Saks survey reveals optimism in luxury consumer spending
Saks unveiled on Monday insights from its latest Saks Luxury Pulse survey, conducted in late July, highlighting a notable uptick in optimism among luxury shoppers, with 58% of respondents planning to maintain or increase their spending on luxury items over the next three months.
That is compared to 53% in the previous Saks Luxury Pulse survey, conducted in late April, and represents the first surge in luxury spending intentions since May 2022.
Despite ongoing macroeconomic challenges, the survey found that 68% of luxury consumers remain optimistic about their personal financial situations. Still, 55% of respondents are concerned about the overall state of the economy. While personal financial optimism remained consistent with the previous survey at 67%, the level of concern about the economy was up 5% compared to the previous survey.
Higher-income respondents appear to be more optimistic about the economy, with 48% of those earning $200,000 or more per year expressing confidence, up from 42% in the prior survey. Furthermore, 64% of this group plans to maintain or increase their luxury spending over the next three months, a significant increase from 57% in the previous survey.
In addition to luxury, respondents expressed plans to spend on travel, with 74% stating they are planning to book or have already booked a trip in the near future, and of those, 72% intend to purchase luxury items in preparation for their travels.
Among respondents with an income of $200,000 or more, a significant 81% are planning trips, with 72% of them planning to buy luxury items for their upcoming journeys.
“We are pleased to see the first increase in over a year in purchase intent across the luxury consumer continuum, an indication that core luxury consumers are starting to turn the corner,” said Marc Metrick, CEO of Saks.
“Although this core luxury consumer is typically the first to rebound from times of economic uncertainty, we remain committed to building meaningful relationships with the full continuum of luxury shoppers, especially those who are likely to become more loyal over time.”
Emily Essner, chief marketing officer of Saks, added, "At Saks, we are committed to inspiring customers to express themselves through fashion. As the survey indicated, luxury consumers are seeking inspiration from luxury retailers like Saks, thanks to the breadth and depth of our assortment and our renowned ability to provide fashion discovery through content featuring a broad assortment of designers across Saks.com, our social media, and beyond."
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