Global supply chain issues and increased manufacturing costs have been affecting brands both big and small since the COVID-19 pandemic began in 2020, and even Louis Vuitton aren't immune to the challenges. Earlier this week, the French fashion house announced that they would be raising the prices of their leather goods, accessories and fragrances around the globe, stating to Reuters that 'the price adjustment takes into account changes in production costs, raw materials [and] transportation as well as inflation' on February 15, two days before the price hikes went into effect.
Louis Vuitton is far from the only luxury fashion house to hike up its prices lately, as Chanel increased the price of its ever-desirable handbags by as much as 60 per cent in January! Prada, Hermès and Moncler have also reportedly upped the MSRP of their goods as well. Per Forbes, LVMH CEO Bernard Arnault – who, at the time of writing, is the second richest man in the world according to Forbes' real-time 'Billionaire's List' – addressed the price increases during an LVMH earnings call in January, saying 'we have to remain reasonable'. Though what's 'reasonable' is up for interpretation, what's a cold hard fact is that the rich got richer following Louis Vuitton's official announcement of their price increases, with LVMH stock going up 3.58 per cent on Tuesday after the announcement was made. Over the course of the past five days, however, it's fallen 4.19 per cent.
Price increases aren't the only bit of monetary Louis Vuitton news we've seen recently: Sotheby's charity auction of Virgil Abloh's Louis Vuitton x Nike Air Force 1's fetched over $25 million, with proceeds going towards the Virgil Abloh ‘Post-Modern’ Scholarship Fund, which assists promising fashion students of Black, African American, or African descents.
Want more LV news? Check out our exclusive interview with Sotheby's head of streetwear and collectables about the LV AF1 auction here.