5 Things to Consider When Buying an Investment Bag

by HULA , August 4, 2021
Written By Chiara Jeong. Edited by Natalie Wong.

Buying a good investment handbag can be daunting, especially if it’s your first. Don’t worry though, we’ve got you covered. We’ve put together a list of things you should consider before swiping your card (and a couple of suggestions on which bags might be the most worth investing in).

 

Before you even get started, we suggest you come up with a budget that doesn’t break the bank that you can base your search around.

Value to You and Your Needs

The first thing you want to consider when looking for an investment bag is its value to you. Ask yourself questions like: “How useful will this be to me?”, “How often will I wear this”, “Can I properly care for this item”, “Does it make me happy?” and of course “Is it in my budget?”. Bonus points if the item is sustainably second hand!

 

Durability

No one wants a bag that shows signs of wear after just a couple of uses, which is why an important thing to consider is durability. Will this item survive a couple months or will it last you a lifetime (not to be morbid but perhaps longer even). Our top two suggestions for brands that make durable handbags are Chanel and Louis Vuitton. Yes, Chanel is expensive, but each item is handmade by skilled craftsmen made from the highest quality materials and is famous for lasting long enough to pass on to the next generations. Louis Vuitton bags are said to be waterproof and proofed with fire resistant PVC, making them some of the most practical and durable bags on the market. Another material that’s relatively easy to care for is Louis Vuitton’s Epi leather. The Epi leather is able to resist scratches and has a protective coating that makes it water resistant. These brands are definitely pricier, if they’re good quality it’ll last longer and you’ll get more value out of it, check out our cost per wear article here!

 
Louis Vuitton Large Top Handle Travel Bag Chanel Boy in Off White Enamel Leather Louis Vuitton Neverfull Blue Epi Leather Bag

 

Shape

Although it may be tempting to buy a trendy handbag, you should look at the shape when shopping for an investment bag. Classic shapes such as the baguette tend to come back into trend more often whereas more trendy seasonal items can go out of trend super quickly. Not saying that you shouldn’t buy a trendy bag, just think twice before you do! A couple of bags that have stood the test of time are the Fendi Baguette Bag, 2005 Prada Re-edition, Dior Saddlebags, Gucci Horsebit bags, Dior Lady Bags and of course anything Chanel (but not without reasons — see why Chanel is such a brand worth investing in). Birkin, Kelly and Constance bag — the most coveted trio from Hermès could also be good starting points seeing these bags often outperforms the S&P 500’s by 14.3% and even significantly beats gold by 2.1%  between 1980 and 2017, which brings us to our next point — why brands matter.

Dior Lady Bag in Patent Beige Leather Fendi Baguette in Fuchsia Suede Dior Lady Bag in Metallic Silver

 

Brands

The brand matters! Ideally you want to invest in a brand that is timeless. This means a brand that has managed to stay popular throughout time and a brand that won’t ever go out of style. For those of you new to the market, some brands are doing so well and have such high demand that they hike up their prices every year or every other year for several reasons! A, to manage the ever-increasing demand and adjust to inflation; B, to balance out price differences between different locations (e.g. Chanel in China and Chanel in France); C, to increase brand desirability. Some of our favorites include iconic brands like Chanel, Hermès, Louis Vuitton, Saint Laurent. Check out which brands we think are most worth investing in here!

Hermès Birkin in Kiwi Lime Hermès Birkin in Bubblegum Chanel WOC in Patent Red Leather

 

Timeless Desirability

Another thing you want to consider is how universally desirable the bag is and whether it is a timeless symbol of status. Bags that have limited production levels tend to be better for investing in. One example is the Hermes Kelly and Birkin bags, both of which have production caps so that there are very little in circulation. Although the bags themselves are already in high demand due to decades of celebrity endorsements and publicity, the brand makes it even more desirable by artificially creating scarcity via limiting their production and putting even most of its VIPs on a wait list. If you’re looking to buy your first Birkin, it might be a tad easier to go through trusted resellers (see how we authenticate our bags here!) as resellers do not tend to keep such an exclusive list for its buyers. For buyers with more room for budget, Rose, Bleu and Rouge Hermès Birkins, Kellys and Constance tend to yield the highest bid prices in auction houses. Want to learn all about Hermès bag colours and the most valuable amongst all the past colours? Click here. 

Collaborations also make for good investments as these bags are also limited in production. Forever famous for their collaborations, Louis Vuitton has had some of the most iconic collaborations that resell for tons. Some of their more famous collaborations include the Graffiti Bag (Marc Jacobs x Louis Vuitton x Stephen Sprouse), the Monogram Multicolore range or Cherry Blossom Collection (Takashi Murakami x Louis Vuitton) and more. The reason unique bags make for great investments is not only because of their beauty but also because of their resale value.

 

 

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