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Handbags - Interview

What justifies the 100k price tag? An interview with Reece Morgan, Director of Handbags & Jewellery at Xupes.

What justifies the 100k price tag? 

‘It’s not superficial, it’s smart.’ Reece Morgan.

If you have been watching our Channel 4 series ‘Second-Hand for 50 Grand’ like many, your jaw may have hit the floor when Mark spent 100k on a handbag, but we are here to answer the questions floating about in your mind and rationalize the price tag to you. To many, the prospect of spending 100k on a bag seems shocking, but to some it’s a savvy investment. As share prices fall, investors are turning to luxury goods and fine wines to protect their savings. So, can Hermès bags really beat the stock market? We sit down with Reece Morgan, Director of Xupes Handbags & Jewellery Ltd to pick his brains and get his expert opinion on why these luxury bags are so lucrative.

Tell me, what is it about Hermès handbags that make them such a good investment?

Hermès bags is considered number 1 in the hierarchy of designer handbags, particularly the Kelly and the Birkin. Hermès bags are highly desirable due to the allusiveness of the brand and the resale market will always be driven by supply and demand in Hermès stores. The Birkin has famously outpaced the stock market and the price of gold since it was first produced in 1981.

How can a bag cost 100k?

Generally speaking, the price of a Hermès bag at retail is justified by the products being handmade using only the finest materials and the craftsmanship of these items has always been considered an artform. On the resale market however, the prices are generally driven by exclusivity and availability, then layered with benefactors including seasonality, rarity, materials, and desirability. Hermès challenges consumerism by slowing down the manufacturing of products that have great demand making them more desirable, driving the price on the resale market. Some say overpriced but I say it's smart.

How do you go about getting your hands on a Hermès Birkin or Kelly?

Famously, it’s very tricky to get a Hermès bag direct from their store, there is a waitlist for items like the Kelly or the Birkin, however, even that’s not going to guarantee you a bag. Purchasing on the pre-loved market means that you can choose exactly what you want without compromising on your taste, style and needs; by paying a premium you skip the queue.

What are your tips for investing in a Hermès bag?

 When purchasing a Hermès bag for an investment, I always recommend purchasing items in neutral colours, in iconic styles and durable leathers. Researching great combinations will always get you a better return on your investment for example, purchasing a Birkin 25cm in Black Togo leather with Gold Hardware is very safe as it’s the bag that everyone wants.

If you could only have one Hermès handbag, which one would it be?

My wish list changes frequently; however, I would definitely choose a special-order piece as it would be unique to myself. At the moment I am loving the Kelly bags in 20cm, these are also great investments, retailing at £6,000 with a resale upwards of £25,000.

What’s your favourite Hermès collection?

My favourite Hermès collection would have to be the Candy collection. Launched in 2011, when first launched these were the brightest colours you could purchase, and they also introduced some iconic shades such as Blue Electric, Lime and Rose Tyrien. This was Christophe Lemaire for Hermès who revolutionised the limited-edition collections that we all know and love today.

Discover our collection of pre-owned Hermès handbags and accessories online today.