‘Shatech’ and ‘Roletech’. Instead of simply consuming luxury goods, the trend of utilizing them as investment tools, known as ‘luxury investment’, is emerging as a new interest among the younger generation. Generally, consumer goods depreciate after purchase. For example, when reselling a vehicle, the price significantly drops depending on its usage and the time of purchase. However, some luxury goods, like real estate or gold, do not lose value over time; instead, they tend to appreciate.
Shatech involves buying Chanel products, while Roletech refers to purchasing high-end luxury watches like Rolex and reselling them at a higher price for profit. Chanel prices increase every year, and popular products have high scarcity, leading to the phenomenon where second-hand prices surpass the original purchase price. Rolex, even with an ‘open run’, has popular models that are extremely difficult to obtain in stores, adding a premium to the purchase price itself.
Not all luxury brands are suitable for investment. The products must come from brands expected to appreciate in value and must be popular items that many people seek. If you randomly buy anything, you will just end up being someone who bought luxury goods.
There are several success stories in ‘Shatech’, but Lee Hyun-yi's case has drawn particular attention. The Chanel bag she bought as her ‘first luxury item’ has increased in value by more than four times.
Lee Hyun-yi recently appeared on the web entertainment show ‘Knowing Sister-in-law’ and stated, “The first luxury bag I bought was Chanel. Chanel has a certain symbolism, right? I wanted to buy one that retains its value for a long time, so I bought a mini bag.” The bag, which was sold for about 1.9 million won at the time, is now priced between 8 million to 10 million won. It is even being sold at a premium in the second-hand market. She explained, “It’s a product that is hard to find, so the price has risen significantly.”
Jang Young-ran also succeeded in Shatech. She showcased a bag she received from her mother-in-law on her YouTube channel, saying, “My mother-in-law gave my husband money before we got married to buy this bag.” The bag, which she bought 16 years ago for around 3 to 4 million won, is now trading for about 18 million won in the second-hand market.
Jessica, a former member of Girls' Generation, is also consistently engaging in ‘Shatech’. In 2021, she revealed on YouTube that she had collected over 20 Chanel bags, stating, “Wearing a good bag makes you look luxurious even if you don’t wear luxury clothes. Chanel bags have sufficient investment value.” She also mentioned, “The price difference compared to when I bought it 10 years ago is significant,” indicating that prices tend to rise over time.
High-end brand watches, considered the pinnacle of luxury goods, also appreciate over time.
Rolex leads the market, and high-end brands like Patek Philippe, Audemars Piguet, and Vacheron Constantin also form overwhelming resale prices centered around models with high scarcity.
Actress Kim Sung-eun became a success story in Roletech as the value of her purchased watch significantly increased. She recently revealed her luxury watch on YouTube.
Kim Sung-eun had her 15-year-old Rolex watch appraised. The appraiser suggested that the market price for the same model in gold is 28 million won, estimating that her watch, considering the material difference, would have a resale value of about 25 million won.
Kim Sung-eun stated, “The price has really gone up,” and mentioned that she owns other products as well, while the staff explained, “Discontinued products are also maintaining prices in the 10 million won range.”
Investing in luxury goods is gaining attention due to its high returns, but it does not always guarantee successful investments. Prices are determined flexibly based on supply and demand, so there is always a risk of price fluctuations. Additionally, the condition of the product can greatly affect its value. While general wear and tear may allow for purchase or consignment sales, transactions can be rejected in cases of contamination, severe wear, or defects.
A strategic approach considering various factors such as brand value, scarcity, and timing of purchase is necessary. If you enjoy buying luxury goods while expecting long-term investment benefits, careful selection and information gathering are essential.
[Kim So-yeon, Star Today Reporter]
