Article: Louis Vuitton’s first price increase of 2022 is here!!
Louis Vuitton’s first price increase of 2022 is here!!
Following a price rise in October 2021, Louis Vuitton’s second price increase within a few months hit on Feb 16, 2022. LVMH justified that this price hike was in response to escalated manufacturing expenses, inflation and a surge in supply chain costs.
Luxury brands have bumped up their prices several times since the pandemic started. Customer acceptance of such price increases bear testament to the resilience of these brands to price jumps and substantiate the notion that luxury sales are shielded from financial crises, pandemic etc. During the pandemic, demand for luxury goods has continued to climb and luxury fashion houses have been awash with record revenues and profits.
Meanwhile, this news has been received positively by analysts and stock markets. “Considering the pricing power of Louis Vuitton and the desirability of the brand, we view the price increase as a positive for LVMH.” That’s how luxury analysts at Barclays reacted to news that the French luxury giant would hike prices worldwide. LVMH stock prices were up 3.6% on the news of the price increase.
The demand for luxury goods is expected to remain solid and luxury maisons will take a strategic approach towards price increases, in a bid to maintain the allure and scarcity of their brands, concepts that they thrive on.
For now, the increase in price tags is across nearly all bags and accessories. Some of the brand’s most popular monogram bags, the ones that are iconic choices for first-time buyers, are seeing big hikes of between 25% and 30%.
Louis Vuitton is one of our top selling brands and we will continue to delight our community of buyers by offering desirable, new and pre-owned pieces at great discounts!! Find your favorite Louis Vuitton at The Plush Posh.