Report: 'Young Affluents' poised to grow luxury market
April 18, 2007
Stevens, Pa.—The Baby Boomer generation—which has led the rise of global luxury markets—is passing the torch to "Young Affluent" consumers, ages 40 and younger, who appear to have an even stronger appetite for luxury goods, according to "Generations of Luxury," a new report from Unity Marketing.
The survey reports that these consumers—from the Generation X and Millennial generations—have a "want-it-all" attitude.
"They have an appetite for luxury that far exceeds that of the older cohort. In 2006, the 40-and-under Young Affluents spent 32 percent more on luxuries than the over-40-year-olds, an average of $65,294 as compared to $49,485," said
Pam Danziger, president of Unity Marketing and author of the new book,
Shopping: Why We Love It and How Retailers Can Create the Ultimate Customer Experience. "Incomes for both age groups were nearly identical, so our research needed to dig deeper to find the reasons that account for Young Affluents' greater spending."
She added that the impact of Young Affluents isn't just being felt in the United States, but globally.
"The global luxury market is going young so luxury marketers must learn to think young in order to survive and thrive. Global luxury marketers have gotten used to the passions and nuances of the maturing Baby Boomers after so many years of targeting this generation with their luxury goods and services. Now they have a new challenge to appeal to the Young Affluents who have different ideas about luxury and different priorities in how they spend their wealth," she said.
Danziger will address the growing influence of young luxury consumers at the Global Luxury Forum on April 20 in London.
To get more information on the report and to download the first chapter, visit
Unitymarketingonline.com.
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