Every lady desires a timeless accessory that will endure for years and only improve with age.
Hermès is a premium brand that has been in business for more than 150 years. They are well-known for their quality and craftsmanship. Still, not everyone knows its history or what to look for when purchasing one of their bags.
An excellent investment that you will be able to utilize for years to come while also increasing in value over time. A Hermès bag meets the requirements well since it is a versatile and solid investment, and in this article, we will tell you why.
The History Behind the Iconic Hermès Brand
Hermès is a fashion house rooted in heritage and history. For five generations, the label has been a mark of class across the world. Hermès began in saddlery and excellent equestrian leather products and is now best recognized for their purses and other luxury goods.
Thierry Hermès founded Hermès in 1837 as a harness business in Paris's Grands Boulevards district specialized in serving European noblemen. He crafted some of the most exquisitely constructed harnesses and bridles for the carriage trade. Over the next several decades, Hermès became one of the most well-known saddlery stores. They created leather bags to feed the horse, house the saddles, and carry other riding gear such as boots, whips, and riding helmets.
The horse was, in fact, Hermès' first customer. The Hermès horse and carriage logo has remained a symbol of the brand's illustrious history.
The current artistic director, Pierre Alexis Dumas, and the CEO, Axel Dumas, are 6th generation relatives of Hermès' founder. They did not get their seats by accident. They, like everyone else, "started at the bottom" and had to establish their value to reach the top.
What Makes Hermès Bags Unique?
Hermès bags are known for their exceptional artistry and quality. A single skilled artisan (or artist, if you like) is responsible for constructing each bag, from start to finish, from beginning to end. Between 15 and 24 hours are needed to have a finished product. The fact that these artists are few and far between makes Hermès bags are exceptionally rare.
Repairable for life, each bag may be passed down from mother to daughter, increasing in value as time goes on. Every single piece of leather has been meticulously designed to withstand the rigors of daily wear and tear. Treatments and reconditioning services are available if you want to keep your Kelly or Birkin bag looking new for the next 15, 20, or even 50 years.
Let's take a look at Hermès' two most iconic and classic handbag designs. These are the ones that a newcomer to the brand should start with.
The Kelly and the Birkin: The Gems of Hermès
Beautiful and meticulously made. Rich and famous people have a soft spot for them. Hermès Birkin and Kelly handbags are among the most iconic in the world.
The Kelly Bag
The Kelly bag, formerly known as the Sac à Dépêches, had its debut in 1935. While filming Alfred Hitchcock's thriller, "To Catch a Thief," Grace Kelly fell in love with the Hermès design. Time magazine featured a photo of Grace Kelly shielding herself from the paparazzi wearing the Kelly, and the moniker was born.
The Hermès bag's popularity skyrocketed after photos of the Princess of Monaco appeared in magazines worldwide. In 1977, Hermès rebranded the Kelly bag, even though it had already become a cultural icon.
The Birkin Bag
There is a legend around the origins of the Hermès Birkin bag. During a journey from Paris to London in 1981, British-born actress Jane Birkin found herself sitting next to the CEO of Hermès, Jean-Louise Dumas. All of these stories revolve around the contents of Birkin's purse pouring out onto the floor, including her Hermès journal. Due to the mistake, Dumas offered to assist Birkin in searching for a bag with pockets, which caused her to declare that she would give up her basket bag if Hermès ever developed one large enough to contain all of a woman's stuff.
Compared to the Kelly, the Birkin is more informal and easygoing in appearance. Both bags, however, have the same iconic significance.
Even though the Birkin bag has long held the title of "Queen of Handbags," it wasn't an overnight sensation when it first came out. It wasn't until the late '90s that the bag began to be seen as a sign of affluence and style.
It was given a boost in the early years of the new millennium when an episode of Sex and the City featured Samantha's quest to get the elusive bag, which included being placed on a five-year waitlist.
Why Hermès Handbags are a Good Investment
The first step to determine why Hermès handbags could be a good investment is to look at the price trends over the last years. A new Kelly purse from Hermès would have cost less than $1,000 in the 1950s before Grace Kelly was pictured with it. In the early 2000s, a Birkin bag could be purchased for about $4,000 after its appearance on Sex In The City.
The Kelly purse from Sex In The City currently sells for close to $12,000 (triple its value in only 15 years!). These prices do not include unique skins or specialist hardware that may exceed $100,000.
Kellys and Birkins are collectibles owing to their long lifetime and prominence as the world's most desired handbags. In addition to the difficulties obtaining materials and leather, Hermès only produces a limited number of bags each year.
Buying new Hermès bags directly from the manufacturer is restricted, resulting in the famous years-long waiting list, which has generated a lucrative resale market for Kelly and Birkin purses. A bag in good condition may bring up to or more than 80% of the previous owner's investment, while a bag in perfect condition can bring up to or more than 120%.
Luxury handbags are becoming an investment portfolio rather than a passionate purchase. The critical incentive to invest in luxury handbags is that they have doubled in value over the last decade, handily exceeding gold's 29% return.
The concept that Birkin bags are as desirable as – or perhaps more so than – other financial assets is not new. Baghunter says Hermès Birkin handbags outperform gold and the S&P 500 index on an annualized basis. Instead of being a victim of market fluctuations, Baghunter discovered that the expensive bags appreciated 500% over the 35 years.
Alternative investments include cryptocurrencies like Bitcoin, peer-to-peer lending, real estate, and equity crowdsourcing, to name a few. As investors strive to diversify their holdings, a new asset category has emerged, including Birkin bags.
At Mazzarese, we have a unique assortment of exquisite Hermès bags! Please stop by our showroom to view the complete collection.
