The World's Richest Man Sells Overpriced Designer Fashion Goods

bobolo on 17/04/2023 - 21:11

Bernard Arnault CEO of LVMH is now the richest man in the world. LVMH owns brands such as LV, Dior, Hennessy, Tiffany & Co and a host of other designer labels.

Full disclaimer - Myself and my wife are both victims of senseless material spending owning items across many of his brands and consuming their liquor at times. Despite the hype and vapious enjoyment, we both realise how silly some of these items are for example, $4000 for a Dior bag knowing very well the materials, labour and "craftsmanship" equate to probably little over $100 in real value terms - no wonder this bloke is rich

I do find it interesting that in todays world, the most (financially) successful human is no longer one who provides oil for transportion so that humans and human necessities can move around, or a property magnate who provides shelter, or a chain of supermarkets where people can get their food and water, or even the tech guy who provides easier ways for people to talk to each other

Its the guy who sells extremely overpriced clothing, jewellery and alcohol - possibly the furthest thing humans actually need to survive, especially in a world where people are suffering at an all time high

Quite telling where our priorities have always been. Our desire to show other humans that we are better than one other trumps all else

Financial

Comments

  • Cheaplikethebird on 18/04/2023 - 08:54

    Style trends of the 2010's leaned hard toward luxury brands, that's over now though.

  • shaybisc on 18/04/2023 - 09:04

    And the richest woman in the world sells cosmetics.

    • bargain huntress on 19/04/2023 - 17:50

      Shes not really that rich.

      • Nillionaire on 13/11/2023 - 22:30

        Huh?? The richest woman in the world isn't that rich? Francoise Bettencourt Meyers

        • bargain huntress on 14/11/2023 - 12:28
          -1

          14 on forbes

          • Nillionaire on 14/11/2023 - 12:29

            @bargain huntress: richest WOMAN

            • bargain huntress on 14/11/2023 - 17:59
              -1

              @Nillionaire: Yes she is the richest woman
              The richest woman is less rich than 13 men

              • Nillionaire on 14/11/2023 - 18:09

                @bargain huntress: ??? And how does being less less than 13 men make her not that rich? What was the point of you saying "she's not really that rich?"

                Let me guess, you weren't even thinking about her. You were thinking about Kylie Jenner, who was falsely labelled a billionaire, and later revealed to be not as rich as originally portrayed. That's who your comment makes sense about. So you likely falsely presumed Kylie is the richest woman, lol. And you also falsely presumed Kylie Cosmetics is the most valuable cosmetic brand instead of Francoise's L'Oreal.

                • bargain huntress on 14/11/2023 - 19:44

                  @Nillionaire: Sorry i cant remember what i was thinking or why i wrote it - it was 7 months ago.

                  Is your memory that good?

  • lostgoat on 18/04/2023 - 09:05
    -1

    Anyone ever go to that floor at Chadstone where all the luxury brands are ?

    Its a put of all the security at the door to unleash my cards on all the crap .
    Hmmm they might not ( will not ) let me in with my Bieber cap on .

    • pharkurnell on 18/04/2023 - 09:36
      +3

      Anyone ever go to that floor at Chadstone where all the luxury brands are ?

      No.. there is nothing on earth that would make me go to the nightmare shithole that is Chadstone at all. LOL

      • CocaKoala on 18/04/2023 - 18:31
        +1

        Holy shit someone feels the same way I do!

    • shaybisc on 18/04/2023 - 09:37
      +3

      In response to his video, one follower commented: ‘You just saved me $1,700. I’ve wanted this bag since forever, but I’ll take your word for it.’

      And they never suspected that they were paying wildly, insanely more than the cost of production until seeing this bloke take them apart.

  • Malik Nasser on 18/04/2023 - 09:34

    Some of these high end items are actually good investments.
    I have a friend who buys these items, uses them for a year, then resells them for the same price or more.
    So you get use of the item, and dont loose any money (or even make a profit).
    Better than buying low end items, which quality can be somewhat questionable, and then have far lower resell value.
    But you need to do your research or know the market, and dont overspend on the initial purchase.

