Chanel limits how many of each product reaches each store, making items hard to find and driving urgent purchases. When bags rarely appear in multiple locations, customers buy immediately, and resale values stay high or climb above retail price, proving scarcity works.
Here's a lesson from Chanel that has made them billions of dollars. Luxury brands like Chanel are masters of scarcity. They only give 1 or 2 select pieces per SKU to each store. And they do that because they don't want anyone who's buying a Chanel to feel like anyone else is gonna have one. And so even if you go in 'cause you saw something in the magazine, you go there and they're like, sorry, we're sold out of that. Or they'll say something like, you know what? I'm gonna call one of our stores in Colorado and get that overnight airshipped to us. How likely is it that you're gonna buy? Very high. And so because these products are so scarce, they also maintain value. And so when people buy these purses, they can resell the purses sometimes for more than they bought at retail. And when a customer can do that, that's when you've mastered scarcity.
