Tariffs, Price Increases & the Resale Boom: How Luxury Buyers Can Navigate 2025

If you’ve been following luxury lately, you’ll know retail prices are rising almost across the board. From Hermès to Chanel, tariffs and higher raw material costs are being passed along to shoppers. In May, Hermès increased U.S. prices on popular bags like the Birkin 25 and 30 by nearly 6%. Chanel has also implemented several notable increases in the last 18 months, across various markets.

For shoppers, that means the boutique sticker shock is real—and resale is starting to look smarter than ever.

The Luxury Resale Market in Numbers

• The global luxury resale market is projected to hit nearly $38 billion in 2025, with growth of 9–10% annually through 2029.

• In the U.S. alone, secondhand luxury goods (bags, shoes, accessories) were worth $8.1 billion in 2024, and this number is forecasted to almost double by 2033.

• Certain icons are outperforming: The Louis Vuitton Speedy has gained ~13% in resale value since 2021, while rare Hermès Birkins sell for multiples over boutique pricing.

Categories Worth Watching

• Heritage handbags: Classic Chanel flaps, LV Speedys, and Hermès Kellys. These are still the safest bets for value retention.

• Shoes with staying power: Loafers, boots, and timeless silhouettes (especially in textured leathers) are attracting more attention, and give a better cost-per-wear than trendier styles.

• Small leather goods: Wallets, belts, and mini bags are drawing younger buyers who want to buy a bit of luxury, but are starting at a more entry point.

What Savvy Shoppers & Sellers Can Do

• Look for “pre-price-increase” purchases: Items bought before recent retail increases often sell for more favorable prices on resale platforms.

• Focus on condition & provenance: Mint condition and full packaging are worth the premium—they’ll hold value better. Only buy from retailers with clear, high-resolution photos from every angle to ensure you have a clear POV of condition prior to purchasing.

• Consider unique materials & finishes: Go for something special like suede or embellished styles. Exotic skins and limited colors may feel riskier, but they’re also where value often spikes fastest. Also look for vintage pieces with special hardware that is no longer manufactured today, as those can fetch a premium if you ever decide to resell.

• Diversify: don’t bet all your collection or purchases on ultra‑premium Hermès alone; consider resilient classics from other heritage brands like Gucci and Chanel.

2025 is fast becoming a pivotal year in luxury resale. Price rises, tariff policies, and consumer attitudes are aligning to favor high‑quality, scarce items with strong identity and traceable provenance.