    • shaybisc on 18/04/2023 - 09:43

      Hermès Pre-Owned Birkin Bags ; Hermès pre-owned Birkin 30 handbag · $76,848 ; Hermès 2009 pre-owned Birkin 30 handbag · $24,026 ; Hermès pre-owned Birkin 35 bag.

      I just googled that so it's probably US$. Hilarious.

      • maiuspala on 18/04/2023 - 12:08
        +3

        But these are Hermes, not LV.
        LV is not a sign of craftsmanship any longer, but Hermes still is.

        • Nillionaire on 13/11/2023 - 22:28

          Some LV stuff is still quality craftsmanship. And not all Hermes stuff is.

  • Duckie2hh on 18/04/2023 - 09:39

    Good story bro.

  • leiiv on 18/04/2023 - 09:45
    +2

    I believe some resource and property magnates are still richer, but they stay low profile and hide their wealth well.

    • GandalfTheCheap on 19/04/2023 - 20:17
      +1

      And many dictators, oligarchs, etc.

  • pharkurnell on 18/04/2023 - 09:57
    +3

    we both realise how silly some of these items are for example, $4000 for a Dior bag

    hahahahahahahahahhahahahahaahahhah

    • ram4ram on 18/04/2023 - 23:04

      As funny as it sounds, sometimes it's an investment - the price of it goes up higher than inflation, because people will pay for it.

      • 42 on 21/04/2023 - 06:56

        Hmm reminds me of something that rhymes with crypto….

    • techlead on 20/04/2023 - 10:15
      +1

      I can never understand the stupidity of paying $4000+ for a bag. I've seen $20k, $30k bags, its insanity.

      Its probably art, I don't get art.

      • pharkurnell on 20/04/2023 - 10:43
        +1

        I just wanna know what a $20,000 (or $50) bag does that a $10 bag does. ???

        Does it just scream 'VVANKER!"

  • DJR9000 on 18/04/2023 - 09:58
    +4

    yep welcome to the world of selling veblen goods

    https://en.wikipedia.org/wiki/Veblen_good

    It seems now that it's become a lot more socially acceptable to flaunt wealth through status symbols whereas in the 80s/90s you'd be called a toff / poser / show-off unless you moved in the same wealthy circles - and the incidence of the psychological state of status anxiety is pretty pronounced.

    Welcome to late-stage capitalism

  • Wiadro on 18/04/2023 - 10:10

    These brands and their quality had fallen alot

    • Nillionaire on 13/11/2023 - 22:26

      Sure and non-luxury brand product's quality hasn't fallen? Lol

  • freefall101 on 18/04/2023 - 10:20
    +2

    It's a crossover of art and materialism. When you buy a painting you don't ask how much the paint cost and that's how LVMH markets itself, you're paying for a limited product that shows off your taste. Weirdly it's mostly people who can't really afford it buying it to show off wealth that they don't actually have that seem to buy it, which is why it makes so much money, people save up for months to buy this meaningless stuff. Much like I work with people who wear $10k watches yet Bill Gates wears a Casio, and Russian billionaires don't look like supermodels (their spouses do), people use this stuff to create their image. It's like the big gigantic testicles on those little rodents that attract a mate, it's all for show.

    Definitely costs more than $100 a bag though when you factor in designing, the stores they create, that they probably waste tonnes of leather by throwing out every bag with the slightest imperfection rather than selling it as seconds.

    • shaybisc on 18/04/2023 - 11:30
      +2

      Despite what Hermes says a leather handbag is not a work of art.

      • greatlamp on 20/04/2023 - 09:11

        Real designer goods have the involvement of the designer. I find it ironic that people spend hundreds of dollars on nike for example, because it's made popular by an athlete wearing them, when the athletes shoes are custom made and much higher quality than the ones they sell in store.

    • bargain huntress on 18/04/2023 - 18:24
      +1

      There is two kinds of art buying.

      Theres people who buy a piece of art from an artist, it has meaning to them and meaning to the artist
      They buy it because they like it and want to support the artist. You dont need to be rich to collect art and successful artists often arent wealthy. This is the real art market. In a sense it is underground.

