Consumer Spending Survey Reveals 80 Percent of High Net Worth Individuals to Increase Spending in 2008
Despite continued news of a looming recession, 80.3 percent of the "Super Rich" (consumers with net worth of $30 million plus) will increase their spending on luxury goods and services. This is according to the Elite Traveler/Prince & Associates 2008 Affluent Consumer Spending Survey conducted January 10-18, 2008. The survey polled a panel of more than 600 affluent consumers who had a net worth of at least $1 million. Overall the wealthy expect the economy to worsen in 2008. However, 84 percent of the Super Rich said the current economic environment represents an investment opportunity, and they will continue to spend more on luxury products and services and increase donations to charitable organizations more than ever before. The survey also reports that affluent consumers have little faith in the government's ability to "fix" the present economic situation.
The survey revealed that 58.2 percent of "Rich" consumers (those with a net worth from $10 to $30 million) will increase their spending on luxury goods and services. However, 21 percent of consumers with a net worth of less than $10 million plan to decrease their spending on luxury goods and services.
Does cost matter?
As expected, the Super Rich are not price sensitive as only 7.4 percent report an increase in the cost of luxury products as playing a role in their purchasing decisions. However, almost half of the Mass Affluent consumers surveyed said cost is a deciding factor when purchasing luxury goods and services in this current uncertainty.
Although most consumers shop around to find the best deal when purchasing an expensive product, that rule does not seem to apply to the Super Rich. Less than 10 percent of Super Rich consumers said they would take more time to purchase a luxury product this year but would otherwise make speedy impulse purchases. Twelve percent of Rich consumers reported an increase in the time they would take to make a luxury purchase, while 34 percent of Mass Affluent consumers would spend more time making a purchase as they balance economic uncertainty and higher costs for everyday expenses.
For the Super Rich: It's Better to Give
Nearly 70 percent (69.1 percent) of the Super Rich say they will increase their charitable giving this year, realizing their support is needed now more than ever to offset cut backs from those who have felt the pinch from a weakened economy. At the same time, 47.6 percent of the Rich will increase their charitable giving. Only 13.9 percent of the Mass Affluent will give more in 2008.
"With the Super Rich increasing their charitable giving, the good news for luxury providers is that the Super Rich believe it is O.K. to reward themselves by continuing and in fact increasing their spending on watches, jewelry, luxury autos, fashion and the like," said Gollan.
Tuesday, February 5, 2008
Despite Slowing Economy 'Super Rich' Continue to Spend
Sunday, January 27, 2008
Cuna De Vida Resort Brand Breaks Ground on Full-Service Private International Airport in Panama
New Resort Brand Launches with Construction of Airport
Cuna de Vida, a newly formed brand of luxury resorts is pleased to announce the start of construction of the Del Rey Airport, the first full-service, private international airport in the world. The airport will be located on Isla Del Rey in the archipelago of Las Perlas in Panama. Scheduled to break ground February 2, 2008, Del Rey Airport is the first phase of the Cuna De Vida Development. The airport will be the primary means of arrival for discerning private plane owners who are expected to arrive at the Cuna de Vida branded resorts with their guests. Once complete, the entire development will include luxury resorts, a marina, spas and restaurants.
Del Rey Airport will have the ability to accommodate Boeing 737 business jets and will be a full-service international airport with a terminal building housing a luxury lounge, Direct en-villa custom and immigration services fueling services and resort ground transportation. The runway will accommodate most personal and business jet aircrafts.
Jet Membership is also available by invitation and referral only. Members will enjoy complimentary landing and hard standing rights until December 2010 along with preferred access and discount privileges. First class members will enjoy world-class accommodations and luxury facilities once this development is complete. Panama offers tropical ecology, surfside seclusion; palm fringed beaches, meandering rivers and emerald seas. Panama also features exciting nightlife, fine dining and all the conveniences of a large metropolitan city.
LAS PERLAS
Shortly after the construction begins on Del Rey Airport, the first Cuna de Vida resort, Las Perlas, will also being construction. Las Perlas will capture the unimaginable luxury of a rainforest island escape. Twenty buildings are planned with two villas in each. Each villa is richly appointed with more than 3,500 square feet of total luxury that is secluded for privacy and tranquility. The villas feature elegant stone paths and luscious natural landscaping. Las Perlas will sit on one of the most desirable stretches of beach in Panama - Playa San Juan. The villas are being sold fractionally for $400,000 pre construction and $500,000 on opening, per 1/12 of a share.
Branded as “The Cradle of Life” Cuna de Vida promises to take resort living to a new level - one that pampers guests in a way that is never expected, but certainly an anticipated surprise. With heightened senses, guests will experience smells, sounds and feelings unlike any other resort experience. Five resorts are planned in various parts of the world by 2025.
The developer of the Cuna de Vida brand and the Del Rey Airport is André Niederhauser, hotelier and entrepreneur. Cuna de Vida has been his lifelong vision. “Creating convenient access into the Cuna de Vida resorts by building this airport is the first step to a successful and perfectly planned luxury development,” said André. “This airport will offer a level of service unmatched in any other area in the world, meeting the needs of guests that demand a certain level of service and luxury.”
Del Rey Airport is the first private international airport in the world able to accommodate BBJ1. For more information on the airport or Jet Card Membership, please
call 800-964-6887 or go to www.luxuryatlarge.com.
