The convergence of high horology and haute maroquinerie has finally arrived with seismic precision. In a move that reshapes the landscape of investment-grade luxury, The 1916 Company—the $600 million titan previously known for dominating the pre-owned watch market—has officially launched its dedicated luxury handbag division. Following the strategic acquisition of Luxury in Reach, a specialized resale platform founded by Lauren Lynch Schuster, the company has unveiled a curated vault of authenticated Hermès, Chanel, and Louis Vuitton assets. This is not merely an expansion of inventory; it is a calculated bet that the collector of Patek Philippe complications and the curator of Hermès Kellys are, fundamentally, the same discerning client. As the secondary market floods with volume, The 1916 Company is pivoting hard toward value, trust, and the elusive art of "white glove" curation.
The New Architecture of Luxury Resale
The announcement, confirmed on November 24, 2025, marks a definitive departure from the volume-driven models that have characterized the last decade of fashion resale. While platforms like The RealReal and Rebag have democratized access through algorithmic pricing and massive turnover, The 1916 Company is applying the slow, deliberate logic of the watch world to handbags.
The acquisition of Luxury in Reach is the keystone of this strategy. Based in Maryland, the platform had already begun integrating with Radcliffe Jewelers—a precursor to The 1916 Company’s current formation—allowing for a stress test of the market. Now, with the full absorption of Schuster’s team and inventory, the operation has gone live globally.
The distinction here is provenance. In the watch industry, "box and papers" can dictate a 20% swing in value. The 1916 Company is betting that handbag collectors are starving for the same level of rigorous documentation. By bypassing the restrictive "quota bag" games played by boutiques, they are offering immediate liquidity to a market that often feels paralyzed by waitlists.
From Horology to Handbags: The Asset Class Pivot
Why would a company generating over half a billion dollars in watch sales bother with leather goods? The answer lies in the data. "It’s a vertical that makes perfect sense for what we do," says CEO John Shmerler. "We believe in the secondary market. These types of items hold their value, and they attract collectors. There are so many parallels to watches and jewelry."
Shmerler’s assessment is understated. The correlation between the "watch guy" and the "bag girl"—or increasingly, the cross-category collector—is undeniable. Both markets are driven by scarcity, heritage, and mechanical or material perfection. A vintage Rolex Daytona and a Hermès Birkin 25 in Togo leather both outperformed the S&P 500 over the last distinct market cycle.
The 1916 Company is positioning itself not as a store, but as a portfolio manager for lifestyle assets. The client buying an F.P. Journe is often the same individual seeking a pristine Chanel Classic Flap for a partner, or indeed, for their own archival collection. By consolidating these purchases under one roof, they increase share-of-wallet while reducing the friction of trust that plagues online transactions.
The Inventory: A Study in Scarcity
The initial drop, available now via their digital flagship and select physical boutiques in Pennsylvania and Baltimore, reads like a christie’s auction catalog. The curation is aggressively high-end, eschewing the diffusion lines that clutter other platforms.
The Hermès Trinity: The focus is squarely on the "Holy Trinity" of Hermès: the Birkin, the Kelly, and the Constance. Early reports indicate a deep stock of highly specific leathers that appeal to connoisseurs:
- Togo & Clemence: The workhorses of the collection, prized for their grain and durability.
- Epsom: Structured and scratch-resistant, preferred for the Sellier cuts of the Kelly.
- Exotics: A strategic reserve of porous crocodile and ostrich skins, items that require CITES documentation and extreme expertise to authenticate.
Chanel & Louis Vuitton: Beyond the orange box, the inventory leans heavily into investment-grade Chanel—specifically the Classic Flap and the 2.55 Reissue—and the enduring utility of Louis Vuitton’s Neverfull and Keepall lines. The presence of seasonal highlights from Dior and Bottega Veneta suggests a willingness to play with trend, but the core remains "blue chip" fashion.
The Trust Economy: AI Meets the Loupe
The "super-fake" crisis has rendered the secondary handbag market a minefield. The 1916 Company is combating this with a dual-layer authentication protocol that mirrors their watch servicing.
First, the human element: Lauren Lynch Schuster’s team brings years of tactile experience. They know the smell of an authentic Hermès interior, the specific weight of gold-plated hardware, and the stitch count variances between decades. "Our expertise in authentication, curation, and collector guidance remains central," Schuster notes.
Second, the technological layer: The company has integrated Entrupy, an AI-powered authentication solution. This microscopic analysis provides a forensic guarantee that human eyes might miss. In an era where "Frankenstein bags" (authentic bags repaired with fake parts) are entering the market, this level of diligence is the minimum requirement for selling five-figure accessories.
Market Implications: The Squeeze on the Middleman
This launch places The 1916 Company in direct conflict with established luxury resellers, but with a distinct advantage: they don't need to win on volume. Their revenue base is already secured by the watch division. This allows them to be pickier, rejecting sub-par inventory that other platforms might accept to fluff their numbers.
For the consumer, this likely means higher prices but zero risk. It signals a bifurcation in the market: the "flea market" style apps for bargain hunters, and "vault" style entities for serious collectors. The 1916 Company is firmly planting its flag in the latter.
Timeline of the Takeover
- 2023: Radcliffe Jewelers, a key component of The 1916 Company, merges operations. Lauren Lynch Schuster’s Luxury in Reach begins operating within Radcliffe storefronts, testing the cross-selling potential between watches and bags.
- Early 2025: Data analysis reveals strong overlap between watch collectors and handbag buyers. Strategy for full integration is greenlit.
- November 24, 2025: The 1916 Company officially announces the acquisition of Luxury in Reach and the launch of the dedicated division.
- Present: Inventory goes live online and in Pennsylvania/Maryland boutiques; select rare Hermès models reportedly sell out within 48 hours.
Forecasting the Future
What happens next? The immediate challenge will be branding. Migrating the loyal clientele of Luxury in Reach to The 1916 Company’s ecosystem without losing the personal touch of Schuster’s original boutique feel is critical. If they navigate this transition, expect rapid expansion.
We predict the next phase will involve "Hard Luxury" Accessories. Once the handbag supply chain is stabilized, the natural progression is into small leather goods and perhaps high-jewelry resale—categories that sit comfortably between the watch and the bag.
Furthermore, look for The 1916 Company to influence the primary market. Just as watch brands now pay close attention to auction results to guide their new releases, fashion houses like Hermès will be watching how their legacy models perform on this transparent, high-data platform. The 1916 Company isn't just selling the history of fashion; they are now writing its future valuation.
