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A quick lesson from Chanel that has made them billions of dollars…

Here's a lesson from Chanel that has made them billions of dollars. Luxury brands like Chanel are masters of scarcity.

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Key takeaways

  • And they do that because they don't want anyone who's buying a Chanel to feel like anyone [music] else is going to have one.

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  1. 0:00
    Abschnitt 1 Here's a lesson from Chanel that has made them billions of dollars.

Full transcript

Locally archived YouTube transcript with timecodes. Speakers are assigned heuristically and may be corrected editorially.

1 segments

0:00Here's a lesson from Chanel that has made them billions of dollars. Luxury brands like Chanel are masters of scarcity. They only give one or two 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 [music] else is going to have one. And so, even if you go in because you saw something in the magazine, you go there and they're like, "Sorry, we're still out of that." Or, they'll say something like, "You know what? I'm going to call one of our stores in Colorado and get that overnight air shipped to us." How likely is it that you're going to buy? Very high. And so, because these products are so scarce, [music] they also maintain value. And so, when people buy these purses, they can resell the purses sometimes for more than they bought it retail. And when a customer can do that, that's when you've mastered scarcity.