      Then there is the art stock market. The work of mostly dead artists (and a few living artists who make a certain kind of art) is bought by wealthy people and criminals as a way to dodge taxes and law enforcement to hide and hold wealth and to show off. They dont actually care for or about the art and it doesnt mean anything to them other than money. Its not about art at all.

  • ozbaragan on 18/04/2023 - 10:30

    and here I am browsing bargain and refreshing my Amazon deals page waiting to spot a good deal by Hamza and the others.

  • afah0447 on 18/04/2023 - 10:31
    +2

    There are people out there rich enough to waste money on this grotesque garbage and have it not affect them at all, no problems there. Well maybe a little, those resources could be better deployed to help society or your fellow man. Oh well.

    However, it's those that cannot afford this stuff that go into debt to obtain it to impress others (or they are just weak minded and fall for slick marketing) that is cause for concern. They end up poor and a burden on society due to stupidity and everyone else (taxpayers) end up supporting them as have nothing. Now that is a problem.

  • sidesw1pe on 18/04/2023 - 10:45

    A year or so back I bought my wife a Chanel bag for around $10K. After a month she mentioned it cost around $12K, and now it's apparently around $15K. I didn't think about it before, but in this way it seems like an investment.
    In any case I personally hate the idea of spending so much on these types of things. I've suggested to her not to waste her money buying this stuff, but she reminds me that I spend money on computer parts and whatnot, and it's the same thing. I guess it is. Purchasing needless things, just not as expensive.

    • LFO on 18/04/2023 - 11:17
      +3

      " it seems like an investment "

      Price when spanking brand new versus price when selling second hand, pre-loved items is different.

      • sidesw1pe on 18/04/2023 - 16:40

        Naturally there is no expectation to resell for retail price, but these types of things are typically looked after very well and there is obviously an active aftermarket available.

    • furyou on 19/04/2023 - 23:18

      if she's going to spend 15k and buy it w/o telling you, then getting it for 10k is a deal.
      if you can afford it, and it makes you happy, why not?

    • greatlamp on 20/04/2023 - 09:13

      At least buying computer parts or a tesla supports human progress via the gradual advancement of technology. Buying a mass produced handbag that is lower quality than what used to be produced is a failure of capitalism.

      • Nillionaire on 13/11/2023 - 22:25

        Ludicrous. "I can spend money on things I like because they advance technology. Yours doesn't so you can't buy nice things and feel good." Clown.

  • peterw1 on 18/04/2023 - 11:01
    +2

    I've never understood why you would pay someone else to wear their name on your clothing. Why not put your name on your clothing? I'm sure mr louis vuitton and gucci think they make great stuff, but so do the guys in the dollar mart. Most of the popular louis stuff is rubberised vinyl not leather. A triumph of marketing. A fool and their money……

    • bargain huntress on 18/04/2023 - 18:26
      +4

      I hate branding so much. Unless you are paying me (and it would take a hell of a lot) to be your billboard i aint wearing it let alone buying it. Its insane how people pay to do a corporation a service.

  • LFO on 18/04/2023 - 11:14
    +2

    The real "guilty" ones are those buying, consuming, treasuring, seeking stupidly expensive items.
    Not the seller.

    The seller is, IMHO, satisfying a demand for stupidly expensive items, nothing else.

    A bit rude and it has been said before: if people are keen to buy my dog's "poopoo" for a mint then I will sell it with pride :-]

  • Seaeagles on 18/04/2023 - 11:14
    +1

    Probably cost well under $100 to make.

    I was speaking to someone that orders clothing for a large retail store and the home brand t-shirts cost them 12 cents each.
    How they can source them for such a low price delivered I will never know, I thought at least a few dollars each but he kept saying 12 cents each.

    • greatlamp on 20/04/2023 - 09:15

      Excess textiles are worthless, retailers buy them by the kilo because counting them is a waste of time. Quite shocking how poorly paid being a machinist is, I wouldn't call it unskilled labour.

  • Mrgreenz on 18/04/2023 - 11:16
    +1

    Interesting post and thoughts.

    However I don't agree with this:

    "especially in a world where people are suffering at an all time high"

    There has been great steps across the globe to reduce this, and I think it shouldn't be flippantly dismissed.

