October, 2013 – This article from Diamonds.net discusses the 2013 holiday jewelry spending plans of the affluent as seen by the results of the Fall 2013 AARC survey. (http://www.diamonds.net/News/NewsItem.aspx?ArticleID=44991&ArticleTitle=Affluents+Jewelry+Spending+Expectations+Hold+Steady)
By Jeff Miller
RAPAPORT…Â The American Affluence Research Center (AARC) concluded that the wealthiest consumers in the U.S. have a slightly better outlook on the economy and their finances than the general public, however, this view was not quite enough to boost the affluents’Â expected gift spending plans over Christmas 2013 compared with 2012.
AARC’s proprietary research revealed a number of details on affluent households such as specific luxury brand awareness and value, spending intentions and income expectations for the next 12 months, among other things, for 11.4 million households that represent the wealthiest 10 percent of all U.S. consumers.  AARC defined these households as having a minimum net worth of $828,000, an average net worth of $3.1 million and average income of $256,000; they earn 36 percent of the total income of all households, own 63 percent of the personal assets of all households, hold 89 percent of the total value of all publicly traded stock and mutual funds in the U.S. and own a primary residence valued at an average of $651,000.
For the Christmas holiday season 2013, AARC estimated that average gift spending would decline by 2.8 percent year on year to $2,175 per affluent household, representing a total market value of $23.6 billion, about the same as 2012 after allowing for the households that will not buy gifts.
AARC also determined that expected spending plans usually are conservative to what affluents actually spend. The average total expenditure by affluent household adults in 2012 was $2,238 and in 2011 it reached $2,154. This compares with an average of $2,357 in 2010, $2,399 in 2009 and $2,505 in 2008.
Of the favorite gifts items chosen by affluents in the survey, AARC found that 14 percent selected fine jewelry (2 percent of men and 27 percent of women) as a gift they’d like to receive for Christmas, and 7 percent selected a watch (5 percent of men and 11 percent of women), both averages of which were about the same as in 2012. As for long-term spending expectations in the coming 12 months, AARC noted that 6 percent planned to spend more on jewelry and watches, but 43 percent said they would spend less. Fifty-one percent selected the ”same” amount as in the previous 12 months, however, that choice also included those who did not plan to purchase jewelry.
The index for fine jewelry and watches, at 63 by AARC’s proprietary measure, was essentially unchanged from its spring 2013 survey and flat from one year ago. AARC determined, however, that the current index indicates a continued decline in spending for these items during the next 12 months, though the index is well above the spring 2009 record low of 44 and only a few points below pre-recession levels.