Luxury Marketers: Your Best Customers May Never Visit Your Store

Stevens, PA  March 16, 2010 --  Luxury marketers:  How can you recognize your best potential customers?  Look no further than the computer, because today's best prospect for luxurybrands spends more time shopping online, according to a new Unity Marketing survey among 1,614 affluent luxury consumers (avg. income $239.3k.)

"The segment of the luxury consumer market identified as 'heavy users' of the internet spent twice as much money on average buying luxury goods and services, as compared to those affluents who spent less time shopping online," says Pam Danziger, president of Unity Marketing and lead researcher in the new study.  The study, entitled How the Affluent Luxury Consumer Uses the Internet and Social Media: An In-Depth., found the typical luxury consumer spent some 4.2 hours shopping online per week, as compared with the heavy users who spent 9.5 hours on shopping-related activities weekly.

Besides being highly active shopping online, these consumers share key demographics which help marketers identify their best potential customers.  The heavy-user is more likely to be male (although 52 percent of the heavy-users are female).  He is young, often under the age of 35.  He is very affluent (with an average income of around $337,000.)  And, like many men, he dislikes going to the store.   

"For the heavy-users who spend much more money buying luxury, the internet provides shopping experiences they value most:   Speed, convenience, and 24/7 access to brands and merchandise that no single store can match.   Further 55 percent of heavy users say they enjoy online shopping more than in store, as compared with 43 percent of affluents who are not classifed as 'heavy-users.'"

"These high-value customers who prefer to shop online present a challenge for traditional-minded luxury brands that have been reluctant to embrace e-commerce as an acceptable shopping alternative to the bricks-and-mortar store.  But the message is clear.  These ultra-affluent young people are going to shop online, so luxury retailers must meet them there ˆ with the message, information, and options these shoppers most desire ˆ or they can let those dollars flow into another brand's pocket," Danziger concludes.