Luxury Growth Demographic of Opportunity
MVI Marketing LLC (MVI) recently completed another in a series of quantitative research studies with Millennial Self Purchasing Females (SPFs) to better understand the opportunity with this unique growth demographic for luxury goods. This study focused on 3 core product segments: Jewelry, Shoes and Hotels.
The results reinforce reasons for optimism for luxury brands seeking an entry level point with millennial consumers. In general respondents to this study identified the top 3 motivators of why they purchase for themselves as:
- So they can get exactly what they want
- To celebrate a milestone
- Just because
Nearly 91% indicated they research a brand before buying.
Specifically related to shoe purchasing, respondents to this study rated Coach, Kate Spade, Gucci as the top shoe brands they own or are most likely to purchase and nearly 60% will spend up to $150 on their next shoe purchase.
As for the hotel category, over 40% will travel at least once a year with girlfriends and the hotel brands they will most likely book for themselves are Hilton, Marriott and Hyatt.
When it comes to jewelry, respondents to this study rated Tiffany, Pandora, Swarovski as the top jewelry brands they own or are most likely purchase.
In a new jewelry category, over 13% of respondents said they are very likely to purchase lab grown diamonds, over 43% said maybe they would purchase lab grown diamonds but don't know much about them and 21% said probably they would purchase lab grown diamonds as they are hearing more about them.
After reviewing the results of this research, MVI’s President, Liz Chatelain, described this consumer segment as a luxury consuming high speed railroad train just beginning its journey.
“You can see all the signs of a demographic segment that will be spending for themselves, and for gifts, in increasing numbers and escalating price points,” Chatelain said.
She continued, “Luxury brands like Tiffany, Marriott and Jimmy Choo are already seeing strong penetration based on their recent video content marketing efforts and others seeking an answer to millennial consuming puzzle should become more aggressive with their content marketing to young Self Purchasing Females.”
The study was conducted online between 15-20 July 2018 and completed by 1,001 respondents with this demographic profile:
- 25-40 years of age
- $75,000 household income and higher
- Female-identifying only
- USA only
For more information on this study, please contact Theresa Jones at Theresa@MVIMarketing.com.
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