French fashion house Louis Vuitton is raising prices for its luxury items in the South Korean market, allegedly in a bid to take advantage of a prospective surge in buying following the coronavirus outbreak.
According to Pulse News Korea, the brand has raised prices by between 5 per cent and 10 per cent across its various product lines, its third price increase within the past seven months.
“We have decided to raise the prices starting on May 5,” said a representative of Louis Vuitton Korea. “It was part of our pricing policy based on the long-term view.”
Poor exchange rates and the closure of production facilities in France and Italy may have contributed to the brand’s decision to raise prices, although some consumers remain suspicious that the price rises are timed to take exploitative profits from coronavirus-related restrictions.
In general, the luxury industry has seen some sales increases as high-end consumers spend disposable income on expensive treats instead of travelling. South Korean department stores Shinsegae, Lotte, Hyundai and Galleria have all reported increased luxury sales at their outlets.
Rival luxury brands Tiffany & Co. and Bulgari have also hiked prices within the last month.