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How is the secondary market of Hermès Birkin bags hurting the brand?

The secondary market could also have a negative effect on Hermès in that it could diminish their control over their brand’s exclusivity, pricing, and overall brand experience. For example, they carefully control the amount of Birkin bags that are in circulation in order to keep the product exclusive and luxurious. However, the pre-loved market makes these products more accessible without the brand experience that their boutiques have to offer. This diminishes the mystique that is associated with the Birkin brand. Furthermore, they have no control over the prices that are charged on the secondary market. If these products are marked up or marked down significantly, then they are not considered luxury products but rather investments. Counterfeit products and those that are not well-maintained could also have a negative effect on the brand.


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