Sorry for interrupting, this website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Learn more
Accept and close

Description

Description

US Affluent and HNWIs, with their large amount of income-producing assets, are important to lifestyle brands, particularly those offering value-added products and services. With higher-than-average household incomes, they command a significant amount of purchasing power across a variety of areas, from in-home food to household care to leisure and travel. Their earnings also afford them the ability to participate in a variety of upscale activities. In the next year, they aspire to travel more, better manage their health and wellness, and prioritize long-term wealth and financial planning. However, confidence in financial decisions wavers depending on a person’s age and gender.

This report looks at the following issues:

  • Affluent/HNW women are less confident about financial decisions
  • Older Affluent/HNWIs not as interested in luxury travel
  • One in five Affluent/HNW Hispanics' finances are just "OK"

For the purposes of this Report, Mintel defines “Affluent” and “High Net Worth Individuals” as follows:

  • Affluent: Individuals with investable assets totaling $500K-$1 million
  • High Net Worth Individuals: Individuals with investable assets in excess of $1 million

What's included

What's included

Table of contents

Table of contents

  1. Overview

    • What you need to know
      • Definition
      • Executive Summary

          • The issues
            • Affluent/HNW women are less confident about financial decisions
              • Figure 1: Attitudes about finances and success, by gender, August 2016
            • Older Affluent/HNWIs not as interested in luxury travel
              • Figure 2: Activities done in the last 12 months – Travel, by generation, August 2016
            • One in five Affluent/HNW Hispanics’ finances are just “OK”
              • Figure 3: Current personal financial situation, by Hispanic origin, August 2016
            • The opportunities
              • Affluent/HNW Millennials are less aware of their finances and take more risks
                • Figure 4: Spending habits, by Millennials versus non-Millennials, August 2016
              • Women express increased interest in their finances
                • Figure 5: Financial goals – In one to five years, by gender and age, August 2016
              • Parents want to ensure their children have a financially secure future
                • Figure 6: Financial goals for the next 12 months, by parent status, August 2016
              • Nearly half of Affluent/HNW Millennials want a second home in the next five years
                • Figure 7: Financial goal – Buy a second home, by generation, August 2016
              • What it means
              • The Market – What You Need to Know

                • Households with $500K+ in investable assets continue to rise
                  • The rich getting richer
                    • Median household incomes are up
                      • Affluent and HNWIs stand apart from the average American
                      • Market Size and Forecast

                        • America’s wealthiest continue growing
                          • Figure 8: Number of US households with $500K+ in income-producing assets, 2011-16 (forecast)
                          • Figure 9: Fan chart forecast number of US households with income-producing assets of $500K+, 2011-21
                      • Market Perspective

                        • Minority of the population owns majority of nation’s wealth
                          • Figure 10: Holdings of family wealth, by wealth group, 1989-2013
                        • Top 10% are getting wealthier
                          • Figure 11: Average wealth for families in the top 10 percent of the wealth distribution, 1989-2013
                      • Market Factors

                        • Median household income increases, finally
                          • Figure 12: Median US household income, 2004-15
                        • More people earning high incomes
                          • Figure 13: Individuals aged 15+ with annual income of $150K+, 2006-15
                        • Decade-high Dow is important to investing Affluent and HNWIs
                        • Affluent and HNWI Demographics

                            • Affluent and HNWI – Not like the average adult
                              • What defines them
                                • Who they are
                                  • Figure 14: Affluent and HNWI – Finances, demographics, employment/location, August 2016
                                  • Figure 15: Affluent and HNWI – Key characteristics, index to all, August 2016
                              • Key Players – What You Need to Know

                                • Affluent/HNWIs can afford to pay for convenience
                                  • Faulty technology upgrades may delay adoption of new products
                                    • Unique luxury accommodations and activities appeal to Affluent/HNWIs
                                    • What’s Working?

                                      • Convenience
                                        • Boss on Demand
                                          • Meal kits
                                            • Figure 16: Blue Apron email ad, October 2016
                                          • Luxury travel
                                            • United Airlines unveils luxury business class
                                              • Figure 17: United Introducing Polaris International Business Class, June 2016
                                            • Delta Private Jets and Porsche partner for smooth travel
                                              • Mind, body, and soul workouts
                                                • Peloton
                                                  • Figure 18: Peloton Commercial: This is Peloton/Commercial, May 2016
                                                • Exhale Mind & Body Spa
                                                  • Equinox
                                                  • What’s Worrying?

                                                    • The latest and greatest may not be all that great
                                                      • Samsung Galaxy Note 7
                                                        • Beats Pill XL Speaker
                                                          • Tesla Model S self-driving mode
                                                            • In the technology age, identity theft is a concern for Affluent/HNWIs
                                                            • What’s Next?

