Collecting Focus: Luxury Handbags
From record-breaking Birkins to playful Chanel collectibles, the handbag market has never been more exciting, writes Mandi Keighran
Hermès Beton Matte Alligator, Blanc Togo, Bleu Brume Chèvre and White, Orange H and Craie Swift, Blanc Sombrero Neige Faubourg Birkin 20 Sellier Palladium Hardware, 2022. Photograph: Sotheby’s
In July 2025, a slightly battered black leather bag—complete with the original owner’s nail clippers hanging from the strap—sold at Sotheby’s Paris for US$10.1m. The bag was the original Hermès Birkin, the prototype of the now-iconic style, crafted for actress Jane Birkin in 1984 after a chance encounter with Hermès chief executive Jean-Louis Dumas on a flight. Bidding opened at €1m (US$1.15m) and nine collectors fought over it in a 10-minute bidding war that proved, without a doubt, that the handbag market is one to be taken seriously.
“The first auctions with handbags started around 2008 to 2010, and since then the market has expanded significantly,” says Gabrielle Hollenbeck, an associate specialist in handbags at Sotheby’s. “With social media, and knowledge and awareness of brands like Hermès and Chanel, it has really grown.”
Jane Birkin with her original Hermès Birkin. Photograph: Copyright Mike Daines_Shutterstock
Today, around 90 per cent of Sotheby’s handbag sales are Hermès, with styles such as the Birkin and Kelly proving most popular. Current tastes lean towards smaller sizes, such as the Mini Kelly or the Birkin 25, plus limited-edition pieces.
Among the most coveted are the Birkin 20 bags in exotic skins and Faubourg Birkins: exquisite miniatures of the brand’s flagship store in Paris, complete with tiny windows and awnings, which routinely fetch upward of US$150,000. “The Faubourg Birkins are very playful—like small pieces of art,” says Hollenbeck. “It’s definitely a special-occasion bag.”
While there may never be a sale that matches the record set by the original Birkin, there have been some notable pieces on the market in recent years. One of the ultimate “it” bags is the Hermès Diamond Himalaya Birkin 30, which is crafted from Niloticus crocodile skin and features diamond-encrusted 18-karat white-gold hardware. In 2022, Sotheby’s sold one in a private sale for US$450,000.
Chanel’s Casino Monaco Slot Machine Minaudière, 2023, and Pink, Clear and Blue Resin Coco Beach Ball Minaudière, 2019. Photographs: Sotheby’s
Chanel also commands attention at auction, particularly the highly embellished minaudières (small decorative handbags). These whimsical designs, which take the form of anything from a Chanel No5 perfume bottle to a cupcake, can cost up to US$20,000 in store and tend to hold their value at auction. “They’re beautiful pieces—very rare and very collectible,” says Hollenbeck.
As this market grows, the collector base is broadening. Hollenbeck has noticed growing numbers of male buyers drawn by the investment opportunity, which she compares to watches. “They retain their value over time, and you might not be able to access many of the rarer pieces easily in store,” she explains.
Younger collectors gravitate towards trendier, smaller styles, while more established buyers seek out larger sizes and exotic skins. Vintage Hermès, which is defined as anything pre-2000, is an underrated entry point, says Hollenbeck. “These bags have stood the test of time and they’re still beautiful luxury leather pieces.”
A selection of ‘buy now’ luxury handbags on view at Sotheby’s Salon. Photograph: Stefan Ruiz
For many, luxury handbags are investments and objects of art rather than accessories for everyday use—and to retain their value, Hollenbeck’s advice is to think of them as you would a sculpture. “You really have to treat it like a piece of art,” she says. Avoid direct sunlight, which can alter the color of sensitive leathers, and maintain a stable temperature. Bags should be kept stuffed with acid-free tissue to hold their shape and stored in their dust bags when not on show. Some collectors go further, housing prized pieces in glass or acrylic cases, which truly elevates them to the status of artwork.
For those considering a first purchase, the secondary market—including Sotheby’s auctions and its digital Buy Now platform—offers something the boutique often cannot: choice. “We have a wide variety of bags in different shapes, styles and colors,” Hollenbeck says. “There’s no guarantee you will be able to buy the bag you want in store, but at auction, chances are you’re going to find something you like.”