April 2022 Newsletter
Upcoming Auctions
Christie’s: Most Collectible Bags : An Important European Collection, Paris, April 27
This Paris based auction, Christies’ first in five years, is a single owner collection of 69 lots, not all of which have been posted as of this writing. Most seem to be from the last five years, with the exception of a 28cm Dalmatian Kelly that will certainly peak the interest of bidders.
Christie’s: New York Online, May 26 - June 9 (No lots posted yet)
Sotheby’s: Geneva Online Auction, April 27 - May 11 (No lots posted yet)
Heritage Auctions: Dallas, April 6 - May 1
This 350+ lot auction is not particularly Hermes-heavy, with only about 20 Birkins and Kellys on offer, though low estimates and a variety of sizes and materials are sure to catch interest. Two mini Kelly 20 IIs have $12,000 low estimates. This auction also contains a number of spectacular Chanel Gripoix jewelry pieces and rare vintage Chanel bags.
Notable Upcoming Lots
Black Alligator Kelly Crutch Clutch, 1996 - The Kelly Crutch Clutch is a true collector’s bag. Rarely seen on the secondary market, this style was produced for over a decade in a variety of colors and materials, but a classic black alligator example like this is as good as it gets for the Crutch, which also features both Gold and Palladium hardware, a combination referred to at Hermes today as Electrum
Mauve Sylvestre Epsom Birkin 30 Palladium Hardware, 2021 - A hit pink, this 30cm Epsom example is sure to catch the eye of more than a few bidders, not only because of the Mauve Sylvestre-Palladium combination, but because of the condition grade 1 and the $10,000 low estimate
Vibrato and Indigo Togo Birkin 35 Palladium Hardware, 2003 - Vibrato is a discontinued material made from slicing piles of multi-colored Chevre leathers to revel unique stripe patterns. These have been produced in a seemingly endless number of color combinations, though Togo-topped bags such as this 35cm Birkin are particularly sought after for their ease of use and modern look.
Vibrato, Orange H and Vert Cru Canoe GM, 2004 - This wavy Vibrato was only used for this brightly colored Canoe totes in the mid-2000’s though the effect is unparalleled when paid with both Orange H and Vert Cru leather.
Past Auctions
Sotheby’s: Chanel Auction, New York Online, March 8 - March 17
Some surprisingly high results for vintage rarities in this auction, including a 2006 Gold Bar clutch that brought $27,720, a Small Black Lizard Classic Double Flap from 1996-1997 that brought $22,680, and a 2000ml display bottle of Chanel No. 5 which achieved a whopping $23,940 (a number close to the market value of 2000ml of actual Chanel No. 5 perfume, this bottle was filled with colored vinegar water). Most impressive, though, was the $52,920 paid for a 1960’s pair of Goossens Couture Snake Bracelets.
Artcurial: Paris Online, March 4 - March 10
Prices in this vintage-heavy auction were not particularly high or low, with no exceptional lots to note.
Christie’s: Hong Kong Online, March 3 - March 15
Prices in this auction of mostly larger sized bags were also not particularly high or low, with the exception of a rare Biscuit Swift Kelly Bandeau from 2011 that achieved around $35,000, well above the $9,375 auction record for the style, which has proven one of the rarest ‘Kellys’ in existence. Small exotic Birkins brought relatively low results such as a Matte Rouge H Alligator Birkin 25 from 2013 that sold for just over $30,000 and a Shiny Fuchsia Nilo Croc Birkin 25 from 2008 that brought just under $29,000. Both were ranked as condition level 2.5. A condition grade 2 Himalaya Birkin 30 from 2012 achieved just under $115,000, well below 2021’s $155,000 average for the size.
Articles
The Gold Standard
While Hermes has a reputation for developing new and exciting colors every season, there are some shades that have been in continuous production for decades. Black is, of course, considered the most classic, but its counterpart Gold has recently experienced a reignition of interest among collectors both fresh and seasoned. Gold in the world of Hermes does not have any metallic aspects like the Gold used to plate Hermes hardware, rather this Gold is meant to evoke the warmth and color of its namesake metal. This shade is loved for its versatility; sophisticated enough to wear with a camel coat and elegant attire, yet simultaneously casual enough to carry with jeans and a t-shirt. White contrast stitching is the most noticeable factor that differentiates Gold from other browns. This accentuates the craftsmanship that has come to define Hermes bags, highlighting the hand-double-saddle-stitched edges to great effect.
