Luxury marketers that have so successfully tapped U.S. aspirational consumers to grow sales over the past 20 years may have to re-think what the future holds with this segment. They may also want to re-think where they are focusing their marketing efforts.
An analysis by The Washington Post shows the mass affluent segment struggles to make ends meet on a $250,000 Household Income, yet the Top 0.1 Percent spent $214 billion on luxury goods and services in 2013. This Ultra High Net Worth segment holds the promise of even more sales.
Research presented to a New York audience of The Luxury Marketing Council from a recent Boston Consulting Group/Altagamma study interviewing luxury consumers found luxury and status are low down on the list of what’s important in consumers’ lives today. Saving is new black so to speak topping out the list of what’s important to aspirational consumers.
What do you see as being Less/More important to you than two years ago?
|Less Important||More Important|
|Saving||3 %||63 %|
|Value for Money||3||59|
|Locally grown products||7||38|
* Respondents who ranked the term equally important were excluded