Hermes Birkin bags are some of the most sought-after luxury handbags in the world. They're known for their exceptional craftsmanship, timeless design, and, of course, their exclusivity. But one of the most interesting things about Birkins is that they tend to hold or go up in value in the secondary market. We'll take a closer look at why that is.
First and foremost, it's important to understand that Birkins are not just bags, they are status symbols. The Birkin has been seen on the arms of some of the most iconic women in fashion and entertainment, from Jane Birkin, after whom the bag is named, to Victoria Beckham, Kim Kardashian and so many more. The bag's association with wealth and glamour has made it the ultimate status symbol for many.
Another reason for the bag's value is its exclusivity. It’s well known that you can’t just stroll into Hermes and buy a Birkin. There’s a process before you’re even waitlisted to purchase one, and then it could be years before you’re invited into the store to create your Birkin. This elusiveness has created a phenomenal demand for the bag, driving up its resale value.
The Birkin's construction also contributes to its value. Each bag is handcrafted by a single artisan, who takes an average of 18-25 hours to complete a single bag. The bags are made from the finest materials, including leather and exotic skins, and are finished with solid gold hardware. This level of craftsmanship and attention to detail is hard to come by, and it's what makes Birkins so special.
Another factor that contributes to the value of Birkins is the fact that they are a smart investment. Unlike other luxury items, such as cars or jewellery, Birkins don't depreciate in value. In fact, they often appreciate and many people buy Birkins as an investment, knowing that they will hold their value over time and even go up in value.
In 2016, Time Magazine stated that "The Birkin bag outpaced both the stock market and the price of gold in the last 35 years……the annual return on a Birkin was 14.2%, compared to the S&P average of 8.7% a year and gold’s -1.5%".
In recent years the Birkin has continued to increase in value, with Credit Suisse reporting a value increase of 38%, again outpacing other popular investments.
There are several factors that contribute to why Hermes Birkin bags hold or go up in value in the secondary market. From their association with wealth and glamour to their exclusivity, craftsmanship, and desirability, Birkins are not just bags, they're luxury items that hold their value over time and should be cherished.