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Leibish & Co
Friday, November 12, 2010
Affluent Americans Replacing Jewelry and Watches with Leisure
With the difficult recovery, affluent Americans are discovering that the most valued goods, services and experiences are not material, but leisure-oriented pursuits, according to the study of households with an average income of $332,000 and a net worth of $3.3 million. The conclusions suggest that while conspicuous consumption is on the wane, conspicuous leisure may soon be on the rise.
The tastes of the affluent have changed little since 2008, with only the desires for electric/hybrid cars and jewelry dropping significantly, according to the study by the Luxury Institute, a market research firm, and Resonance Consultancy, a branding and communications firm.
“In tough economic times, it's not surprising that wealthy consumers are shying away from more visual displays of wealth such as fine jewelry and watches,” says Milton Pedraza, Luxury Institute CEO. “The good news is that the desirability of philanthropy has held steady. Large gifts are a very public way of communicating status.”
Companies that will benefit by the shift from conspicuous consumption to conspicuous leisure are likely to be high-end resorts, highly-differentiated hotels and experience purveyors from travel and tour curators to leisure outfitters, according to the study, what was done as a partnership with the Resonance Consultancy, which specializes in developing brand strategies.
“Affluent households today consider leisure-oriented pursuits such as exotic vacations, vacation homes, the freedom to work from home and extended time off work to be the most desirable luxuries,” says Chris Fair, president of Resonance Consultancy. “It's a significant change from the past when the most desired luxuries were usually material goods.”
This blog is for those who are passionate about jewelry and watches and want to learn more about the industry. It's a place to find the best new products from all over the world and the latest news about the business of jewelry, watches and luxury. Readers gain a backstage pass to the glamour, fun and difficulties of the industry.
I am a freelance writer and editor who covers the luxury jewelry and watch industry for several publications, including Forbes.com the Financial Times, Hong Kong-based JewelleryNetAsiaand the Italian jewelry magazine, VO+. In addition, I have my own blog covering the jewelry and watch industry, Jewelry News Network.