    • LFO on 18/04/2023 - 11:18

      "There has been great steps across the globe to reduce this, and I think it shouldn't be flippantly dismissed"

      Millions of homeless people will very strongly disagree.

      • Mrgreenz on 18/04/2023 - 11:28
        +3

        Billions of people with homes, infrastructure, medical access running water etc etc agree.

        I know its cool to be living in the worst time ever, but its factually not the worse time to be alive on a global aggregate, not by a long shot.

        • LFO on 19/04/2023 - 10:20

          Not sure of your definitions and comparisons but either those in need are helped enough or they are neglected.

          Giving a Vegemite sandwich and/or a blanket to a homeless person is, yes indeed, some help but realistically their needs are different and simpler: "a dwelling they could call home". Not owning, not renting, not lodging, just accessing "a home equivalent" place.

          We are talking about those "without", not comparing them to those "with".

  • Seraphin7 on 18/04/2023 - 11:19
    +1

    The World's Richest Man Sells Overpriced Designer Fashion Goods

    Good luck to him.

    I wish my net worth was closer to his than it currently is (and I reckon most people on here would have the same view).

  • nse on 18/04/2023 - 11:39

    I don't see how his wealth is correlated to what society's priorities are. There's plenty of wealth transport owners, oil tycoons and property magnates. He just happens to own a more substantial amount of this category than other individuals do of those.

  • JafferMoney on 18/04/2023 - 11:47
    +1

    LoL not sure what this post is about…you jelly brah?

  • shaybisc on 18/04/2023 - 11:48
    +1

    There is an interesting series on this kind of thing on Stan - Kingdom of Dreams. That is, people who find this kind of thing interesting find it interesting. I could only make it to about 20 minutes of episode one but that was long enough to work out that Bernard Arnault is a runt.

  • Thaal Sinestro on 18/04/2023 - 12:00
    +4

    People have moved on from luxury goods. For the middle class the most important consideration is 'luxury ideas' aka virtue signalling: trans rights, LGBT, gender fluidity, catastrophic man made globull warming, reparations for blacks/first nations people, atheism, open doors immigration policies, amnesty for illegals, pro-abortion, anti-firearm ownership, moral relativism. The wonderful thing about luxury ideas is they don't cost you a cent; all you need to do is run your mouth from time to time and nod your head in agreement.

    If you really must own luxury goods, just purchase the much cheaper Chinese knockoffs.

  • SpicyStew on 18/04/2023 - 13:20
    +1

    Did you post this using an Apple product?

    It's the social status people are buying attached with the the products.

    Majority of people who buys these products are the sufferers, because without it, they feel worthless.

    They continue to buy it because they don't realize they are suffering.

  • Cluster on 18/04/2023 - 13:24
    +2

    I recently met a relative of mine who pretended he was a rich 'mover and shaker' in the business world while really he was a glorified taxi driver. He would visit luxury watch shops and try on various $10k to $30k watches and take a selfie wearing them.

    I admired the Rolex he was wearing when he met me. 'Oh, it's not real!', be proudly boasted.

    I really don't understand people who pretend to be rich while wearing cheap knock offs. Buy the real thing if you want. I don't care. But don't buy a $200 copy from Shenzhen and think you're above everyone else.

    • [Deactivated] on 18/04/2023 - 13:32
      +1

      Shenzhen is a blast!

  • techlead on 18/04/2023 - 14:21

    I'm very happy to not be affected by that man's products, I find it the epitome of stupidity to be spending so much money on those products. Unfortunately, I cannot say the same about my wife and I've bought some of his products for her as gifts.

    • Nillionaire on 13/11/2023 - 22:16

      Hard not to when he owns Sephora and Tiffany lol.

