It’s easy to lump all prada‘s and all Yves Saint Laurent‘s together.The move also cast a cloud over the global luxury market as analysts worry that Chinese consumers, who make up more than 30 per cent of worldwide luxury spending, would be less able to fork out cash for high-end handbags, wines or clothes.
But the price points these luxury replica handbags brands offer vary substantially. Some brands like Fendi price their entry-level bags in the EUR300 ($330) range, while others like Prada set the prices around EUR700 ($771) - more than twice as expensive.
And, notably, Bank of America Merrill Lynch’s research analyst Sherri Malek believes the brands like Prada Replica who keep their entry-level prices way higher than their competitors are hurting themsePradaes.
“The entry-price handbag for Prada is 40% higher than for prada and 80% higher than for Yves Saint Laurent Replica,” Malek writes in a recent note to clients. “This increases our concerns around Prada’s pricing strategy: elevating the brand so that it potentially alienates the ‘accessible’ segment of its replica handbags customer base, which could later become core customers.”
Interestingly, Prada’s management attributes the brand’s recent underperformance partially to a “sub-optimal merchandising mix, primarily an incomplete product offer in the lower and higher product range (i.e. above EUR1,000 ($1,100) and EUR1,400-1,600 ($1,545-$1765)).”
However, Malek notes that Prada should also take some time to think about its “incomplete product offering” in the below EUR1,000 range ¡ª since all of its major competitors have a presence in that price range.