As the market for Hermes bags grows with new collectors purchasing their first Birkins and Kellys every day, one aspect of Gold’s recent rise can be attributed to the First Birkin principle, which states:
“When someone has decided to buy their first Birkin, they will most likely choose a color that is both classic and versatile.”
More and more are answering this question with Gold. Over 4% of all Hermes bags sold at auction are Gold, and Black is the only color more common, comprising 15% of the market. Though not all Gold bags are equal in rarity, 25cm Sellier and Retourne Kellys were almost never seen at auction until 2020, and only few have sold as of this writing, averaging close to $24,000 along with 28 Sellier Kellys. Sothebys recently set a record for Gold leather 28cm Kellys with the October 19th 2021 sale of a Sellier Epsom example with Gold hardware for over $45,000. Retourne 28s average closer to $20,000 along with 25cm Gold Birkins which have been seen on the market since 2015 and prior to 2019 averaged around $14,000. The 30cm Birkin, though, has had the most dramatic rise, going from an average of under $6,000 in 2015 to nearly $21,000 in 2021. Sotheby’s also set a record for this size with the March 3, 2022 sale of a 30m Gold Togo Birkin with Palladium Hardware for around $45,000. The current craze for small bags clearly plays into the ascendant values on this side of the size spectrum, though larger Gold bags, too, have seen increases in average auction results in recent seasons. Gold Birkins and Kellys 32cm and up all averaged under $7,000 in 2018, but by the close of 2021 were averaging between $11,000 and $13,500.
Appearing vastly different with Palladium or Gold hardware - Palladium hardware makes the color look sharp and crisp, whereas Gold hardware lends an air of warmth and opulence - These two finishes have danced around each other for the last five years, though the clear favorite is Palladium. Since 2012 at auction Palladium has averaged over $2,000 more than Gold for Gold leather bags, though some years the difference tops $5,000. Gold only overtook Palladium in 2018 and 2020 but not by much. Palladium took the lead again in 2021 averaging over $3,000 more than Gold, 19% above Gold Hardware’s $15,500 average last year.
Store-fresh Gold leather Birkins and Kellys are currently trading at the top of the market, and while new seasonal colors can command higher prices upon release, this classic looks secure in its position alongside Black as the ideal First Birkin (or Kelly). For years store-fresh Black leather Birkins and Kellys in popular sizes have also sold for top-market prices, and now Gold is getting the recognition it deserves as Hermes’ best brown.
A Guide to Hermes Crocodile and Alligator Birkins and Kellys
When it comes to Birkins and Kellys, exotics are a level or two up from standard leathers, and while some exceptional leather bags can command more than most exotics at auction, on the whole, crocodile or alligator Birkins and Kellys sell for about 3.5 times that of their regular leather cousins, a factor that is near equal to the difference in retail price at Hermes. Himalayan crocodile bags are known around the world as the most valuable bags on the market, but for this article we’re looking exclusively at non-hima and non-diamond crocodile and alligator Birkins and Kellys. Hermes produces these iconic bags with three different species: Alligator Mississippiensis, sourced from the southern United States, Niloticus Crocodile, farmed in Africa, and the King of exotics, Porosus Crocodile, produced exclusively in Australia. These three materials can be differentiated by the mark accompanying the Hermes brand stamp; a square for Alligator, two dots for Nilo Croc, and a little arrowhead for Porosus. In past decades Hermes used high quality Caiman crocodile, which is marked by a circle, but this has long been discontinued and is very rare on the market today.
Finish is Key
Exotics are produced in two distinct finishes, Matte and Shiny, which is also referred to as Lissé. Shiny crocodile and alligator bags are not finished with any glaze, but are buffed to a mirror finish using a smooth agate stone. This results in a deep and luminous shine that amplifies color and showcases the skin’s natural beauty. It also leaves the skin prone to water spots, which easily and quickly leave their mark. The main benefit of matte bags is their water resistance, and also their durability against scratches. The buffing process that gives shiny croc bags their sheen also smooths the material, whereas the matte finish maintains the texture of the individual scales. With use, shiny croc bags can become dull and matte bags can develop a sheen and a more pronounced texture. At auction, matte Birkins average about 11% more than shiny ones, though the popularity flips for Kellys. While some vintage Retourne Kellys were produced with a shiny finish, they are quite rare on the market, and are generally only found in larger sizes. Matte Sellier Kellys are also extremely rare, with only one full size example selling at auction in the past five years. The new 20cm mini-Kelly II is a recent exception, with 20% of all examples sold at auction having a matte finish. Overall, Sellier Kellys which all have a shiny finish sell for 19% than matte Retourne examples.
