New Survey Finds Even the Wealthy Aren't That Into Luxury Goods Right Now

by Bee-Shyuan Chang (Subscribe to Bee-Shyuan Chang's posts)
Posted Sep 22nd 2009 at 3:15PM

A luxury crocodile clutch on the red carpet.

A new survey reports that even the wealthy aren't buying luxury nowadays. Photo: Charley Gallay, Getty Images

Here's some comfort for the budgeting soul: A survey published by Luxury Institute notes that even the wealthiest consumers are avoiding luxury goods, reports WWD.

The survey puts up some tough numbers for the luxury sector: 48 percent of wealthy shoppers find that luxury products are too easy to buy, making them feel everyday, and 52 percent think that brands that have branched out with mass consumer lines are no longer luxury at all, says the site.

And it looks like everyone truly is looking for a bargain; according to WWD, 21 percent of the wealthy consumers surveyed are likely to spend their dollars on discount goods and services with only seven percent budgeting for those discreet luxury items this coming year, reports the source.

(That's not actually so surprising -- we've already seen this trend in Japan.)

While the survey was not comprehensive -- only 427 people participated -- the average annual income was between $250,000 to $350,000, with an average net worth between $2.5 million to $3 million. Not exactly the shabby chic crowd.

These results could be the bearer of bad news for those luxury companies who were betting on wealthy shoppers to snap up their pricey goods, downturn or not. But, it could just turn out to be a good thing if we'll see better-crafted products and more reasonable prices for all.

Tough times aren't stopping some designers from going high-end. Read more on StyleList's coverage of the latest luxury launches.

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Filed under: News
Tags: discount shopping, DiscountShopping, economic crisis, EconomicCrisis, luxury, luxury goods, Luxury Institute, LuxuryGoods, LuxuryInstitute, recession, shopping, survey

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READER COMMENTS

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Adelle C, 9-22-2009, 4:27PM

Everyone who has a conscience of what is happening in the world, has turn itself into the saving mode..
Excellent things, at excellent prices... thats it, all we want as consumers...
Luxurious stuff,... will come our way in a couple of months (december is still months away)
http://www.vcdreams.com/
wonderfulll lingerie!!! hahaha

Reply »

Heather, 9-23-2009, 10:03AM

I agree, in this economy, getting a great deal and saving money is sooo in! I mean, I just got the October issue of Glamour magazine and there are so many great deals from the hottest brands like:

• Take 25% off any kate spade new york handbag purchase at kate spade shops or katespade.com (promo code: GLAMBAG)

• Receive a PREVAGE® Anti-aging Deluxe Kit, a 10-day supply with any PREVAGE order at the Elizabeth Arden Flagship store or ElizabethArden.com (promo code:PREVAGEKIT).

• $25 off every $100 you spend at any A|X store or armaniexchange.com (promo code: AXGLAMOUR).

• 20% off your purchase at any BareEscentuals Boutique or BareEscentuals.com (promo code: GLAMOUR)

• $25 off your $50 purchase or $50 off your $150 purchase at any Express store

• Two free panties with your purchase of any two regular-priced Calvin Klein bras at any Macy’s or macys.com (promo code: GLAMOUR)

• 25% off purchase of $150 or more at any Ann Taylor store or anntaylor.com (promo code: GLAM25)

• $25 off your entire purchase of $100 or more at H&M.

It’s Awesome!!! Plus, if you are in the San Diego area be sure to check out the Glamour lounge Sept 26th at the Tysons Corner Center in McLean, VA from 12-5 to pick up a discount packet to shop, shop, shop! Then hit up the lounge and receive a fabulous gift bag from Glamour and get a free mini-makeover courtesy of Lancome! Go to glamalert.com and click on “I heart shopping” for more info!!

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