Affluent U.S. consumers prioritize family and experiences ahead of luxury items and short-term satisfaction, according to a report from the Collinson Group. The research found the top three priorities for the most affluent U.S. consumers are spending time with family, providing for family and saving for the future.
“Priorities have shifted away from luxurious trappings, and the quality of experience is increasingly the new currency for today’s affluent middle class,” said Christopher Evans, director at the Collinson Group. “Understanding these new motivations and offering tailored communications, rewards and experiences are key to winning the hearts and wallets of the affluent middle class.”
Collinson Group’s study included a total of more than 4,400 consumers in Brazil, China, India, Italy, Singapore, the United Arab Emirates, the United Kingdom and the United States. The findings revealed four consumer groups — or “tribes” — who have different motivations but share common traits that cut across age, gender and international boundaries.
Prudent planners: Representing 41% of the overall sample, they are the largest tribe and most prevalent in the United States and United Kingdom. They are valuable customers but less motivated by material products and spend less time using technology such as smartphones or apps.
Stylish spenders: Most common in China and the United Arab Emirates, they seek expensive items and invest in traveling in style across all aspects of the travel journey. Despite their high spending power, this group is the most loyal to brands they trust; on average, they participate in five loyalty programs and report loyalty to as many as eight brands.
Mid-life modernists: Well-represented in India and Singapore, they are most notable for their enthusiastic use of technology. Digital experience has a significant influence on this group, and businesses investing in this area have the opportunity to create powerful advocates.
Experientialists: Money can’t buy experiences, and exclusivity motivates this group, which is prevalent in China, the United Arab Emirates and the United Kingdom. They prioritize experiences such as spending on holidays and dining out or luxury foods.