As of September 1st, 2023, Chanel prices in Australia, China, Japan, and Thailand have gone up once again. Specifically, Chanel's iconic Classic Flap increased approximately 7% in each those countries. At the time of this writing, neither the United States nor Europe have experienced a similar surge in pricing — however
There are two reasons Chanel increases prices. First, to achieve global price harmonization (i.e. making sure the bag costs the same amount regardless of which currency you use to purchase it). Second, to charge more for the bag.
Before the increase, the Medium Classic Flap was priced at AUD $15,710 in Australia, roughly equivalent to $10,177.34 USD. Currently, in the U.S., the same bag is priced at $10,200, aligning closely with the pre-increase Australian cost.
The recent price hike in Australia pushed the retail cost up by 7.6%. For those curious about potential implications in the U.S., if we were to extrapolate a 7.6% increase for the medium Classic Flap, it would result in an additional $775, putting the bag close to the $11,000 mark.
Given this information, it appears that the recent adjustment is more indicative of a true price increase rather than a move toward global harmonization.
This leaves us with a pressing question: Could we see similar price hikes in Europe, the USA, and the UK in the near future? We think yes, so if you’re on the fence, now may be a great time to invest in a Chanel Classic Flap.