Wealth & Luxury Myths Revealed

Independent research company, Luxury Institute, which focuses it’s research on only the top 10% of America’s wealthy, has created a list of the top ten myths about wealth and luxury from a marketing and branding perspective. In it, they dismiss many long held assumptions that America’s super wealthy are all drinking Cristal on their Yachts and throwing money at anything that moves.

In actuality, they’re typically very hard working, savvy consumers who are value conscious and have acute brand recognition. Most spent years working long hours to get where they are and continue to adhere to smart business practices by actively seeking out both quality and value in their purchases. Their ability to define true luxury, individually, and as a group, is laser-accurate. Also due to the long hours most wealthy people work, their reliance on the internet is even stronger. They rely on trusted websites for reviews and ratings and do fairly compressive research online before making purchases.

Another interesting conclusion of the report is the growing demand for luxury services as opposed to luxury goods. Expensive stuff is just a tiny piece of the pie, and innovative services including everything from wealth management to simple child care for the ultra elite are expected to become more abundant and profitable in the future.

And apparently, the most under-served wealthy are those with a new worth from $ 1 million to $50 million, particularly in luxury services.

For a more complete synopsis of the report, check out Brand Strategy’s comprehensive summary.