Why Are Designer Clothes So Expensive: Do You Really Get What You Pay For?
From plain Supreme white tees to Louis Vuitton golden dress, a question that's often asked is why designer clothes are so expensive. Some will argue it's about the quality – as the saying goes, you get what you pay for. This article will dive into why these products still have high and rising prices on their tags.
Production of Designer Clothes
Designer brand prices have always been high. But over time, prices have risen at rates that exceed general inflation levels. Luxury designers tend to work with high-quality materials than your average brand would. And this has an impact on how their price is such. On top of that, the rise in raw material costs can lead to supply shortages or demand increases. These factors ultimately affect the final prices faced by consumers.
Many high-end brands like Hermes or Louis Vuitton also have bulk with their products manufactured in European countries. This means that the overall manufacturing costs will be greater than if the same process was in other places like Asia. There, many different brands take advantage of some of the cheapest production costs in the world.
Research and Development
While material and factory costs contribute to higher prices, luxury brands charge for their items far exceed the direct costs. A designer added context to this notion when he describes how prices aren't solely based on the end product. It is said that also the research and development goes into making them.
Most designer brands are not from offshore countries. But instead, made in Europe, which have high tax rates.
The Other Side of Designer Brands
Zara and Topshop take current trends and copy their look to stock their shows before moving on to the next direction. In contrast to luxury fashion, this requires minimal research and effort, which helps keep the cost of producing new ranges low.
But what about the simple ones like Gucci logo t-shirts that tag for over three hundred pounds. Has that much research and development gone into such a price tag? Probably not.
Still, this is only a fraction of the total expenses required to bring products to the market. Staff, rent, shipping, and possibly the most important one, marketing all add massively to a luxury brand's overall costs. A runway show can cost more than fifteen thousand per minute to stage, with some costing considerably more. Millions are spent on big celebrity endorsement deals that cost hundreds of thousands to shoot. Plus, even more, to advertise them in the right places. Ultimately, to convince customers that they should spend as much on the latest sneakers as they would on holiday.
And that is why designer clothes are so expensive. There is, of course, not a lot to cover in a quick read. The world of the fashion industry has both its brightest and darkest corners. That’s what makes it so interesting and the people around it.