                                                              • HENRYs
                                                                • Luxury brands are capitalizing on hotel opportunities
                                                                  • Shinola
                                                                    • Aston Martin
                                                                      • West Elm
                                                                        • Sharing economy for the wealthy
                                                                          • Accommodations
                                                                            • Ride sharing
                                                                              • Boat sharing
                                                                                • Unique travel opportunities
                                                                                  • Hotel meet hostel
                                                                                    • Cuba
                                                                                    • The Consumer – What You Need to Know

                                                                                      • 85% have participated in luxury activities or used luxury services
                                                                                        • They’re wealthy but still appreciate a good deal
                                                                                          • Health and work/life balance goals are most important
                                                                                            • Attitudes about finances depend on demographics
                                                                                              • Wealthy may need guidance with financial planning
                                                                                                • Young adults aim to take control of their finances in next 12 months
                                                                                                  • Women and Millennials have specific goals for next five years
                                                                                                    • For some, more money equals more problems
                                                                                                    • Activities Done in the Last 12 Months

                                                                                                        • Dining out and cultural events are most popular activities
                                                                                                          • Figure 19: Activities done in the last 12 months, September 2014/August 2016
                                                                                                        • HNWIs more likely to be politically active, support charities, buy art
                                                                                                          • Figure 20: Activities done in the last 12 months, by Affluent and HNWIs, August 2016
                                                                                                        • Millennials are traveling in luxury
                                                                                                          • Figure 21: Activities done in the last 12 months, by generation, August 2016
                                                                                                        • Household income is a determinant for luxury activity participation
                                                                                                          • Figure 22: Number of activities done in the last 12 months, by household income, August 2016
                                                                                                        • Hispanics more likely to splurge on art and sporting events
                                                                                                          • Figure 23: Activities done in the last 12 months, by Hispanic origin, August 2016
                                                                                                      • Spending Habits

                                                                                                          • Affluent and HNWIs are knowledgeable deal seekers, less brand loyal
                                                                                                            • Money management
                                                                                                              • Brand loyalty
                                                                                                                • Discretionary spending
                                                                                                                  • Figure 24: Spending habits, August 2016
                                                                                                                • Millennials are less aware of their finances and are riskier spenders
                                                                                                                  • Figure 25: Spending habits, by Millennials versus non-Millennials, August 2016
                                                                                                                • Suburban and rural Affluent/HNWIs are most price conscious
                                                                                                                  • Figure 26: Spending habits, by area of residence, August 2016
                                                                                                                • Hispanics more willing to make high-risk investments, persuaded by social media
                                                                                                                  • Figure 27: Spending habits, by Hispanic versus non-Hispanic, August 2016
                                                                                                              • Goals for the Next 12 Months

                                                                                                                  • Health and travel are top priorities in the coming year
                                                                                                                    • Health and diet
                                                                                                                      • Home improvement
                                                                                                                        • Getting out of the house
                                                                                                                          • Financial management
                                                                                                                            • Figure 28: Personal goals for the next 12 months, August 2016
                                                                                                                          • Millennials are likely struggling with maintaining a balanced lifestyle
                                                                                                                            • Figure 29: Personal goals for the next 12 months, by generation, August 2016
                                                                                                                          • Higher household incomes more in need of personal life overhaul
                                                                                                                            • Figure 30: Personal goals for the next 12 months, by household income, August 2016
                                                                                                                          • Hispanics are looking for more control in their lives
                                                                                                                            • Figure 31: Personal goals for the next 12 months, by Hispanic versus non-Hispanic, August 2016
                                                                                                                        • Attitudes about Finances and Success

                                                                                                                            • Affluent and HNWIs see themselves as confident and successful
                                                                                                                              • Figure 32: Attitudes about finances and success, August 2016
                                                                                                                            • Men are more confident about their financial decisions
                                                                                                                              • Figure 33: Attitudes about finances and success, by gender, August 2016
                                                                                                                            • Millennials are passionate and happy with their professional lives
                                                                                                                              • Figure 34: Attitudes about finances and success, by generation, August 2016
                                                                                                                            • Higher household incomes feel most influential, successful
                                                                                                                                • Figure 35: Attitudes about finances and success, by household income, August 2016
                                                                                                                            • Financial Goals

                                                                                                                                • Affluent and HNWIs are savvy financial planners, but may not prioritize the long-term
                                                                                                                                  • Figure 36: Financial goals achieved, by household net worth, August 2016
                                                                                                                                • Short-term financial goals
                                                                                                                                  • Financial planning is a priority for Affluent/HNW Millennials in the next year
                                                                                                                                    • Figure 37: Financial goals for the next 12 months, by generation, August 2016
                                                                                                                                  • Parents are looking to assure a financially secure future
                                                                                                                                    • Figure 38: Financial goals for the next 12 months, by parent status, August 2016
                                                                                                                                  • Medium-term financial goals
                                                                                                                                    • Younger women express increased interest in their finances
                                                                                                                                      • Figure 39: Financial goals in one to five years, by gender and age, August 2016
                                                                                                                                    • Nearly half of Millennials want a second home in the next five years
                                                                                                                                      • Figure 40: Financial goal – Buy a second home, by generation, August 2016
                                                                                                                                    • Older adults are looking to splurge on a new ride
                                                                                                                                      • Figure 41: Financial goal – Buy a car – In one to five years, by generation, August 2016
                                                                                                                                    • Long-term financial goals
                                                                                                                                      • Generation X may be more realistic about paying off their mortgage
                                                                                                                                        • Figure 42: Financial goal – Pay off home mortgage, by generation, August 2016
                                                                                                                                    • Current Personal Financial Situation

