Can this luxury lawsuit have an impact on the luxury watch industry as well?
https://www.businessinsider.com/hermes-lawsuit-birkin-bags-tough-to-buy-sales-practices-2024-3
TLDR: a couple ppl are suing luxury goods company Hermès for the way to control supply and sale of their highly coveted Birkin bags.
If a court rules in the plaintiffs favor do you think this has potential to have a ripple effect to other luxury goods sectors, including watch brands 'that will not be named' that have been criticized for similar sales practices? 🤔
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Ed Kwon
Humble watch collector, husband and dad from sunny California.
Member since
Last active: 8 hrs ago
I have a real problem with these types of lawsuits. These are not utilities, these are consumer products. You don’t have to buy a bag or watch to survive. Government interfering in a luxury good’s business model is the height of absurdity. Especially Hermes since their stuff is indeed handmade in their Atelier in France, so there is a limit to production. So why not sell scarce products to people that have shown brand loyalty? Luxury products are supposed to be defined by exclusivity and scarcity.
The practice of invitation only is quite wide spread and with the sellers rights set in established law I can only see the practice of "promising" or inferring a sale due to specific actions being challenged, not the principle of selling to those chosen by the seller.
This lawsuit is ridiculous to say the least. There is nothing exactly defined, let alone signed how much and what they need to buy to get the bags. That is why they use statements as mentioned "clients who have been consistent in supporting our business".
Also who can force them to sell anything if they decide not to? Hence, no this will not be positive outcome for plaintiffs and not going to reflect on watch brands such as AP, PP, ALS ... or any other luxury brand execising same practice.
The Hermès defense team should consider this lawsuit to be in the bag.
Keeping it exclusive...