HushTug "Drawstring Leather Bag" Manufacturing Cost Revealed
Hello!
I'm Nakajima, a designer for the leather brand HushTug.
When I'm in the store, customers sometimes ask me,
"How can you sell it for under 20,000 yen when you use so much leather?"
There are several reasons, but since you're asking, I'll tell you everything, from the cost to the system behind it.
First, let's look at the manufacturing cost, which I'm sure you're curious about!
HushTug "Drawstring Leather Bag" Cost Revealed!
For a selling price of 19,800 yen, the manufacturing cost is 7,789 yen. The cost ratio is almost 40%.
This 40% figure is actually quite high; general brands are said to have a cost ratio of 20-30%, and luxury brands can sometimes be below 10%.
In other words, HushTug has a significantly higher proportion of "money spent on the product itself."
The remaining 60% covers labor costs, advertising costs, new product development costs, and rent for stores and offices, with any remaining amount becoming the company's profit.
How is it possible to sell at this price?
However, a high cost ratio doesn't mean we're cutting corners on labor or salaries.
We pay skilled artisans and our employees at a high standard.
So, how can we make high-quality products, pay our staff well, and still offer them at this price?
The biggest reason is that we don't use intermediaries.
While HushTug entrusts manufacturing to skilled artisans, we handle everything from product planning, EC site management, store operations, advertising operations, and media management ourselves, which eliminates unnecessary intermediate costs.
Another reason is that our main sales channel is online.
Although HushTug has physical stores, approximately 90% of our sales are online, so our tenant costs are lower compared to other brands.
By saving money this way, we can keep selling prices as low as possible and allocate funds to materials and labor, thus returning value to everyone involved with HushTug—customers, artisans, and employees.
The Craftsmanship Behind the "Drawstring Leather Bag"
You might hear us say, "we invest in materials and labor," but it's hard to grasp how that translates to actual quality, right?
This is where we've poured our passion, so let me explain a bit more in detail.
For the material, we generously use domestically produced Himeji leather.
When new, it has a matte, subdued appearance, but with use, it develops a luster and its color gradually deepens.
I believe the true joy of genuine leather products is enjoying the aging process as they become more familiar in your hand and develop into a unique item.
The sewing is handled by top-level Japanese artisans with experience in crafting bags for the Imperial Family.
Strong stitching not only makes the seams beautiful but also prevents distortion and fraying even after long-term use.
Finally, regarding the design.
What HushTug has always valued is the concept of "ultimate simplicity."
We want the bag to be a supporting actor that enhances the wearer, rather than making a statement itself.
With that in mind, we adopted a design where the surface is plain, and even the logo is placed inside.
It's versatile enough to match any outfit, unaffected by trends, and designed for long-term use.
Why the "Drawstring Leather Bag" Was Chosen by 10,000 People
Thanks to your support, this "Drawstring Leather Bag" has sold over 10,000 units and become one of HushTug's flagship products.
Reading the reviews, alongside praise for its quality, price, and size, comments like "I love this shape" stand out.
The chubby, rounded form gives it a simple yet distinctive personality that stands out from the crowd.
Finally
Thank you for reading to the end!
Today, I revealed HushTug's manufacturing costs and explained how we can deliver this quality at this price without compromise, as well as the passion behind our products.
To ensure you can try HushTug products with ease, we offer a service that allows free returns and exchanges for 30 days.
If you're even slightly interested, please take 30 days to thoroughly enjoy its quality at home.