With supply chain issues still being felt around the world, LVMH’s Louis Vuitton recently issued a statement to Reuters on their plan to increase prices through 2022.
The brand cited “changes in production costs, raw materials, transportation as well as inflation” as reasons for the pricing changes, meaning customers can expect raised pricetags across all lines - leather goods, fragrances and accessories.
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Fashion commentator Business of Fashion tracked the price of the Louis Vuitton Speedy handbag over the last several years, showing the price had risen by almost a third since 2019.
The statement suggests that not even the most prestige high fashion brands are immune to the supply chain issues which have rippled through the fashion industry at large. Nike announced last year that they would be limiting sales of the Air Force 1 - their most consistently popular style of all time - also citing supply and distribution issues.
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Fellow fashion house Chanel have raised their prices multiple times in the last year alone, with the price of their bags rising by almost 50% since 2020.
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Despite rising inflation, supply issues and price hikes, 2021 still saw a record year of sales for parent company LVMH with reported revenue of $71.5billion across all of their brands including Louis Vuitton, Dior, Fendi, Celine and Loewe.
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LVMH CEO Bernard Arnault has promised that price increases would "remain reasonable" and stated that they expect demand for luxury goods to remain solid in the year ahead.
