Understanding the Value and Investment Potential of Hermès Handbags

There are some luxury brands out there that owe their high price tag as much to status and reputation as to the quality of the products themselves.

From high-end watches and timepieces to jewellery, accessories, and handbags, the luxury goods market is made up of brand names and iconic models which garner huge attention from style and investment buyers alike, pushing prices higher as the buyer pool grows. And, while there are some brands and models that are more prominent and sought-after than others, on the whole those brands that sit at the top of the market are always considered high value in their investment potential.  

In this article, we’re focussing on one of the most famous handbag brands in the world – Hermès – sharing some of the reasons why every handbag increases in financial value the minute it has left its original retail location, and why it remains the go-to brand for style lovers and investment sellers across the globe. 

The History of Hermès and How It Became a Luxury Brand

The Hermès brand is one which has held onto its position in the luxury goods industry for generations, having been founded back in 1837 by leather goods and equestrian accessories specialist Thierry Hermès. 

Hermès quickly established itself as a brand for the wealthy, attracting noblemen and combining the finest quality with the most innovative designs, even as early as the 1830s. What this tells us today is that Hermès has always been a brand at the forefront of its market, and has always striven to deliver excellence in design and experience. 

Now a brand renowned for its versatile collection of luxury goods, Hermès released its first handbag in the 1920s, and has never looked back – creating and breathing life into styles which meet the needs of its buyer pool, which use the very best quality materials and techniques, and which appeal to different buyers in terms of trend and aesthetic, as well as functional purpose. 


What Makes an Hermès Bag So Valuable?

To understand the value of not just the Hermès brand but a product from its refined and timeless collection, you need to be able to understand the art of buying an authentic designer handbag, such as an Hermès original. 

An Hermès bag isn’t just a labour of love insofar as the manufacturing process itself, but also with regard to its design. One need only look at the history and backstory of the Hermès Birkin – arguably the most coveted and sought-after bag in the history of luxury goods – to recognise the power that a great design and relatable story has on the sale of products. 

Created by Chief Executive Officer Jean-Louis Dumas after a flight in which he sat next to Jane Birkin, the Hermès Birkin encapsulated everything that Birkin herself coveted in a handbag for a young, busy, working mother. She asked for more pockets, for a long strap for convenience, and for space to hold everything she needed on a daily basis – and Hermès delivered. The release of the first Birkin in 1984 marked a point in the brand’s history, after which it never looked back, continuing to explore the timeless classic with various details and features.

And it’s this that really makes an Hermès authentic handbag so valuable. The brand knows what its buyers love about each model and each collection, and builds on the existing designs with different materials, details, hardware options, and more. 

Other standout selling points that contribute towards the unrivalled reputation of Hermès’s most popular handbags include the durability, the emotional attachment and story behind each creation, and the simple but important detail of supply and demand. For every Hermès handbag that is released to market, there is a vast list of people who would love to get their hands on it – meaning that demand always outweighs supply and pushes the financial cost skywards. 

Standout Collections and Models Which Are the Best Investment Pieces

When it comes to establishing and understanding the value of an Hermès handbag, there are some collections and models which we can’t ignore. 
The first is of course the Hermès Birkin, which has somewhat of a cult following and is considered one of the

most sought-after bags in the world. There are various models of Birkin that garner even more attention, particularly in terms of investment potential and value – for example, the Himalayan Birkin, which combines the coveted design with the use of an incredibly rare and high-value material from the Nile crocodile. 

 

But it’s not just the Birkin that enjoys high demand and fetches high prices on the market. The Hermès Kelly is another collection that owes its status to both the design and the story behind the accessory – with the name of this particular bag stemming from a rename, after Grace Kelly used the handbag to hide her pregnancy bump.

Again, there are versions of the Kelly handbag which are financially more valuable than others, owing to the intricate hardware, detailing, and materials used – however, this is another timeless handbag that always sees high activity on the market. 

Other standout collections and models to explore when seeking a high-value investment from the Hermès brand include the Kelly and Birkin Minis (often even harder to come by than the larger models), the Hermès Constance To Go wallet, Hermès Evelyne bags, and others, which can be found through reputable resellers.

Should You Buy an Hermès Handbag?

If you’re looking for an investment piece which will hold if not increase its value over time, which comes with a high level of security checks to confirm authentication, and which ticks all your style requests to boot, then look no further than an original Hermès handbag.

Synonymous with the highest quality, with prestige and status, and with incredibly high resale potential, Hermès is a brand which has long held its position as one of the most sought-after brand names in the world. And, here at Love Luxury, we’re thrilled to hold a number of handbags in store in our newest boutique in Dubai. Browse our collection of Hermès handbags online or by visiting us in Dubai. 

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