Redefining Luxury

New luxury markets are taking shape alongside the high-priced exclusive brands usually associated with luxury, according to a multi-country study by Euro RSCG Worldwide. Luxury is defined as much in terms of finding the time and energy to enjoy as it is in terms of finding the money.

'People tend to think of 'luxury' as over-the-top pleasures that only the privileged few can afford, but that misses the point' according to Ira Matathia, MD of the company's New York office. 'Luxury in the 21st century isn't about what you can afford to spend, it's about what you can afford to enjoy. The pace, complexity, and clutter of life today make it difficult for people to savor their pleasures fully: having the best of everything is not luxury if the person doesn't take real pleasure in it'.

The report says that at a time when people tend to treat any blank slot in their timetables as a space to be filled, luxury increasingly means taking time to savor sights, sounds, textures, smells, and tastes to the full. A sense of being overwhelmed by everyday pressures and obligations is particularly prevalent in India, the US, and the UK. In India, a majority of 52% agreed completely or somewhat with the statement 'I juggle many activities, and it sometimes feels like too much' - 47% agreed in both Britain and the US, and percentages are higher in higher income brackets. Respondents in France (27%), Germany (36%) and China (29%) were significantly less likely to feel thus 'overwhelmed'.

'Clutter-fatigue' is widespread, especially in the wealthier households of the US and UK: 56% of Americans earning $100,000 or more and 48% of Britains earning £55,000 or more complain of having 'too much stuff' - and 40% plus say so even in lower income categories. Percentages for France, Germany and China are again in the 20s and for India 36%.

The report says that 'self-indulgence isn't just about feeling good: it's also about doing good - particularly among the wealthy'. In higher income brackets, an increasing number of consumers say they have refused in the past year to purchase an item because it was manufactured in a country they did not wish to support. In the US 44% of the highest income respondents say this, compared with just 27% of the middle income group and 22% of the lowest income group. Similar progressions are evident in most other countries: including France (36%, 30%, 24%), Germany (16%, 13%, and 10%) and the UK (35%, 17% [sic], and 20%).

Matathia says that feeling good about the quality and exclusiveness of a product has always been part of the luxury experience, 'but now feeling good about the ethics of the product is emerging as another dimension of luxury. Sometimes ethically 'clean' products may cost a little more, but it's not really the price that makes them luxurious; it's the fact that people have the choice of such products, and that they can spare the time and attention to choose them. Choosing ethical products is a sort of everyday luxury, whether it's fair-trade coffee, dolphin-friendly tuna, or furniture made from environmentally managed woods. It's a dimension of choice that many people in poorer countries would regard as highly privileged'.

Prosumer Pulse(r) 2004 is an online survey of just under 2,000 US respondents and more than 13,000 respondents across the globe. Euro RSCG Worldwide is the largest unit of communications group Havas, and is online at www.eurorscg.com

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.