SINGAPORE: Both Chinese and American affluent consumers expect quality when considering luxury products, but exclusivity carries a much higher premium in China while price matters more for Americans, recent analysis has shown.
This is one of the key findings from Agility Research & Strategy, a Singapore-based consultancy which looked more closely at China and the US based on a wider survey it released earlier this year that also included Hong Kong, Singapore and Indonesia.
Based on respondents in the top 25% of household income, the survey found a full 86% of Chinese affluent consumers agree that they buy luxury brands because of their exclusivity. This compares with just over half (51%) of affluent Americans.
But price is much more influential for US consumers with almost three-quarters (73%) agreeing that “it is important to get the best possible price when buying luxury brands” compared to just under half (49%) of their Chinese counterparts.
Quality matters for 72% of US affluent consumers, but it’s a notably bigger motivator for purchasing luxury brands in China (86%) where only 4% disagree with the statement that they “buy luxury brands because of the higher quality they provide”.