure, their looks and their value, Birkins pass quietly from mother to daughter — a piece of patrimony as much as fashion.
In closing
Quality triumphs
over quantity.
When it comes to luxury handbags, less can certainly be more. Hermès craftsmanship is second to none — and a single, well-considered acquisition can carry weight no wardrobe of trend-pieces ever will.
Continue readingThe economics of desire →→