Color Counts
Crocodile and Alligator Birkins and Kellys come in spectacular colors, some of which are exclusive to exotic skins. Overall Bi-color exotics average 55% more than solid color ones, and Tri-color exotics average 27% above monotones. But within the range of solid colors, there is still quite a variety of value. Similar to leather bags, Green and Pink are the most valuable colors for exotics. This is thanks in large part to the enduring popularity of the Vert Emerald with Gold Hardware combination, as well as the overwhelming excitement for the new Vert Jade color. Rose Scheherezade, an exotic exclusive, has commanded top-dollar at auction for many years, though matte 5P pink Alligator bags are even more rare and valuable, with only three examples coming to auction in the last five years. Yellow and Blue exotics tie for the next spot. Though blue is one of Hermes’ most plentiful color categories, the options for yellow exotics are limited to just five: Jaune Ambre, Lime, Mimosa, Mais and Paille. Black and White exotics are tied next, with the single color category Black averaging just under $45,000. White, a limited collection of colors that does not actually include ‘white’ , consists of Beton, Vanille and Matte Poudre (Shiny Poudre looks more brown and is categorized as such here). Hermes’ most successful attempt at creating the near impossible perfect white came with the 2014 release of the extremely limited matte Nuage Alligator Birkin 35s, which, topped with Palladium hardware, were the purest of pure white, a technical feat by all accounts. It's rumored only 12 were made, and none have come to auction in the past five years. Similar to leathers, Purple, Red, Orange and Brown hold the bottom spots, though they are surprisingly accompanied by Gray. If we look into the results closely, the reason for this becomes clear: No Gris Perle or Gris Paris bags have sold at auction in the last five years. Some HSS exotics including Gris Perle have, but none made entirely in the highly desirable color. Gris Paris is a shade steeped in lore, it's said that only one batch of matte alligator skins was produced in this color, never to be replicated again, making Gris Paris one the most sought after colors on the market.
Size Matters
On average an exotic Birkin or Kelly’s value increases by 20% with each decrease in size. This is an oversimplification, of course. On the large end of the spectrum, 32, 35 and 40cm exotics of both styles average between $31,000 and $38,000, and 28 and 30cm bags average between $47,000 and $52,000. When it comes to the highly coveted 25cm size, more dramatic differences appear, with Birkins averaging just over $60,000, Sellier Kellys averaging over $65,000 and Retourne Kellys taking the top spot at nearly $72,000. These numbers eclipse those of the new and increasingly popular 20cm mini-Kelly II, which averages about $47,500 at auction, and is at this time produced as either shiny or matte Alligator, never Nilo or Porosus crocodile. Its likely prices for the new 20cm Kelly will continue to rise and soon meet those of 25cm styles, as auction results for leather mini Kellys have been increasing faster than all others, and the supply of these adorable bags on the secondary market is extremely limited. When the first examples of exotic Sellier Birkins come to auction in future seasons, it is expected their prices will surpass those of regular exotic Birkins.
The Scale ‘Fingerprint’
Every crocodile and alligator skin has a unique pattern of scales. Much like a human fingerprint, each animal produces a slightly different array of square-ish and round-ish scales. Alligator skins, particularly large ones tend to have wilder scales that break out of the grid pattern with more unusual shapes that can be quite large. Small alligator skins, though, typically those used for 25cm bags and small accessories with a shiny finish, have the tightest, squarest little scales that verge on perfection. Every person has their own preference for scales. Porosus crocodile is known for its pronounced pores at the center of each scale, which can be seen on some Nilo croc bags as well. Overall Porosus bags maintain small, square and symmetrical scales even at larger sizes. These ‘Three S’s,’ small, square, and symmetrical, are the scale (pun intended) on which scales are typically judged. Hermes only uses skins of the highest quality with no flaws to speak of, so we are left with our own unique perception of a scale pattern’s beauty to assess.
Article Round-Up
Demystifying the Hermès Himalaya Birkin
Originally published with Sotheby’s on March 18
Birkin Bros: Why Men Covet Wildly Extravagant Hermès Handbags
by Jacob Gallagher - Originally published on WSJ.com on March 7