In 2024, rising prices for luxury goods are confirmed

The year has barely begun, yet the strategists at the major luxury brands didn't wait for Epiphany to raise their prices. After the stroke of midnight, the big names implemented their new pricing policies on January 1st, seeing the prices of their most coveted luxury products soar, with Rolex and Hermès leading the way. From the Submariner to the GMT-Master II and the Yacht-Master, to name but a few of the legendary names, all have increased in price by an average of 4% to 5%, and even more for some specific references such as the Yacht Master II in yellow gold. Admittedly, this is less than the 7% to 8% of 2023, but the upward trend continues.

At Hermès, the price increase even caused a stir in some parts of the world, as an increase of 5% to 20% is observed depending on the products. Enthusiasts noted a 14% increase in Royal moccasins, while exotic leather Oran sandals surged by over 40%. Chanel had already taken advantage of raising its prices before Christmas, especially in China and Southeast Asia, where demand was high, and stocks were low. Because if inflation can no longer be the main cause of these increases, as it seems to be calming down all over the world, it is indeed the "pricing power" effect that is still at play. But unlike other years when general demand is slowing down, only the most powerful brands can now practice it in 2024 without fearing a weakening of their desirability.