New York—Which brands do America’s ultra-wealthy consumers like best? Tiffany & Co. and Michael Kors.
That’s what the Luxury Institute found when it recently asked U.S. consumers with a minimum net worth of $5 million about what luxury brands they buy and their relationships with those luxury brands sales associates.
In jewelry, Tiffany & Co. topped the list, followed by David Yurman and Cartier. These three market share leaders are also the top three jewelers where ultra-wealthy women have a preferred salesperson.
In the women’s fashions and accessories, Michael Kors holds what the Luxury Insitute calls a “commanding 36% market share.” Kors is followed “distantly” by Prada, Burberry, Louis Vuitton, Chanel, Gucci and Marc Jacobs.
When ultra-affluent women were asked about relationships with salespeople with those seven brands, the responses varied widely “with Marc Jacobs falling behind the rest while Prada leads the pack.”
Among “pentamillionaires” men, Ralph Lauren and Brooks Brothers hold the largest market share in the men’s fashion and accessories category, according to the Institute.
Customer Relationships Build Business
“Overall, ultra-wealthy men are less likely than women to build relationships with salespeople.”
The study revealed that genuine relationships between the ultra-affluent and salespeople are crucial to a brand’s success. Both pentamillionaire men and women agreed that the best ways for salespeople to build lasting relationships are “by making them feel comfortable, communicating honestly, earning their trust and recognizing them on store visits.” Among 50% of the ultra-wealthy women handwritten thank you notes were especially appreciated.
“Relationship selling is not something exclusive to markets like high-end automobiles, real estate and wealth management services,” says Milton Pedraza, the Institute’s chief executive. “Even in luxury jewelry and fashion, relationships cultivated by trust and an understanding of customer preferences can help boost both the frequency and size of sales.”
About Luxury Institute
The Luxury Institute is the objective and independent global voice of the high net-worth consumer. The Institute conducts extensive and actionable research with wealthy consumers about their behaviors and attitudes on customer experience best practices. The Luxury Institute also operates LuxuryBoard.com, a membership-based online research portal, and the Luxury CRM Association, a membership organization dedicated to building customer-centric luxury enterprises. www.LuxuryInstitute.com