  • bobolo on 18/04/2023 - 14:23
    +1

    I have no hate towards Bernard. In fact I have nothing but awe and respect for his rise to the top, and taking full advantage of what people value now

    I travel to Asia and Europe quite often, and over the years (last few in particular) I've noticed the significant increase of "drip" people are wearing on the streets. It's actually mind boggling. Some of the "cheaper" designer brands like Gucci and Saint Laurent are akin to standard department store fare now (in terms of "brand hierarchy"). Australia is nothing in comparison (even in the ritziest parts)

    The affordability element is also a farce. The people I know who buy this stuff constantly typically have a low net worth - and I know a lot of them

    In China for example, FAMILIES will happily spend a full years salary or more to buy a handbag or a swiss watch just to show face

    It was never like this just 20 years ago (or nowehere near to the extent it is now). Its interesting to me where capitalism and society is at present, and where we are headed next

    • 900dollaridoos on 18/04/2023 - 14:50

      You will find most luxury brands you see when travelling are fake.
      Spend enough time on replica forums and you learn to spot the obvious ones easily. I'd say at least half the rolexes I've seen overseas have been glaringly cheap fakes. Thats not to mention the much higher quality and pricier fakes. Eg the fake one I bought is good enough you need to pull it apart or be extremely knowledgeable and up close to tell.

      I spoke with a Chinese black market distributer once and he reckons the western market made up about 10% of his replica watch sales. Based on those figures I estimated there to be about half a million very high end rolexes being sold each year in Asia from just that one factory, there are many more factories.

      No imagine how much more prolific clothing replicas must be.

      Final anecdote, the most LV/Balenciaga etc stuff I've seen was in the poor parts of the middle east like Yemen and Iraq. I promise you those guys weren't spending their town's GDP on a shirt.

  • naru6705 on 18/04/2023 - 15:38
    +1

    That’s so not how true OZBargainer live their lives.

  • CuteWittleCorgi on 18/04/2023 - 16:13

    Richer than Daddy Elon?

    • derrida derider on 20/04/2023 - 21:28

      Since he bought Twitter and showed the stock market that he makes just as many dud decisions as everyone else his shares have tanked. He's at serious risk of slipping behind Jeff Bezos.

  • Drakesy on 18/04/2023 - 16:13
    +1

    Funny thing is many of the richest people in the world don't actually give a crap about these labels.

    I mean if you have to flaunt your wealth it kind of speaks volumes about your values and insecurities.
    Mind you i'll happily buy an overpriced Rolex.
    I revel in my insecurities.

    • SpicyStew on 18/04/2023 - 17:33
      +3

      Funny thing is many of the richest people in the world don't actually give a crap about these labels.

      I was going to say the same thing but it's not quite true. It depends on how they got rich, whether self-made, spouse-made/inherited. The latter will more likely still buy them.Otherwise, you wouldn't see these labels flaunted in rich neighbourhoods.

    • Nillionaire on 13/11/2023 - 22:14

      Funny thing is many of the richest people in the world don't actually give a crap about these labels.

      Ludicrous. Some of them do. Some of them don't.

      Mind you i'll happily buy an overpriced Rolex.

      That's cool but why are you judging people that buy other luxuries?

      • Drakesy on 14/11/2023 - 00:49

        Ludicrous. Some of them do. Some of them don't.

        See my comment

        Funny thing is many of the richest people in the world don't actually give a crap about these labels.

        Which id think is pretty interchangeable with some
        Not really judging just stating an opinion.

  • gromit on 18/04/2023 - 18:14

    What I always found interesting and pretty much gels with experience is that people that buy stuff with designer logos on them are not the extremely wealthy, they are the bogans and wannabe's, those with real wealth are usually far less obvious about it.

    • Nillionaire on 13/11/2023 - 22:11

      It's still the same brands lol. The same companies cater to the wealthy that prefer to be stealthy and the wannabes that prefer to be loud.

  • shaybisc on 18/04/2023 - 19:34

    Vanity capital they call it. Money spent on self-indulgence and enhancement of appearance and prestige. Estimated to be greater than the GDP of Germany - 5 trillion a year.

    China is driving its rapid growth.

  • bmerigan on 18/04/2023 - 23:12

    Highlights the current issues with wealth distribution. Both him and his customers.

  • bigbadboogieman on 19/04/2023 - 07:26

    Technically he owns these companies that sell these Overpriced Designer Fashion Goods. He has probably not sold a single piece of merchandise in his life. Also why is this surprising? I find that essential services are the most under funded in our society. This is not surprising at all.

