"Today Is the Cheapest"... Another Crowd in Front of Chanel

Classic Flapback M 10 Million Won
'Open Run' Continues for a Week
Lines Form Two Hours Before Opening

On the morning of the 28th at 8 a.m., customers lined up in front of the Lotte Department Store main branch in Jung-gu, Seoul, waiting for the store to open to purchase products from the French luxury brand Chanel before the price increase.

[Asia Economy Reporter Seungjin Lee] On the morning of the 28th, more than 30 customers were lined up in front of the main branch of Lotte Department Store in Jung-gu, Seoul, even though it was more than two hours before opening. These customers were gathered for the so-called 'open run' (rushing to shop as soon as the department store opens) after news of a price increase for the French luxury brand Chanel was announced, aiming to purchase products before the price hike.

According to the fashion industry, Chanel will significantly raise consumer prices in the United States by about 12% starting July 1. Most of the products with increased prices are popular handbags from Chanel. Generally, when prices rise overseas, domestic prices are also adjusted accordingly, so domestic consumer prices are expected to increase soon.

The products with price increases this time include six handbag models, which are very popular domestically, often used as wedding gifts. For the 'Classic Flap Bag,' the small size will increase from $6,200 to $6,975, the medium from $6,800 to $7,650, and the maxi from $8,000 to $9,000, each rising by 12.5%. The 'Chanel 19 Bag' will increase 10% from $5,100 to $5,610, and the 'Boy Chanel' will rise 12.5% from $5,300 to $5,963. Applying a 12.5% price increase, the Classic Flap Bag medium, currently sold domestically for 8.64 million KRW, will approach 10 million KRW.

After the price increase news was announced last week, the open run lines at department stores have continued for a week. On this day, despite the rainy and gloomy weather, customers were seen sitting on portable chairs and waiting under umbrellas. A man in his 30s who arrived at the department store at 7:30 a.m. said, "When I arrived, about 10 people were already lined up ahead," and added, "I visited the store on the weekend as well, but there was no stock of the desired product, so I took a day off and came again."

This open run due to Chanel's price increase is the third this year. Chanel raised prices on some products in February. In April, rumors of a price increase from unknown sources led to several weeks of open runs, but prices were not raised in the end. Last year, prices were increased twice, and each time, the stores were crowded with lines. Professional 'resellers' who buy products before the price hike and resell them joined the open runs, and part-time workers who stand in line or purchase products on behalf of customers also appeared.

With prices rising frequently, a mentality of "buy first, think later" has emerged, further encouraging purchases. This is why consumers ironically say, "The luxury goods bought today are the cheapest."

This content was produced with the assistance of AI translation services.