Chanel Increases Prices in Europe 2017

Should you still buy a Chanel Classic Flap in Europe?

Big financial news in Europe: Chanel has recently increased handbag prices on the Continent. So, what does this mean for our US shoppers buying that coveted Chanel beauty abroad?

In May 2015, after the Parisian fashion house changed its pricing scheme, we claimed that Chanel was no longer a tourist friendly bag. (Chanel harmonized prices globally, so theoretically purchasing a Classic Flap in Europe would be about as expensive as buying it in the US.) Yet in May, we explained in a detailed post that despite harmonized prices buying Chanel abroad still saves you a fair amount of money!

Does this statement hold true given the new price increases? Is it especially worthwhile to stop by the Chanel boutique during your time abroad in Europe? Here PurseBop takes a detailed, by-the-numbers look at 3 classic bags—the WOC, Medium Boy Bag, and Jumbo Classic Flap—to compare prices old and new. You’ll quickly discover that even with the new pricing scheme, buying Chanel abroad might be better for your wallet than you expect.

chanelclassicflapincrease

StyleOld Europe PriceUSD EquivalentNew Europe PriceUSD EquivalentPercent Increase
Chanel Wallet on Chain€1,740$1,963€1,865$2,104+ 7%
Chanel New Medium Boy Bag€4,150$4,682€4,440$5,009+ 7%
Chanel Jumbo Classic Flap€4,750$5,359€4,990$5,623+ 5%

For the three bags here, you can see that prices have shifted quite a bit from the old Europe price. The WOC and Boy Bag’s prices have both increased by 7%, while the Classic Flap’s has only increased by 5%. But will the new Europe price still be competitive with the price scheme in the US? Let’s look further…

StyleOld Europe PriceUSD EquivalentNew Europe PriceUSD EquivalentPercent Increase
Chanel Wallet on Chain€1,740$1,963€1,865$2,104+ 7%
Chanel New Medium Boy Bag€4,150$4,682€4,440$5,009+ 7%
Chanel Jumbo Classic Flap€4,750$5,359€4,990$5,623+ 5%

Chanel WOC (Old Europe Price)

chanelwoc

RegionChanel WOC
US$2,100
Europe€1,740
VAT Refund (approx. 10%)- €174
Cost after VAT€1,566
USD Equivalent$1,767
Duty Tax (approx. 3%)+ $53
Total Cost$1,802
US Price ($2,100 + Tax (approx. 10.25%)$2,315
Comparison Savings$513 (~22%)

*estimated duty tax is 3%, individual cases may vary

Chanel WOC (New Europe Price)

chanelwoc

RegionChanel WOC
US$2,100
Europe€1,865
VAT Refund (approx. 10%)- €187
Cost after VAT€1,678
USD Equivalent$1,893
Duty Tax (approx. 3%)+ $57
Total Cost$1,950
US Price ($2,100) + Tax (approx. 10.25%)$2,315
Comparison Savings$365 (~16%)

As you can see, the WOC is still $2,315 in the US with *sales tax. Taking into account the VAT refund and duty, the European price has increased from $1,802 to $1,950. Although this is a considerable shift, it’s ultimately still good news: buying a WOC in Europe is still quite a bit less expensive than buying one in the US!

*sales tax will vary in each state, our calculations are based on a 10.25% sales tax

Chanel Medium Boy Bag (Old Europe Price)

Chanelnewmedium

RegionChanel New Medium Boy Bag
US$5,200
Europe€4,150
VAT Refund (approx. 10%)- €415
Cost after VAT€3,735
USD Equivalent$4,214
Duty Tax (approx. 3%)+ $126
Total Cost$4,340
US Price ($5,200) + Tax (approx. 10.25%)$5,733
Comparison Savings$1,393 (~24%)

*estimated duty tax is 3%, individual cases may vary

Chanel Medium Boy Bag (New Europe Price)

Chanelnewmedium

RegionChanel New Medium Boy Bag
US$5,200
Europe€4,440
VAT Refund (approx. 10%)- €440
Cost after VAT€4,000
USD Equivalent$4,513
Duty Tax (approx. 3%)+ $135
Total Cost$4,648
US Price ($5,200) + Tax (approx. 10.25%)$5,733
Comparison Savings$1,085 (~19%)

Moving onto our second bag, the medium Boy, we’re comparing the steady US price of $5,733 (including *sales tax) to the old and new pricing in Europe. With an increase of 7%, the Boy has gone from a total cost of $4,340 to $4,638. The upshot? The savings are considerable—you still save over $1,000 buying the bag abroad!

*sales tax will vary in each state, our calculations are based on a 10.25% sales tax

Chanel Jumbo Classic Flap (Old Europe Price)

chaneljumbo

RegionChanel Jumbo Classic Flap
US$5,500
Europe€4,750
VAT Refund (approx. 10%)- €475
Cost after VAT€4,275
USD Equivalent$4,823
Duty Tax (approx. 3%)+ $145
Total Cost$4,967
US Price ($5,500) + Tax (approx. 10.25%)$6,064
Comparison Savings$1,097 (~18%)

*estimated duty tax is 3%, individual cases may vary

Chanel Jumbo Classic Flap (New Europe Price)

chaneljumbo

RegionChanel Jumbo Classic Flap
US$5,500
Europe€4,990
VAT Refund (approx. 10%)- €499
Cost after VAT€4,491
USD Equivalent$5,067
Duty Tax (approx. 3%)+ $152
Total Cost$5,219
US Price ($5,500) + Tax (approx. 10.25%)$6,064
Comparison Savings$845 (~14%)

Finally, should you still buy Chanel’s most iconic bag in Europe? The answer is a resonant yes! If you’re abroad and coveting the Jumbo Classic Flap in particular, we are looking at $5,219, compared to the much higher US price of $6,064 (including *sales tax). Even with the price change, you would save $845. Overall, we’d say it’s certainly wise to find your perfect Classic Flap (or WOC, or Boy Bag!) while on your next European adventure…

*sales tax will vary in each state, our calculations are based on a 10.25% sales tax

So far, there’s nothing to suggest that similar prices increases will be implemented in the US, but we’ll be keeping our eyes glued to the numbers. Stay tuned for more handbag math updates!

Read Related Articles Below:

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Prices For Chanel Handbags To Rise In Europe, Lower In Asia
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Chanel Increases Prices to Compensate for Brexit
UK – Cheapest Prices for Luxury Shopping

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