Gucci to Raise Prices by an Average of 11% on the 24th
Luxury Brands Sequentially Implement Nth Price Hikes 'Brazen Business'
Bvlgari Announces Price Increase Next Month
Despite high inflation and an economic downturn causing consumers to tighten their wallets, luxury brands maintain their high prices. Ahead of peak seasons such as the autumn wedding season and Christmas, they have lined up price increases.
NewJeans' Hanni, Gucci's global brand ambassador, participated in the Gucci 2025 Spring/Summer collection show at Milan Fashion Week held on the 20th (local time). [Image source=AP Yonhap News]
The Italian brand Gucci raised prices on some product lines by an average of about 11% domestically on the 24th. It was a surprise increase. This is the second increase following an 8% hike in June. Gucci implemented four separate price increases in Korea last year alone. In mid-month, the French brand Chaumet, known for actress Song Hye-kyo's ring, raised product prices by an average of 6-7%.
Some brands announce price hikes in advance to attract consumers early. The Italian brand Bulgari plans to raise prices on some products starting next month on the 1st. The increase is reported to be around 5-10%. This comes just half a year after a price increase in April.
Chanel unexpectedly raised prices on fine jewelry and watch products last month. This is the second time this year that Chanel has increased jewelry prices. By product category, jewelry prices were raised in January, beauty (perfume) in February, bags and clothing in March, making it the fourth price increase announcement this year. Chanel was the first company to open the door to multiple annual price hikes, known as 'Nth price increases,' in Korea. During the luxury buying boom in 2022, Chanel raised prices four times in January, March, August, and November.
Louis Vuitton also raised prices again in July, five months after a price increase in February, mainly on bag products. Rolex raised prices twice this year, in January and June, citing rising gold prices. After raising prices by about 8% in January, it added another 5% increase in June. Hermes joined the 'Nth price increase' trend by raising prices on some shoe products such as the Royal Loafer and Oran in January, followed by a price increase on the Garden Party bag in June.
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