New research shows that luxury shoppers, contrary to popular belief, actually “trade down” in much of their shopping.

The most recent Unity Marketing luxury tracking study finds that within the top 5 percent of households based on income, luxury is only an occasional indulgence through the range of product categories.

“So much attention has been given to the 'trading up' phenomenon—where people with upper-middle incomes of $50,000 to $75,000 stretch to luxury—that the converse trend toward 'trading down' has been ignored,” Danziger said in a recent Unity release. “'Trading down' is where the affluent consumer with means to buy just about any luxury they want at full price, opts instead to select a less luxurious, but more affordable substitute for the 'real thing.'”

The survey, which tracks more than 700 luxury consumers, indicated that more than half of those polled say they only occasionally, rarely or never choose the most luxurious merchandise when shopping, instead selecting everyday brands. Certain product categories compel luxury shoppers to choose finer merchandise, the survey reports, including electronics (for which 30 percent of those surveyed go top-of-the-line), automobiles (with 21 percent favoring the more luxurious), cosmetics and fragrance (20 percent) and jewelry and watches, for which 18 percent and 17 percent, respectively, of luxury shoppers polled by Unity always pursue more luxurious offerings.

Complete study results are available in the newest issue of Luxury Business: The Luxury Marketer's Report, a newsletter issued six times yearly by Unity Marketing President Pam Danziger. For more information on Unity Marketing or to register for Luxury Business, visit: www.unitymarketingonline.com

Source : Nationaljeweler.com

www.nationaljeweler.com