    • derrida derider on 20/04/2023 - 21:31

      No. Many years ago Galbraith (an economist) referred to modern society as "private opulence amid public squalor".

  • node modules on 19/04/2023 - 09:12

    Watches, too.

  • boirganz on 19/04/2023 - 13:25
    +2

    To be fair, the worlds richest man/family does sell Oil. the Saudi royal family are something like 5x wealthier than Arnault

    It's just private and not transparent so they dont appear on the "richest" lists.

  • striker5950 on 19/04/2023 - 13:41

    waiting for incoming fightclub quote

    the richest individual in the world does sell oil, MBS from the family of saud who rules the dictatorship of saudi arabia. their net wroth in in the Trillions.

    • boirganz on 19/04/2023 - 13:43

      Gotta have some extra $ for your gold throne on your private jet.

      • spixder on 20/04/2023 - 11:24

        Imagine if they started upping the ante and sold "luxury" oil, black gold by Chanel.

  • pulpfiction on 19/04/2023 - 14:23
    +2

    Their clientele aren’t wealthy people by local standards.

    Literally none of the rich people I know buy luxury clothes brands. I’m talking people worth $20M to $100M. I know one executive who has a Birkin bag and they only got it as they’re friends with someone famous (don’t recall who) that lined them up with one. Another one of them had a 500k sports car, and sold it because the ongoing expenses were a waste of money (in their opinion). These people don’t want the attention and don’t need the status lift.

    I do know some people struggling with their mortgage or can’t afford a mortgage who own this sort of shit though.

    • Nillionaire on 13/11/2023 - 21:09

      Exactly lol, a consumption forum judging other people's consumption is wild

  • All Blacks NZ on 19/04/2023 - 15:20

    Proud to say we don't own a single item in our household from any of the companies he own.

    • stedmaster on 19/04/2023 - 17:47

      What about Dior Blacks?

    • Nillionaire on 13/11/2023 - 22:09

      Hard to believe no one in your family has ever shopped at Sephora.

  • FlyingMiffy on 19/04/2023 - 19:27
    +1

    I find it ironic that such righteous condemnation is coming from a community that prides itself on buying stuff… i dont have anything under the LVMH umbrella but the quality of some of the products are top notch. If someone decides its for them and they want to buy, awesome for them. This constant uninvited judgement of others must be tiring…

  • maverickjohn on 19/04/2023 - 21:01

    Everyone splurges on something but I see what you are saying. My average watch value is around $3000. So I may not contribute to leather luxuries but I spend in other ways… If that's what makes people happy it doesn't matter. Everyone has a reason… I just hope it's not to be showy to someone else

  • eklipsils on 20/04/2023 - 09:45
    -1

    Most of the people who own these luxury branded goods are either in debt or living pay to pay. The real rich people roll in Sandals, cheap Kmart Shirts and trackies and don't give two cents about what others think.

    • TightAl on 20/04/2023 - 12:28

      Have you been through the wealthy suburbs of Australia?
      I assure you no one is rolling in sandals and kmart clothing lmao.

    • Nillionaire on 13/11/2023 - 21:08

      Liar

  • pnt on 20/04/2023 - 11:10

    Well done LVMH, it's a very tough and competitive business, fashion is, to survive let alone thrive. Mind you, i will never buy a luxury item, utility and value first for me! Each to their own.

  • maverick1 on 20/04/2023 - 11:59

    especially in a world where people are suffering at an all time high

    Don't think this is true on the contrary statistically speaking the world and the human race has always progressed - be it mortality rate, global prosperity etc.
    If you get a chance do read - Factfulness, it was a bit of an eye opener
    https://www.booktopia.com.au/factfulness-hans-rosling/book/9…

  • T1OOO on 20/04/2023 - 13:13
    +1

    when i see people with these brands it scream's that their lower to poor class, trying to impress other lower to poor class.. i really feel sorry for them , that they think a bad will make them popular or what ever they have convinced themselves - it has the opposite effect.

    • xaykogeki on 20/04/2023 - 14:22

      How about people with luxury watches? Some people buy them not to impress, but as a gift for themselves.

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