The Luxury Market
AARC’s research indicates that the true luxury market is composed of roughly the wealthiest 1% of U.S. households. These 1.1 million households appear to have the best understanding of the price points and brands of true luxury goods and services.
These luxury consumers, who are the most likely to be viewed as conspicuous consumers, have the following profile:
- With an average annual income of $982,000, they earn about 14% of the total income earned by all American households.
- They account for about 20% of all consumer spending.
- They have a minimum net worth of $6 million.
- With an average net worth of $15.3 million, they control 33% of the total net worth of all U.S. households.