Can shoe heels be made out of leather?

Yes. Many high end shoe makers use stacked leather heels for their shoes. Stacked leather heels are made out of layers of leather placed on top of each other. This technique gives stacked heeled shoes their distinct stripe appearance because of the visible horizontal layers of leather in the heel. Fine shoes can also have a leather sole.

Cheap shoes also may try to replicate that "striped" look by molding lines into the (usually plastic or rubber) heel.