In a remarkable shift within the realm of luxury retail, Goyard, the esteemed French leather goods maker, has outperformed Hermes this year, netting an astonishing resale value retention of 104%. This notable achievement was highlighted in the recent “Clair Report” by the second-hand luxury retailer Rebag, which has examined the value dynamics within the luxury market for over five years nowHistorically, Hermes held the crown as the brand with the highest resale value for four consecutive yearsHowever, in 2024, Goyard has stolen the spotlight, even though Hermes managed to retain a stable resale value at an impressive 100%.

Chanel and Louis Vuitton also demonstrated growth in their resale values with retention rates of 92% and 88%, respectivelyThese brands have earned positions within what Rebag has dubbed the “unicorn” tier, which consists of brands that maintain resale values exceeding 85%. This classification underscores the growing significance of assessing luxury brands not only on their retail prices but also on their retention of value over time.

One cannot overlook Goyard's consistent high valuation in Rebag's reports over the years

Notably, the 2023 luxury fashion resale report pointed out that Goyard holds the second-highest brand premium just after Hermes, surpassing even iconic houses like Vuitton and ChanelThis notion cements Goyard's status in the luxury hierarchy despite its relatively smaller operational scale when compared to its larger counterparts.

In terms of revenues, Hermes generated approximately €13.4 billion (around 102.5 billion yuan RMB) in 2023, while Chanel's earnings reached nearly $19.7 billion (around 143.5 billion yuan RMB). In stark contrast, Goyard remains a privately held brand under the Signoles family, and as such, its financials are rarely disclosed, making precise revenue estimations challengingHowever, based on some available insights, it can be inferred that Goyard’s revenue might come close to 20 billion yuan RMB.

On an exciting note, Goyard has announced the opening of its first duplex flagship store in Asia, located in Chengdu's Taikoo Li, marking a significant milestone for the brand

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It operates over 30 stores across 22 cities globally, with markets including the U.S., China, Japan, and several European countriesApart from its Paris headquarters, Goyard adheres to a unique market strategy of having one boutique per city, with select high-demand cities like Hong Kong, Shanghai, and Chengdu boasting two stores.

The distinctive shopping experience at Goyard boutiques often leads to long wait times for customers hoping to snag popular items, as demand frequently surpasses supplyThis scarcity has boosted their desirability, contributing to Goyard's luxury imageBased on performance data from a single UK store, Goyard’s global revenue is estimated to be around 20 billion yuan; still, this figure pales in comparison to the staggering thousands of millions generated by Hermes and Chanel.

Coming back to the definition of ‘niche luxury brands’, Goyard certainly seems to transcend this classification

The brand’s elusive financial performance and refusal to elaborate on operational methodologies stand in sharp contrast to the more transparent approaches of brands like Hermes and Chanel, adding an alluring mystique to Goyard's market personaThis enigmatic quality may very well be a crucial factor in its soaring brand value and premier resale rankings.

Goyard predicts a slow expansion model, which emphasizes exclusivityThis cautious approach, paired with its neither conspicuous nor invasive retail strategy, involves no direct e-commerce avenues or major advertising campaignsConsumers often experience a selective invitation process just to purchase products in-store, whether at the flagship boutique in Place Vendôme or internationally.

Locally, Goyard has a significant presence in the Greater China region, with nine boutiques across six cities, including Shanghai and Hong Kong

However, it still falls short of the figures posted by Hermes and Chanel, which have markedly more stores in the area — with Hermes maintaining a massive 31 retail outlets throughout mainland China.

The limited points of purchase enhance Goyard's exclusivity, making the brand even more desirable and mysterious among consumersInterestingly, despite not having direct retail operations in China, Goyard showcases the influence of limiting availability, contrasting sharply with brands like Delvaux and Moynat, which also embrace a similar understated vibe but lack Goyard's robust image and brand loyaltyDelvaux has established 11 stores in China, while Moynat has a mere 13, struggling to garner the same recognition.

The critical distinction remains Goyard's sustained stability and coherent strategy under the stewardship of the Signoles family since their acquisition in 1998. This long-term leadership stands in stark contrast to the fluctuating ownership that other luxury brands like Delvaux have faced, which can diminish brand integrity and strength.

In a recent trendy move, Goyard has ventured into displaying a more progressive approach, inaugurating its first duplex boutique in Chengdu—a significant announcement in the upscale retail landscape

It signals the brand's potential shift towards embracing the expansive luxury retail trend, which seems imperative in an economic downturnSuch strategic twists can elevate visibility while creating opportunities for resonant brand events that draw interest in a crowded marketplace.

Despite these advancements, Goyard has largely maintained a low-key marketing strategyThis inclination avoids large advertising budgets or influencer partnerships, refraining even from disclosing product prices on its websiteInformation on its official platforms often appears sparse and without formal formatting, fostering a sense of urgency and curiosity among prospective buyers, compelling them to explore the brand further.

Interestingly, this minimalist approach to marketing hasn’t hindered celebrity endorsements, with figures like Kylie Jenner and A$AP Rocky sporting Goyard’s iconic Plumet Clutch Wallet