A collectors guide to starting a luxury bag collection

Apart from being merely aesthetically pleasing, luxury bags can have a greater purpose and can be valuable assets, with some financial experts claiming they can be better investments than art or jewellery. Since the pandemic, the secondary luxury handbag market has continued to grow, attracting many new investors. This guide will take you through some of the best models to invest in and provide some essential tips for those thinking of starting your collection. 

Which luxury bag brands are best to invest in 2025? 

Chanel

Chanel has pioneered the luxury handbag market for decades, with models such as the Double Flap Bag and Boy Bag becoming widely recognised as a symbol of luxury and elegance. First produced in 1955, the iconic flap design provides both style and practicality; featuring a chain strap for over the shoulder which separated it from other handheld bags more popular at the time. Since then, the design has evolved, featuring variations such as the iconic CC clasp and has been produced in a range of different leathers, materials and colours. The design remains ever popular and has become an iconic model within the fashion community, withstanding the test of time. As a result of its ever-growing popularity, Chanel sees an annual price increase of around 12% making their bags often fruitful investments and boosting demand on the secondary market. For example, a Classic Medium Double Flap Bag can cost around £10,000 today whereas prices were below £5000 a decade ago. 

Hermes

Hermes is another brand which stands out when looking at luxury bags as investments. Founded in 1837 as a maker of horse harnesses, Hermes has had a big impact in the luxury handbag world through iconic models such as the Birkin or Kelly bags. The Kelly bag found its name after Actress Grace Kelly used it as a shield from paparazzi hiding the fact she was pregnant. Furthermore, the Birkin bag is named after Actress Jane Birkin as she described how she struggled to find a bag which suited her needs as a mother whilst remaining fashionable, hence she suggested the design which was then combined with equestrian elements paying homage to the brands history. Both models now regularly fetch large values on the secondary market, making them great investment pieces.

In 2021 a white Himalaya Niloticus Kelly bag with a white gold and diamond clasp sold for a staggering $513,000 making it the most expensive bag sold to date. More standard models can also easily achieve in the tens of thousands. Hermes only produces bags in limited numbers meaning customers have to join long waitlists in order to obtain one. Even once bags become available, buyers often do not get their preferred colours or sizes, boosting demand on the secondary market and resale value. It is estimated about a quarter of Hermes bags brought are never worn and used solely as investments. 

Louis Vuitton

Louis Vuitton is another example of how luxury bags can be a worthy investment. Since it was established in 1854, Louis Vuitton has become a widely recognised luxury fashion brand with designs featuring its iconic monogram logo. Some notable designs include the ‘Neverfull’ bag, which was one of the first Louis Vuitton models to have a waiting list and can achieve up to 136% value retention as a result. Many special edition models such as the iconic collaboration with artist Takashi Murakami and bags made from exotic skins are also renowned for achieving high secondary market results. For example, a crocodile matte black edition of the ‘Capcines MM’ model sold for over £9000 at auction in 2016 and a Supreme collaboration on the classic Trunk 90 model sold for over £75,000 this year. 

New versus pre-owned luxury bags - which is best?

If you are thinking of purchasing a luxury bag it is important to consider the condition as it will heavily affect the resale value. Due to the exclusivity of many models the secondary market provides a lucrative means of obtaining one, sometimes costing over the retail value. When purchasing pre-owned luxury bags, it is important to only purchase from an established reseller with authenticity guarantees as counterfeit sellers can utilise the supply and demands of the market. Many outlets will offer authenticity services but is also advised to familiarise yourself with identifying factors if you are choosing to purchase second hand. 

You may also encounter some further hidden costs when investing in luxury bags. It is important they are secured correctly away from direct sunlight and professionally maintained or cleaned. Due to the value of these items, it is advised to ensure your insurance policies over their cost to protect your material assets. 

At PM Antiques and Collectables, we have a wealth of experience trading luxury handbags, promising authentic pieces for fair prices. If you are looking to sell a luxury bag or begin your luxury bag collection, get in touch today to see what options we may have for you.