Chanel recently shocked the fashion world with a huge price increase for 2023, and we are here to break down which bags are affected and by how much. Despite being no surprise, customers are still left wondering when and if the price hikes will ever end.
Chanel’s chief financial officer, Philippe Blondiaux, has provided some insight into the price increases. Last summer, he stated that the brand could implement a price increase “to account for currency fluctuations and inflation.” He also clarified that the company usually revises their prices twice a year, and this will continue to be their practice.
In 2022, Chanel still managed to experience double-digit revenue growth, despite store closures in Russia and China. Research analysts from Jefferies suggest that this success could be attributed to the 21-30% price increase on their bags over the past couple of years, as opposed to the overall volume of sales.
The price increase was significant, with the only Classic Flap under $10,000 being the small size. The Maxi now reaches the $11,000 mark. The Classics received a 16% increase, and the Coco Handle, Chanel 19, and the Pearl Crush were all given a 14% increase. This was a global increase, affecting many markets.
| New Price | Old Price | %Increase | Delta |
Chanel Classic Mini Square Flap Bag | $4,700 | $4,200 | 11.9% | $500 |
Chanel Classic Mini Rectangular Flap Bag | $4,900 | $4,400 | 11.36% | $500 |
Chanel Classic Small Flap Bag | $9,600 | $8,200 | 17% | $1,400 |
Chanel Classic Medium Flap Bag | $10,200 | $8,800 | 16% | $1,400 |
Chanel Classic Jumbo Flap Bag | $11,000 | $9,500 | 15.8% | $1,500 |
Chanel Classic Maxi Flap Bag | $11,500 | $10,000 | 15% | $1,500 |
Chanel Classic Flap Mini Top Handle | $5,400 | $4,800 | 12.5% | $600 |
Chanel Coco Handle Mini | $5,400 | $4,800 | 12.5% | $600 |
Chanel Coco Handle Small | $5,900 | $5,000 | 18% | $900 |
Chanel Coco Handle Medium |
| $5,500 |
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| New Price | Old Price | % Increase | Delta |
Chanel Reissue Mini Bag | $4,900 | $4,400 | 11.36% | $500 |
Chanel Reissue Regular Bag | $10,200 | $8,800 | 15.91% | $1,400 |
Chanel Reissue Large Bag | $11,000 | $9,500 | 15.79% | $1,500 |
Chanel’s price increases have been consistently higher than other brands, putting their bags on par with Hermès pricing and out of reach for many customers. While the brand has worked towards international price equality, the increases are still largely criticized. Despite this, the bags still tend to sell out before they even hit the shelves, indicating that many customers are still willing to buy Chanel despite the price increases.
