Hermès Expanding Birkin and Kelly Danse Production But... Will We See Bags?

Show me the money… or in this case, the Hermes Birkins and Kellys. The luxury purveyor announced plans to (slightly) relocate and expand its existing Ganterie-Maroquinerie de Saint Julien workshop known for fabricating leather products and gloves. As announced by the brand, this move is “[i]n order to support the success of its collections, Hermès pursues the development of its production capabilities.”

Specifically, the current facility will be relocating to a new larger 50,600 square foot building next to the current location. Currently, 220 artisans are employed, with 250 expected to be welcomed, including 210 saddle leather workers and 40 glove makers, as well as management, logistics and HR staff.

According to wwd.com, this facility will create Kelly Danse and Birkin bags, as well as SLGs and wallets, like the To-Go and Bearn.

Image courtesy @purplegreypink

Hermès has opened eleven leather goods workshops in France since 2010, now employing more than 4700 artisans. As we’ve written before, four other new leather facilities are in the works, expected to open over the next years.

Along with the continued expansion of production locations, however, Hermès also has grown its retail footprint. We’ve seen the company venture into new locales, like smaller U.S. cities like Nashville, Austin, and Detroit, for example. And Hermès continues to renovate and expand existing stores such as the boutiques at NYC Madison Ave, Abu Dhabi in Galleria Mall, Japan’s Hakata Hankyu, and Beijing. Nevertheless, the number of Hermès stores remains around 300.

Image courtesy @sandrascloset

The question, of course, remains whether those lusting for a Birkin or Kelly (or perhaps other of the brand’s handbags) will be able to purchase one. Are there more people seeking these bags, leading to a continuing mismatch in demand and supply notwithstanding the anticipated production growth. And the despite Hermès’ stated intent to match demand, is that really what it desires? We shall see. In the meantime, fingers crossed.