The world of luxury fashion would be incomplete without a mention of Hermès, the iconic French brand synonymous with its iconic Birkin bags. Famous for their premium craftsmanship, intricate embroidery, limited availability, and jaw-dropping price tags, Birkins are dream possessions for fashion enthusiasts and collectors alike. Recently, Hermès’ artistic director, Pierre-Alexis Dumas, sparked controversy with comments he made in an interview with 60 Minutes. Dumas described Hermès’ products as “expensive but not expensive”, defending their uniqueness and value.
“I’ve always heard that Hermès is very expensive. It’s not expensive, it’s expensive. The cost is the true cost of making the item properly with the required level of attention so that you have a quality item. Expensive is a product that doesn’t deliver what it’s supposed to deliver, but you Paying a lot of money for it, and then it cheats you — that’s expensive,” Dumas said.
Indianexpress.com spoke to a psychologist and found out how the perceived value of an item increases its value and why people are so enamored with luxury products.
“Perceived value of an item plays an important role in increasing its value as people often assign prices to products based on their uniqueness, rarity and social status,” said Juhi Pandey, psychologist at Mpower Helpline. According to him, people have many reasons for this Attracted to luxury goods. Some of them are:
Features: “Luxury brands create an impression that not everyone can own their product, even if they have money. This strategy of selective branding increases their appeal,” said Pandey.
Feeling of remoteness: Scarcity and access to luxury goods fuel the feeling of desire. “People often wonder why they have something that seems to be selective. This trait acts as a psychological hook,” Pandey explained.
Neuroscience and Luxury: Buying luxury goods activates brain regions such as the nucleus accumbens and ventral striatum, which are associated with impulsive desires. “Dopamine, the neurotransmitter associated with pleasure and motivation, is released during such purchases, which heightens the feeling of reward,” Pandey said.
Craftsmanship: Exceptional attention to detail and exquisite craftsmanship attract those who appreciate precision and durability. “Many luxury buyers appreciate the effort and skill behind these items, which match their own standards of excellence,” Pandey said.
Pandey mentioned Exclusivity and high pricing Often indicates quality and prestige, which increases the demand for luxury goods. “The joy of owning something rare activates the brain’s reward system. Cognitive biases such as anchoring and the endowment effect also play a role, as people value items based on initial price points or personal attachment,” she said.
Ultimately, the desire for status, recognition, and self-fulfillment makes luxury goods highly attractive.
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