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6 Simple Reasons Why Luxury Fashion Brands Are So Expensive


Ever been perusing through beautiful pieces at a high-end retail shop, and wondered why everything is so expensive? It is commonplace for luxury brands to charge astronomical prices for their products and clothing. You may find an inexpensive piece of clothing and a near replica at a high-end clothing store – and the only difference between the two is the price tag. It may seem unfathomable for luxury designers to charge so much more than less reputable name brands, but there is actually a bit of method to the price point madness of high-end clothing. Here are simple reasons why luxury fashion brands are so expensive. 

The word “luxury” comes with a price tag.

One of the distinguishing characteristics of luxury fashion is in fact the price point. Without the increased price, high-end brands could be perceived as not so high end. Some luxury brands are starting to offer more affordable options, but the reputation of luxury is still cemented by the raised cost you pay at the counter. 

Consumers want to feel special or important.

For many loyal consumers of luxury fashion brands, the higher the price they pay, the more they tap into that perception of luxury. Many consumers feel that the higher the price for the products they buy, the higher they are asserting themselves into society or an elite class of wealth and success.  

It is easy to tie the concept of value to price. 

The same needle and thread can be used to make a high-end piece of clothing and a store-brand item. Luxury brands can create a value-added component by increasing the price. Often, functionality is less important than the perceived value in the world of luxury fashion, with the utility of high-end fashion pieces typically extending through an occasional event, or even single red carpet or event appearances. 


The quality of the used material is usually very durable and trustworthy.

Although some of the reasons luxury brands can charge extra are rooted in a perception of value, it’s not all about the hype. Many consumers are willing to pay the extra premium for luxury fashion items because they typically use very expensive, superior materials. In this instance, the utility and longevity of a product is worth the price increase to luxury fashion consumers. 

Luxury brands can create a perceived scarcity of products. 

Supply and demand is another aspect that, if well played, can definitely work in favor of luxury fashion designers. The concept of “one-of-one” custom pieces can drive a consumer to pay high prices, in exchange for exclusivity and social praise a purchase like this can afford. 

Consumers are paying for the genius and creativity of the luxury fashion designer.

With many luxury fashion brands, the process of designing and creating a piece of luxury clothing is a lot more personal and intensive than with store brands. Whereas a store brand may mass-produce several items to be purchased by a plethora of anonymous consumers, many luxury designers are creating pieces themselves with the intentionality of one client in mind. Here in lies one of the most crucial selling points of luxury fashion brands and the designers behind them.