                                                                                                                                        • Affluent/HNWIs have predictably healthy financial situations
                                                                                                                                          • Figure 43: Current personal financial situation, by household net worth, August 2016
                                                                                                                                        • Older adults are more satisfied with their current financial situation
                                                                                                                                          • Figure 44: Current personal financial situation, by generation, August 2016
                                                                                                                                        • Higher household incomes less positive about current financial health
                                                                                                                                          • Figure 45: Current personal financial situation, by household income, August 2016
                                                                                                                                        • Affluent/HNW Hispanics’ finances are OK
                                                                                                                                          • Figure 46: Current personal financial situation, by Hispanic versus non-Hispanic, August 2016
                                                                                                                                      • Consumer Segmentation

                                                                                                                                            • Figure 47: Affluent/HNWI segments, August 2016
                                                                                                                                          • Frugal Spenders
                                                                                                                                            • Characteristics
                                                                                                                                              • Opportunities
                                                                                                                                                • Figure 48: Profile of Frugal Spender Affluent/HNWIs, August 2016
                                                                                                                                              • Value Conscious
                                                                                                                                                • Characteristics
                                                                                                                                                  • Opportunities
                                                                                                                                                    • Figure 49: Profile of Value Conscious Affluent/HNWIs, August 2016
                                                                                                                                                  • Money Monitors
                                                                                                                                                    • Characteristics
                                                                                                                                                      • Opportunities
                                                                                                                                                        • Figure 50: Profile of Money Monitor Affluent/HNWIs, August 2016
                                                                                                                                                      • Spontaneous Spenders
                                                                                                                                                        • Characteristics
                                                                                                                                                          • Opportunities
                                                                                                                                                            • Figure 51: Profile of Spontaneous Spender Affluent/HNWIs, August 2016
                                                                                                                                                          • Nouveau Riche
                                                                                                                                                            • Characteristics
                                                                                                                                                              • Opportunities
                                                                                                                                                                • Figure 52: Profile of Nouveau Riche Affluent/HNWIs, August 2016
                                                                                                                                                            • Appendix – Data Sources and Abbreviations

                                                                                                                                                              • Data sources
                                                                                                                                                                • Fan chart forecast
                                                                                                                                                                  • Consumer survey data
                                                                                                                                                                    • Direct marketing creative
                                                                                                                                                                      • Terms
                                                                                                                                                                      • Appendix – The Market

                                                                                                                                                                          • Figure 53: Holdings of family wealth, by Wealth Group, 1989-2013
                                                                                                                                                                          • Figure 54: Usual median weekly earnings of full-time wage and salary workers, by gender and age, Q3 2016

                                                                                                                                                                      About the report

                                                                                                                                                                      This report will give you a complete 360-degree view of your market. Not only is it rooted in robust proprietary and high-quality third-party data, but our industry experts put that data into context and you’ll quickly understand:

                                                                                                                                                                      • The Consumer

                                                                                                                                                                        What They Want. Why They Want It.

                                                                                                                                                                      • The Competitors

                                                                                                                                                                        Who’s Winning. How To Stay Ahead.

                                                                                                                                                                      • The Market

                                                                                                                                                                        Size, Segments, Shares And Forecasts: How It All Adds Up.

                                                                                                                                                                      • The Innovations

                                                                                                                                                                        New Ideas. New Products. New Potential.

                                                                                                                                                                      • The Opportunities

                                                                                                                                                                        Where The White Space Is. How To Make It Yours.

                                                                                                                                                                      • The Trends

                                                                                                                                                                        What’s Shaping Demand – Today And Tomorrow.

                                                                                                                                                                      Please Note: This is a sample report. All of the figures, graphs, and tables have been redacted.

                                                                                                                                                                      Trusted by companies. Big and small.

                                                                                                                                                                      • bell
                                                                                                                                                                      • boots
                                                                                                                                                                      • google
                                                                                                                                                                      • samsung
                                                                                                                                                                      • allianz
                                                                                                                                                                      • kelloggs
                                                                                                                                                                      • walgreens
                                                                                                                                                                      • redbull
                                                                                                                                                                      • unilever
                                                                                                                                                                      • Harvard
                                                                                                                                                                      • pinterest
                                                                                                                                                                      • new-york-time