Is Cartier Cheaper in Paris?

If you’re wondering is Cartier cheaper in Paris — after doing five similar stories, I’m here to wager that the answer is going to be yes. By what percentage, we shall see.

Here we go!

Step 1: Is Cartier Cheaper in Paris? The US Basket

Let’s start with three purchases in USD, via the online store and shipping to an address in New York City.

Obviously we need to begin with the iconic LOVE bracelet:

These are highly customizable, but we’re going with the classic model in 18K yellow gold, at $7,350.

Let’s add…how about the Juste un Clou pendant necklace, but obviously it’s no longer just a clou (nail) anymore, since it’s covered in diamonds?? (Officially, “36 brilliant-cut diamonds totaling 0.38 carats” covering 18K yellow gold.) This is $7400, a bargain at twice the price.

And what’s a trip to Cartier without a watch?

Again, we’ve selected an entry-level extremely expensive watch (the small model Tank with the quartz movement and leather band), so the price tag only comes to: $10,200.

Altogether? Our three-item shopping cart totals…$24,950.

Now let’s add $2,214.31 in NYC sales tax, for a total of: $27,164.31. (Free shipping!) Kind of a lot!

Step 2: Is Cartier Cheaper in Paris? The French Basket!

We have the same three items, though the prices are now in euros. All include VAT.

For the small Tank watch, our price is now €11,100 (was $10,200).

For the Juste un Clou pendant with diamonds, €8000 (was $7400).

For the classic yellow gold Love bracelet, €7950 (was $7350).

For each of these prices, the USD price is about 92% of the EUR price.

We have a total of €27,050. By today’s exchange: $28,138.54, versus the original price on the US site for $27,164.31, including shipping and sales tax.

Step 3: Is Cartier Cheaper in Paris? More Math

Now, a whole bunch of math and caveats.

Maybe you’re paying cash for your purchases, in which case good for you!!!! The rest of us will likely be paying with a U.S. credit card, which will add on about 3% — not insubstantial for a purchase this size. This brings our total to: $28,982.70.

As we know, the French prices include VAT. (Here’s a primer on all things VAT in France.) It’s easy to request a VAT refund at the airport (or at several locations in the center of Paris), though know that this information goes straight to U.S. customs officers (see paragraph below). Requesting a VAT refund will earn you back about 12% — so your final cost will be $28,982.70 minus 12%, or $25,504.78.

People lie to customs officers every day but should they???? Probably not. Let’s assume we’re declaring our $25.5K of Cartier — as it’s much above the $800 exemption threshold, expect a chop of about 3% — $765.14 — so your total is back up, to $26,269.92.

Step 4: Is Cartier Cheaper in Paris? A Surprise Conclusion

So: Is Cartier cheaper in Paris? Yes. With these three purchases, we’d have paid $27,164.31 in the U.S., versus $26,269.92 in France, all fees and taxes considered. That difference, tho? It’s pretty small: $894.39, or 3.41%. This is by far the smallest percentage difference of all the brands we’ve analyzed. 

The reason behind this is that Cartier is the most luxury-minded of all of them (including Louis Vuitton, which is more volume-minded than Cartier.) According to Reuters: “The executive [Cartier owner Richemont CEO Nicolas Bos] stressed the Richemont’s efforts to keep price differences between regions as low as possible in order to limit sales to resellers, who purchase goods in one region with the intention of selling them elsewhere.”

If the USD further strengthens against the EUR — and at this moment it’s at a two-year high — we can expect prices to go up in USD — which could make buying in France a better deal than it is now.

Otherwise, the reseller-defeating strategy means that any savings purchasing in France will be kept to a minimum. Yes, Cartier is cheaper in Paris. But its globally minded pricing strategy means not by much.