Chanel Realigns Pricing for a New Global Pricing Policy

Chanel 5 Euro Coin issued 2008 held by Karl Lagerfeld 

The solid gold version was ltd ed and priced 5900 

Is it a new world order or is Chanel simply trying to cut out the 'middle men' known more commonly 'resellers' that buy in Europe and resell in Asia with a profit to them in between? I am not going to try to explain Chanel's decision  (although many commentators have tried) I promise I won't do my usual history lesson of the development and cultural analysis of these iconic pieces because that would fill a book, and I'm certainly not going to rant about the unfairness of it all (not exactly talking the need to access fresh water here). I will give you quick run through of how the rare and almost sanctified classic Chanel bag began to look ubiquitous on the streets of Asia and beyond, even in schools.  

There was a time that a select few exceedingly discerning ladies of a certain age would take the plunge and 'invest' in a once in a lifetime purchase at a Chanel boutique. Then came a select collective of hip and happening young ladies, rediscovering their mothers', even grandmothers' bags would toss them over jeans, shorts or minis in a cool nonchalant way. The irreverence of treating such a formal artefact so casually part of the charm (and I'm sure very much in the spirit of a young Coco Chanel too). An army of slightly less creative types picked up this trend with (quelle horreur!) brand new bags in ever increasing (and even younger) numbers.  Then the fakes. Then the super fakes. Then the on-line swapsies (selling one to buy another). Then the designer quilted looky-likey bags. Then the high-street copies. Then the realisation that nearly every little 8 year old has a bubble-gum pink, fake, quilted Hello Kitty bag with a shoulder chain. 

There are obviously quite a few factors that are rubbing, one against another.  In previous years Chanel have put up its prices, ostensibly for a way of maintaining these bags' exclusivity. From 2008 many of these pieces have approximately doubled at retail, classic perennials such as Classic Flaps, Reissue quilted shoulder bags and the newer but equally popular Boy bags are now priced out of reach of even most the middle-class, professional lunching ladies, the very market that had bought Chanel's cherished prizes when they were considered too bourgeois and old fashioned for the fashion crowd. Conversely, the company has slashed the traditionally comparatively much higher Asian market prices to tackle the profiteers. 

Strange to think that Chanel that talks of valuing exclusivity so highly, hiking European prices by as much as 20% recently on top of the eye-watering increases year upon year. Though the caché of the 'Frenchness' of the brand (though many leather goods are made in Italy too) is most appealing to the Asian and American market, it will be a very loyal or mega-rich European customer than will consider a Chanel classic bag purchase in the future, whist still no bargain, with tax rebates and a holiday thrown in a non-European can enjoy a little sweetener buying in Europe. 

The Power of Charm(s)

Cara Delevingne and a Fendi Karl Bug 

The picture above is not of a child's soft toy but of an uber expensive fox and mink handbag charm. Big enough to cover model Delevingne's face (should that be her fancy) it would dwarf nearly any bag you would care to place it on. That was last year's prize. This year it's all about the Hermes Rodeo horse charm, the GM would be bigger than most children's first teddy bears.

Charms are going through a revival at the moment, maybe it's a backlash against all the handbag minimalism. Ten years ago, in the thrall of fashion's maximalism, bags were multicoloured, had bits all over them along with their logos and were undressed without a scarf and tinkerly doo-dah hanging from its handle. For a few years major fashion and leather goods houses have removed all but their name from their 'stealth chic' bags on pain of fashion death. So forgive me for thinking it is strange to have most companies remove all defining features and hardware from their bags for reasons of (commercial) aesthetics and simplicity only to have their customers hang 1, 2, 3 or more huge bright fluffy objects on their bags.

The Fendi Bug up-close, was a beautifully made little creature, comprised of little bits of otherwise useless very expensive fur that probably graced the cutting room floor of Fendi furrier. On the positive side, it was nice to see Fendi recycling and the limited numbers available, and on the negative, the millions of cheaper copies, there is a part of me that has found the craze for pretend animals made from real animal's fur disturbing, even though the originals were made of leftovers. That was last year's craze, this year we have the multicoloured Hermes Rodeo, a similar shape as their baby toy Herpluch (no eyes for baby's mouth to munch on) but for adults. The Grand Model will blot out most of your 35cm bag, of course, handy for hiding those stubborn stains or scratches. These have taken over as the new VVVIP contraband in stores, and people are exchanging large (over retail) amounts of cash for these bright leather horses (or should that be ponies) on the re-sale market.

What do I think? I think there is a time and place for everything.  Some of the most celebrated handbags came with their own intrinsic charm. The Hermes Kelly and Birkin with their cloche and padlock, the Gucci New bamboo Top-handle with it's removable tassel, both good examples of matching or coordinating danglies that dress the bag to make it look more chic. Nothing wrong with a Fendi Bug, a H Rodeo or whatever will be the next 'it' charm either, on the right LARGE bag. Notice I wrote 'a' denotin singular,  a whole herd of Rodeos or whatever the collective name for monster bugs on a bag and the funny farm can only be one step away.

Choosing for your charm offensive:

1. Charms shouldn't scratch your bags or make 'smiles' as they swing
2. A charm should echo the 'personality' of you bag not clash.
3. The plainer the bag the more eye-catching the charm will be.
4. Scarf OR charm. If you need twillys/ribbons to protect costly/vintage/light coloured handles perhaps wrap in the same colour as the bag or wear gloves instead.
5. For expensive charms think about whether you will still use it if it goes out of fashion and whether you could add it to a number of bags.
6. Like everything, don't get 'carried away' (no pun intended) only buy what chimes with your own character, fashion should never dictate.
7. Be careful around children and pets, they will love to play with your costly/beloved charm.
8. Think about the shape and proportions of the bag and buy a charm accordingly. Getting the shape right is just as important as the colour
9. Allow the charm/s to make your bag more versatile, even the same charm in a different colour will change your look.
10. Don't 'borrow' a child's toy as tempting as it maybe. You may have bought it but it's not actually yours ;-).