The Hermes Handbags are handmade and have a huge quality control process, such as leather, hardware, details processing, etc.
Just like if I went to a seamstress to have a dress handmade with the excellent silks, it would be a lot more than if I went to old navy!
I think it is a great investment. When I think about all the money I have spent on bags that fell apart after a year or two, I could have afforded a Hermes bag a lot sooner. If you are someone who likes different bags and to change things up, I think no. If you want a couple of staple, classic pieces, and will use the bag almost everyday, it is worth the investment if you have the funds, over the lifetime of the bag.