Saks’ Survey Finds Luxury Spending Remains Healthy

Source:China Sport ShowRelease time:20-Jul-2022Clicks:

Article From：SGB Media

Saks released its Luxury Pulse survey. The data shows that higher-income consumers who shop luxury retail have continued spending, including indulging themselves through fashion and vacation purchases. Additionally, higher-income consumers prioritize health and wellness and complement their lifestyle with luxury self-care, fitness and home products.

“We continue to pay close attention to the evolving macro environment, and the insights from the Saks Luxury Pulse [survey] reinforce our perspective on the luxury consumer,” said Marc Metrick, CEO, Saks. “The luxury customer remains highly engaged with fashion, and we are confident that our customers will continue to look to Saks when they want to elevate and refresh their everyday style.”

Saks Chief Merchandising Officer Tracy Margolies added, “Saks is committed to providing an assortment that complements the luxury customer’s lifestyle. These valuable insights are one of the ways we listen to our customers to inform our assortment. While fashion remains at Saks’ core, we’ve found that our customers embrace luxury across all aspects of their daily lives.”

Highlights from the survey include:

A greater percentage of higher income and younger consumers are spending on luxury.

76 percent of respondents with an income of $200,000 or more said they plan to purchase the same or more luxury items in the next three months than they did in the past three months.

Gen X, 21 percent, Millennial and Gen Z, 22 percent of respondents plan to purchase more luxury items in the next three months compared to Baby Boomers and Silent generations, 16 percent.

When asked where they would spend an extra $500, respondents with an income of $200,000 or more said they would spend first on vacation and leisure travel, 38 percent, followed by shoes, accessories and handbags, 29 percent.

Consumers shop online and splurge on themselves.

85 percent of respondents said they plan to shop the same amount or more online in the next three months compared to the last three months.

When splurging, 80 percent of respondents said it is likely for themselves or a gift for themselves across generations.

Consumers have an increased interest in luxury wellness and home products.

Roughly 2-in-5 respondents, 41 percent, said they prioritized wellness, especially rest and relaxation, nutrition, and general self-care, more than they did before the pandemic.

Of those respondents who prioritize fitness activities, 62 percent said they are interested in shopping for workout wear sold through luxury retailers.

Over the last three months, 54 percent of respondents have updated, renovated, redecorated their home or decorated a new one.

Respondents said they would likely shop for bed and bath products, 51 percent, home decor, 50 percent and candles and diffusers, 42 percent, in the next three months.