Are Designer Goods Cheaper in Dubai?
Bags, jewellery, shoes, and many more — many have bought them from overseas as they ought to believe it is cheaper and readily available for them than buying in Australia. Some even thought that China has the cheapest designer goods. However, several people have also considered buying their favourite luxuries in Dubai.
One of the top trends when visiting Dubai is the unending shopping spree anyone can do aside from being fascinated by the tall skyscrapers and the fancy supercars. Many malls in the area offer luxury and branded items. Either you are in the Mall of Emirates or the Dubai Mall, you’ll be greeted by countless designer shops like Versace, Dolce & Gabbana, Rolex, or Louis Vuitton. While these brands dominate Dubai’s metropolitan area, is it really worth the hype buying luxury items from the city?
Currency Variations
All things that are made by designer brands cost almost the same. However, geographical locations and the differences in currency may have a slight or a significant price variance. Even more, although companies try to align prices regardless of location and currencies, the cross-market alignment can still have gaps. You may even try searching for the base price of luxury brands in Australia and compare them with the base prices in Dubai (converted to Australian dollars) and you will be able to match how prices can vary.
Still, it may also depend on how Australian dollars stack up vs Dirhams. The exchange rate can also affect how the prices move, and others tend to buy goods in Dubai when Dirhams cost smaller when bought via the Australian dollar.
The proximity of the brand’s headquarters
Let’s take Louis Vuitton as an example. The brand’s headquarters are located in France and are far from the Gulf States such as the United Arab Emirates. This entails a probable increase in pricing due to shipping, customs costs, and everything in between just to deliver such goods. In line with this, the pricing of luxury items like the Louis Vuitton in the UAE is 16% more expensive compared to countries close to France. Hence, a Speedy 30 Bag that costs $1,136 in Australia can go to about $1,322 in Dubai.
Another example would be Chanel. A Chanel Jumbo Classic Flap Bag is priced at $7,580. However, when bought in Dubai, it may cost around $8,228.
Furthermore, a Gucci Diana Medium Tote Bag is priced at $5,890 in Australia and AED17,550 in Dubai —- that’s $6,354.23 when converted to Australian dollars!
Hence, real designer items are not significantly cheap in Dubai. Some of them may be sold at a discounted price, but apart from that, you can only save a few quids when buying designer goods from the city. Consequently, they are just on par with the prices elsewhere considering the cross-market valuation of major luxury brands to equal prices in different locations.
Bottomline
When buying designer goods from Dubai or anywhere outside of the country, be sure to check prices first and compare them with the exchange rate of your base currency. The goal is to have a deal that’s significantly cheaper when bought, hence to scratch off not only a few cents from the price. Also, make sure to check official websites for the exact price, and to ensure you’re buying quality and original items.
