I'm back from a month long- handbag making marathon. December and March are my busiest times of year when it comes to sewing. Now that I am caught up this week I am doing some reading.
First up is "Deluxe How Luxury Lost Its Luster"by Dana Thomas.
So far, this is a really great education on how the luxury business really works. It's a real eye opener for me as designer and as a customer. I think it's so important that as customers we know what we are buying and not just buying marketing. Dana shares with you the history of many luxury brands and a look at how they are run today.
Im just now reading chapter 6 "Its in the Bag. Two interesting paragraphs so far.
"Today, when you walk into a luxury brand store anywhere in the world, you will find yourself surrounded by handbags. They are the easiest luxury fashion item to sell because they don't require sizing or trying on: you look at it, and if you like it, you by it. Done. They are easier to create and produce than perfumes, and the profit margin is astounding: for most luxury brands the profit margin is between ten and twelve times the cost to make the item. At Vuitton, it's as much as thirteen times."
"Today, buying a luxury handbag is an exercise in banality: you walk into the well-appointed store past the chic-suited security guards, peruse what's on display, chose, pay and walk out with your purchase. The shopping experience may have been pleasant, but in the end it was no different from going to the Gap, except for the price. There is nothing unique about the product: the brand has churned out thousands of them, absolutely identical. Unless you place a special order to have something custom-made- and that is a very limited business, available at only a few companies-what you get is a ready to-carry bag.