The designer market operates differently from mainstream retail. While most handbags, wallets, watches, and accessories lose value as soon as you buy them, a select few designer pieces defy this trend. Rarity, brand reputation, and craftsmanship determine whether an item appreciates or depreciates. To build a profitable collection, you need to know what to look for.
Which Designer Brands Have the Best Resale Value?
The first step in building a collection of high-value, appreciating designer pieces is to improve your brand knowledge. Established luxury fashion houses with a history of excellence are the safest bets.
As of 2024, some of the most valuable fashion brands include:
| Name | 2024 Brand Value in USD |
| Louis Vuitton | $41.6B |
| Chanel | $29.6B |
| Hermès | $27B |
| Gucci | $16.4 |
| Dior | $12.5B |
| Cartier | $12.1B |
| Rolex | $12B |
| Prada | $7.1B |
| Tiffany & Co. | $6.4B |
| Patek Philippe | $4.9B |
| Chopard | $3.1B |
| Omega | $2.9B |
| Fendi | $2B |
| Audemars Piguet | $1.6B |
Disclaimer: This list is not exhaustive; many other luxury brands have strong investment potential.
Take the Hermès Birkin, for instance. Known for being “hard-to-get” with its high demand and low supply, the bag is one of the most wanted designer items in the world. In many cases, its value jumps substantially, especially for rare models or those with unique features.
Qualities of Designer Items That Appreciate in Value
The following traits make a designer piece more likely to retain value:
- Timelessness: Classic styles outlast fleeting trends. Something with a timeless design, like the Chanel Flap or the Rolex Submariner, has and will attract buyers for decades. These items transcend seasonal fads and appeal to a broad audience.
- Limited editions and exclusivity: Scarcity drives demand, as collectors love limited-edition items or pieces from special collaborations. For example, an Hermès Birkin in the rare Himalayan Nile Crocodile Leather commands hundreds of thousands of dollars on auction. The fewer there are, the more valuable they become.
- Quality and craftsmanship: Superior materials, meticulous construction, and skilled artisanship guarantee longevity. Luxury brands like Gucci, Dior, and the others mentioned above are well-known for their exquisite materials and high attention to detail, which contribute to their brand’s desirability.
- Condition and maintenance: Pieces in excellent condition, with minimal wear and tear, fetch higher prices on the designer resale market. Storing items properly, cleaning them regularly, and avoiding excessive use help maintain their value. Keeping original packaging and documentation, such as certificates of authenticity and receipts, can also boost resale value.
Where to Purchase Designer Items
Knowing where to buy is just as important as choosing the right investment piece. Here are your best options:
- Authorized retailers and boutiques: Buying directly from the brand or an authorized seller guarantees authenticity. Each purchase also comes with certificates or warranties.
- Auction houses: Established auction houses like Christie’s and Sotheby’s specialize in high-value luxury goods. They frequently feature rare and collectible pieces, including vintage Chanel bags or limited-edition Patek Philippe watches. Auctions are a great way to acquire rare items with strong investment potential.
- Resale platforms: A trusted platform like The Relux has good deals on pre-owned luxury items.
How to Make Smart Purchases
These tips should help you choose pieces that bring joy and hold value over time:
- Do your homework: Research the history and resale value of specific pieces. Understand what makes them desirable and how their value has changed through the years. For instance, certain colors, materials, or design details can impact a piece’s worth. Also, keep in mind that even if a piece is from a coveted brand like Louis Vuitton, it may not guarantee a high resale value depending on the design and condition.
- Buy what you love: While investment potential matters, choose pieces you genuinely enjoy. Fashion should bring happiness, not just financial returns.
- Consider long-term trends: Avoid items tied to passing trends. For example, pieces from beloved collections by Cartier and Tiffany & Co. will remain in demand for decades, while jewelry made from cheap materials from a trendy brand loses value as soon as you buy them.
- Keep original packaging and documentation: If you’re purchasing a designer item with the intention or possibility of selling in the future, keeping the certificates, receipts, and boxes will help with proving authenticity and increasing resale value.
Common Mistakes to Avoid When Buying Designer Goods
Here are some common errors to avoid so your investments hold their value:
- Falling for fads: Stick to classic designs with proven staying power. Trend-driven pieces, like monogram-covered items, ride a wave of popularity that could lose all desirability once trends shift. Even Louis Vuitton has been releasing simpler “quiet luxury” designs despite having one of the most recognized monograms in the world, because the brand knows that timeless designs stay relevant season after season.
- Overlooking condition: Damaged or poorly maintained pieces lose value. Always inspect items before buying. Check for signs of wear, such as stains, scuffs, or loose threads, and consider the cost of repairs.
- Ignoring authentication: Fake or counterfeit items are a major issue in the luxury market. Always buy from trusted sources or get appraisals from experts. If you’re shopping on resale platforms or in secondhand markets, ask for high-definition, detailed photos of the item, especially logos, serial numbers, and stitching. Don’t hesitate to request proof of authenticity, like original receipts or certificates, too.
Ensure you’re getting the real deal. Unless you’re buying a brand new piece straight from the brand’s authorized sellers, we recommend buying from platforms with money-back guarantees, like The Relux. And, for added assurance, get an appraisal from Biltmore Loan and Jewelry to check the authenticity and condition of your piece. This way, if your purchase doesn’t meet your expectations or is inauthentic, you can return it and get your money back.
Final Thoughts
Building a collection of designer pieces that appreciate in value requires knowledge, patience, and a keen eye for quality. Focus on timeless designs, exceptional craftsmanship, and reputable brands. Buy from trusted sources, and always prioritize authenticity and condition. Follow these tips, and your luxury purchases will become both a personal indulgence and a wise investment.